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Digital's Effect On Business

October 24, 2012, 9:50 PM by Angela Kennecke

Digital's Effect On Business

While most retailers are gearing up for the big holiday season, one local merchant is packing up to move locations.  This story is about more than just a change in locations; it's a sign of the times.

A Sioux Falls Christian book and music store is making a change to stay relevant in the digital age.

Crossroads Book and Music has been in Sioux Falls for 30 years, but it's seen more change in the last five than all the years combined. 

"And of course, we had a huge amount of digital going on.  Between online shopping and digital downloads for music that has affected retail business a lot," Crossroads Book & Music Owner Russ Borchardt said.

From eBooks to iTunes, downloading has slashed sales here in the brick and mortar store.  Crossroads' Christian gifts have carried them through. 

"What does that picture really look like; what does that gift really look like and online, you just don't get that feel.  Those things people want to touch, feel pick up; that's a really strong area," Borchardt said.

So after building this 18,000 square foot store in 2006, the owners have sold it and are moving to a more visible and much smaller location on 41st Street.  There will be the same amount of retail space, just no warehouse.

"Probably ten years ago, we would keep three or four months of stock in the back and that's no longer financially feasible.  So we keep just what we need on the floor and our warehouses can turn it around in a couple of days," Borchardt said.

Another change in business that has this one adapting to stick around for a while. 

"Change seems to always be taking place.  It just seems to be happening faster now so you always have to think ahead, 'What is the next change that's going to come along?'" Borchardt said.

The store hopes to be completely moved into its new location by November 1, in time for the holiday sales season.

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