Vol. 5, No. 12, December 2008
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Q&A with Kim Butler
Kim Butler, General Manager Atlantic City Outlets, The Walk
For several years, Butler was an on-air radio personality at WMGM-FM and WOND-AM. Then she moved to the casino industry, where she did public relations for Trump Plaza, Trump Taj Mahal and Resorts.
In 2003, Butler became marketing director for Atlantic City Outlets, The Walk, a new shopping destination that has since transformed much of the city’s downtown. Now general manager, she was named the Atlantic City Chamber of Commerce Businesswoman of the Year for 2008. Butler remains an energetic spokeswoman for all that’s right about the city. She spoke with Casino Connection Managing Editor Marjorie Preston about current and future plans for the Walk, which has become a major Atlantic City selling point.
Casino Connection: Was it difficult to shift gears from casino marketing to management at Atlantic City Outlets?
Butler: I was so passionate about the prospect for growth that this project represented, I just thought, “Oh boy, no guts, no glory.” It really was a leap of faith, just as it was a leap of faith for the developers to come and turn Michigan Avenue into a pedestrian connector between the Convention Center and the Boardwalk. I liken it to holding hands and jumping off the diving board together.
The Walk was a venture of Cordish and CRDA. How was that alliance forged?
The Casino Reinvestment Development Authority provided the land, and Cordish the funding. Two or three other companies were slated to go ahead and build the project; a couple of different developers signed on, but didn’t go ahead. And the whole concept of the outlets was the sheer genius of David Cordish. Outlets are a destination in and of themselves; Atlantic City is a destination. So to have a destination within the destination is a perfect fit.
Before the Walk, what was the neighborhood like here?
It was a scary place. CRDA had put the Miss America Rose Walk along Michigan Avenue in the hopes it would start to clean up the area, which it did, to a certain degree. But there were lots with overgrown weeds, an old warehouse that had been abandoned—it really was like a wasteland in the middle of the city. Not quite the red carpet people hoped to see when they arrived.
Did Cordish work from a template that’s worked in Houston and Tampa?
The specialty of the company is going into urban areas and turning them from economic drains into economic powerhouses. They really redevelop through retail, through mixed use… They do their homework and they understand the vibe of the community. No two projects are alike. But this is definitely one of the first outlet centers in the middle of a city.
Will the fact that these are outlets help your customers through the economic downturn?
Absolutely. First of all, the popularity of outlets is due to the value they represent. You get the very same name brands you buy at a retail location, but here you start with at least a 30 percent savings. There are sales, you can valet park free on Tuesday nights, we have downloadable coupons, and all of a sudden there is a whole lot of value.
You make it easy for people to come here.
That’s an obligation. That’s smart. That’s just good business. We are a tourist destination, but we have a huge base of loyal local customers—people from Voorhees, Cherry Hill, Cape May. We want to make it as inviting as possible for them to come, and thank them for making us a success.
Do you still have holiday shuttles?
We’ve refined it a little bit. Instead of running it as public transportation, we’re actually doing it as a charter. We have nearly a dozen private shopping shuttles scheduled, luxury limo buses. You climb aboard, have refreshments and all kinds of goodies—plasma screen TVs, music, whatever you’d like—and when you get here, you get to shop. We give you a tote bag, your discount book, all your coupons, and go on and have a great time.
It’s $20 per person, so you get that back right away in coupons and transportation. We really want people to come out and enjoy their holiday shopping without having to worry about gas, tolls and parking.
How far do these shuttles go?
I’ve had calls from Baltimore and New York. It’s as near or far as you are.
You’ve said you tried to borrow what you learned about marketing in the casino industry and put it to use at the outlets.
I’ve taken some of the oomph, excitement and sizzle and tried to apply it to retail. My retail compadres across the country look at me and go, “Why would you do that?” We have a promotion now to give away gas, groceries and gift cards for the holidays. So do the casinos. It makes sense, with the strain on people’s pocketbooks, to give gas cards to get people where they’re going, groceries for holiday entertaining, and gift cards for holiday shopping.
We were the endpoint of the Atlantic City Christmas parade, and I extended an offer to the casinos to send some of their entertainers, even if it’s just a couple of gals from the Christmas shows. It makes it a much more festive occasion. We all need to band together and make Atlantic City a great destination, and the way to do that is to work together. Let’s showcase the best of what we have for the holidays.
A comment I get from corporate marketing people is that Atlantic City has more going on from a marketing perspective than all the big chain outlets. They say, “You give us more opportunities to reach out to the community, more opportunities to get involved.” I scratch my head and say, “Really? You mean they don’t do that everywhere?”
When it comes to store layout, is there a proven ratio of apparel stores to restaurants, for example?
It’s a science. There was a time nobody knew there were stores on Arkansas Avenue. They saw them as they drove in, but once they got here, they were hard to find. So, you put a destination store like the Coach Factory Store on the corner. Suddenly people are in search of that brand, and then they’re exposed to all the others on the street. That’s why the big stores are on the corner.
What about expansion plans?
Any time you’re dealing in development and construction, there are things that pop up that are out of your control. We had a successful expansion with Phase II, which brought 40 new stores to the city, so Phase III is a natural. It will open 10 to 15 new retail locations. Sooner rather than later, hopefully in 2009, the shovels will be in the ground.
As a member of the board of directors at Dante Hall, you’re an ardent supporter of the arts. How much does it matter to have a vibrant arts district?
It’s critical. You need the arts to round out, to diversify, to attract and keep people. Part of what makes New York is Broadway, and though I’m not suggesting that Dante Hall is our Broadway, it’s a fabulous venue for all kinds of art: ethnic music, dance troupes, children’s performances. It’s small, it’s intimate, and here’s the best part—it’s extremely affordable. We’re talking ticket prices from $5 to $20, and the occasional $25 ticket. And we have the opportunity at Dante Hall to bring all this to people.
Do you have a typical day? Is there such a thing?
No. The phone rings, the door knocks, and you never know who’s on the other side.
