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Description

Luggage Center and Stern’s Travel Shop are specialty retail chain with thirteen stores selling travel goods including luggage, travel accessories and business cases. Our stores are located in regional malls, urban free standing and strip malls. Our average store is 3000 square feet.

History

Luggage Center and Stern’s Travel Shop have been in business serving the SFO and Bay Area locations travel needs since 1927.

Market Position

Luggage Center is the largest chain of luggage stores in the SFO and Bay Area. We hold the dominant position in these areas of travel goods market and carry’s largest selection of Luggage, Travel Accessories and Business Cases. We sell moderate to upper goods with concentrations in Tumi, Hartman, Swiss Army, Briggs & Riley, Andiamo, Paragon, Travelpro, Samsonite and Atlantic. We offer the largest selection of travel accessories in the Seattle Area.

Demographics

75% of our business comes from the following customer base: these customers are about 45 years old, evenly split male to female. Household income averages $125,000 per year. They travel for business, via airline, at least five times per year. About two thirds of their purchases are for business, one third for vacation needs.

Luggage Center is a destination business. The customer who walks through our door has decided they have a need for travel products and decided to fill those needs at our store.

Competitive Advantages

Convenience

We have more stores in the Bay Area than any of our competitors. We ticket all our merchandise at the lowest net price rather than play the shell game of “on sale, off sale” that most retailer do. This creates a great convenience for our customers because they get the best price today and every day rather than having to wait for a “sale”.

Vision

Luggage Center will look to strengthen our competitive edge in the market by opening new locations or purchasing our competitors existing locations. We are currently looking at opportunities to open more stores around Bay Area. We will continue to gain market share through growth opportunities, superior customer service and competitive pricing.

Replenishment System

We have developed the most sophisticated, automated merchandise reorder and distribution system in the travel goods industry.

Our system allows us to turn our inventory over almost four times per year compared with the industry average two times. Our inventory is about 85% current, inline merchandise, less than 160 days old.

Management Team

Rupinder Dhillon, CEO

Rupinder oversees the entire operation including but not limited to product selection, lease negotiations and vendor negotiations. Rupinder has over 20 years of retail experience.

Paul Brusaschetti, General Manager

Paul oversees all of the day-to-day operations. Including all aspects of Human Resources, assortment selection, vendor negotiations, stock management and inventory control. Paul has over 23 years of retail experience with Luggage Center, The Nature Company and Auntie Anne’s Pretzels.

Don Martin, Planning/Customer Service

Don is responsible for the weekly replenishment ordering system, any customer service issues and is the liaison between the corporate office and the stores. Don has over 28 years of retail experience with Luggage Center, K-Mart and Office Max.

Satyam Pulmamidi, IT Manager

Satya is responsible for the maintenance and upkeep of all of our information systems, ecommerce and computers. Satya has over six years of experience with Luggage Center, Al l Soft Technologies and E-Trade


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