Town hoping pop-ups draw in restaurants

Temporary coffee spot part of Helena’s eat-in campaign

Special to the Arkansas Democrat Gazette - 10/02/2014 -  Westrock Coffee of Little Rock is partnering with Helena-West Helena to create one-month, pop-up coffee shop. It is a test concept for Westrock and part of a series of pop-up events designed to appeal to retail and restaurant investors.
Special to the Arkansas Democrat Gazette - 10/02/2014 - Westrock Coffee of Little Rock is partnering with Helena-West Helena to create one-month, pop-up coffee shop. It is a test concept for Westrock and part of a series of pop-up events designed to appeal to retail and restaurant investors.

Trips across the Mississippi River are a common occurrence for Helena-West Helena residents looking for retail options, especially food and drink. Even the desire to sit and sip a cup of coffee typically involves a 35-minute drive into Clarksdale, Miss.

At least $4 million is lost annually as a result of retail leakage related to food and beverage, according to one study. More than $3 million leaves the community for full-service restaurants.

Attracting investors willing to fill existing needs is a top priority for city leaders, including Julia Malinowski, director of the Helena Advertising and Promotion Commission. As the community continues to work for tourism dollars, the need for restaurant options grows.

Traditional marketing and recruiting methods have not yet yielded the desired results. So Malinowski has turned to a more creative approach to establish for outsiders that demand exists, and to let locals know that there is an effort being made. What began with a one-night dinner in April has evolved into an ongoing series of pop-up events designed to show off interest and available retail space.

"We have significant retail leakage, especially among restaurants," Malinowski said. "There is more demand here than we're meeting. I've shared that, but for anyone outside the community with a set opinion of Helena, seeing those numbers isn't enough to convince them. They need more of an emotional appeal. They need to see proof that excitement and demand exists in the community."

Helena-West Helena's latest attempt at establishing demand comes in the form of a one-month partnership with Westrock Coffee of Little Rock. Through Oct. 19 the community has a coffee shop of its own, stocked and overseen by Westrock in an approximately 1,900-square-foot space at 421 Cherry St. Volunteers from the town who have previous experience in coffee shops will work during certain hours.

Sales figures weren't readily available for the first two weeks of the project, but Westrock, Malinowski and other locals said interest has been high. With the King Biscuit Blues festival scheduled for Thursday to Saturday, sales are likely to grow.

Being in Helena-West Helena during an event that draws tens of thousands of tourists annually is admittedly a good source of marketing for Westrock. Its branded coffee is becoming increasingly available at grocery stores in the southeastern United States.

There is more to the company's involvement, though.

While there are currently no plans to open a retail store in Helena-West Helena or anywhere else, the month-long commitment will give Westrock a glimpse of what such an operation might look like. Westrock, which opened in 2008, remains focused on the coffee exporting and distribution side of the business. The company exports about 5 million pounds of coffee annually from Rwanda.

Working in Helena-West Helena also has allowed the company a more local outlet for its mission of being a "catalyst for change." Primarily the company has focused its philanthropic and community development efforts with farmers and workers in Rwanda.

"A retail operation is something we've talked about, but we have no definitive plans," said Elizabeth McLaughlin, chief marketing officer for Westrock. "People ask us if we will open stores, but right now that's not the focus of our business model. This is a nice way for us to be exposed into a retail operation should we get to that point.

"This is more of a project to help showcase Helena. We wanted to help be part of that."

Locals remain hopeful that the temporary arrangement will lead to something more permanent. Mollie Palmer, director of the nonprofit Together for Hope Arkansas, said the shop has provided the community with more than just a convenient place to get coffee. Local workers, students at Phillips Community College and others in town have utilized the space as a place to work and socialize.

"I've lived in Helena for 4 1/2 years and the entire time people have talked and dreamed about a coffee shop," Palmer said. "There is so much energy and possibility in the space. How people have responded to it is positive, and I think it can have a lasting impact, even if this coffee shop doesn't turn into something long-term.

"People talk about leakage and dollars going out of the community," Palmer added. "It's a very real thing. It happens every day and certainly every weekend. This has been positive in bringing a sense of possibilities that exist."

For now the possibilities exist primarily in the form of the pop-up events. Malinowski said the town would like to continue hosting them and the plan is to highlight additional parts of town and existing retail space.

A restaurant night in April drew about 150 people and the $30-per head, fixed-menu event sold out a month in advance. Sales generated more than $4,500 for a local nonprofit. A pop-up bar raised about $4,000, also given to a local nonprofit.

Success from the one-night events could be attributed to the novelty of them. Should investors be worried about sustainability, Malinowski points to the steady demand at the coffee shop so far.

"We think these events are a great way to tell the story of Helena and where we hope we're going," Malinowski said. "We need basic stuff and there is demand. This community can support more."

SundayMonday Business on 10/06/2014

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