Longtime Fresno gift store closes; cites power bills, rent, labor. ‘There’s no profit’
Tom Pearce never expected to close the Hallmark store his parents started 37 years ago in southeast Fresno.
Margie’s Hallmark Shop – named after his mom – has been at the northeast corner of Kings Canyon Road and Clovis Avenue all that time.
But it closed at noon Thursday for the last time. The locally owned store’s shelves of gifts were empty and just a few greeting cards remained.
“There’s no profit in it. I’m paying to be in business,” Pearce said. “The costs are just too high.”
All his bills seem to be rising, he said.
His PG&E bill went up 30% this year, even though he reduced his power usage.
His lease had expired, and his landlord wanted him to renew with a lease that included a 3% increase a year (standard for many business leases).
He lost $4,000 when a marketing company he’d regularly used didn’t deliver and closed its doors.
And the minimum wage keeps rising, along with all the costs associated with paying employees, he said.
“People don’t understand: As an owner, you’re matching the Social Security; you’re matching the Medicare,” he said.
While the bills were climbing, his income was falling.
Sales have dropped about 20% or 30% for each of the past six months compared to last year, Pearce said.
Part of that is due to people buying the collectible Hallmark ornaments and other gifts online, he said.
On top of that, he said he’s had difficulties getting supplies from Hallmark.
And customers have complained about some of the traffic the shopping center has attracted recently, particularly from what he said was people buying single cigarettes at a nearby smoke shop.
Although he’s been open about his plans to close for weeks, the news still came as a shock to customers who came to the store Thursday afternoon.
One after another, they walked up to the door, read the sign saying it was permanently closed, and gasped or groaned in disappointment.
“This breaks my heart,” said Sarah Soghomonian on the store’s Facebook page. “You are the last of my childhood Sunnyside spots to be in their original location.”
The merchandise sold quickly at 75% after the closure announcement. The remaining shelving and other items were sold to other Hallmark stores.
There are two remaining Hallmark stores in town.
One in the Villaggio shopping center at Blackstone and Nees avenues, and another at Herndon and Fowler avenues in Clovis. Both are Amy’s Hallmark Shop and are corporate owned.
Margie’s Hallmark was a franchised location owned by Pearce’s family.
He considered moving to a new location, but Hallmark wanted about $50,000 in upgrades, including new shelving and other fixtures if he did, he said.
But the family had a good run over nearly four decades.
His dad, Milt, worked right up until died at age 78 about six years ago.
The store has profited from so many trends over the decades: Beanie Babies, the collectible keepsake ornaments that people rush to buy when they’re newly released, the plastic Pali Hawaii “Jesus sandals.”
“It’s sad,” Pearce said. “I really wasn’t anticipating closing down.”
He still has about five years until he can retire.
Who knows, he said, maybe he’ll apply at the newly built Tractor Supply that’s expected to open soon across the street.
“I’m going to have to go out and reinvent myself,” he said.
