The Right Stuff

Lori Andre, owner of Lori’s Shoes, reflects on the keys to the Chicago chain’s staying power.

LORI’S SHOES’ 39TH year in business was a real charm. Sales within its three Chicago-area locations rose a robust 25 percent over 2021 and “definitely beat” 2019’s numbers, which owner Lori Andre says was a “very good year.” While the success is attributable, in part, to a pent-up demand of customers excited to touch and try on merchandise again, the exec believes it goes much deeper than any post-lockdown bounce. Like, 39 years deep.

“We’re so in tune to the pulse of our business, having been doing it for so long and building our reputation and unique ‘Lori’s aesthetic,’” Andre says, noting that there are many factors involved. “We’re in a unique position because we can be proactive as well as reactive. We know how to manage a business from costs and margins perspectives, we have capital to buy merchandise, we react quickly to trends, we have a unique selection, and we provide great customer service. So, just living, breathing, and eating this business every day is what’s made us successful over these years.”

Take, for example, Lori’s Shoes’ presale initiative program, now in its second year. The program test-markets its private label lines, L’idea and Ma ’91, online before bringing in inventory to the stores. “It’s a great way to get new product in front of customers’ eyeballs,” Andre says. “It also offers an opportunity for us to get reads on items, be it a need to increase or decrease factory orders or address any fit issues. Again, it’s a combination of being proactive and reactive that really lends to our business being successful.”

It helps, Andre believes, that Lori’s Shoes is one of the sole survivors in the area for consumers who understand and appreciate its merchandise mix—one that’s priced in a sweet spot of $128 to $248. “It’s just a sign of the times where the amount of small, independent retailers, especially in Chicago, is fewer and fewer,” she says. “We’ve been fortunate to have the staying power to still bring in incredible product that our customers really appreciate.”

Andre notes customers’ appreciation was strong enough to even absorb about $10 price increases passed on last year in its private label brands. The increases were due to a spike in shipping costs from its Italian factory partners. “You don’t want to scare away customers, but we offer unique product with a strong perceived value at a very good bridge price point where there just isn’t that much else out there now,” she explains. “That in-between spot is where we’ve really found our niche.”

That niche now spans cherry-picked, more price point-driven items from brands including Jeffrey Campbell, Intentionally Blank, Steve Madden, Dolce Vita, Andre Assous, Pelle Moda, and Silent D. “We do a really amazing business with those brands, but we’re buying less breadth and more depth,” Andre says. “Those items fill the gap because we have generations shopping in our stores, and younger customers may not be able to afford $248 shoes, but they’ll spend $128.” Layered on that are the higher-priced, private label lines, which now account for nearly 70 percent of Lori’s Shoes’ total footwear sales. Andre says it’s another sign of the times, as the exclusive merchandise is an effective way to draw traffic and maintain strong margins. “We’re not as tied into those MAP policies,” she says. “Our private label brands have been a real advantage for us, whereas a lot of smaller independent retailers don’t have capability to do that.”

That’s where Lori’s Shoes’ ace up its sleeve comes into play. Namely, Andre’s son, Matthew. The Parsons School of Design graduate has overseen the private label brands for the past five years. (Prior to that, he was an assistant designer for Katy Perry Footwear and, before that, worked for a year in an Italian shoe factory.) The prodigal son’s return, though, was initially brought on because Andre’s husband and business partner had been diagnosed with a terminal illness and the couple was contemplating closing. “That’s when my son suggested using his skill set to work on the private label brands,” Andre recalls. “Now he manages the design, components, tech packs and materials, and working with our factories. He’s being groomed to take over the entire business, as he’s got a fortunate combination of business acumen and creativity.”

On that note, Andre credits her entire team of 38 employees for making Lori’s Shoes a success. “We’re so fortunate to have such an incredible staff, many of whom have worked for us for a long time,” she says. “Our people are invested. They stick around and want to see success, and we take really good care of them.” Andre adds, “I have no complaints about our staff. They’re the reason I’m here every day. They drive me to be a better owner and manager, and to make this truly a partnership.”

As for Lori’s Shoes’ 40th anniversary milestone in 2023, Andre says the years have flown by. But it’s never been a “job.” “I feel so fortunate because I still love what I do,” she says. “I still have a passion for this business. I love product. I love the people. I’m still excited to go to work each day. I couldn’t imagine doing anything else.” —G.D.