Multinational shoe store giant Payless ShoeSource officially launched its flagship Kingston store at the Boulevard Super Centre on Thursday. The store is one of 10 the company plans to open in Jamaica this year, according to Payless executive vice president Steve Gish.

The stores should provide employment to up to 100 Jamaicans this year if the current five locations perform up to expectations. One of those jobs to be filled include a general manager for the Jamaican operations, Gish said. However, he was reticent on the amount of money the company had invested in Jamaica so far and the projections for future expansion locally.

“I couldn’t give you a dollar amount other than to say, with the ten stores, we will hire in the neighbourhood of 70-75 people. And our sales, we’ve been open here in this particular store for a couple of weeks and our sales here are exceeding expectations. So we are very optimistic that we will be able to open not only the ten that we originally planned but perhaps more,” Gish told Sunday Finance.

He would not go into detail, but Sunday Finance learnt that so far the stores had raked in over $2 million in sales in just two days.

Gish, along with Lorraine Finlason, who represents Valerie Levy and Associates, exclusive real estate agents for Payless in Jamaica told this newspaper that in addition to the current three locations in Kingston and two in Montego Bay, other stores are planned for Mandeville, May Pen, and Ocho Rios. The Montego Bay store had its soft launch on Friday and will make the 285th Payless location worldwide.

“We look for opportunities in growth markets and Jamaica is one such, a terrific growth market,” Gish said regarding why Payless chose Jamaica as an extention of its Latin America and the Caribbean (LAC) operations which includes Puerto Rico, the Dominican Republic and Trinidad.

“We believe in the Caribbean Region. We’ve done perfect business in Puerto Rico, the Dominican Republic and Trinidad for a number of years. And the time we thought was right, now with the economy in Jamaica growing,” he added.

Payless ShoeSource is a discount footwear retailer selling brands such as athletic footwear Saucony, the nautical Sperry Top Sider, kids footwear Stride Rite, womenswear brand Keds, skateboarding and surfing brand Airwalk, Dexter, Champion, American Eagle for Payless, Zoe&Zac and designer footwear from Lela Rose for Payless, Christian Siriano for Payless and Isabel Toledo for Payless. There is also a fashion sandals brand named after famed Western Jamaican city Montego Bay — the Montego Bay Club.

“I think it’s very appropriate that after selling the Montego Bay Club in the United States and the Western Hemisphere we are finally here in Jamaica,” Gish said. Prices in the discount store range from $1,800 to $4,000 for womenswear; $2,800 to $5,000 for menswear; $2,500 to $3,500 for children and $800 to $2,300 for accessories. All prices are inclusive of tax. Gish did not stress the price competitiveness in the attraction to Payless, but noted that the prices are comparable to those in the US and LAC markets.

“What we try to offer is great value. Our mission is to democratise fashion which means bringing fashion to the customer at a great price and really a great value,” Gish said. “So in Jamaica what we do here is the pricing reflect the additional cost of doing business, so duties and just transit to move the products to Jamaica, we reflect that in our prices. But that said, its really the same as the US pricing with a little higher pricing because of the cost of doing business,” Gish explained.

He said that the process is the same for other LAC countries. “It depends on the individual countries. Some countries may have a higher pricing because of the duty structure, or the cost of transportation could be different, but that is the only thing we adjust for because we are also mindful of the competition and what the prices are there,” Gish explained.

Payless’ entry into the Jamaican market will mean more competition locally for shoes stores but so far stakeholders such as Audley Gordon, councillor for the Hughenden Division where the store is located, are pleased with what the entry means for competition and the community.

“We are very pleased with the arrival of Payless in our community. No doubt it is a huge capital investment. It will employ people and it adds character to our community,” Gordon said, adding that the store and others like it will add ‘commercial life’ to the community and in the end benefit consumers through competition.

“We have not heard, nor do we expect it,” Gordon said of resistance from store owners. “Because in the market that we operate, we have to be prepared to deal with competition. In the end the consumer should win. I am here as councillor, but I’m also a consumer. I have three children, I have friends, I have relatives and we all wear shoes, so I am into competition and I am hoping that in the process I get some good deals,” he said.

Michael Stern, minister of state in the Ministry of Industry, Investment and Commerce added that even more competition should be expected as the government tries to make it less costly to do business and encourage more investment to the country.

“I’m not afraid of competition,” Stern said. “Our ministry has taken the initiative to encourage competition. What we have to do is to make business less costly for people, so that all businesses can survive and compete.”

Payless is also well known for its popular Buy One Get One (BOGO) half off sale and Gish said this and other promotions will be a part of the Jamaican operations throughout the year. He would not disclose when the first BOGO sale will take place, but Payless is currently rewarding customers for giving feedback on its customer service.

“We measure our stores on customer satisfaction so its not just sales. And in Jamaica we have a website set up where customers can give us feedback on what our service has been,” Gish said. Customers can receive a 10 per cent discount on the next purchase at Payless if they submit their opinion on the service at www.tellpayless.com.

At the launch, the company donated a total of $225,000 to various local charities, Gish noting that while Payless is set up to make a profit, it also aims to be part of the community.

“One of our guiding principles is to do what’s right. We really want to participate in the community and so that we are not some company from far away in Kansas but we are a part of the Jamaican community,” he said.

Payless will be partnering with the Jamaica Cancer Society in the fight against breast cancer and $100,000 was donated to the cause to help fund a digital mammography machine. Payless also donated $75,000 to the Maxfield Park Children’s Home and $50,000 towards the music and cultural arts programme at Pembrook Hall All Age School which participated in the launch.

Gish said charities are chosen according to the needs of the Payless customers.

“Everything we do is from a customer standpoint. Our primary customer is women so we’ve long partnered with breast cancer awareness charities because of the connection with women,” Gish said. “Our number two customer after women is children and so ‘Payless Gives Shoes for Kids’ is a worldwide programme where we give gift cards so that underprivileged kids can get shoes. Then after that its more localised as things come up,” he explained.