Aarons 2007 Annual Report Download - page 14

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“ Alice is about 45 minutes west of Corpus
Christi, Texas, and has been growing fairly
steadily. My store opened in April of 2006,
and the next closest Aaron’s store is 35
minutes away. There is a Super Wal-Mart
in this region, which draws traffic. I have
been in this market for over 10 years and
opened this store as general manager. Even
before the store opened, I went door to door
with my staff, introducing Aaron’s and the
sales and lease ownership program. Word
of mouth is definitely the best way to bring
in new business. We opened 113 accounts
in our first two weeks of business and now
have over 1,000. Our customers are oil rig
workers, refinery workers, schoolteachers
and bankers. I live in this community too,
and I try to get to know as many people as
possible in Alice. Many of our customers
have enough credit-worthiness to shop
other places, but we sell them on service
and price. We can compete with furniture
stores that offer 12 months of no interest.
We are also one of the 20 top Aaron’s stores
in computer leases. We just are a big player
in this market.”
— Robert Valls, General Manager, Store CO570
than the average Aaron’s customer. These customers
tend to have lower household incomes than the
average. Suburban customers typically are married
and new homeowners in the suburbs of larger cities.
The Company’s rural customers tend to be older
than the suburban and urban customers, with limited
income, and often have lived in their homes for a
number of years.
Home Ownership
0
20
40
60
80
100%
0
10
20
30
40
50
60
70
80%
Percentage of Customers
18–44
A majority of all Aaron’s customers have lived in their
current residence less than one year. The average
annual income for all Company customers is $35,800,
with urban customers having the lowest average
income ($29,800) and suburban customers the high-
est ($44,000). Approximately 80% of the Company’s
customers have household income of less than
$50,000. Nearly half of Aaron’s customers have
children under 18 living at home, with the urban
Children Living at Home
Urban Suburban Rural
■ No Children at home
■ Children at home
Rural
Urban Suburban Rural
(percent)
(percent)
12
Home Ownership
Rural
(p
0
20
40
60
80
100%
■ Renter
■ Homeowner
Urban Suburban
(percent)