Town of Flower Mound Resident Retail & Restaurant Recruitment Survey Executive Summary September 2013 As a result of the Town’s desire to attract new quality retailers and restaurants, economic development staff conducted a survey to determine resident shopping and dining preferences. Purpose The previous Resident Retail & Restaurant Recruitment Survey was conducted by the Town’s economic development staff in spring 2011. The current survey is expected to capture updated information that will be used to recruit new retailers and restaurants most likely to succeed in Flower Mound. Additionally, the results will be communicated to commercial real estate brokers, developers and land owners in order that they may also utilize this information in their recruitment efforts. Numerous factors contribute to a retailer/restaurant location in Flower Mound including demographics, traffic counts, visibility, trade area, availability of land or existing space, rental rates, and franchise or corporate expansion plans. This data will also be added to the list of factors a desired business can use when selecting future locations. Methodology Staff provided a Retail & Restaurant Recruitment Survey to all Flower Mound households (21,600) within the August 2013 utility bill and on the Town’s website. The printed survey allowed up to two respondents per household to identify up to ten retailers and ten restaurants they would most like to see in Flower Mound. Additional components of the survey sought to identify in which communities residents currently shop and dine; including the types of retailers and restaurants, how often they dine out per meal per week, and what percentage of their shopping is done through the Internet. Residents submitted their responses in-person at Town Hall, by US mail or with their utility payments. A link to the online survey was promoted on the Town’s web site and through the Town’s social media sites by the Community Affairs division. Demographics The Town received 1,872 survey responses, which was a 65.1% increase in responses received from the 2011 survey (1,134 responses). Residents primarily utilized the online version of the survey; 1,689 responses (90.2%) were submitted online and 183 responses (9.8%) were submitted in-person, by US mail or via utility billing. Survey respondents were not asked to provide any contact or demographic information with the intent to represent responses from a Town-wide perspective, rather than from a specific neighborhood or income bracket.

Summary Results Retailers/Restaurants: The 2013 Top 25 most requested retailers and restaurants are: # of Responses 354 353 260 206 181 168 152

8. Nordstrom 9. Williams-Sonoma 10. Costco

151 150 141

11. DSW Shoes

132

12. Macy’s 13. Anthropologie 14. Michaels

118 116 99

15. Dillard’s

93

16. Nordstrom Rack Academy Sports & 17. Outdoors 18. Half Price Books American Eagle*, Jo-Ann Fabric & Craft 19. Store (tie) H-E-B, J. Crew*, The Container Store 20. (tie) 21. Toys “R” Us

90

Restaurant The Cheesecake Factory In-N-Out Burger Olive Garden Panera Bread PF Chang’s Chuy’s Mexican* Pappadeaux BJ’s Restaurant and Brewhouse Red Lobster Outback Steakhouse Macaroni Grill, Salt Grass Steakhouse (tie) Brio Tuscan Grille, Taco Bueno (tie) La Madeleine Cheddars Babe’s Chicken, Sweet Tomatoes (tie) Twisted Root Burger Company*

82 78

Freebirds World Burritos* Café Express

1. 2. 3. 4. 5. 6. 7.

22. 23. 24. 25.

Retailer Central Market Trader Joe’s Apple Store Gap, Pottery Barn (tie) Whole Foods Crate and Barrel Bed, Bath & Beyond

68

Five Guys Burgers eatZi’s*, Maggiano’s Little Italy 60 (tie) 59 Torchy’s Taco* Fireside Pies*, Fry’s Electronics* 55 Genghis Grill* (tie) REI* 47 Pappasitos Urban Outfitters* 46 California Pizza Kitchen Marshalls* 41 Uncle Julio’s* *Not previously represented within Top 25 in 2011 survey.

# of Responses 331 272 247 241 204 191 176 142 131 129 122 107 106 104 101 100 91 90

88

87 85 82 80 72 71

Shopping Habits Summary Of the 1,872 total survey responses, 1,826 respondents (97.5%) provided information on where they currently shop. The survey provided five set options of Flower Mound, Grapevine, Highland Village, Lewisville and Southlake, as well as the option to write-in other communities. Twenty other communities were mentioned with Dallas (141 mentions), Frisco (129), and Plano (95) being mentioned most frequently. Where do you regularly shop? Municipality Percentage* Flower Mound 84.56% Grapevine 40.47% Highland Village 85.27% Lewisville 51.37% Southlake 41.62% *Totals exceed 100% due to multiple responses. The survey also asked respondents what they shop for when they choose to shop outside of Flower Mound. Of the 1,872 total responses, 1,794 responses (95.8%) provided the information below. When you shop outside of Flower Mound, what do you buy? Answer Choice Percentage* Clothing 78.21% Electronics/Computers 36.29% Grocery Items 40.19% Home Furnishings 59.09% Meals/Entertainment 81.94% Sporting Goods 29.99% *Totals exceed 100% due to multiple responses. What percentage of shopping do you do online? Survey respondents indicated that they conduct an average of 23% of their shopping online. This is an increase from the 2011 survey’s average of 19%. Online Shopping Percentage Shop online: 1-9% 20% Shop online: 10-19% 26% Shop online: 20-49% 38% Shop online: 50-79% 14% Shop online: 80-99% 2% Average 23%

Dining Habits Summary Of the 1,872 total survey responses, 1,495 responses (79.9%) provided information on where they currently dine. Similar to the question related to shopping habits, the survey provided the five set options of Flower Mound, Grapevine, Highland Village, Lewisville and Southlake, as well as the option to write-in other communities. Twenty-nine other communities were mentioned with Dallas (180), Plano (93), Frisco (64), Irving (57) and Denton (43) being mentioned most frequently. Where do you regularly dine out? Municipality Percentage* Flower Mound 82.96% Grapevine 43.81% Highland Village 77.63% Lewisville 49.80% Southlake 31.62% *Totals exceed 100% due to multiple responses. How often do you dine out per week? Meal Breakfast Lunch Dinner Total Average Per Week

Percentage 14% 42% 44%

Per Week Average 1 3 3 2.3

Meal details: Breakfast Per Week Average 0 1 2 3 4+

  

Percentage 37.7% 38.8% 15.9% 3.7% 3.9%

Lunch* Per Week Average Percentage 0 6.5% 1 19.9% 2 26.5% 3 20.5% 4+ 26.5% *Percentages do not equal 100% due to rounding.

Dinner Per Week Average 0 1 2 3 4+

Of 1,223 responses, 62.3% eat out for breakfast at least once a week. Of 1,390 responses, 93.4% eat out for lunch at least once a week. Of 1,472 responses, 99% eat out for dinner at least once a week.

Percentage 1.0% 18.1% 30.9% 28.5% 21.5%

At what types of restaurants do you prefer to dine? Type of Establishment Percentage* Café 59.09% Casual/Family Dining 94.23% Fast Food 34.32% Fine Dining 49.21% Pub/Sports Bar 34.84% *Totals exceed 100% due to multiple responses. Summary of Comments Of the 1,872 survey respondents, 482 respondents (25.7%) included comments and on a variety of related topics. The most prevalent comments are listed below.          

Need fine dining opportunities and upscale bars for nice evenings out. Would like a nice steak house and/or seafood restaurant nearby. Tired of chain restaurants. Would like to see more unique options. Need organic food retailers and healthier dining/vegetarian/vegan options. Need wider selection of upscale restaurants and shops, rather than the prevalent chains and retail discount stores. Need places with outdoor eating options. More restaurants at FM 3040 and FM 2499 and southern Flower Mound. Need upscale grocery stores. Parker Square needs to be revitalized to be a destination for national retailers with a proven brand to attract customers who might also frequent the local businesses currently in the Square. Don’t need any more restaurants or retailers – we have enough.

Summary Findings The survey data indicates that residents regularly shop and dine mostly in Flower Mound and Highland Village, and perhaps do not necessarily draw a distinction between retail and restaurant offerings in each community. Success breeds success, which is true in the commercial real estate community. When both sides of FM 407 succeed, both communities benefit. An important note is that several respondents indicated that they are satisfied with the selection of retailers in Flower Mound, but would prefer more options for dining. The Town has made a concerted effort to recruit additional restaurants. Survey respondents frequently commented that there are enough chain restaurants in Flower Mound, and they would prefer that the Town recruit a more unique collection of restaurants. The surrounding communities of Grapevine and Roanoke were referenced as communities with an eclectic selection of restaurants that would be desirable in Flower Mound. Survey results identified a need to recruit fine-dining restaurants. Several respondents commented that the Town lacks an upscale steakhouse and/or seafood restaurant, and they often travel to surrounding communities to meet this need. Others commented that

while there are plenty of options for causal and family-oriented dining, there is not a sufficient selection of fine-dining restaurants or upscale bars for a nice evening out without children. Respondents also identified a need to recruit healthy, organic, vegetarian, vegan, and gluten-free dining options. Residents commented that they enjoy the outdoor shopping and dining experiences found in the Shops of Highland Village, Historic Downtown Grapevine, and the Shops at Legacy in Plano, and would like to see something similar in Flower Mound. They also want restaurants with outdoor dining, venues that offer live music and dancing, and options for dining by the lake. Many survey respondents expressed optimism that the River Walk at Central Park and Lakeside DFW will satisfy these requests. Respondents continue to identify grocers such as Central Market, Whole Foods and Trader Joe’s as top retailers. Other respondents commented that there is a sufficient selection of grocery stores in the Town. Related, there were also several requests for a Farmers Market. There were several requests for retailers and restaurants that already operate in Flower Mound such as Sephora, Target, Walmart, Pier 1 Imports, Best Buy, Raising Cane’s, Chipotle, Starbucks, Which Wich, Mi Cocina and Einstein Bagels. Additionally, several of the requests are currently under construction or approved such as Academy Sports & Outdoors, La Madeleine, Dairy Queen, Smashburger, and Dunkin’ Donuts. This indicates that either these are requests for a second location or the awareness of these stores does not exist to some residents. Survey respondents also expressed a need for local entertainment venues such as a movie theater, miniature golf, a bowling alley, and a skating rink. A dog park, skateboard park, tennis courts and other park facilities were also mentioned. Many of the retailers and restaurants requested in the 2011 survey once again made the Top 25 in the 2013 survey. There were six new additions to the retailer Top 25 this year: American Eagle, J. Crew, Fry’s Electronics, REI, Urban Outfitters, and Marshalls. New additions to the restaurant Top 25 list included Chuy’s Mexican Restaurant, Twisted Root Burger Company, Freebirds World Burritos, eatZi’s, Torchy’s Taco, Fireside Pies, Genghis Grill, and Uncle Julio’s. It’s important to note that several of the Top 25 most-requested retailers and restaurants have located in Flower Mound’s immediate surrounding communities of Highland Village, Lewisville and Grapevine. Whole Foods Market was among the top-ranked requested retailers but the grocer has intentions to build a store in Highland Village. It may be possible to capture an additional location of these retailers and restaurants at the southern or western area of town in the future. Conclusion Based on the results of the recruitment survey, there are still many opportunities to attract new restaurants and retailers to Flower Mound that are preferred by residents. It is

anticipated that this information will be helpful to recruit desired establishments, given that residents would be more likely to visit the targeted restaurants and retailers, which could potentially contribute to the business’ longevity and success.