Retail chains come to town

The newly opened O’Reilly Auto Parts and Tractor Supply Co. bring product overlap with existing businesses, but owners agree that the corporate chains will enhance the local economy. 

“Any time you get a big conglomerate, people can distrust it, especially in a small town,” said Tractor Supply Co. manager Dave Harmon. “But we put taxes back into the area, we hire people from the area, we donate to the area, and we keep customers here. Instead of other businesses recommending customers to North 40 in Sandpoint, they’re recommending to us.” 

Bonners Ferry's population growth has attracted national chains whose offerings meet local needs. Tractor Supply’s corporate research found that Boundary County’s agrarian economy suits its products, while AutoZone and O’Reilly based their decisions on a rise in vehicle registrations, particularly for non-electric vehicles. 

Four auto part stores on South Main Street

Even so, community members and business owners are surprised by the increase to four auto part stores along a 1.5-mile stretch of South Main Street. 

“It was a business that I wouldn’t have put here, but in corporate America’s footprint, they think they have a population here to support the store,” said Carquest Auto Parts owner Dean Kerr. “They show growth to their stockholders by building new stores, but they’ve never really stopped to see what’s down below.” 

Kerr and O’Reilly manager Zack Klein agree that four neighboring auto part stores will create a challenge. But each business provides unique services. Carquest also sells boots, and logging axes and builds hydraulic hoses, among other things. 

“O’Reilly will get a piece of the pie, but as long as logging is here, we’ll have a need and stay busy,” Kerr said. 

Similarly, O’Reilly’s is the only auto parts store in town to provide deliveries to other businesses. 

Boundary Tractor Co. owner Cal Russell and Larson’s Department Store owner Dick Larson agree that the competition is good. Both run intergenerational local businesses with substantial product overlap with Tractor Supply. 

“I think overall for the community, it’s a positive,” Russell said. “You always want to be aware of your competition, but you just have to do a better job than them. And if you do a better job, you should earn the business and not have to worry.” 

More options for consumers to stay local

Pro X Home Center manager Robert Davis agrees that giving customers multiple options in town will create businesses that complement rather than compete with one another. 

“We compete directly with North 40, believe it or not, 40 minutes away,” he said. “We're waiting to see if Tractor Supply opening actually helps us. They're not a discount store like North 40. People will recognize that we offer competitive prices.” 

Customers will also have their needs met more regularly at the local level because the chains have longer hours and stay open on the weekends. 

Some money spent at the chains will leak out to corporate systems rather than circulating mostly within the local economy. But owners say it's better to have these chains in town to ensure some money stays local, instead of customers driving to shop at chains in Sandpoint or Couer d’Alene. 

“I’m used to lots of competition,” said Larson. “I think it's good to keep people from leaving the community.” 

On average, about half of Tractor Supply’s sales come from animal feed. For that aspect of their business, they will be competing with two locally owned stores, General Feed and Grain, Inc., and Carter County Farm and Feed. 

“Our piece of the pie may be smaller, but the pie is getting bigger, so it levels it out,” Carter County Farm and Feed owner Charlie Carter said. “Our customers should know that it really doesn’t cost any more to buy our higher quality pet food. You don't have to feed your pet as much, so you end up buying fewer bags, even if it’s more expensive per bag.” 

Carter and others expect the novelty of the new stores to initially attract customers. But it remains to be seen how the local economy balances out after the excitement wears off.