A fake luxury boutique made its bargain shoes look expensive. Two bankruptcies exposed a harder problem: making affordable footwear pay.
Rack Room Shoes is one of America's largest family-owned footwear retailers, headquartered in Charlotte, North Carolina. Founded in 1922 and owned by Germany's Deichmann Group since the mid-1980s, it sells athletic, casual, comfort and dress shoes for the whole family across roughly 500 stores in 36 states plus rackroomshoes.com, operating both the Rack Room Shoes and Off Broadway Shoe Warehouse banners. The company is known for value pricing, its long-running Buy One Get One 50% Off promotion, the free Rack Room Rewards loyalty program, and a portfolio of national name brands alongside its own private-label lines.
SHOE SHOW, INC. is a privately held, family-owned footwear retailer based in Concord, North Carolina. Founded in 1960 by Robert and Carolyn Tucker, it sells branded shoes, handbags and accessories for the whole family at value prices through roughly 1,000-1,200 stores across 47 states under the Shoe Show, Shoe Dept., Shoe Dept. Encore, Shoe Show Mega, Burlington Shoes and Shoebilee! banners, plus a growing online store. The company runs a centralized distribution and store-support operation from Concord and moves about a million pairs of shoes a week.