Sears, Roebuck and America

Sears didn't have a single retail location for nearly the first forty years of its existence. Founded in 1886 by Richard Sears and Alvah Roebuck, the company established its initial reputation and fame as a “catalog supply house”, shipping all manner of goods to (mostly rural) locations all over the country from its Chicago headquarters. Along with its chief competitor Montgomery Ward, founded eight years earlier and also based in Chicago, Sears sold a vast variety of clothing, tools, books and Bibles, farm supplies, livestock, camping supplies, groceries and on and on out of a huge catalog, issued annually, often exceeding 1000 pages, and selling for 50 cents to $1 at a time when that was a fair amount of money. By the early 30’s, catalog volume had grown so much that the company had added distribution “plants” in Kansas City, Atlanta, Memphis, Los Angeles and several other cities to augment the output of their Chicago home base.

Alvah Roebuck retired in 1895 (he would return to the company in a PR role for a brief period in the early 1930’s after some personal financial reversals), selling out his interest to Sears. That year, Sears took on a new partner, Julius Rosenwald, who infused the company with badly needed cash and installed a system of management controls that would help facilitate Sears’ phenomenal growth in the coming decades. The most important move Rosenwald made had nothing to do with policies or procedures, however, but with the hiring of an individual, General Robert Elkington Wood, who would reshape the direction and destiny of the company.

A West Point grad who would as part of his military career help oversee the excavation of the Panama Canal, Wood would retire from the military after World War I as a Brigadier General, beginning a career in 1919 with Montgomery Ward. Wood observed early on that the American population was migrating from rural to urban life. He pushed Ward to open store locations to take advantage of this trend, which they began to do at an exceedingly slow place and chose, to Wood’s chagrin, to use the stores as a dumping ground for inferior merchandise and closeouts. Frustrated by what he saw as resistance to his ideas at Ward, Wood was receptive when Sears’ Rosenwald came calling. Wood hired on at Sears as a Vice President in 1924. Four years later, he was named president and in 1939, he would become company chairman.

In 1925 Sears opened its first store in a corner of their Chicago mail-order plant. Wood saw to it that more stores followed at a fast pace, giving Sears a total of over 350 stores by 1930. The following year, 1931, store sales overtook catalog sales for the first time. Sears continued to open retail stores aggressively through the start of World War II, when (as with most all chains) new construction ground to a halt by necessity.

Another Wood initiative was the introduction of a line of tires (initially manufactured for Sears by Goodyear) and automotive accessories under the brand name “Allstate” in the late 1920’s. A most unusual extension of the Allstate product line was introduced in 1931 – car insurance. The Allstate Insurance Company, at Wood’s behest, was set up as a wholly-owned subsidiary that year, and for its first 25 years sold only auto insurance. In the late 1950’s, Allstate wrote its first life insurance policy. By the early 60’s, Allstate was a billion-dollar business in and of itself.

Once WWII ended, Wood, true to form, pushed Sears to the forefront of postwar retail expansion. Three major factors, among others, were now in play – first, a large percentage of the population was now shifting from urban locales to rapidly-growing suburban areas. Secondly, major regional shopping centers and the earliest malls were now being built, and thirdly, the explosive growth of the Southern, Southwestern and Pacific Coast markets begged increased presence there. Sears, under Wood’s leadership and that of his hand-picked successors, rose to the challenge in all three respects.

General Wood retired from the chairmanship of Sears in 1954. The next year, Wood was the first living individual to be named to the Retailing Hall of Fame, joining the ranks of John Wanamaker, George Huntington Hartford (founder of A&P) and Marshall Field, among other legends. Wood remained an active member of Sears’ board until 1968. He then became “Honorary Chairman”, a designation he held until he passed away at the age of 90 in 1969. Wood was posthumously honored alongside Marshall Field in the naming of northwest suburban Chicago’s massive Woodfield Mall, (which was co-developed by Sears and opened in 1971), a fact that is probably lost on most Woodfield shoppers and was something I was certainly unaware of during the years I shopped there.

The photos above are circa 1951, and show some of the larger Sears stores opened in the first few years of Sears’ postwar boom, a period that to my observation appears to have extended through the late sixties, give or take a few years. The first photo is of the North Hollywood store (here’s a color close-up), the second is of the San Francisco store on Geary Blvd., which a commenter on the previous post kindly informs had a restaurant on the top level and is now a Best Buy/Mervyn’s combination. The remaining stores, in order, are from Dayton, OH, Raleigh, NC, Wilmington, DE, Waco, TX, and Springfield, MA. Note the "Allstate" auto center in the last photo.