Monday, Oct. 26, 2009

Gil Klein: 50 years in business in Fairview Heights

FAIRVIEW HEIGHTS -- Thinking that U.S. Highway 50 might bring him the most customers, Gil Klein decided to open a store there.

"It had just a two-lane highway," Klein said. "It went down the center here. It went from east to west and west to east. It had a lot of traffic."

It was November 1959, and his car radio and television retail business took root on the highway in a fledgling community known as Fairview Heights.

Fifty years later, the 77-year-old Klein has expanded his business to include appliances and other electronics as the technology evolved. He has operated in his current building on Highway 50, also known as Lincoln Trail, since 1971.

He claims to be the oldest continuously operating business in Fairview Heights. But he almost went elsewhere.

"I thought a lot about where would be a natural place to get more traffic," he said. "In Mascoutah, or Lebanon or Fairview Heights? I chose Fairview Heights. I think I made the right choice, to be honest with you."

And truth be told, he started as a one-man operation selling radios and television sets before branching out into refrigerators and other home appliances. In his years, Klein has witnessed great advancements in the technology.

"It's just unbelievable, the changes in technology, as far as appliances and the way they were made years ago," he said. "When we started selling refrigerators, they all looked the same on the floor, except the decal. It was not the technology we have now. It is unbelievable. Back then, they used to put pounds of Freon into them. Now, it's ounces. The energy consumption was much different back then."

The early radios, stereos and TVs that he sold needed regular maintenance. At one time, the lifetime of an average TV set usually required as many as three or four service calls. Now, of course, he sells TVs that will usually last 10 to 15 years without a repair.

Klein learned his skills from a St. Louis trade school, which he attended on the G.I. Bill. The Korean War veteran then went on to work for a couple of local electronics companies. One was Emerson Electric Co. He first worked for the company in Washington Park and then in St. Louis, where he helped build automated module boards for jet fighters. But after he was transferred to St. Louis, he grew tired of the daily commute across the river, back and forth. That's when he decided to go into business for himself.

He also watched as Fairview Heights sprouted to become a major retail hub, and a city that to this day lives and dies with sales taxes. The municipality does not levy a property tax on its residents because St. Clair Square Mall and the other stores, shopping centers and restaurants in town generate enough revenue.

Big-box retailers have wiped out many independent businesses like Klein's, but Klein leaned of the potential that joining a buying group could have on his business several years ago. After attending a trip to Japan to tour Mitsubishi's plants, Klein made the move.

"It's something they didn't advertise much at that time," he said. "I think it was Circuit City or Best Buy was coming to town. That was a big-box store. We're a small, Mom-and-Pop store. We looked into joining the buying group. I did it when we got back from the trip, and I called my two buddies who were in the appliance business in St. Louis, and we all three joined."

Initially, this venture was a little costly, he said. When he joined, there were about 600 dealers.

Today, membership in the Anaheim, Calif.-based Brand Source network has grown to 4,000 nationwide and in Canada.

The Fairview Heights Chamber of Commerce recognizes Klein's Brand Source as the city's longest-established business. But Klein's involvement does not end with his business. He is a charter and long-standing member of the chamber and has served as its director. He has lad efforts to promote business growth and development in town.

"We are proud to have Gil Klein as a part of the business community and a strong anchor in Fairview Heights," Chamber Executive Director Scott Leas said. "He was instrumental in building the Chamber of Commerce."

"He didn't just start attending these meetings, he goes back to the early- to mid-70s," said former mayor George Lanxon. "He's been objective. His voice, his ideas, and his concerns, from my standpoint, they were very constructive. He takes time to be involved."

Lanxon remembers meeting Klein in 1963 when Lanxon would ring a bell outside Klein's store at Christmastime for the Salvation Army. The two became friends in 1972 when they were both members of the city's Rotary Club. Lanxon, who has lived in town since 1957, said every appliance he ever bought came from Klein's store.

"He has been an outstanding businessman and very much involved in our city by attending meetings for close to 40 years," Lanxon said. "He has always been involved and an active community leader."

Klein was elected to the City Council in 2003 and has served as a city alderman since. He made two unsuccessful runs for mayor. The first time was when Lanxon decided not to run in 1995, after 16 years in office, and the other was four years later against incumbent and current mayor, Gail Mitchell.

"I was always involved with the city for quite a bit," Klein said. "Being involved in the community is one of my greatest and biggest thrills."

Earlier this month, Brand Source awarded Klein's business as the Brand Source Store of the Year for outstanding service and its 50 years. The award was presented at Band Source's annual meeting on Oct. 15 in Las Vegas. The past year was also one that returned double-digit increases in sales over the previous year.

Today, Klein still travels to work a few days a week but spends some summer days at his property on Carlyle Lake. His son and daughter are running day-to-day operations at the store now.

"I still come around for consulting," he said. "The drive is not far away. It's only 39 miles from my driveway at Carlyle Lake. I work in the summertime about three days a week. And in the wintertime, I'm here more often."

But even after a half a century in the same business, and at age 77, he doesn't seem to be ready to completely retire.

"My age is just a number," he said. "It's acting your age that is important."