Osco drug store

Southwest corner of 10th and Phillips
Empire Mall
For thirty-four years, Osco had a presence in Sioux Falls, filling prescriptions, selling household wares and makeup.
Osco Drug evolved from a chain of self-service stores stores started by Lorenzo L. Skaggs in 1937. Self service stores were an up and coming idea in the drug sector. Customers could find their own items, leaving the pharmacist to focus on prescriptions. The first store was a Pay-Less drug store in Rochester, Minnesota. When expanding into Mason City, Iowa, it was discovered that the Pay-Less name was already registered with another company in the state. Skaggs changed the name to Self-Service Drug, Inc. In the 1940s when new partners joined the venture, the name was changed to Owners Service Company. It was from this name that Osco was born. In the early 1940s, the company had its base of operation in Chicago.
The Osco Drug store chain quickly spread through the Midwest, opening stores in Iowa, Minnesota, Illinois, Indiana, and Wisconsin before arriving in South Dakota in the mid 1960s. The first Osco in Sioux Falls was announced in July of 1966. Osco Drug Inc. purchased the space formerly occupied by Kresge-owned Jupiter store at the southwest corner of 10th and Phillips. The building’s facade was redesigned with porcelain tiles and lots of glass on the first floor, while the second floor windows were accented with a gold anodized aluminum covering, upon which hung the store’s name.
During the remodel, 1966.
Starting in early October, Osco took out large advertisements in the Argus Leader heralding the store’s arrival. The ads spoke of the great shopping available in town, the excellent medical care available at area hospitals, and the fine religious institutions available for people of all faiths.
The grand opening was announced on Saturday, November 5, 1966, in an ad proclaiming “This is YOUR new Osco Drug, Sioux Falls…we’ll just manage it for you!” The store, which employed 30 workers, would open the following Monday, offering more than 25,000 items for the customer’s perusal. Drugs and cosmetics were the big sellers, but there would also be appliances, camera equipment, and hardware for sale.
On opening day, Mrs. Gloria Thorson visits with cashier Sandra Ormseth and Manager Gene Luke.

The grand opening was well attended, and there were some good deals to be found: A nylon chiffon head scarf could be had for 9¢, a ten-roll pack of Scott brand toilet tissue could be brought home for 96¢, and a durable, molded plastic infant seat could be yours for $1.73. It’s kind of hard to tell how good these particular bargains were at the time, but by today’s standards they’re amazing.

Osco moved into downtown just as shopping was beginning to leave it. Sears left in 1961, and Southdale shopping center and Park Ridge opened in 1953 and 1955 respectively. The greatest exodus occurred when the Western Mall was built in 1968. By then the writing was on the wall. When the city closed off Phillips Avenue between 9th and 11th Streets to create a pedestrian mall, the businesses there did not flourish as expected.
Osco opened a second location in the Empire Plaza when it opened in 1975. This new store had 17,680 square feet of retail space, wide aisles, and professionals to help with your prescription as well as your health, cosmetic, appliance, or camera needs.

By late 1979, the downtown Osco location wasn’t doing all that well. In order to remain profitable, the store had to reduce it’s operating hours, only staying open into the evening hours on Mondays. In late November of that year, it was announced that once stock was depleted, the store would be closing.

Osco’s Empire Mall location did good business for its entire run, which lasted nearly 25 years. The store closed on August 5, 2000, after a lease agreement with Empire management could not be reached. Osco corporate announced they’d like to stay in Sioux Falls, but had no plans in place to lease a new space or build. Maybe one day Osco will return.
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