Whoa!!!
In theory, this would work in today's world.
A giant warehouse, with a decent sized, but tiny "store front" for walk-ins, and a fairly large section for employees to pack up stuff and load trucks to take to post office...or they could even offer delivery up to a certain radius.
Less theft, and possibly less returned products with stuff other than the product inside.
With modern photography, the catalog won't have those grainy pictures anymore.