I think that customer service is one of the most important things a LQS can offer. I am a new quilter and also scrapbook. Over the past three or four years every local scrapbook store that I liked/shopped at has closed because they couldn't compete with places like Archivers and the other big box stores, and with the internet.
This afternoon I drove 100 miles round trip to visit a new-to-me LQS. It was totally worth the time - and I did find the thread I was looking for. I also met people that I would like to quilt with sometime. The person helping me took the time to go through several magazines with me trying to find a pattern to work with the fabric I have - we eventually agreed that a pattern I saw online that they didn't have would probably be the best - and then she took the time to show me around the rest of the store and the class samples. They were also happy to just let me browse to my heart's content. My local (only 15 miles away) store is also great - but unfortunately many of their classes are offered on days that I can't be there (cub scouts, etc.).
Sales are great, and I am mindful of prices, and when I can, I will support my LQS.
Cheers, K