Friday, September 29, 2017

PacSun’s Schoenfeld, Macerich’s Coppola Talk Retail’s Fall and Possible Rise

Image result for Retail’s Fall and Possible RiseHeadlines say that fashion retail is being pummeled. Others believe a bright future is coming into focus.
Those two points of view were at the center of a panel discussion called “Where Does Retail Go From Here?” It followed a Sept. 27 presentation of the “UCLA Anderson Forecast” on the campus of the University of California, Los Angeles.. . . more

Most shoppers will visit stores this holiday season

Unfazed by store closures, shoppers plan to get most of their holiday shopping done in-store this year. 
 
Nearly three-quarters of consumers (71%) plan to do the majority of their holiday shopping in physical stores — the same percentage from a similar poll a year ago. Additionally, the vast majority (88%) plan to at least visit stores this holiday season.
 
This was according to a new survey from global business-advisory firm Alixpartners. The study is based on responses from more than 1,000 U.S. consumers.. . . more

Walmart eyes same-day delivery in New York City

Walmart could be making another bold move in the online delivery game.
 
Speaking at an advertising industry event in New York City on Wednesday, Marc Lore, president and CEO of Walmart eCommerce U.S., said that he expects the chain to offer free, same-day delivery  in New York City “very soon,” Bloomberg reported.. . . more

RadioShack Alive, If Not Quite Kicking

According to Radio Shack COO Steve Moroneso, who assumed day-to-day duties after CEO Dene Rogers left in July, the strategy calls for shifting the crux of the business online, and supplementing it with some 400 independently-owned RadioShack dealerships and 27 corporate stores scattered throughout Colorado, Texas and New York.

Moroneso said independents have opened eight new RadioShack stores within the past three months and that another 18 locations are under consideration.. . . more

Kohl's won't reveal one number that retailers talk about every holiday season

Image result for kohl's store at christmasKohl's won't reveal how many people it's hiring ahead of the holidays this year because the retailer said it's been staffing up year-round.

The company is taking a similar approach to Walmart, which has promised to rely more on its current employees for the busy shopping season, giving them additional hours.

Kohl's will be hiring some seasonal staff, but for the first time ever it won't talk about that number.. . . more

Rite Aid revenue misses estimates, shares slump to four-year low

Image result for rite aidDrug store operator Rite Aid Corp reported lower-than-expected quarterly revenue mainly due to drop in reimbursement rates and the number of prescriptions it filled, sending its shares down 10 percent to a four-year low on Thursday.

Retail pharmacy sales fell 3.4 percent in the quarter, while pharmacy services revenue dropped 8.7 percent as it participated in fewer regions offering Medicare Part D prescription drugs. . . . more

Market ‘Malaise’ Lingers As Pricing Ebbs

Image result for retail shopping centerProperty pricing continued to decline over the past month, with Ten-X’s latest Commercial Real Estate Nowcast showing erosion of 0.1% compared to August. The five-month streak of falling prices comes amid divergent opinions among investors over the duration of the business cycle, a higher interest rate environment and a lack of meaningful improvement in fundamentals for many sectors, Ten-X said Thursday.

Although its gains were meager, retail fared better than some of the other property segments. The sector’s 0.4% increase in September marked its fourth consecutive month of rising prices. Pricing for retail is now up 6.7% Y-O-Y. . . . more

Thursday, September 28, 2017

Toys `R' Us Said to Receive a Cheaper Rate on Bankruptcy Loan

toys-r-usToys “R” Us Inc. is close to getting a cheaper rate on an operating loan that could help with the retail chain’s efforts reorganize in bankruptcy, according to a person with knowledge of the matter.

While the company has a total of $3.1 billion in bankruptcy financing, including a $1.85 billion asset-backed revolver, the improved rate comes on a $450 million term loan.. . . more

DSW going back to its roots for store of the future

Image result for DSW store of the future DSW has announced a new store design inspired by its warehouse roots.
 
The chain is testing a new store design that reflects the aesthetic of a warehouse, complete with pallet fixtures and flexible roller conveyors, and creates a 70% increase in units through vertical product showcasing. The retailer said the new layout allows DSW to tell compelling, curated product stories across the floor, starting the moment the customer enters the space.
 
DSW is using its physical locations as warehouses for the shipping and receiving of digital demand and returns. More than half of its digital orders are fulfilled in-store. . . . more

Tight-fisted diners flock to fast food, not midprice restaurants

Moderately priced restaurants, from Shake Shake to Cheesecake Factory, are losing their edge as diners seek out even cheaper alternatives, like fast food.

Price-conscous consumers are more likely to turn away from the so-called fast-casual and casual-dining segments of the restaurant industry that they may have frequented in the past.

"The burger guys, the pizza guys, the chicken category, the Mexican category -- they’re all on fire," said Nick Setyan, a senior vice president for Wedbush Securities."You have positive growth in the restaurant industry, but concentrated in quick-service restaurants.". . . more

Lidl board change signals impatience in U.S.

LidlNowOpen.gifMichael Arnada, the former CEO of Lidl Spain, would be appointed to a Lidl divisional board with oversight of the U.S. — the highest level of leadership behind the company’s board of directors and its demanding CEO Klaus Gehrig. Arnada is said to be replacing Daniel Marasch in that role.

That change, according to the report, was to address Gehrig’s concerns that the performance at least some of Lidl’s 37 U.S. operating stores have been “frighteningly weak,” and that the prescription to fix them was to introduce additional discipline in executing the company’s plan. . . . more

Pier I loss widens in Q2

Image result for pier 1 store Pier 1 Imports Inc. reported a wider-than-expected loss in its second quarter and forecast a smaller per-share profit for the year that analysts had expected.
 
Revenue rose 0.4% to $407.6 million, compared with $405.8 million in the same period last year.
Same-store sales rose 1.8% in the quarter. E-commerce sales penetration reached 27%.. . . more

Study: Even younger shoppers like stores

More than three-quarters of consumers are shopping at bricks-and-mortar stores just as much as or more than they did a year ago.
 
That's according to Consumer View, a new quarterly report from the National Retail Federation. NRF is working with Toluna Analytics to produce the report, which is designed to gauge consumer behavior and shopping trends related to stores, online channels, customer loyalty, technology and other issues.
 
According to the report, 21% of consumers surveyed are primarily online shoppers (defined as those who purchase more than half of their items online). Seventy-nine percent said they purchase half or less of their items online. Among Millennials and Generation Z, 34% are primarily online shoppers, but the majority still make most of their purchases in stores.. . . more