Better is not the same as good for department stores stuck in the middle

Steve Dennis

department stores reported earnings recently, a certain level of ebullience took hold. Given how beaten down the moderate department store sector has been, a strong quarter or two might seem like cause for celebration–or at least guarded optimism. As most U.S.

Department Store Shares Are Up. Your Hopes Shouldn’t Be.

Steve Dennis

Amidst reports that holiday spending was up nearly 4.9% , some optimism about the American moderate department store sector has started to creep back in. Tighter inventories, store closings and other expense reductions should lead to year-over-year profit improvements. As I pointed out several months ago , at least two major things must happen before any optimism about the prospects of any of the middle market department store brands is warranted.

Leading department store chooses Bamboo Rose to revamp its backend

Bamboo Rose

Department stores have notoriously long, complex supply chains – take it from a leading specialty retailer with more than 30 brands offered in-store and online. The post Leading department store chooses Bamboo Rose to revamp its backend appeared first on Bamboo Rose.

Is this the beginning of a department store renaissance? Eh, not so much.

Steve Dennis

Then Kohl’s followed up with a similarly surprising upside report that led some to conclude that maybe, just maybe, the long-beleaguered department store sector might be seeing a resurgence or—dare we say it out loud?—the Without this shift, same-store sales would have increased only about 1.7% Penney and Sears ( and now Bon-Ton ) have been leaking volume through store closings and comparable store sales declines.

Department stores aren’t going away, but 3 big things still need to happen

Steve Dennis

It’s been a long, slow slide for department stores. In addition, Sycamore looks to be picking at the carcass of Bon-Ton Stores and Lord & Taylor is selling its iconic Manhattan flagship to WeWork.

2017’s most popular blog posts

Steve Dennis

Every single retail store in the US to close permanently by month’s end. Stop blaming Amazon for department store woes. Department stores aren’t going away, but 3 big things still need to happen. The store closing panacea. As is my tradition, here’s my annual recap of my 2017 posts that got the most traffic. Once again my April Fool’s Day one easily grabs the top position.

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Macy’s Thanksgiving Day Parade Brings Spectacle to the Season

BigCommerce

In 1924, Macy’s welcomed the world’s largest department store with their first parade in New York City. Macy’s employees dressed up and marched alongside animals borrowed from the Central Park Zoo, leading a giant Santa Claus for 6 miles from Harlem to the store at Herald Square.

The Genesis of Holiday Window Displays

BigCommerce

The holiday season in major cities around the world is typically heralded by seasonal window retail displays put up by department stores and retailers large and small. One of the first major holiday window displays was put up by Macy’s New York store in 1874.

The Path To Purchase Is About Location As Much As Journey

Retail TouchPoints

By Gil Larsen, Blis More than 5,000 stores closed their doors in 2017, and this year looks set to surpass it with 1,500 more closures already. But then there are the others, the stores that are always busy and buzzing with browsers.

Retired Women: Retail’s Savior?

Retail TouchPoints

Wagner, Lustre There were more than 2,000 store closings in 2017. But retail stores are part of the character of the streets we walk every day. Is a “wellness” floor in a department store a magnet for people like this group of consumers? By Erica Baird and Karen E.

Will Prime Day’s Rising Tide Lift All Boats, Or Swamp Them?

Retail TouchPoints

Throwing constant promotions at consumers without differentiating the offerings is one of the main reasons the department store sector fell so far behind in recent years. In less than a week, Amazon Prime Day will toss the retail world into a mid-summer frenzy.

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150 Years of the Best Holiday Campaigns

BigCommerce

Owned retail store : 24.7%. In 1879, British stores began dedicating areas to ‘Santa Land’ where customers could wander around immersed in Christmas scenery. Did Coca-Cola create the modern day Santa Claus? Is Mr. Potato Head responsible for reshaping holiday TV advertising?

Toys 343

WWD: What Net Neutrality Means for eCommerce, Consumers, Retail

Dynamic Action

‘With a repeal of net neutrality, the social platforms may have the capability of becoming the new department stores,’ said Sarah Engel, chief marketing officer of DynamicAction. ‘Besides Amazon, they may become the only ‘department stores’ that can afford to offer the selection of amazing brands that rotate quickly enough to satisfy the consumers’ desires.’

Off-price retailing is in-demand

Bamboo Rose

When we look at the retail landscape today, we see what boils down to three broad tiers of store success: – Tier 3 – Struggling: This tier is reserved for traditional, slow-to-adapt department stores.

Magento, NetSuite Conferences Illustrate What B2C Can Teach B2B

Retail TouchPoints

Among companies that already have a B2B-specific web store, 76% are planning to upgrade it within two years — an indication that digital transformation is still a work in progress for many companies.

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Entry Popups Could Be Killing Your Conversion Rate (And You Can’t Even Measure It)

Inflow Insights

Imagine if — as you were entering the parking lot of a department store — you saw dozens of employees with clipboards asking everyone who got out of their car to sign up for an email list. Would you park your car and go into the store? Popups can be useful.

Digital technology provides a single source of truth for a holistic shopping experience

Bamboo Rose

From online shopping with free overnight shipping to department stores opening on holidays, the retail industry is all about convenience.

Reports Of JC Penney’s Death Are Greatly Exaggerated

Steve Dennis

Not only have they been swept up in the long-term decline of the moderate department store sector, but they also hemorrhaged huge amounts of market share during Ron Johnson’s failed re-boot. Store closings muddy the picture. Both Penney’s own store closings and those of competitors put pressure on pricing as stores liquidate merchandise. Amazon clearly has its eyes set on growing market share in traditional department store categories.

Cashierless Retail: Great In Theory, But Still Shaky In Practice

Retail TouchPoints

By Glenn Taylor, Senior Editor The Amazon Go convenience store opening in January 2018 shed light on the next new shiny concept in retail — cashierless, checkout-free stores. For one, there are approximately 100 cameras on the Amazon Go store ceiling.

Will Macy’s ignite a new era of legacy retailer innovation?

Steve Dennis

The moderate department store sector has been struggling for some two decades; first losing share to category killers and discount mass merchants, then to off-price retailers and now, increasingly, to Amazon. Since 2008, department stores’ share of total retail has sunk from 2.8% Over 1,000 stores have been shuttered during the past few years with more sure to follow.

Cyber Resilience, Retail And The Role Of Technology

Retail TouchPoints

Protecting systems from complex and sophisticated data breaches is difficult enough, but it is even harder within a distributed store IT environment, such as those in nationwide retail chains or franchise businesses.

The Other AI: How Aesthetic Intelligence Can Transform Your Brand

BigCommerce

Whether it was offering a gift with purchases in a department store or even providing testers through magazine sense strips, people responded sensorially, rather than logically, to their products.

Other 168

Nordstrom and retail’s growing urgency to rethink performance metrics

Steve Dennis

Among the concerns he cited were declining comparable store sales at both Nordstrom’s full-line department stores and the Rack off-price division. While most of its department store brethren are losing market share, experiencing significantly compressed margins and closing stores in droves, Nordstrom has consistently driven strong overall results despite being a rather mature brand. A new role for the store: the heart of a brand’s ecosystem.

RevTech Event Spotlights Retail Innovation: Which Technologies Will Win Out?

Retail TouchPoints

RevTech , a venture accelerator focused on developing early-stage retail technology companies, is hosting its 11 th semi-annual Tech Trends in Retail event in the flagship Neiman Marcus store in Dallas on April 5.

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It’s the end of the mall as we know it. and I feel fine

Steve Dennis

First, in aggregate, regional malls–and their department store anchors–have been on the decline for more than two decades. The most recent wave of disruption has come mostly from the rise of off-price and dollar stores. As growing retailers situate new stores in growing suburban areas with favorable demographics, we often witness a shift in an area’s “retail center of gravity.” Digital Retail Store closings

The History of Ecommerce: What The Past Says About Tomorrow’s Retail Challenges

BigCommerce

Department of Commerce data shows that ecommerce sales currently average about 9.1% Most businesses with an ecommerce presence use an ecommerce store and/or an ecommerce platform to conduct both online marketing and sales activities and to oversee logistics and fulfillment.

B2B 343

Can Macy’s Afford To Drop The Ivanka Trump Brand?

Retail TouchPoints

For whatever reasons, if Macy’s moves forward with removing Ivanka’s line from stores, it better be prepared to handle whatever comes its way as a result.

Subj: Dear Hiring Manager, I’m A Retail Veteran

Retail TouchPoints

Department stores and other general merchandise stores, like supercenters and warehouse clubs, have been hit especially hard, shedding 89,000 jobs from November through March, according to the New York Times.

JC Penney: The good, the bad and the ugly.

Steve Dennis

Penney recently announced its fourth quarter earnings as well as plans to shutter as many as 140 stores. Moreover, Penney’s comparable stores sales fell “only” 0.7%, materially better than their direct competitors, indicating some growth in relative market share. The company also continues to experience double-digit e-commerce growth with some 75% of online orders “touching” a physical store.

The Missing Piece In The Retail Technology Stack: Human Beings

Retail TouchPoints

Among the many presentations by Salesforce execs and retailers, there was a refreshing emphasis on how various technologies would be used by real-world store associates to enhance the experience of real-world shoppers.

It’s just about time for full-on panic at J.C. Penney

Steve Dennis

Second, Sears, its most similar on-the-mall competitor, has closed hundreds of stores in the past few years — surely Penney’s would pick up a fair share. So Penney’s now finds itself in a situation where it has been engaged in years of cost cutting and store closings.

Sourcing Journal: Black Friday in Review: The Winners, The Losers, The Dollars and the Deals

Dynamic Action

Sourcing Journal’s article Black Friday in Review: The Winners, The Losers, The Dollars and the Deals discusses the industry’s Black Friday results: consumers capitalized on the best deals, Millennials spent the most money, and department stores underperformed.

These brands apparently did not get the ‘retail apocalypse’ memo

Steve Dennis

Despite the supposed plague descending upon those poor sods who continue to open actual stores, Lululemon and Costco managed to drive double-digit comparable store increases and robust e-commerce growth. Same with Ulta , the beauty brand that is opening 100 new stores this year. But then you have to explain the thousands of new stores that are opening and the dozens of overwhelmingly brick & mortar-centric brands that are thriving.

Macy’s acquires Story: Game changer or much ado about nothing?

Steve Dennis

Last week Macy’s announced it had acquired Story , a New York-based concept store, and appointed founder Rachel Shechtman to be its new “brand experience officer.”

Games 111

Ecommerce Technology: Augmenting Reality Augments the Bottomline

GetElastic

It’s the main reason why shoppers still prefer physical stores over Amazon and eBay. Ebay has partnered with Myer to create the world’s first virtual department store. Augmented reality is an ecommerce technology changing the way people buy online.

The Death of Boring Retail

iQmetrix

In case you haven’t heard, physical retail stores are dying. In 2018 alone, there have already been multiple large retail chains that have filed for bankruptcy including Claire’s (Jewelry), Bon-Ton (Department Store), B&B Bachrach (Men’s Apparel) and everyone’s favorite toy store, Toys R Us. Not surprisingly, this is not sustainable and results in closure and bankruptcy of these stores.

Toys 21

Amazon and Whole Foods Did Rotten Tomatoes Spark a $14 Billion deal?

GetElastic

Customers can also sign up for periodic delivery of laundry detergent, toothpaste, diapers, paper towels and other items frequently purchased in grocery stores using Subscribe and Save. Why Buy Physical Stores? Will stores be renamed Amazon Whole Foods?

With Cyber Monday behind us, the real holiday shopping season begins

Steve Dennis

To be sure, the overall shift away from physical store shopping is profound, but nothing unexpected is happening, at least thus far, when it comes to this particular holiday season. Of course, some sectors–I’m looking at you department stores!–are Several chains, including Sears and Bon-Ton Stores, are facing existential crises, where a bad quarter could lead to their liquidation (or, minimally, additional massive store closings).

Gifts 73

Kors is the latest retail highflier to get its wings clipped

Steve Dennis

drop in comparable stores sales and a nearly 23% decline in licensing revenue. The luxury department store industry’s big stall is now well into its second year. Nordstrom’s industry leading full-line store performance has become tepid at best. Add once soaring–and seemingly invincible–Michael Kors to the list of retail brands to disappoint the market.

21 Sessions, Presentations and Workshops You Can’t Miss at IRCE 2018

BigCommerce

By embracing SaaS technology and emerging trends, Natori is on pace to earn a new generation of consumers – ones who buy from their site, not just in department stores. How critical is in-store pickup and how are store associates meeting online shoppers’ expectations?