A small tag is having a big impact on sales at one high-end department store. The retailer recently deployed radio-frequency identification at six U.S. stores to track inventory on shoe displays. The technology led to an increase in sales by ensuring all shoe styles were always on display, the store reported. This technology is still [...]
Seventy percent of customers say they will curtail their back-to-school shopping this fall, leaving retailers to find other ways to continue attracting customers. That could include promotions and – get this – price increases as retailers pass on higher product costs.
The rate of late credit card payments is at a 17-year low, which appears to be another sign that consumers are still tightening their belts. Four factors contributing to this are less consumer debt; credit is harder to get; more people are paying their credit card bills, and more people are using to pay their credit bills instead of their mortgages.
Much to the relief of retailers around the nation, this year’s back-to-school season went better than expected, thanks to swarms of consumers hitting the stores in July, taking advantage of promotions on apparel, electronics and school supplies. According to the National Retail Federation, retail industry sales in July increased 0.3 percent seasonally adjusted from the previous month and 4.0 percent unadjusted year-over-year.
Once in a while, customers actually get it: Prices for raw materials, shipping and labor are going up and thus clothing costs must follow. No one understands this inflation increase better than people who buy Tommy Hilfiger and Levis. The retailers recently announced that its profit would approach the high end of its projections this year after raising prices.
Groupon, LivingSocial and the dozens of daily deals sites may have managed to do the impossible: make consumers tired of all the bargains. Although the websites were enticing enough for millions of subscribers to sign up for the sites, retail experts say they went too far and saturated the market.
With 40 million Americans employed in retail, Congress needs to advance a strong jobs agenda that includes corporate tax reform, visa reform and passing free-trade agreements, NRF officials said recently. According to the latest jobs numbers, the U.S. added 117,000 jobs in July. Of those, retailers added 26,000, second only to the health care industry.
Thanks to Groupon, LivingSocial and other social discount sites, couponing has officially become the next big thing. According to a recent “hot or not” survey, six in 10 adults say extreme couponing is popular now, and nearly three-quarters of women and moms say they are paying attention to the trend.
Cotton surged to historic highs this spring but plunged nearly 40 percent last month. Although that sounds like good news, the retailers and clothing manufacturers that overbought during the high prices are going to get creamed by those who waited, said retail experts at Avanade. Those who waited will have a lower product cost, forcing everyone else to slash prices.
As package sizes at grocery stores continue to shrink while prices continue to surge, food shoppers are increasingly turning to private-label and store brand products, a new survey shows. The “pay more, get less” scenario is just not OK anymore. The survey also found that shoppers are using smartphones to price check and get product information.
According to a recent survey, nearly half of 100 top retail executives — 47 percent — said they have extra cash and they’re planning to spend it on technology. If they are to be successful maintaining profit margins, retailers must become more sophisticated as the consumer gets more sophisticated, experts at Avanade said.
Randy Misener, Editor-at-Large
Randy Misener is the Industry Executive responsible for Enterprise Retail Management solutions at Avanade. Majority owned by Accenture, Avanade was founded in 2000 by Accenture LLP and Microsoft Corporation and has approximately 15,000 professionals in more than 20 countries.