Shawn Holmes

A leader Provides a sense of direction by being a Compass for their team by instilling Purpose and Motivation that drives success. Let's feel empowered to Lead Well. #Leadership #RetailManagement

12

Here are some interesting stories from the world of retail for Saturday, May 11: 📉 Consumer sentiment plunged to the lowest level in six months as price increases reaccelerated, according to the latest University of Michigan survey of consumers, released Friday. 🏬 JCPenney remains profitable and could open new stores. Holiday and full-year sales fell, and net income plunged. But the CEO of one of the retailer’s owners says its ongoing profitability could merit an expansion. 🛍️ The retail industry is going through a tough time as it copes with inflation-weary consumers and a rash of bankruptcies, prompting chains to announce the closures of almost 3,200 brick-and-mortar stores so far in 2024. 💊 The Vitamin Shoppe  has announced that subscribers to its telehealth service will have access to weight-loss medications such as Ozempic, Mounjaro and Rybelsus. 🏪 99 Cents Only Stores in Texas may soon morph into Ollie's Bargain Outlet, Inc. or Dollar Tree Stores as competitors of the California-based retailer find discounted real estate in the bankruptcy liquidation. 👕 On average, Britons bought three items of clothing from secondhand retailers in 2023, with young adults buying 5.3 items on average, compared to 1.7 items for those aged 55 and over. 🥫 Weis Markets plans to begin construction on six new stores this year that will open in 2025, according to a company earnings release. This marks a significant uptick in openings for the company compared to the past few years. 👜 Hermès has asked a US judge to dismiss a "far-fetched" class-action lawsuit accusing it of forcing shoppers to spend thousands of dollars on goods before having a chance to buy one of its Birkin handbags. 🇨🇦 Canadian Tire Corporation Tire has reported a drop in first-quarter retail sales in its first quarter, citing a “challenging consumer demand environment” as Canadians continue to cut back on non-essential spending. 🥣 The outlook for yoghurt looks particularly sour as Americans’ love affair with the creamy, fermented dairy product is over. That's one reason General Mills is looking to sell its yoghurt business. 🍄 Meati Foods is set to add 2,000 retail locations within Kroger's family of stores by April, expanding its presence in the market. The company offers alternative protein products made from mycelium, or mushroom root. 🍍 A new variety of a rare, high-end pineapple is now available to purchase in the US. Del Monte is introducing Rubyglow pineapples, a new variety of the tropical fruit, to the US market. 🎌 Japan's consumer spending shrank for the 13th consecutive month in March, according to government data. This poses challenges for policymakers who are aiming for self-sustaining economic growth. 📦 The Commerce Department reported that US wholesale inventories fell 0.4% in March, having risen 0.2% in February. #retail #retailnews #economy #DailyRetailNews

42

2 Comments

Foot Locker's newly redesigned store doesn’t solve all of its problems, but it is a very good start at remedying some of the ills that have plagued the brand.   Most of the estate looks tired and shops are not conducive to driving sales as they are too functional and don’t always allow Foot Locker to showcase product effectively. This deters customers, especially younger ones who like modern and exciting environments. However, it is also a turn-off for brands like Nike which are conscious about how their products are displayed.    The refresh also brings Foot Locker into line with other retailers. The bar for store design has been set far higher thanks to companies like Lululemon or Vuori, and even Dick’s is investing more in its stores – especially the new House of Sport locations. Its commitment to updating 900 shops shows that Foot Locker does not want to be left behind.    In my view, the plans will also help CEO Mary Dillon, as they are solid evidence to investors that things are changing. Foot Locker has had a string of very bad numbers so Wall Street is now keen to see signs of material change.   However, new stores also need to be accompanied by better sales numbers. This might be more difficult to deliver quickly in a sneaker market that is still very soft and where several brands are still trying to push direct to consumer sales. Thanks to Insider Retail for including more of my thoughts in this piece... https://lnkd.in/eYNiB5vM #retail #retailnews #sneakers #stores #design #sportinggoods

19

1 Comment

The primary difference between an Exclusive Brand Outlet (EBO) and a Multi-Brand Outlet (MBO) lies in the range and type of products they offer and their affiliation with brands: 1. Exclusive Brand Outlet (EBO) - Product Range Sells products from a single brand. - Brand Affiliation Typically owned or franchised by the brand itself. - Brand Experience Designed to reflect the brand's identity and provide a cohesive brand experience. - Examples Nike stores, Apple stores, and Zara outlets. 2. Multi-Brand Outlet (MBO) - Product Range Sells products from multiple brands. - Brand Affiliation Operated independently or by retail chains that stock various brands. - Product Diversity Offers a wide variety of products from different brands, catering to diverse customer preferences. - Examples Department stores like Macy's, Best Buy, and boutiques that carry multiple designer labels. Key Differences: - Number of Brands EBOs focus on a single brand, while MBOs offer products from multiple brands. - Ownership and Operation EBOs are usually directly affiliated with and operated by the brand, whereas MBOs are independent or part of larger retail chains. - Shopping Experience EBOs aim to immerse customers in the brand's unique environment, whereas MBOs provide a more varied shopping experience with multiple brand choices under one roof.

5

Exceptional leaders turn every challenge into a shared adventure, listening and moving in harmony with the team and the culture. They create journeys filled with collaboration and adaptation, not just leading but deeply connecting and uniting everyone towards a common goal. True leadership is about inspiring unity and progress together. #lead #inspire #servant #development

45

some thoughts to keep in mind for productivity. - Absorb what is useful, reject what is useless and add what is specifically your own. - By failing to prepare, you are preparing to fail. - A goal without a plan is just a wish. - It’s not always that we need to do more, but rather that we need to focus on less.

6

I chatted with Fortune about how Walmart is gaining customers, including from Target. The highest growth in terms of new customer additions has come from those making over $100,000 a year. The forward challenge will be to retain these shoppers. Former CEO, Bill Simon, is concerned that once the economic cycle picks up Walmart will lose many of the shoppers it has gained. In terms of retention, our own research shows that 77% of those who have started shopping at Walmart for groceries over the past couple of years say they intend to continue frequenting the store. This fits in with other shifts during previous downturns: the dollar stores picking up more shoppers who didn't drift away, and Aldi making gains that it retained for the long haul. This is all good news for Walmart, although it arguably needs to be aware that a sizable minority may switch. The bigger challenge, however, is to get more of these newer customers to cross the aisle to buy general merchandise – and there is far more hesitation here. However, Walmart’s committed investment to improve its stores will help on this front. Thanks to Fortune for including more of my thoughts in the article linked in the comments. #retail #retailnews #shopping #bigbox

85

5 Comments

Here are some interesting stories from the world of retail for Saturday, June 15: 📦 Kohl's is introducing a Return Drop service to stores nationwide: in addition to its Amazon partnership, the department store will now accept returns from brands like Carhartt, Hanes and Levi’s. 🎯 Target's total US retail market share, including online and store sales, has shrunk in categories that generate over 60% of its revenue. An indication the chain needs to work harder to retain customers. 👖 Superdry has avoided insolvency after shareholders voted to approve a £10m equity raise underwritten by chief executive Julian Dunkerton. The fashion brand said the deal provides enough liquidity of a turnaround. 👚 Secondhand apparel marketplace ThredUp is continuing to experiment with charging sellers a fee to send in items, as part of a strategy to fill its marketplace with higher-quality items. 5️⃣ Five Below’s net sales surpassed $3.5 billion in 2023, more than double five years ago. Despite an impressive few years of growth, things have taken a turn for the worse in 2024 and stock fell to a year low in the first week of June. 👗 Torrid CEO Lisa Harper said during an earnings call that the company is evaluating its brick-and-mortar footprint and wants to move to a 50-50 split between mall-based and non-mall locations in the future. 🕹️ Over the past two years, Hasbro has suffered from weaker toy demand, leading to layoffs and declining sales. But analysts at BofA said Wall Street hasn’t appreciated the potential of the toy maker’s digital-gaming business. ⛽️ Exactly two years ago Friday, gasoline prices peaked at a record of $5.02 a gallon nationally. Gas prices today are not cheap – but they are miles away from that point with the he national average for regular gas at $3.46 a gallon. 🚙 Advance Auto Parts said a hacker had accessed and was selling certain data that may contain Social Security numbers of job applicants and employees. 📉 US consumer sentiment fell for the third consecutive month in June, as Americans expressed concerns about their finances and persistent inflation, as per a University of Michigan survey. 🚫 SHEIN has unexpectedly canceled its upcoming pop-up store in Perth, Australia, scheduled for June 21 at Lakeside Joondalup Shopping Centre, just weeks before a new tax on fast fashion items takes effect. 🇶🇦 With Eid al-Adha approaching, retailers in Qatar are offering a wide range of promotions and discounts to attract shoppers. Discounts of up to 50% are being offered on clothing, shoes, accessories, and watches. 🏬 Thai retailer Central Group has agreed to acquire the remaining assets of KaDeWe Group, a chain of landmark department stores in Germany. 🐖 American hog farmers are betting on cash-strapped consumers to drive demand for pork as beef prices surge. #retail #retailnews #economy #DailyRetailNews

38

2 Comments

News that Delta Apparel, Inc. is to sell its Salt Life brand as it goes through bankruptcy should come as no real surprise. As I explained to Just Style, the retailers Delta sells to via wholesale have cut back on inventory and orders as customers have reduced buying activity. This has put the squeeze on the company. The group is in a real financial mess and has been struggling to maintain liquidity. Delta is also in default on several loan covenants. The direct-to-consumer businesses, including Salt Life, have performed a little better, which is why they are more salable assets. But without these stronger parts of the business, Delta will have a lot of work to do to get back on a solid financial footing. More of my thoughts in the article linked in the comments. #retail #retailnews #apparel #bankruptcy #clothing #wholesale

4

1 Comment

Here are some interesting stories from the world of retail for Sunday, July 7: 🎯 Target Circle Week starts today. The week of sales returns July 7-13, the retail giant announced late last month. Target called the event its biggest sale of the season and said customers could save on back-to-school essentials. ✈️ Amazon is expanding its air cargo operations with Sun Country Airlines. Under the amended agreement, Sun Country will operate up to eight additional Boeing 737-800 cargo aircraft beginning in early 2025. 👕 Knit polos are inspiring men across the style spectrum to flee their fashion comfort zones and try a new shirt for size. With roots in the 1950s, the style was reintroduced by influential menswear brands in 2018. 👰🏼 The average wedding costs well over $30,000. So, some couples are having ‘micro weddings’ instead. Inflation over the past few years has been a key driver to higher costs. 👟 HOKA is ramping up its avian-themed marketing targeted at runners with a new global ad campaign titled “We Are All Born to Fly". Tying the euphoria of running to birds in flight remains a key branding touchstone for the brand. 🏬 The UK's John Lewis is renegotiating contracts with fashion brands to increase staffing levels and improve customer service. The chain's director, Peter Ruis, wants to replicate the success of strong staffing in beauty halls. 🔫 Two grocery stores in Alabama have installed automated vending machines that dispense ammunition. American Rounds USA, the company behind the machines, uses AI technology to verify a buyer's identification and age. 🥤The US FDA has banned brominated vegetable oil (BVO), used in some citrus-flavored drinks, citing safety concerns. The ban, effective from August 2024, follows studies indicating potential adverse health effects. 👚 M.M.LaFleur is recommitting to a subscription service and to new store openings. The company ended up closing all of its stores in 2020, with a slow reopening process since then. 🥃 The CFO of LVMH, the company that owns Hennessy cognac, has claimed that China's anti-dumping investigation into Europe's cognac business is a tit-for-tat response to European Union taxes on Chinese electric vehicles. ✉️ The United States Postal Service is expected to raise the price of its postage stamps again, which would be the second time in 2024 that the cost of stamps has increased. 🚫 For the first time in its 97-year history, over 9,000 workers at the Liquor Control Board of Ontario, Canada have gone on strike, leading to the closure of more than 680 stores. 🇨🇳 Amazon is facing increasing competition from Chinese brands on its platform, with 50.8% of its top sellers now based in China. #retail #retailnews #economy #DailyRetailNews

41

2 Comments

According to recent ISCS report, consumers have an eye on value for Back to School shopping. Discount stores remain the most popular type of retailer for back-to-school shopping for 7-in-10 consumers. Read on below for more insights from Chain Store Age's Marianne Wilson: https://lnkd.in/gkjZwPKS

5

Walmart: exceeding expectations & winning consumers at both end of the spectrum (low- & high-end consumers) Walmart benefits from: 1) Its scale & low price to gain low-end consumers 2) The introduction of a high quality private label brand (BetterGoods) 2) Investments in tech & ecommerce (+21%! ecommerce growth this quarter - boosted by store pickup and delivery as well as its online marketplace, its subscription business Walmart+ grew double digit last quarter) to win convenience seeker consumers (that are also often high-end consumers) 3) Its continuous investment in stores renovation ($9bn for 1400 stores starting last year & expected to run up to 2025) 4) Its multi-format footprint with Sam's Club that continues to outperform other formats 5) The scale-up of its ad/ retail media business (with revenue up 24% globally with a high double digit margin contribution) Stock price was up 7% last week post release & up 13% YTD Impressive. Not good news for other grocery retailers that are often 'stuck in the middle' (with no scale advantage & without a differentiated enough positioning). As predicted, three types of players will prevail in US CPG retail: i) Hyper-scale grocers (Walmart) ii) Highly differentiated grocers (high-quality/ premium like Publix) iii) Value retailers (Dollar channel, Clubs) iv) Specialty (r)etailers on emotionally involving and/ or ecom friendly categories (On beauty: Ulta Beauty/ SEPHORA, on Pet: Chewy...) v) Hyper-scale Ecom players (Amazon) on ecom friendly categories that do not have to follow the grocery basket (everything except fresh & most of F&B) Tough times for the rest. Exciting times for CPG in the US Walmart results in details: Walmart Q1 FY25 (as they refer to it) results summary • Net sales: $ 161.5Bn; Y-o-Y growth: +6.0% • Adj. Operating Income%: 5.1%; +25bps vs Q1 FY 2024 (Q1 CL FY 2023) Results by divisions • Walmart US: o Net sales: $ 108.7Bn; Y-o-Y growth: +4.6% o Gross Profit: +46bps vs Q1 FY 2024 (Q1 CL FY 2023) o Adj. Operating Income%: 4.4%; +32.5bps vs Q1 FY 2024 (Q1 CL FY 2023) o Walmart advertising sale growth: +26% • Walmart International: o Net sales: $ 29.4Bn; Y-o-Y growth: +10.7% (growth led by Walmex, China and Flipkart) o Adj. Operating Income%: 5.0%; +52bps vs Q1 FY 2024 (Q1 CL FY 2023) • Sam’s club US: o Net sales: $ 21.4Bn; Y-o-Y growth: +4.6% o Operating Income%: 2.8%; +36bps vs Q1 FY 2024 (Q1 CL FY 2023) 𝗧𝗼 𝗴𝗲𝘁 𝗮𝗹𝗹 𝗼𝘂𝗿 𝗶𝗻𝘀𝗶𝗴𝗵𝘁𝘀, 𝗳𝗼𝗹𝗹𝗼𝘄 𝘂𝘀/ 𝘀𝘂𝗯𝘀𝗰𝗿𝗶𝗯𝗲 𝘁𝗼 𝗼𝘂𝗿 𝗙𝗠𝗖𝗚 𝗖𝗘𝗢 𝗜𝗻𝘀𝗶𝗴𝗵𝘁𝘀 𝗻𝗲𝘄𝘀𝗹𝗲𝘁𝘁𝗲𝗿: https://lnkd.in/ea4gy65y #fmcg #ecommerce #cpg The Coca-Cola Company Nestlé Procter & Gamble AB InBev Kraft Heinz Unilever L'Oréal General Mills Campbell's The HEINEKEN Company Diageo Pernod Ricard Mondelēz International Danone Bel Henkel PepsiCo Coty Reckitt The Estée Lauder Companies Inc. https://lnkd.in/ePzNuAMf

36

So, what specifically is the secret sauce of Walmart? For insights, please click on the link!

9

With sustained inflationary pressures into early 2024, the consensus in the convenience store industry is that the consumer is looking for value with nearly every dollar they spend, according to the Convenience Distribution Association (CDA). Convenience stores typically do not have the lowest price on consumables such as candy, milk, soda, or various sundries. The trade-off on prices is the quick in and out parking at the door. #convenienceretail #consumerinsights

2

1,300 stores are closing across the US, screams the headline (link to article in the comments). Alas, it's true, some stores are closing. The good news is that this isn't unusual. Stores open, stores close. It's the birth and death cycle of retail and it's actually perfectly normal - healthy, even. The better news, that the headline doesn't share, is that across the first half of this year more stores have opened than have closed. In fact, openings are currently outpacing closings by around 20%. There's also a shortage of good retail space, so many outlets that shut up shop are soon leased to other players looking to expand. The way people look at retail is always a case of glass half empty or glass half full. But, objectively, in this case the glass is actually more than half full. #retail #retailnews #stores #shops #realestate #leasing

202

41 Comments

As a retail leader, I have witnessed the power of effective leadership in driving success and growth within the industry. Leadership in retail is not just about managing operations and sales; it's about inspiring and empowering teams to deliver exceptional customer experiences, drive innovation, and adapt to ever-changing market trends. True leaders in retail understand the importance of fostering a positive and inclusive work culture, where employees feel valued, motivated, and supported. They lead by example, demonstrating integrity, resilience, and a commitment to continuous learning and development. In today's competitive retail landscape, leadership plays a crucial role in navigating challenges, seizing opportunities, and staying ahead of the curve. By fostering a culture of collaboration, creativity, and customer-centricity, retail leaders can create a sustainable competitive advantage and drive long-term success. I believe that effective leadership in retail is not just a skill, but a mindset – one that prioritizes people, values diversity, and embraces change. As we navigate the future of retail, let us lead with purpose, passion, and a relentless commitment to excellence. #LeadershipInRetail #RetailLeadership #FutureOfRetail

4