I do not have faith. I do believe that a smaller segment -- 25% to maybe 30% of consumers will shop early, but I believe that there will be a LOT of procrastinators who may hear the warnings and think "Oh I am sure they will have lots of stuff!" and put it off -- and perhaps be disappointed?
Traditional department stores now are in such a precarious position. Think about how different the industry is today versus, say, 1968. Today you have Target -- who are expert merchandisers and merchants. Back then, Kohl's didn't exist in its current form. Also you have the rise of TJMaxx/Marshalls, Ross, and Burlington in the 1990s and they rule right now. One can say they "need" the department store as a supplier, but there is nothing to stop them from going to suppliers directly. It is a different world, one that has moved on from the traditional department store -- thus the loss of them and the continuing struggles of the remaining survivors.
Location Location Location! The work for them is to mine the correct locations for new or moved stores. The "mall" is dead; unless it is an "A" level mall, forget it. What they need to do is focus on the correct location. We lost a small Party City in the same strip center as a Target -- BOOM! Look for Target or Kohl's, or take part of Kohl's space that they are so anxious to get out of and place a VS there!
The location is everything in my mind. They have the ability to have great merchandise -- that is not a problem -- but the location is the thing and with all the closures over the last 2 years, there may never be a better opportunity.
I remember the Bloomingdales experience -- It was amazing! It was when Bloomingdales was the jewel of Federated and lead by Mr. Traub.
I also agree that this is reminiscent of or suggestive of the Nordstrom local stores.
Good for Bloomindale's And Macy's! They need to execute this correctly. I am sure they have learned things from the "market" foray. Time will tell.
I find this interesting and a little difficult.
As far as I see it, this is a home line from a supplier with a nice and well known name. It gives Walmart the chance to gain a little panache as it puts this merch on its shelves.
For GAP this is tricky. They have to be just right with price, which I am sure Walmart has taken care of -- Walmart IS price -- but this is GAP, so anyone who buys this is going to expect a certain amount of "nicety" in the merch. GAP needs to be attentive to "fit and fashion," the offerings have to be a little fine and well made. If not, this will be a short-term occupier of shelving at Walmart, and Walmart will simply move on to the next thing. GAP could end up with embarrassment.
Also, when they announced this last year, I thought GAP was going to introduce the Home line to their stores to drive interest.
Anyway, I don't think this is going to work. I wish them well! Perhaps I will be HUGELY wrong, but I am afraid of the interest in, and attention to, execution. I Hope that they prove me incorrect!
Really 2020 is a lost year if you are going to compare and not do zero base planning, which may not be the best thing either. You have to look back to 2019, and then 2021 may also not be a normal year either. When all is said and done, 2022 may have to be compared back to 2019 as well! This IS an unprecedented situation in recent history!
Wow Mr. Norris, thank you for confirming my thoughts! I saw that logo for the All In Motion clothes and I said "that's the old Dayton logo! Yes, Target has Dayton DNA and perhaps that is part of what makes Target Target, and that is something that can not be replicated!
Kroger is getting a black eye -- perhaps not deserved! I worked for Kroger in the past. They are extremely disciplined and work hard to make their stores work and also make sense. They are not the number 2 grocer because they are sloppy. They are not. They work hard to eek out success in the extremely difficult marketplace of groceries. They also are STRICT with loss. They tolerate poorly performing stores if they see a service to a community and if they can at least break even and the store can carry itself. But I believe they will not allow a store to become a detriment to the whole -- they will protect the greater business.
What the city council likely did with this ordinance in a naive and unknowing consequence of its actions, was upset a delicate balance that Kroger plays with many stores to maintain a small profit or simply break even. If that delicate balance is broken, or when that delicate balance breaks down, the store is done -- period. You have to protect the overall business. That's business, and I fear this may have been what happened here.
Ms. King, you are SO RIGHT! As a young man -- when I was broke -- I shopped at Payless for probably a decade. Almost ALL of their offerings were $30.00 or LESS and when on clearance, (usually when I bought). you could get a stylish pair of shoes, boots, whatever, for $10.00 or often under. As time went on, their prices slowly worked their way up! Their prices became an impossible choice. For what they were asking, I could get a MUCH Better pair of shoes for less at Marshall's or at a Macy's Friday sale. So then, "Payless Shoe Source" stopped existing in my world, and I do NOT believe that I was alone!
As Storewanderer said, this is all about execution. I hate to admit this, but the Burlington's I have visited were all larger stores and were somewhat difficult -- a great and wide variety of merchandise, in not enough space. So execution will be so important and I hope they can get it right.
This move is very disappointing to me. I could not believe it when I saw the news! This is not the move of a merchant, but it is a very smart and very near-term financial move! I hope that both businesses will be strong enough to survive and thrive. I personally really LIKE Saks Fifth Avenue.
Off mall was a growing trend before the Pandemic affected everything and that is not going to change. Let's face it -- so many malls are tired and haggard; they are becoming awful places people have zero interest in. Sorry, just reporting things I have been told! The A malls have a future, but the entire idea of the "Mall" has to evolve and perhaps not in the way things were heading in the time of 2008 to 2015.
Off mall, meanwhile, means convenience and ease, and in some cases is also seen as a safer alternative --again, reporting things that I have been told by customers.
Also, I agree with Ms. Chan: Location, location, location -- and also there needs to be a good mix of retailers or great results may not follow. Know your market, serve your market. Developers need to do a better job in planning and vision, which some strip centers seem to have by luck and others seem poorly planned.