No Swoon in June: Retail Numbers Climb
Hot weather and hotter deals are being given the credit for unexpectedly strong same-store sales numbers rung up by retailers in June.
According to Thomson Reuters, retailers saw comparable store sales increase 6.5 percent for the month compared to the 4.9 percent expected by analysts. It more than doubled the 3.1 percent increase see in June of last year.
A positive sign for merchants heading into July, according to Thomson Reuters, was that retailers saw sales pick up toward the end of June.
Ken Perkins of Retail Metrics, told the Star Tribune, that same-store sales for June were up 5.6 percent at chains he follows.
"Deep discounting and widespread promotions across the industry lured consumers into stores in June," Mr. Perkins told the Star Tribune. "Hot seasonal weather helped boost summer clearance merchandise."
Gains were pretty widespread across retail channels with winners including Costco (+14 percent), Kohl’s (7.5 percent), Macy’s (6.7 percent), Saks (11.9 percent) and Zumiez (9.8 percent).
Retailers reporting same-store increases but falling below the Thomson Reuters‘ average for the month included Gap (+ 1.0 percent), J.C. Penney (2.0) and Target (4.5 percent).
- Hot weather, hot sales for retailers – Star Tribune
- June Same Store Sales Review – Thomson Reuters
- June Same Store-Sales Surge, Limited Brands Crushes Expectation – Business Insider
- Retailers’ June Sales Solidly Outpace Wall Street Views – CNBC
Discussion Questions: What is your take on the June retail numbers? Do you think retailers are in a good position heading into the back-to-school season?