Round Up of Weekly Retail News (ROAR) 20/08/2017 · Round Up of Weekly Retail News (ROAR)...
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Round Up of Weekly Retail News (ROAR) 20/08/2017 Welcome to the third edition of Bright Disposition’s ROAR, helping you catch up on the main retail news which will you be discussing in your trade meetings on a Monday. Trying to focus on the positive this week, so much going on retail and beyond…times are tough out there, let’s hope the next few weeks in the run up to Back to School prove fruitful for retailers. Weather More uncertainty this week, some glimpses of sunshine, better than the last few weeks. I’ve even seen the shorts out! A lot of retailers will be ramping up their trading activity over the next few weeks because of Back to School/ August Bank holiday – one of the biggest weeks for many retailers out there, and a good stable warm weather front will be important. Looking ahead next week (London) - Cloudy but stable which is good news!
Transcript of Round Up of Weekly Retail News (ROAR) 20/08/2017 · Round Up of Weekly Retail News (ROAR)...
RoundUpofWeeklyRetailNews(ROAR)20/08/2017
WelcometothethirdeditionofBrightDisposition’sROAR,helpingyoucatchuponthemainretailnewswhichwillyoubediscussinginyourtrademeetingsonaMonday.Tryingtofocusonthepositivethisweek,somuchgoingonretailandbeyond…timesaretoughoutthere,let’shopethenextfewweeksintherunuptoBacktoSchoolprovefruitfulforretailers.WeatherMoreuncertaintythisweek,someglimpsesofsunshine,betterthanthelastfewweeks.I’veevenseentheshortsout!AlotofretailerswillberampinguptheirtradingactivityoverthenextfewweeksbecauseofBacktoSchool/AugustBankholiday–oneofthebiggestweeksformanyretailersoutthere,andagoodstablewarmweatherfrontwillbeimportant.Lookingaheadnextweek(London)-Cloudybutstablewhichisgoodnews!
SalesandTradereporting“TheUKconsumerisextraordinarilyresilient”,HardgreavesLansdown’ssenioreconomistBenBettrellhassaidthisweek.ThiscomesoffthebackofJulyUKretailsalesbeatinganalyst’expectations,howevertheslowdownisstillcontinuing.ONS(OfficeofNationalStatistics)showedthatretailsalesgrew0.3%monthonmonth.SalesgrowthisstillbehindJune,whereitgrew1.5%inthe3monthstoJune,butthe3monthstoJulyitfellto0.6%.Deloittehavereportedthatconsumerconfidenceisatitslowestlevelin2years,fallingfrom-7%to-10%inthesecondquarter.Theystatethatrisinginflation,andthefirstdecreaseinrealwagesin3yearsaretoblame.Shoppersarewatchingwhattheyspendduetothepressureontheirdisposableincome.Sohowhasthattranslatedintotradingstatementsthisweek?InthethreemonthstoJuly,Asdahavereporteda1.8%increaseinsales(excludingpetrol).Alsoshowinga0.7%LFLperformance,statingthattheyhadastrongEasterperformancewhichhelped.Theyalsoattracted275,000newcustomersinthatperiod.Strategychanges,whichincludetargetedpricereductionsandreducingthenumberofoptionsonshelvesby25%,havebeenattributedtohelpingtheincrease.TJX,theparentcompanyofTKMaxx,hasreportedstrongsalesforthe2ndquarterofthefiscalyear.Itsstoresakesgrewby3%(lastyearthiswas4%).ComparablestoresinEuropegrewby1%.Westfield,themajorshoppingcentreoperator,reportedaprofitincreaseof20%forthefirsthalfofthisyear.Theyalsotooktheopportunitytosharethattheir£600millionexpansionofWhiteCity,Stratford,willopen6monthsaheadofschedule.Lastweek,whilsttheIAAFWorldChampionshipswereheld,WestfieldStratfordattracted1.2millionvisitors,markingitshighestfootfallweeksince2012LondonOlympics.Watchthevideohereabouttheexpansion:http://westfieldlondon-plans.co.uk
Alibaba,theonlineChinesegianthavereporteda56%increaseinrevenuesforitsfirstquarter,showingthatitsecommercearmhadincreasedits%from73%to83%.GaphavereportedasalesgrowthofonepercentinLFLstoresforthethreemonthstoJuly29,markingthethirdconsecutiveperiodofgrowth.SharesintheUSretailerjumpedasmuchassixpercentfollowingtheresults,encouragedbyGapraisingitsexpectationsforthefullyeartobetween$2.01and$2.10pershare,abovepreviousprojectionsof$1.95and$2.05ashare.B&Qhavereportedasalesdeclineof7.7%,andLFLsalesdropby4.7%inthe3monthstoJuly31.Kingsfisher,thegroupwhichownsB&QandScrewfixsawLFLsalesdropby1.9%.However,therewassomegoodnews,asScrewfixcontinuestooutperformexpectationswithsalesincreasingby17.2%andLFLsalesincreasingby10.8%.Themainfactorswhichhaveattributedtothelossofsalesarepoorweather,anunstableanddeclininghousingmarketandtoughcomparables.Theyaregoingaheadstillwiththeirturnaroundstrategywhichhasseen65storesshutsofarand3000jobsaxedinthelast2years.BunningsWarehouse,whichacquiredHomebase,hasreportedaprofitlossof£89millioninitsfirstyearmanagingthestores.Criticsandanalystshavesaidthatthemodelofsellingatlowprices,asopposedtopromotionalactivityislargelytoblamefortheloss.Westfarmersfinancedirectorhassaidthattheconcessionbasedmodelandsellingmoreandmorepartsofthestorewas
unsustainableandtherewasalwaysgoingtobeadropinsaleswhilsttheytradedoutofthatstrategy.Definitelysomethingtowatchinthecomingyear.
LauraAshleyissuedtheirsecondprofitwarningthisweek,anditssharestumbledby18%followingtheannouncement.Fullyearearningswillbehitbya£2.8millionloss,onthebackoftherevaluationofoneofitsfreeholdproperties.Itcomesas22outof25ofitsconcessionswillbeclosedbytheendofthisyearduetotheBunningsacquisitionofHomebase.UrbanOutfittershasreporteda4.9%dropinLFLsalesinthe3monthstoJuly31.Thisisthesteepestdeclineinthelast7years.SalesatAnthropologiefell4pcinthequarterandweredown7.9pcattheUrbanOutfitterschain.However,itsEuropeanbrandbusiness,wherecomparablesaleswereupyear-on-yearandnewcustomersgrewalmost30pc.TrishDonnelly,whoheadsupUrbanOutfittersGroup,saidEuropehadmadegoodprogressinspeed-to-consumer,meaningitsbuyingteamwasableto"makeproductdecisionsasquicklyasfourweeksbeforethein-storedelivery".(SourceTelegraph)Jones,thefootwearbrandhasannouncedtheywillbeclosinganother9stores,whichaddstothe25thathavealreadyclosed.Draperscitedresourcesalsostatetherecouldbeanother10.ItwasrescuedfromnearlycollapsingbackinMarchandthisispartofthestrategytoensuresustainabilitygoingforward. Storelaunchesannouncedthisweek
Forthosebabyclothesaddicts(yesIdocountmyselfasoneofthem),ZarahasopeneditsfirstdedicatedbabystoreinCoventGardenthisweek.IforonewillbetakingalookassoonasIcan!
PolishbrandReservedwillbeopeningtheirfirstUKstoreonOxfordStreetnextmonth.KateMossisheadingtheirbrandcampaign,whichwilladdmassiveweighttothelaunch,asshewillalsobeattendingthestorelaunch.Thisisaddingtotheiralready450storesoperatingin18countries,buttheydoseetheUKasakeymarketforthemtotradein.
Importanttotakenoteof…Sainsbury’saretrialinga30minclickandcollectservice,fornofeeinitsPimlicostore.Youwillbeabletopickup25items.Anotherdrivetobethequickesttomarket!H&Mhasopened16storesin20monthsinIndiaandhasreportedprofitgrowthforthelast6months.Itsdriveinopeningstoresquickly,comparedtoZarawhohavetakenover7yearstoopen21storeshasreallystimulatedtheIndianmarketwheretherecontinuestobemassivegrowthpotentialforinternationalcompanies.
Matchesfashion.comlookstobeintalksofatakeoverbidwhichcouldbeworth£600million.Thisisoffthebackofrecentasalesincreaseshowing61%growthandanEBIDTAriseof£19million.TheworldofonlineOnlineLuxuryretailer,Avenue32hasceasedtradingthisweek,despitetryingtosellthebusiness.OurpickofthearticlesthisweekAsoshavelaunchedtheirvisualsearchontheirappthatallowsyoutotakeapictureofadressoranaccessorythatyoulikeandtouploaditonthesitewhereAsoswillcompareproductsforyou!80%oftheirsalescomefrommobilesitessothisistheprefectaccessoryforthebrand
(Sourceengadget.com)Didanystationerynewstickleourfancy?WearegoingtobeabitbiasedhereasBrightDispositionisfeaturedinStationerymattersthisweek,promotingtheBacktoSchoolMarketResearchreportwhichprovidesawelldetailedcompetitivemarketreviewofBacktoSchoolandalsoindepthpiecesonAmazonandSmiggle.http://www.stationerymatters.news/home/bright-disposition-to-launch-third-back-to-school-report-51975AndtomakesureyouknowtheGossintheoffice!ItsbeenaslowweekthisweekforgossipIhavetosay,SarahHardingonBigBrotherseemedtodominatetheDailyMailgossipheadlines,sorry!http://www.dailymail.co.uk/tvshowbiz/article-4800940/CBB-fans-think-Brandi-Glanville-s-JEALOUS-Sarah-Harding.htmlSeeyounextweek!Thisweek’sROARwascollatedbyFaikaKhurram,RetailAnalystandConsultantatBrightDispositionLtd.Emailroar@brightdisposition.com.
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Sourceshttps://www.retail-week.comhttps://www.retailappointment.co.uk/newshttp://www.retailgazette.co.ukhttp://www.telegraph.co.uk/business/2017/08/15/urban-outfitters-disappointed-sales-decline-continues/http://www.heraldsun.com.au/business/companies/bunnings-uk-posts-89-million-loss/news-story/54477303562b67c4c1888db16bc090c5https://www.standard.co.uk/fashion/news/kate-moss-fronts-reserved-campaign-ahead-of-the-polish-highstreet-brands-debut-uk-store-launch-a3612371.htmlhttps://www2.deloitte.com/uk/en/pages/consumer-business/articles/consumer-tracker.html
