Retailers, consumers and prices
Check out how high March retail sales bounced off last year’s weak results — and how April sales are expected to falter.
March same-store sales topped expectations for retailers ranging from teen-focused stores to discounters and department stores, helped by an early Easter, warmer weather and a recovering job market.
But some retail executives rained on the parade, saying that some consumers had shifted their shopping into March due to the earlier timing of the holiday and that sales in April could suffer.
“March was a very solid month, but I think there’s more than enough hints that the American consumer is still fully not back,” said Brean Murray, Carret & Co analyst Eric Beder. “We’re going to see, barring a miracle, materially weaker numbers for April.”
Check out how teen retailers have miscalculated demand this holiday season and are resorting to steep discounts to get savvy young shoppers into their stores.
A visit this week to a Bay Area mall by Reuters reporter Alexandria Sage found that teen retailers such as American Eagle as well as Abercrombie & Fitch and its Hollister chain, have been reduced to slashing prices and offering “buy one, get one for half off” promos to salvage a holiday season that was supposed to be merrier than last year.
Sales for the month of September may have gotten off to a strong start for some retailers thanks to the Labor Day holiday and schools opening in the beginning of the month, but likely lost some steam after that, according to a note from Barclays Capital analyst Jeff Black.