Author: Chad Symens

An early Easter did not cause a drop in store visits in April. Shopper traffic increased 12% compared to April 2014. However, storefront conversion increased less than1% year-over-year, as more targeted shopping trips were seen in a more promotional environment.

Several retail verticals saw a decline in sales versus same time last year: 1.15 decline in general merchandise, apparel and furniture; 2.1% decline in clothing and apparel; and 1.6% decline in general merchandise.

Duration of shoppers in stores increased 18% from last year, but consumer caution around spending tax refunds are attributed to the decreased sales results.

Source: Chain Store Age

Canadian Tire is three years into a total digital transformation that includes investments in agile technology solutions to advance its digital strategy, improve store operations and digitally power customer and employee interactions. It is opening a new facility, “Digital Garage” in Waterloo, Ontario. This innovation lab will give the company’s top digital innovators an opportunity to develop new in-store and online technologies at a faster pace.

In addition, Canadian Tire will open a new “showcase Store” in Edmonton, Alberta, offering an expanded assortment and dynamic digital experiences.

“Becoming a world leader in digitizing the retail experience is a top priority for the company,” said Michael Medline, president and CEO, Canadian Tire. “To be a world-class retailer, we are building a strong foundation and implementing the right resources that will successfully take us from the old world to the new. In the Digital Garage, we will create and test cutting-edge software, products and apps in our own environment to take innovation at CTC to the next level.”

Source: Chain Store Age

Accelerated Analytics was proud to visit Swarovski’s flagship store in Las Vegas this week. Swarovski is a customer of Accelerated Analytics, obtaining POS sales and inventory data and analytics for its retailer partners. Analytics include sales and inventory levels, out of stock, sales to stock ratios, sell thru percent and more. Accelerated Analytics was in town participating in the National Hardware Show convention, visiting its customers who sell into Home Depot, Lowe’s and other DIY stores.

Swarovski is the centerpiece of Las Vegas’ newest retail destination, Grand Bazaar Shops. The store has limited edition items such as crystallized Beats Headphones and black and pink skulls. Inside the store is a large video screen with scenes from exotic bazaars, alongside specially crafted panels as platforms to display their jewelry and décor.

Outside, the store is designed to look like a cut crystal. Towering above the store is a 14 foot diameter starburst made of 911 custom-cut Swarovski crystals. The tower puts on a three minute light show every night at midnight, choreographed to music.

A new report from Branding Brand’s Mobile Commerce Index released Wednesday indicates that revenue from shoppers on smartphones rose 73% over last year. In April 2015, smartphone revenue accounted for 13% of total online revenue, which represents a 63% year-over-year increase.

Identifying retail trends for 50 US mobile websites, smartphone conversion increased 31% since April 2014 and smartphone visits increased 29% year-over-year. Conversely, desktop conversion decreased 2% since April 2014, with visits decreasing 8%.

The 50 mobile sites in the index produced a total of 72 million visits and $86 million in revenue.

“This is the second month in a row where desktop conversion has declined,” said Branding Brand CEO Chris Mason. “Because retailers have more ways to interact with consumers than ever before, they must continue optimizing their experiences to keep up with shopping’s increasing complexity.”

Source: Chain Store Age

Based on overwhelmingly positive shopper response to its store pickup for online orders service, Kohl’s is rolling out the service to all of its 1,164 stores in the US. The service allows shoppers to pick up in store within hours of placing an order online.

Kohl’s piloted the service at more than 100 stores in 2014. While the service is currently available for consumers shopping from their desktops and laptops via Kohls.com, it will be rolled out to tablets and mobile phones later this year.

When customers shop online, they have the option to see if the specific item is available at their local store. Two email messages, one to confirm the purchase and the second to indicate the item is available for pick up, are sent. Customers can park in a designated spot and find their items waiting at the customer service desk or fine jewelry counter.

“At Kohl’s, we are committed to putting our customers first, and we know our customers and their families expect an easy shopping experience, regardless of how they choose to shop,” said Krista Berry, Kohl’s executive VP, chief digital officer. “With the rollout of Buy Online, Pick Up In Store to all Kohl’s stores, not only are we are providing our customers greater access to the amazing products they know and love from Kohl’s, shoppers are able to get their items even faster than ever before in the way that’s most convenient for them.”

Source: Retailing Today

As Americans increased their borrowing in March, retailers hope this will result in increased sales. For retail planners of major supply chains, a big question is whether consumers will come back to the stores or get back to buying by going online. Online commerce is far outpacing storefront sales around the world, creating competition for traditional retailers. It is also creating a supply chain upheaval at brick and mortar stores. Walmart, Home Depot and others are trying to determine how to serve that online market as their own online sales are growing.

Moving truckloads of goods to stores is very different from putting together a lot of small shipments and parceling them out to buyers directly. Brick and mortar companies need to figure out how to make the logistics work without cutting into profitability. Many are testing the use of pickup centers in their stores, to see if customers can solve the logistics question themselves.

Source: The Wall Street Journal

Nordstrom is piloting a new service for customers in several US stores, including at its flagship store in downtown Seattle. The service gives customers the ability to text or call the store ahead of time and a store associate will be waiting on the curb with their products when the customer arrives. Nordstrom has allowed in-store pickup of online items since 2008. The retailer also plans to pilot the service for Men’s alterations.

Source: Chain Store Age

The Conference Board’s Consumer Confidence Index for April came in at 95.2. Expectations were to see an increase to 102.2 over March’s index of 101.3. March was very high, beating the consensus forecast of 96.4.

Lynn Franco, Director of Economic Indicators at the Conference Board, said in the release: “This month’s retreat was prompted by a softening in current conditions, likely sparked by the recent lackluster performance of the labor market, and apprehension about the short-term outlook.“

Before the release, Bank of America Merril Lynch economists noted a weak job report in March and climbing gas prices may create less consumer optimism about the economy. Consumers expecting job growth fell to 13.8% from 15.3% and those expecting fewer jobs rose to 16.3% from 13.6%. Also, 11.2% of consumers are expecting wage cuts, up from 9.7% in March.

Source: Business Insider

Starting May 1, J.C.Penney Co. Inc. is expanding its in-store partnership with Sephora, introducing Sephora to 25 additional J.C. Penney stores. Since the exclusive partnership began in 2006, more than 500 J.C. Penney stores feature a full-service Sephora offering.

In addition to these openings, J.C. Penney will expand its square footage of Sephora inside 6 of  its existing locations to an average of 3000 sq. ft. J.C. Penney hopes the expansion to new and smaller markets, as well as its growth of current space, will expand J.C. Penney’s reach as a destination for beauty.

“Sephora is one of the most powerful and exciting beauty concepts in the world, and we want to leverage that reputation to drive the growth of Sephora inside J.C. Penney,” said Ivy Spargo, senior VP and general merchandise manager for Sephora inside J.C. Penney. “With the addition of these locations, we are providing clients with a unique and compelling in-store beauty experience, while generating a wealth of cross shopping appeal.”

Source: Chain Store Age

The National Association of Realtors announced its pending home sales index, which measures contract signings for purchases of previously owned homes, increased 1.1% to a level of 108.6 in March, up from 107.4 in February. The Wall Street Journal surveyed economists who predicted the increase. The index rose 11.1% in March from the previous year.

Home sales have stabilized since dropping a year ago, when interest rates began to rise. Completed existing-home sales increased 6.1% in March. While sales of newly-built homes declined in March from February, they still increased almost 20% from sales in March 2014.

The pending home sales for existing homes rose in the South and the West in March, but fell in the Northeast and Midwest.

Source: The Wall Street Journal