Blog: Leonie BarrieMay results get a tax break

Leonie Barrie | 5 June 2008

After a succession of dismal months on the results front, May’s performance by US retailers largely seems to have come in ahead of expectations. But the reasons are likely to be short-lived – the main boost having come from tax rebate cheques – and a focus on necessities like food and fuel is likely to take centre stage again in June.
 
It’s also worth remembering that the better-than-expected results this month are coming against weak estimates.

There are also signs that consumers continue to hunt for bargains, with discount retailers such as Wal-Mart (which saw US same-store sales rise 3.9% in May) among the best performers. Teen apparel retailers also seem to be holding up, largely because their core customers are less affected housing downturn, credit crunch and job uncertainty than their parents. But department stores and mall-based retailers continue to struggle.

Many of those retailers whose performance flagged this month also blamed the adverse effect of unseasonably cool weather compared to last May for comps that came in below par. And unfortunately, that’s something that can’t be overcome even in a strong economy.

US: Retailers' May 2008 sales roundup


BLOG

Sign up to try new re:source apparel sourcing tool for free

The old saying "Good things come to those who wait" is certainly true for re:source, the new suite of data-driven sourcing tools being developed by the team here at just-style....

BLOG

State of Sourcing Survey 2018 – Final reminder

A final reminder that just-style’s State of Sourcing Survey 2018 will be closing at the end of the week – so if you haven’t already taken part, then now is the time to do so....

BLOG

The challenge of navigating a rapidly-changing landscape

Faced with a paradigm shift in everything from the way products are sold to the tools and technologies that make them, sporting goods brands, retailers and manufacturers are still trying to work out t...

BLOG

A confusing mix of sustainable cotton options

There's an undeniable desire on the part of brands around the world to clean up their supply chains, and there's no lack of interest in using more sustainable cotton. But the confusing mix of standard...

just-style homepage



Forgot your password?