New York—There some ominous clouds beginning to cover what had looked like a bright holiday season. In the first busy week of earnings season, the majority of retailers—from Walmart to Macy’s to Kohl’s—reported slower sales in their third quarters, particularly in October, the month preceding the official start of holiday selling. Citing the challenging and highly promotional stance of retail, several lowered their full year forecast; a sign that they believe their fourth quarter sales won’t hit previous targets.
Commenting on the retail giant’s slight uptick in comp store sales during its third quarter, CEO Greg Foran of the U.S division said: “Overall, I would characterize the (third) quarter’s sales performance as mixed. As we enter the fourth quarter, we see both opportunities and challenges ahead of us”.
‘How Great Promotions Will Be”
Retailers are likely to be biting their nail this month as the majority of bargain hunting consumers are waiting to make purchases when price off promotions begin—and extend.
“Many consumers are going to wait and see how great the promotions will be later this season before making any commitments,” said NRF President/CEO Matthew Shay. “Retailers have reacted to this ‘wait and see’ mentality with fewer October deals and a much quieter entry into November, when we’ll start to see retailers ramp up with offers for exclusive merchandise, deep discounts and unique online savings opportunities.”
There’s plenty of speculation about holiday ahead in these and other of our top 20 online articles of the week:
- Macy’s Inc. Cuts Forecast After Disappointing Q3 Sales
- JCPenney Narrows Q3 Loss, But Sales Do Too
- Kohl’s Q3 Profit Down 30%, Misses Sales Forecast
- Dillard’s Q3 Profit Beats Despite Slower Sales
- Retailer Quick Poll: How Are You Incorporating Fashion Tech?
- Pandora Raises Outlook Despite Profit Miss
- Store Savvy: DSW Crowdsources a Spring 15 Shoe Print
- American Apparel Suffers Big Loss in Q3
- NRF: Holiday Bargain Hunters Hold Out for Deals
- Store Savvy: Sorrelli’s Trip from Showroom to Storefront