Sixty percent of Macy’s value lies not in its stores, brands, or IP, but in the dirt below it: its real estate. That’s not a good bellwether for its existence as is.
In the early 2000s, the board game Cranium became a hit. The game combined elements of Scrabble and Pictionary with the goal of helping more people enjoy playing a game. Richard Tait, who created Cranium and sold it to Hasbro in 2008 for $77.5m, passed away in July. Like Mr. Tait, I had been a paperboy, but he went beyond what I ever offered: he came up with a new service that sold breakfast sandwiches along his newspaper route. He increased profits and made customers happier. ...
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Alec MacGillis shares in the Times how online shopping and Amazon in particular are wrecking havoc on retail.
Highlights:
Nationwide, 9,800 stores shuttered in 2019, among them 220 Sears stores.
Analysts predict that brick-and-mortar store closures could reach 25,000 by year’s end.
J.C. Penney, Neiman Marcus and J. Crew filed for bankruptcy, Macy’s furloughed nearly all of its 125,000 workers for months, and countless independent businesses have closed for good.
From 2,000 stores to 182 storesβthatβs how much Sears, the storied retailer that also owns Kmart, has shrunk in just 5 years. Thatβs a reduction of 90%.
Remember when people said the retail apocalypse was over-rated, or over? With the currents affecting Nordstrom, Neimans, Barneys, and Macyβs, I believe that weβre still in the midst of the storm. And, even after these other retailers close, the remaining ones will have to spend $1.50 for every $1 they take in to compete against Amazon. So, will...
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June 16, 2019
June 16, 2019
Business lunch: how retail is changing :)
Old retail is 80% analog. This consists of: the physical store, staff, customer service training, etc. What youβd expect walking into a Saks or Macy's. And it's about 20% tech: computers, cash registers (POS systems), mobile shopping, Google ranking, apps, hiring social influencers, Instagram, etc.
Today, the retailers that are well positioned, growing, and 'hot' carry the opposite equation: they're 20% analog and 80% tech.
Todayβs WSJ does a review of Searsβ downfall. In the same WSJ edition, we see how Amazon and Appleβtwo of the worldβs most valuable companiesβhave had their stock price rise.
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December 30, 2018
December 30, 2018
Before Amazon, there was Sears with 350,000 employees reports todayβs Times. A key difference between the two is that Sears provided quality benefits and wages to employees, Sears paid more per sale in taxes (aka helped local schools more), and Searsβ reach was largely limited to its immediate storesβ locations. Since there was no the Internet, the Sears catalogβs impact was limited.
Todayβs WSJ shares: + Online purchases are up 18% over the last 6 weeks compared with last year. + 1/3 of online purchases will be returned. + Amazon will soon have 60 freighter aircraft. These help it undercut UPS and FedEx.
Notably, Sears and most major retailers lease no airfreight carriers. While times are good, retailers should be taking pages form Amazonβs playbook to avoid Searsβ fate.
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November 25, 2018
November 25, 2018
How fast times change: in 2011, customers clamored to shop at Sears. In 2018, the store was closed.
Seven years ago, shoppers camped out for weeks in front of Best Buy. Not today.
How is your store gonna prepare for 2025?
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October 17, 2018
October 17, 2018
In the last 9 years, Sears has closed about 500 Sears stores (more than half its locations) and closed about 900 Kmarts (more than 60% of those locations).
Even if Sears overbuilt, thatβs a significant retrenching.
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August 28, 2018
August 28, 2018
Malls and big-box stores (like this Sears) are being transformed into airy offices reports todayβs Times.
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December 23, 2017
December 23, 2017
Juliska Ruby Country Estate Holiday Stoneware At Glassworks! Merry Christmas from Glassworks and Cheeks! Glassworks and Cheeks will be open today 10am - 7pm and on Christmas Eve from 11am - 5pm. The Juliska Country Estate scenic dinnerware is a true collection of art. Each piece is first hand painted by artist Deborah Sears and then meticulously translated into decals to preserve the unique look of hand painting. The various scenes weave a charming narrative of country life through its brushstrokes...
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December 21, 2017
December 21, 2017
Juliska Ruby Country Estate Holiday Stoneware At Glassworks! Glassworks and Cheeks will be open Saturday 10am - 7pm and on Christmas Eve from 11am - 5pm.
Merry Christmas from Glassworks and Cheeks! The Juliska Country Estate scenic dinnerware is a true collection of art. Each piece is first hand painted by artist Deborah Sears and then meticulously translated into decals to preserve the unique look of hand painting. The various scenes weave a charming narrative of country life through its ...
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August 13, 2017
August 13, 2017
Sears was the original Amazon, shares today's Times. The downfall: a hedge fund money manager Ed Lampert.
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July 11, 2017
July 11, 2017
Amazon Prime Day has become a national holiday for the entire retail industry.
Here are the Prime Day deals Amazon didn't want you to see.
Here are the Prime Day deals Amazon didn't want you to see
Amazon Prime Day has become a national holiday for the entire retail industry. Kicking off its third annual Prime Day on Monday night, Amazon (AMZN) is offering new deals as ...
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April 17, 2017
April 17, 2017
From Sunday's NY Times, this article highlights how retail is at a tipping point with the shift from brick & mortar to e-commerce. While it is a big concern to all, we have you covered: Bridge has helped its retailers process 32% more in sales over the last year vs the year before. Bridge's mobile retail software has seen an increase of 55% year over year. As the retail landscape continues to shift, we are moving right along with it.
Do you shop on Amazon? How about gilt or other online-only sites? Today's WSJ reports how shopping at some websites may be hurting your neighbors and fellow Americans by getting them fired. Almost 400 department stores are going to close across America--resulting in 1,000s of jobs being cut. I hope that our neighbors quickly get new jobs in what may come next. In the meantime, I encourage us to shop online at local websites and support our communities. Shopping online locally helps support local...
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February 26, 2016
February 26, 2016
Kohls saw an increase of 30% in digital sales. Other retailers made plans to close underperforming physical locations. What is your business doing to invest in its website? Your website will continue to deliver a greater return over your physical store.
Today's cover of the Times reports that businesses selling high-end goods are succeeding while those selling middle class items (think Sears and JC Penny) are suffering. Does this suggest a shrinking middle class?
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