Strategy

Gap Inc. is reportedly steering its store networking strategy away from hardware such as switches and routers.

According to the Wall Street Journal, Gap network architect Snehal Patel told attendees at a recent New York University networking conference that the retailer is transitioning its store network traffic to software-defined routers from Vipeta Inc. The new routers allow Gap to route traffic over the public Internet, maintaining security with encrypted connections.

The Walgreens Boots Alliance/Rite Aid deal can pass Federal Trade Commission scrutiny with as little as 170 retail store divestitures, according to a proprietary analysis conducted by Credit Suisse, but the company will more likely be required to sell off some 950 stores.

The New York attorney general's office has reached a settlement with Lowe's to refund up to 10% of flooring installation fees paid by more than 16,000 customers.

The Associated Press reports that Lowe’s, with 64 New York stores, overcharged the customers with a deceptive sales practice that it has since agreed to halt. The retailer had offered installation of carpeting, tile, wood and laminate flooring by third-party contractors at square-foot rates that were applied to materials bought, not those actually installed.

Dishonest employees and shoplifters pushed shrink rates to record levels and earned the United States the distinction of leading the world in the least desirable of retail metrics.

According to retailers surveyed for the Global Retail Theft Barometer, shrink rose in the U.S. from 1.28% of sales in 2013-2014 to 1.97% during 2014-2015. Globally, this compares to 1.42% , a figure also up from the previous .94% average of all common retailers surveyed the previous year.

Ross Stores Inc. has hired away the chief merchant at Stein Mart to lead merchandising at DD's Discounts.

Ross Stores announced that Brian Morrow will join the company as president and CMO at DD's effective Dec. 7. Morrow will report directly to Barbara Rentler, the company's CEO, and be responsible for directing all aspects of merchandising at DD's Discounts.

While Whole Foods Market and The Fresh Market struggle to eke out sales growth and profit, Sprouts Farmers Market is quietly emerging as a perennial winner in the grocery sector.

Sprouts reported its third quarter results this week, and the company's financials exceeded company guidance and even Wall Street estimates.

The grocery chain reported results for the 13-week third quarter ended Sept. 27 that included:

• Net sales of $903.1 million, an 18% increase from the same period in 2014

For a variety of retailers – from supermarkets, to restaurants, to department and convenience stores – the holiday shopping season represents the peak time of year for staffing up on temporary workers to help meet all of the increase in consumer demand. However, the need to staff up may be even greater this year as some companies have already been operating with limited capacity given the nation-wide labor shortage.

For a variety of retailers – from supermarkets, to restaurants, to department and convenience stores – the holiday shopping season represents the peak time of year for staffing up on temporary workers to help meet all of the increase in consumer demand.