Research Topic

Commentary: Downtick in February largely a temporary blip
After solid start to the year, retail is now back in softer growth territory. While the 2.1% rate of overall expansion is not disastrous, it is much lower than the past few quarters and is largely the result of higher gas prices which buoyed sales at gas stations by 15.8%. The pure retail number is more concerning, with the 0.8% increase being the slowest growth recorded since February 2013.
Consumers cautious in February
The delay of tax refunds helped keep consumer spending in check on February. Retail sales in February inched up 0.2% seasonally adjusted over January, according to the National Retail Federation. (The NRF numbers exclude automobiles, gasoline stations and restaurants.) The industry’s performance in February was mixed. Electronics and appliance stores took the biggest hit, with sales falling 2.8% over the previous month.

RILA and Accenture launch tech innovation center

The Retail Industry Leaders Association (RILA) and Accenture on Monday announced the launch of a new initiative that will explore the impact that technologies such as artificial intelligence and virtual reality will have on the retail industry. RILA’s new (R)Tech Center for Innovation will also help retailers create innovative ways of doing business.
Survey: Store retailers leaving money on table

Disappointing shopping experiences are costing brick-and-mortar retailers serious money. That’s according to the recent TimeTrade State of Retail 2017 survey, whose results suggest that U.S. retail stores left about $150 billion in potential revenue on the table in 2016 by failing to offer shoppers the personalized shopping experiences they want.
The world’s most valuable retail brands are…

An online giant and the world’s biggest retailer claim the top two positions in a study that ranks retail companies by their brand value. Amazon ranked as the world’s most valuable retail brand in the annual study by valuation and strategy consultancy Brand Finance. The company’s brand value, $106.4 billion, is nearly double that of Walmart ($62.2 billion), which ranked as the second most valuable retail brand. (An explanation of the ranking is provided at the end of article.)
London tops in luxury retail openings

More luxury stores opened in London in 2016 than any other city in the world. The British capital topped the global ranking for new luxury retail store openings in 2016, according to Savills Global Luxury Retail report. The city saw a total of 41 luxury store openings during the year, (of which 15 were the respective brand’s first ever store in London), followed by Paris, with 36 openings, and New York, with 31. Rounding out the top five were Dubai (31), Hong Kong (25) and Milan (24).
Study: Digitally native Gen Z still prefers to shop in-store

Generation Z is called the mobile-first generation. However, their preference for shopping in physical stores presents new opportunities for retailers. That’s according to a new report from Euclid Analytics, “Evolution of Retail, 2017 Generation Z Shopper Survey,” which found that 66% of Gen Z prefer to shop in store because they like to see, hold and try on products before buying. Also, 28% want to engage with store associates while shopping, the most of any generation.
The retailer with the best customer experience is…

Supermarkets and fast-casual restaurant brands took the top positions in an annual ranking of customer experience. Publix, Chick-fil-A, and H-E-B earned top three positions in Temkin Group’s 2017 Temkin Experience Ratings, a cross-industry benchmark of customer experience. Publix had a score of 84%, closely followed by Chick-fil-A and H-E-B, which both scored 83% in the seventh annual rating.
Report: New robot controlled by user’s brain

The newest robots like the way their controllers think. Rather than relying on touch screens and artificial intelligence, a new “droid” is controlled by a user’s brain responses, according to ReCode.
Costco to hike membership fees

Costco Wholesale Corp.’s second quarter profit took a hit amid higher costs. And for the first time since 2011, the retailer is raising the cost of entry into its stores. As of June 1, Costco’s annual fee for individual and business members will increase by $5.00, to $60. The executive membership fee will go up $10, to $120. Costco’s net income for the quarter, ended Feb. 12, fell 5.7% to $515 million, or $1.17 per share, below Wall Street expectations.
Consumer confidence reaches 15-year high in February

The Conference Board announced a new high for consumer confidence in February, which reached its highest level since July 2001. The index now stands at 114.8, up from 111.6 in January.
Survey: Gen Z loves digital shopping tools — and physical stores

Move over millennials, Gen Z is snapping at your heels. And retailers should take note. Retailers looking to capture share of wallet and brand loyalty from Gen Z – the most digitally- and socially-engaged generation to date — need to step up their focus on new ways of engagement. But they also should pay attention to their physical stores.