Anthropologie

The direct-to-consumer channel helped fuel Urban Outfitter in its fourth quarter.

While Wall Street cheers Urban Outfitters for not doing quite so badly as forecast, the reality is that this is a lousy set of results. Not only are the numbers sequentially worse than a pretty dire first quarter, but they also show that many of the initiatives put into play remain a long way from delivering.  

Urban Outfitters' profit and sales fell in the second quarter even as it topped Wall Street expectations.   Urban Outfitters said it earned $49.91 million, or 44 cents a share, in the quarter, down from $76.91 million, or 66 cents a share, in the year-ago period, as the retailer Analysts had expected the company to earn $0.37 per share, amid heavy discounting.    Total net sales fell 2% to $873 million, from $891 million a year ago. Analysts had expected sales of $862 million. 

Anthropologie has brought its large format retail concept, Anthropologie & Co., to the new Bedford Square development in downtown Westport, Connecticut.    The 35,000-sq.-ft. store boasts dedicated spaces for clothing, footwear, furniture, jewelry, home decor, and more — accented with one-of-a-kind decor from the retailer's talented visual team. It also features a beauty boutique and wedding gown department.  

It is the end of an era in retail. One of the most prominent — and legendary — chief executives in retail is stepping down.   Millard “Mickey” Drexler will step down after almost 15 years as J. Crew’s CEO as of July. He will continue in his role as chairman. Drexler is the former CEO of Gap Inc., which he built into a retail powerhouse. He was abruptly fired in 2002 by Gap founder Donald Fisher amid slumping sales and the chain's falling stock. (Prior to Gap, Drexler oversaw a turnaround of Ann Taylor.)

I’ve seen the future of retail. And it’s not all online, not by a long shot.

First, let’s deal with the elephant in the room. Yes, traditional brick-and-mortar retailers are confronted with challenges on multiple fronts. Adapting stores to accommodate today’s digitally savvy and demanding customers is no easy feat.

Large-format experiential stores focus on customer experience, convenience

At a time when many retailers are cutting back on brick-and-mortar investments to focus on e-commerce, a few notable ones are taking the opposite approach. They are launching large-format experiential stores to immerse customers in the full brand experience and offer items in each product category, from couches to dresses.

At a time when many retailers might be cutting back on brick-and-mortar investments to focus more on e-commerce, a few notable ones are taking the opposite approach and launching large-format experiential stores to immerse customers in the full brand experience and offer items in each product category, from couches to dresses.   

A recent Washington Post article pointed out that Anthropologie posted four straight quarters of flat or declining comparable sales and J. Crew saw comparable sales drop 10% in the last year. Banana Republic has seen a decline in comparable sales for the past 13 months, including a staggering 14% plunge in July. Weak sales numbers have also plagued Gap and Ann Taylor.