Apparel

Walmart is buying the hot men's clothing company Bonobos for $310 million in cash.    The move is in keeping with Walmart's recent efforts to beef up its online offerings and widen its appeal by buying digitally native brands that target millennials and younger consumers. Founded online in 2007, Bonobos has expanded its assortment over the years and has also opened 35 brick-and-mortar stores ("Guideshops"). It also has a partnership with Nordstrom.   

The Bebe brand is undergoing a transformation — thanks to a new parent company.   Global Brands Group Holding Limited, a leading branded apparel, footwear, and fashion accessories company — and a spin-off of global exporter Li & Fung Ltd., is partnering with the Bebe brand to relaunch a new e-commerce platform. In addition, the company will redesign the brand’s international brick-and-mortar stores to better meet the heightened shopping expectations of Bebe’s consumers.  

A J.C. Penney store is going to be displaced by a fancy fitness club.   Simon announced that the J.C. Penney store at Southdale Center, in Edina, Minn., will close and be replaced by a Life Time fitness center, or ‘athletic resort.’ Expected to open in early 2019, the three-level facility will be operated by Life Time, which currently runs 123 centers in the United States. The centers are designed as one-stop fitness shops offering tennis, swimming, basketball, and yoga along with weight loss and nutrition education.

Cautious consumers kept spending in check in May.     Retail sales in May were essentially unchanged on a seasonally adjusted basis after an upwardly revised gain of 0.6% in April, according to the National Retail Federation. The NRF numbers exclude automobiles, gasoline stations and restaurants.   In May, sales were 5.3% above the year-ago level on an unadjusted basis and increased four percent on a 3-month moving average year-over-year.   

Sports Direct, the largest sporting goods retailer in the United Kingdom, has expanded its presence in the United States.   The company announced that it has completed its acquisition of Bob's Stores and Eastern Mountain Sports. It will initially operate a total of some 50 stores in the Northeast and five EMS outdoor adventure schools, along with e-commerce sites for both brands.   

Six blocks of manufacturing operations, auto body shops, art galleries in Denver are about to be redeveloped and outfitted with the fitting Renaissance-like name of Giambrocco.   The co-venture of Tributary Real Estate and Charles Street Partners is an extension of the wildly popular RiNo District and will include 500,000-sq.-ft. of office space, 350 market-rate and affordable apartments, art studios, and retail “strategically located in hot spots,” according to a press release.  

J. Crew's troubles showed no sign of easing in the first quarter as the retailer posted its 11th consecutive quarter of same-store sales declines.    Total sales fell 6.3% to $532 million in the quarter, ended April 29. Total same-store sales fell 9%.   By brand, J. Crew sales decreased 11% to $428.5 million; same-store sales fell 12%. Madewell sales increased 17% to $84.7 million; same-store sales increased 10%.   

There is good news for retailers in a just-released 2017 back-to-school spending forecast.     Retail sales during the back-to-school shopping season of July and August 2017 will grow 4.0% over 2016, according to eMarketer’s forecast. Retail sales in the U.S. during those core months will reach an estimated $857.18 billion, accounting for 17.0% of total retail sales for the year.