Convenience Stores

Commerce, Calif. and Herzogenaurach, Germany — At the recent SAP Sapphire 2014 conference, 99 Cents Only Stores and Adidas AG both detailed how they are using different SAP solutions in different ways for the same ultimate goal – increased accessibility and transparency of data.

Walmart served up dozens of its top executives to the media this week for two days of store tours and briefings in advance of the company’s shareholders meeting, which began Friday, June 6 at 7 a.m. What follows are 10 key takeaways and select nuggets from the meetings before the meeting.
 

Hoffman Estates, Ill. — Sears Hometown and Outlet Stores Inc. had a difficult first quarter of fiscal 2014, reporting a substantial decline in net income as well as drops in net sales and same-store sales. Net income declined 75% to $3.7 million from $15 million.

Sears Hometown and Outlet Stores CEO and president Bruce Johnson cited weather and promotions as factors affecting the retailer’s first quarter results.

Net sales in the quarter decreased 1.9% to $589.9 million from $601.1 million in the first quarter of 2013, driven primarily by a 6.2% decrease in same-store sales. Lower initial franchise revenues and lower liquidation revenues on end-of-season mark-out apparel merchandise received from Sears Holdings also negatively impacted net sales.

Warmer weather in May meant an uptick in store traffic for a few retailers, including Costco. But the wholesale retailer’s same-store sales for the month — which increased 6%, with a 6% rise in U.S. sales and a 4% increase in international sales — were better than analysts had expected and bolstered by higher fuel prices.

The company reported net sales of $8.78 billion for the month, an increase of 8% from $8.13 billion during the similar four-week period last year.

ECRM compared retail circular advertising in May 2013 versus May 2014 and noted trends occurring across top retail chains. Walmart experienced a 90.1% increase in ads per circular, largely due to a reduction in the number of circulars from 10 in May 2013 to six in May 2014. Despite this decrease, overall page count remained fairly stable. These fewer, lengthier circulars were the result of an increased willingness to promote a number of categories within one circular. Eight of last May’s 10 circulars consisted of four pages or fewer.

No company hired more veterans last year than Walmart, but that distinction was only enough to earn the company the 23rd spot on Military Times annual ranking of the best companies for veterans.
 

Although comparable-store sales at Fred’s declined slightly in May, the company said sales strengthened in the last week of the month thanks to the first ad in its new marketing and branding program, designed to increase traffic and heighten customer awareness of category diversity.

The company’s total sales for the month stayed flat at $151.9 million, compared with $152.3 million in May last year. Comparable-store sales for the month declined 0.4% compared with a 0.5% decrease in the same period last year.