Direct To Consumer (DTC)

Pittsburgh – American Eagle Outfitters Inc. flew high in the second quarter of fiscal 2015, surpassing Wall Street expectations for profit and revenue. AEO reported net income of $33.26 million, an almost six-fold increase from $5.81 million in the prior year period.

The growth pace of cost of sales and expenses was slower than that of sales, helping AEO report such a dramatic rise in profit. Operating income also significantly improved. Total net revenue increased 12% to $797 million from $711 million, aided by an 11% jump in same-store sales.

Jericho, N.Y. - Online shoppers in the U.S. and Canada are willing to sacrifice delivery speed for a lower shipping cost. According to a survey of U.S. and Canadian shoppers conducted by Purolator International, the cost of shipping was identified most often as the single most important concern in terms of the delivery of their purchases.

New Albany, Ohio - Abercrombie & Fitch Co. has named a new brand leadership team the retailer hopes will collectively help drive the Abercrombie brand forward.  

The new brand leadership team includes the following executives:

• Stacie Beaver, general manager for Abercrombie Womens. Having held a variety of senior positions at Abercrombie for more than 15 years, Beaver most recently led the Bottoms business for men and women across Hollister and Abercrobmie.
 

Abercrombie & Fitch Co. has formed a new brand leadership team to help drive the struggling company forward.  

Philadelphia – Although net income at Urban Outfitters Inc. slightly slipped in the second quarter of fiscal 2016 compared to the same period a year earlier, it still beat Wall Street expectations. Net income totaled $66.84 million, down 1% from $67.5 million.

Oakland, Calif. – Stores are apparently failing to deliver the goods when it comes to providing customers the products they want, when they want them. New research from supply chain technology provider GT Nexus shows that 75% of U.S. adults have found a product unavailable in a store in the past 12 months.

And 38% of U.S. adults experienced in-store stock-outs often or very often in the past 12 months.

Seattle – Amazon.com has no shortage of innovative ideas on connecting customers to the products they buy, and reportedly is considering yet another new delivery method. According to GeekWire, Amazon has filed a patent application to use public transportation to help get goods to customers.

Phoenix – Holiday shopping often starts earlier than commonly thought and also frequently being online. According to a new survey of more than 1,000 U.S. consumers from G/O Digital, 62% of respondents go straight to search engines when researching gifts for the holiday season and more than three-quarters look online for holiday shopping deals and discounts.

I recently participated in an SAP-sponsored panel discussion on Game-Changers Radio about how consumer product companies are using real-time consumer insights and engagement. Buoyed by constant customer connectivity, consumer product firms are gaining a much clearer and timelier picture of their end customers, and also directly engaging them near or in real time.

Englewood, Colo. – Home shopping retailer QVC is expanding its omnichannel reach. QVC parent company Liberty Interactive Corp. is purchasing struggling online retailer Zulily Inc. for $2.4 billion in cash and stock.