Discount Store

Little reason to believe Sam’s Club won’t easily meet or possibly exceed second-quarter same-store guidance that calls for an increase of 3% to 5%, following reports this week from Costco and BJ’s Wholesale club. Sam’s results correlate closely to its warehouse club rivals, and they both reported solid gains even after excluding the distorting effect of higher year-over-year gas prices.

CINCINNATI, MENOMONEE FALLS, Wis., and PLANO, Texas — Macy’s emerged as the big winner among department-store retailers this July, reporting sales growth that exceeded expectations. JCPenney also faired well for July, while Kohl’s sales disappointed. 

Macy’s Inc. reported total sales of $1.6 billion for the four weeks ended July 30, an increase of 5% compared with total sales of $1.525 billion in the four weeks ended July 31, 2010. On a same-store basis, Macy’s Inc. sales were up 5% in July.

NEW YORK — Discount stores will continue to dominate as the destination for the majority of consumers’ back-to-school dollars this year, with office supply stores also remaining strong, according to a survey by Accenture on parents’ back-to-school shopping plans. The majority of parents (59%) will spend between $100 and $500 on back-to-school shopping this year, with 21% of consumers saying they plan to spend more than $500 this year. That’s down from 28% in 2010, indicating a decline in spending on the big ticket items for school.

Shopper marketing conversations these days may be dominated by digital strategies, but the time worn free-standing insert continues to dominate as the distribution vehicle of choice when it comes to coupons.

FSI’s accounted for 89.6% of the 167 billion coupons distributed during the first half of the year, versus 87.3% for the same period the prior year, while digital coupons accounted for less than 1% of total volume, according to the U.S. mid-year 2011 Consumer Packaged Goods Coupon Facts Report released by NCH Marketing Services Inc., a Valassis company.

Retailers who release monthly sales next Thursday will offer fresh insight and hard numbers on back-to-school shoppers’ early season spending behavior and that’s a good thing because so far opinions offered by forecasters are all over the place.

Back in early July, Customer Growth Partners said seasonal sales would grow by 6.2% to $467 billion, the most since 2006, despite economic headwinds.

American consumers may not like inflation, but retailers are enjoying the favorable impact rising prices have on their same-store sales calculations. It was evident last month when retailers reported healthy comp increases and more of the same could be in store for July as it appears retailers are effectively passing through increased prices to shoppers.

GRAND RAPIDS, Mich. — Meijer announced that it is opening a new concept store in the Chicago suburb of Melrose park that will provide a tailored grocery offering and a broad variety of general merchandise.

Called Meijer Marketplace, the new store will be 96,000 sq. ft., about half the size of Meijer's largest supercenters. 

SALISBURY, N.C. — Discount grocery chain Bottom Dollar Food announced plans to enter the greater Pittsburgh and Youngstown, Ohio, markets.

The expansion includes 14 stores that will open in 2012 and is said to create more than 600 jobs.