News Briefs

A new study reveals that retail breaches are an almost universal industry problem.

According to analysis from security services provider SecurityScorecard, 97% of the top 100 U.S. retailers experienced a third-party data breach in the past year. While only 12% of retailers (including each of the top 20 U.S. retailers) were directly breached, these intrusions resulted from security compromises at 4% of retail vendors, indicating a single vendor cyberattack can affect large numbers of their retail clients.

In addition, 97% of the top 100 U.S. retailers suffered a fourth-party breach (resulting from a compromise at a vendor of a vendor) from just 2% of vendors.

"In the hustle to keep up with holiday sales, retailers must not let their guard down," said Ryan Sherstobitoff, senior VP of threat research and intelligence, SecurityScorecard. "Cybercriminals are lurking, ready to exploit any distraction. A single data breach could devastate a company’s bottom line and irreparably damage consumer trust. It’s imperative to prioritize security — not just for themselves, but for their vendors as well."

To help prevent third-party data breaches, SecurityScorecard advises retailers take steps including implementing automated scanning to detect IT infrastructure and cybersecurity risks across vendor and partner environments, mapping critical business processes and technologies to identify any single points of failure, passively monitoring vendors’ IT deployments to identify and resolve hidden risks, and scrutinizing external technology supporting e-commerce websites.

[READ MORE: The average cost of a retail data breach is…]

SecurityScorecard researchers analyzed the 100 top U.S. retailers based on 2023 worldwide retail sales, assessing over 14,000 domains, including third- and fourth-party vendors.

Academy Sports + Outdoors continues to grow its footprint.

The sporting goods and outdoor recreation retailer is wrapping up 2024 by opening five new stores, including two locations in Florida, in Bradenton and Yulee. Academy is also opening in Searcy, Ark.; Meridian, Miss.; and Corsicana, Texas.  As part of its commitment and investment in these local communities, Academy donated more than $25,000 in total to local non-profit organizations.

“Just in time for the holidays, Academy Sports + Outdoors is excited to provide more customers with a new destination to find a localized assortment of gifts and merchandise that help their family and friends have fun out there," said Eric Friederich, senior VP of retail operations at Academy Sports + Outdoors. "These new stores are enabling us to grow.”

With the five new locations, Academy will have opened 16 new stores across 10 different states, including its first locations in Ohio, in 2024, giving it a total of 298 stores across 19 states.  The expansion  comes as the retailer is looking to open 160 to 180 new stores during the next five years.

Academy stores feature apparel, footwear, sports and camping equipment, hunting and fishing gear, outdoor cooking and more from top national brands as well as the chain’s private label brands.  In addition, Academy offers free services such as grill and bike assembly, scope mounting, bore sighting, line winding/spooling and propane exchange. Hunting and fishing licenses are also available to purchase in stores.

Simon Property Group is reporting a successful Black Friday weekend at its properties nationwide.

The nation's largest owner and manager of shopping, dining, entertainment and mixed-used destinations said it experienced a 6.4% increase in year-over-year traffic at its shopping centers over Black Friday weekend. Year-over-year traffic was up 5.9% on Black Friday and grew throughout the weekend, with a 6.3% increase on Saturday and an 8.2% increase on Sunday. (Data is verified by traffic counters deployed at Simon centers, the company stated.)

The growth was experienced across all of Simon's platforms, with malls up 7.1% over the weekend compared to last year.

"On Black Friday and throughout the weekend, we saw even more evidence of what we already knew: Malls are thriving," said David Simon, chairman, CEO, and president of Simon. "Popular brands throughout our portfolio reported double-digit sales increases over the weekend compared to last year. Coast to coast, we saw lines prior to opening and throughout the day at many of our centers across the country. We look forward to a continued strong holiday season."

While Simon’s properties had a successful weekend, in-store shopping as a whole appeared to take a dip, according to preliminary analysis by Sensormatic Solutions. Shopper traffic on Black Friday was down 8.2% compared to 2023, and U.S. shopper visits were down 3.9% from Nov. 24 through Nov. 29, in line with the in-store traffic trends seen year-to-date.

[READ MORE: Simon targets Gen Z with influencer campaign]

Simon’s data is verified by traffic counters deployed at Simon centers. The company operates shopping, dining, entertainment and mixed-use destinations with properties across North America, Europe and Asia.

Black Friday continued to reign as one of the biggest shopping days of the season. 

Total U.S. retail sales (excluding automotive but including restaurants) on Black Friday rose 3.4% over last year, according to Mastercard SpendingPulse, which measures in-store and online retail sales representing all payment types and is not adjusted for inflation. Online retail sales increased 14.6%, while in-store sales inched up 0.7% compared to Black Friday last year.

Jewelry, electronics and apparel remain the top gift sectors for the holidays, with particular strength in e-commerce for apparel on Black Friday. To complete the outfit, spending on footwear is tracking stronger than last year at this time.

Grocery spending saw growth during the holidays as consumers feasted at home in the two weeks leading up to Black Friday. Restaurant spending on Black Friday showed particular strength.

By region, Mastercard  saw spending outperform in pockets of the country, including Massachusetts, Washington D.C. and Colorado.

Mastercard SpendingPulse measures national retail sales based on aggregated and anonymized Mastercard insights, representing all payment types in select markets around the world.

Mastercard SpendingPulse defines “U.S. retail sales” as sales at retailers and food services merchants of all sizes. Sales activity within the services sector (for example, travel services such as airlines and lodging) are not included in the total retail sales figure.  

A global British athletic retailer is offering pay-over-time options in a new partnership.

JD Sports is teaming with payment network Affirm to let customers pay over time at more than 500 JD Sports and Finish Line locations nationwide, as well as online through the Affirm app. 

"At JD Sports, we’re committed to giving our customers the freedom to shop the latest sports fashion and footwear, while maintaining full control over their finances," said Henry Spear, JD Sports senior VP of digital operations. "We’re excited to partner with Affirm, and we know our customers will appreciate the added flexibility and transparency that Affirm offers as they shop."

In-store shoppers can snap a scan of the QR code at checkout with their smartphone to get started, while in-app shoppers can select Affirm as a payment option on the store page. 

Via either channel, shoppers will go through a quick eligibility check. If approved, they will see customized biweekly and monthly payment plans, with as low as 0% APR, and no late or hidden fees.

"In October, Affirm saw a 50% year-over-year increase in purchases at sporting goods retailers, indicating significant demand for sports fashion and footwear this holiday season," said Pat Suh, Affirm senior VP of revenue. "Through our partnership with JD Sports, we’re making it easier than ever to shop responsibly, whether on the go or at home."

[READ MORE: JD Sports revamps search functionality with AI]

Established in 1981 in England, JD Sports is a multichannel retailer of branded sports and casual wear with over 3,000 stores in 32 territories worldwide.

The amount parents plan to spend on holiday gifts this year depends on their age and how many kids they have.

That’s according to a new survey of 467 moms from pregnancy and parenting outlet What to Expect, which found that on average, parents spend $173 per child each holiday season. Parents with more than one child spend 18% less per child on average than those with one kid. This year, parents with only one child plan to spend $202 on presents, and if there's a sibling at home, they are expected to spend $170 on each child.

Looking closer at the child's age only changes the amount slightly: Kids ages one to four are expected to get $161 worth of presents, while babies 12 months and under are expected to get $168 worth of presents.

[READ MORE: TD Bank: Holiday shoppers shifting from traditional presents to experiences]

On average, Gen Z parents plan to spend $179 on each child, while millennials plan to spend $170 per kid. 

The difference in spending may come as a surprise considering these younger moms earn less than their elder counterparts. Gen Z moms in the survey have an average household income of $56,021, compared to the $76,747 that millennial moms earn annually.

According to a recent analysis from Forrester, total holiday retail sales in the U.S. will grow 3.7% year-over-year and reach $1 trillion in 2024, up from $964 billion during the 2023 holiday season. This predicted annual growth is lower than the previous four years but higher than the average of pre-pandemic years.