News

Amazon launches free same-day delivery for Prime members in select areas
Seattle – Amazon is upping the ante with physical retailers with its launch of free same-day delivery for orders of more than $35 to members of its Prime program.

The new service, called Prime Free Same-Day Delivery, is available for more than one million items and in 14 U.S. metropolitan areas. Orders must be placed before noon local time to be delivered by 9 p.m., seven days a week.
Costco Q3 profit up, sales down
Issaquah, Wash. – Costco Wholesale Corp. reported rising profit in the third quarter of fiscal 2015. But a surging dollar and low gas prices resulted in sluggish sales growth and an unusual same-store sales decline, the company’s first quarterly drop since 2009.

Net income increased 9% to $516 million from $473 million, aided by relatively flat operating expenses.

Total revenue for the quarter, ended May 10, increased 1% to $26.1 million, below Wall Street expectations, from $25.8 million last year.

Target among launch partners for Shazam’s new visual recognition capabilities

Minneapolis – Target Corp. is working with content discovery app Shazam to make print and TV ads shoppable through customer phones. The retailer is participating in the initial launch of Shazam’s new visual recognition functionality, which extends its mobile engagement platform allowing everything from packaged goods to print media and more are transformed from static images into dynamic pieces of content.
Tilly’s doubles profit in Q1

Irvine, Calif. – A lower tax rate and slowed growth in cost of sales and selling, general and administrative (SG&A) expenses helped Tilly’s Inc. more than double net income to $1.3 million in the first quarter of fiscal 2015, compared to $600,000 the same quarter a year earlier.

Total net sales were $120.2 million, an increase of 8% compared to $111.1 million. Same-store sales rose 2%.
Fred’s beats Street on loss, misses on sales

Memphis, Tenn. – Fred’s Inc. beat Wall Street expectations for profit despite swinging to a net loss of $29,000 in the first quarter of fiscal 2015 from net income of $6.1 million in the same period the prior year. The retailer missed on net income of $509 million, up 2% from $498.3 million.

Higher salary and benefit costs helped move Fred’s into the red. Same-store sales climbed 0.8%.

Jerry A. Shore, CEO, said pharmacy is a critical component of Fred’s strategy for profitability moving forward.
Signet tops earnings estimates

Hamilton, Bermuda – Signet Jewelers Ltd. topped Wall Street earnings estimates for the first quarter of fiscal 2016. Signet earnings rose 10% to $118.8 million, from $96.6 million the same quarter the previous fiscal year.

Total sales were $1.53 billion, up 45% compared to $1.06 billion. The increase was primarily driven by the addition of the Zale division. Same-store sales increased 3.6%. E-commerce sales were $76.9 million, up 98.7%, with Zale e-commerce sales a major driver.
IBM releases predictive retail analytics solutions

Armonk, N.Y. – IBM has released new industry-specific solutions with pre-built predictive analytics capabilities for industries including retail, to uncover and act on critical business insights. IBM is working with retail signature design partners including Urban Outfitters.
CBL announces opening of redevelopment at CoolSprings Galleria

CHATTANOOGA, Tenn. -- CBL & Associates Properties announced the opening of the redevelopment at CoolSprings Galleria in Nashville (Franklin), Tenn. Designed to significantly enhance the offerings at the shopping center, the redevelopment of the former Sears location includes adding a mix of new fashion stores and fine dining options as well as a new mall entrance to improve mall circulation.
Express on a roll as Q1 profits, sales top Street

Columbus, Ohio -- Express turned in a strong first quarter performance, with its profits and revenue surpassing Wall Street estimates. The retailer boosted its full-year earnings forecast and also issued second-quarter earnings guidance above analyst projections.

“2015 is off to a strong start,” said David Kornberg, president and CEO. “Our customers responded with enthusiasm to our assortment while we intensified our inventory discipline and scaled back our promotional activity.”
Target CEO Brian Cornell Talks Tech

Brian Cornell, CEO and chairman of Target Corp., has focused on digital innovation since he took the top spot at the chain last August. He recently participated in a Q&A at the high-profile tech event, the Code Conference, in Ranchos Palos, California.

Here are some highlights from his conversation, as posted on Target’s very own Bullseye View blog.
Abercrombie loss widens as sales fall 14%; expects sales to improve

New Albany, Ohio – Abercrombie & Fitch Co. posted a wider-than-expected loss and drop in revenue for its first quarter. But the teen apparel retailer, which is in the middle of a brand update to improve its controversial image, sounded a positive note, noting that its comparable sales continued to improve in May and that it expects sales to continue to improve in the second half.
Walmart funds path to success in Florida

The Walmart Foundation is investing in job training efforts in Florida by giving more than $1 million in grants to 21 nonprofits across the state.

"Through these grants, more than 20 deserving nonprofit organizations will be able to continue funding vital local programs across the state,” said Senate President Andy Gardiner. “Thanks to Walmart and the Walmart Foundation for recognizing the impact these programs have on so many lives. We appreciate their continued investment in communities throughout Florida."