News

Mahwah, N.J. – Higher selling, general and administrative (SG&A) expenses, including asset impairment charges primarily related to lower-than-expected operating performance at the struggling Justice banner, cut into profits at Ascena Retail Group Inc. during the second quarter of fiscal 2015.

Ascena, the operator of Justice, as well as stores under the Lane Bryant, Cacique, Maurices, Dressbarn, and Catherines banners, said combined same store sales declined 2% during the quarter, ended Jan. 25, due to sluggish sales at Justice.

New York – Activist investor Starboard Value LP, which holds a 4.5% ownership stake in Staples Inc., is telling Staples it needs to improve its board of directors to complete a proposed acquisition of Office Depot. In an open letter to members of the Staples board from Starboard Value managing member Jeffrey C. Smith, the combined companies’ board must have the “proper skill set” in place to oversee the integration.

Sunbury, Pa. – Decreasing pretax income helped reduce net income at Weis Markets Inc. 12% to $13.9 million in the fourth quarter of fiscal 2014 from $15.7 million in the year-ago period. Net sales rose 4% to $713.8 million from $686.4 million, while same-store sales increased 3.5%.

The company attributed its sales increases to its pricing programs, which were fully implemented in the first quarter. Its results also benefited from strong sales increases in pharmacy, HBC and its fresh departments.

Springfield, N.J. – The impact of two replacement stores and a same-store sales increase of 2.5% helped boost net income at Village Super Market Inc. 146% to $6.6 million in the second quarter of fiscal 2015, from $2.8 million in the same quarter a year earlier. Sales rose 5% to $411.2 million, from $392.24 million.

Village Super Market expects same store sales in fiscal 2015 to range from a 1.5% to 2.5% increase.
 

New York – Online wedding retailer and services provider The Knot is relaunching a mobile-first e-commerce site designed to seamlessly engage, match and connect couples with the right local vendors, products and services they need for their wedding. The Knot reimagined the site from the ground up, leveraging learnings built on the success of its mobile apps, with mobile now accounting for more than 50% of the brand's traffic.

Irving, Texas – The Michaels Companies Inc. has launched online arts and crafts classes taught by instructors and industry experts through an exclusive partnership with Creativebug, a subscription-based provider of online DIY instruction. Accessible anytime, anywhere, the video classes provide the novice crafter with basic techniques, such as beginning calligraphy and paper crafting, while also teaching more advanced skills and projects.

By Kent Smith, Galleria RTS

Well-stocked shelves and falling sales is a dilemma faced by many retailers today. New technology advancements such as mobile discount apps are the latest threat to grocery retail sales. Many people simply complete their grocery shopping from the convenience of their own home.

Retailers are finding it hard enough to survive, let alone thrive with channel and segment blurring making it a consumer world. The message is simple, have what you want, when you want it and at the price you want to pay.

By Steve Weber, nChannel

Shopping cart abandonment is a problem that costs retailers nearly $20 billion each year, according to a study by SurePayroll. If you’re putting effort into attracting customers and enticing them with products they’d like to buy, only to have them stop short of the finish line, you’re leaving money and opportunities for repeat business on the table.

Improved customer service programs and a better store experience helped regional grocery chain Weis Markets post a jump in same store sales for the fourth quarter.

The Sunbury, Pa.-based food retailer reported that its fourth quarter same store sales increased 3.5%, while its net sales increased 4% to $713.8 million. During the 13-week period ending Dec. 27, the company's earnings per share totaled 51 cents compared to 59 cents for the same period in 2013. The company's fourth quarter net income declined 11.6% to $13.9 million.

American Eagle Outfitters reported better-than-expected revenue for the fourth quarter, as an improved assortment and fewer discounts drove sales.

The teen apparel retailer said it earned $61.6 million, or 32 cents a share, in the fourth quarter, up from $10.5 million, or 5 cents a share, in the year-earlier period. Revenue grew 3% to $1.07 billion. Same store sales, which includes online sales, were flat, but they beat management forecasts.