News

Salesforce: Consumers still like email
San Francisco – Although email is at the point it’s often considered a “legacy” technology, a slight majority of consumers still prefer it for holiday communication from retailers. According to a new consumer survey from Salesforce, 53% of respondents said that email is their preferred communication channel during the holidays.
PacSun beats Street; 11th quarter of same-store sales increases
Anaheim, Calif. – Pacific Sunwear of California Inc. reported a $469,000 net loss in the third quarter of fiscal 2014, compared to net earnings of $17.7 million the same period the prior year. The loss, which included a charge stemming from a $60 million term loan with Golden Gate Capital, was smaller than expected by Wall Street and driven by one-time charges. Net sales were $212.3 million, up 4.4% from $202.8 million. Same-store sales rose 4%.

New York & Company to enhance efficiencies after tough Q3

New York – An increase in selling, general & administrative (SG&A) expenses helped increase net loss at New York & Company Inc. to $9.7 million in the third quarter of fiscal 2014, up from $3.4 million a year earlier. Net sales declined 3% to $210.6 million from $217.3 million, and same-store sales dropped 3.4%. New York & Company cited soft performance in its wear-to-work category and the impact of product delays resulting from West Coast port labor issues as negatively impacting sales.
Destination Maternity swings to Q4 loss on higher costs

Philadelphia – Destination Maternity Corp. swung to a net loss of $2.48 million in the fourth quarter of fiscal 2014 from net earnings of $5.63 million in the same quarter last year. Higher cost of goods sold, as well as higher selling, general and administrative (SG&A) charges and other charges, helped push Destination Maternity out the black and into the red. Net sales fell 5% to $122.05 million from $128.25 million. Same-store sales dropped 5%.
Express Q3 net income falls, still tops Street

Columbus, Ohio – Express Inc. topped Wall Street expectations with net income of $14.6 million during the third quarter of fiscal 2014, a 24% decline from $19.3 million the same quarter the previous year. Increased buying and occupancy costs contributed to the decline in profits. Net sales decreased 1% to $497.6 million from $503.8 million. Same-store sales, including e-commerce sales, decreased 5%. E-commerce sales rose 11% to $79.1 million.
Cache has interested buyer

New York – Specialty retailer Cache Inc. has received an inquiry about a potential sale of the company to a third-party buyer. The Cache board will explore and evaluate strategic alternatives including a possible merger, sale or other form of business combination.
Google earns top corporate responsibility reputation

New York – Earning a reputation is not always a good thing, but in Google’s case it is a positive development. Google has received top ranking in the new Corporate Social Responsibility (CSR) RepTrak Study from Reputation Index. Google beat out number two company Microsoft, which held the top spot in 2012 and 2013. Nestle exited the top 10 list this year, while Lego is the one new entrant. The full top 10 list is: 1. Google 2. Microsoft 3. Walt Disney
Dollar General reveals ’15 growth strategy as Q4 comps to grow 5%

Even if Dollar General is unsuccessful in acquiring Family Dollar, the company plans to get bigger faster in 2015 by opening two stores every day and enhancing the productivity of an already expansive footprint.
Aeropostale posts loss for 8th straight quarter

Challenging times continue for teen retailer Aeropostale, as an 11 percent drop in same-store sales leads the company to report its eighth straight quarterly loss.

The retailer also said it would close 75 stores in the fourth quarter.
Amazon dabbles in transparency

Amazon has introduced a line of “ethically sourced” products for Amazon Prime members.

Amazon Elements will consist of premium products with “transparent origins,” the company said. Amazon Elements will offer Prime members an upgraded level of information about products: when and where items were made, why each ingredient was included, where the ingredients were sourced and more.
Wawa rides Freestyle soda wave

Wawa will become the first national retailer in the convenience retail channel to offer Coca-Cola Freestyle soda fountains chain-wide.

The Coca-Cola Freestyle machine is a touchscreen soda fountain that features over 100 different Coca-Cola drink products and custom flavors.
Veteran merchant named CMO at Walgreens

Walgreens named former Sam’s Club head merchant Linda Filler to the role of president of retail products and chief merchandising officer.

The hire is a positive development for Walgreens given Filler’s diverse background and accomplishments in a consumer packaged goods industry where many are more likely to recognize her by the maiden named Linda Hefner.