News

New York - The Deloitte Consumer Spending Index reached its highest point since November 2013, rising to 4.5 from 4 the prior month. The Index tracks consumer cash flow as an indicator of future consumer spending.    The Index comprises four components – tax burden, initial unemployment claims, real wages and real home prices. Highlights include:   Tax Burden: The tax rate has been effectively unchanged from the previous month at 11.8%.  

The person behind the retro marketing campaign at RadioShack is out.

Jennifer Warren, chief marketing officer at RadioShack, is the latest top executive to leave the troubled electronics retailer as it tries to stave off bankruptcy. The company recently replaced its CFO for the third time this year as it reshuffled restructuring advisers.

Warren joined RadioShack in April 2013 and was one of CEO Joe Magnacca’s first hires when he was putting together his turnaround team.

Washington, D.C. – Apparently, a lot of fraud artists will get their names on the “naughty list” this year. According to the National Retail Federation (NRF) 2014 Return Fraud Survey completed by loss prevention executives at 60 retail companies representing grocery, department, discount, specialty and small retailers, the industry will lose an estimated $10.9 billion to return fraud this year.   

Finish Line CEO Glenn Lyon cited the company’s struggle to keep up with customer demand for new products even as the firm reported an increase in profitability for the third quarter.

The company reported an 11% improvement in net income during the third quarter, rising to $2.58 million from $2.32 million. Lower impairment and store closing charges, a slowed pace of growth in cost of sales, and an income tax benefit all helped spur the growth in profit.

Mexico City, Mexico - Grupo Financiero Inbursa, a banking firm owned by Mexican billionaire Carlos Slim, has reportedly bought the bank division of Wal-Mart de Mexico (Walmex) for $246.94 million, or 1.7 times Walmex’s bank capital.

 

According to Reuters, Walmex has been focusing on selling its non-core assets, such as its restaurant division, in the past year.

Franklin, Tenn. - Vendors are leaving billions on the table because they forget to market to the chief marketing officer (CMO) rather than just the CIO and IT department.  According to a new study from IHL Group, “Hidden Treasure – The CMO’s Budget in Retail,” in 2015, the amount of IT purchased through the CMO’s budget will amount to $7.5 billion in North America.  

Spokane, Wash. - Over half (57%) of retail respondents have an energy/building management system installed, according to an annual survey by energy and sustainability management  company Ecova.  

Indianapolis – The Finish Line Inc. reported an 11% improvement in net income during the third quarter of fiscal 2014, rising to $2.58 million from $2.32 million. Lower impairment and store closing charges, a slowed pace of growth in cost of sales, and an income tax benefit all helped spur the growth in profit.   Consolidated net sales were $395.8 million, an increase of 9% from $364.45 million. Same-store sales rose 4.5%.