In July, we broke down the relative recoveries of outdoor and indoor shopping centers and found that, perhaps unsurprisingly, the former were recovering faster. The combination of shoppers’ concerns about COVID, limitations on which retailers were reopening, and other factors gave outdoor centers an advantage during the early stages of the recovery.
In this Placer Bytes we dive into the data surrounding JCPenney and Darden Restaurants. Despite filing for bankruptcy back in May and being recently bought out by mall operators Simon Property Group and Brookfield Property Group, JCPenney’s foot traffic has been increasing since the retail economy was allowed to reopen across the country.
In this Placer Bytes, we’ll dive into Costco’s return, Nike’s offline future, and what the loss of Pier 1 will mean for the home goods sector. Costco is amazing at what they do. While competitors like Sam’s Club and BJ’s Wholesale surged, there were questions about Costco visits remaining down year over year. Yet, the moment the economy truly began to open up, Costco’s visits returned.
In this Placer Bytes, we dive into the impressive rebound of Trader Joe’s, the potential for American Dream’s reopening, and Home Depot’s two-month-long Black Friday. In March, we noted the unique struggles that Trader Joe’s would likely face during COVID. The brand’s pricing, lack of online orientation, and perception as ‘part’ of the grocery picture as opposed to a one-stop-shop, were factors that we felt would limit success.
In this Placer Bytes, we talk about Macy’s move outdoors, Bed Bath & Beyond’s optimization efforts, and the return of the movies. Macy’s is going to test a new format, shifting away from the traditional indoor mall and focusing more on outdoor centers. And while this is a concept many have been discussing, it only takes a quick comparison to department rival Kohl’s to understand why.
When we last looked at grocery shopping behavior, we noted a few key changes. Visits were shifting from weekends to weekdays and from evenings to mornings. And seemingly, these shifts were driving more time in store, along with a significant shift in visit duration for top brands. But now with the recovery in full swing, we decided to check back in on key behavioral patterns in grocery to see which trends have had staying power and which have returned to “normalcy”.
It was hardly the golden age for department stores before the rise of COVID-19, but the pandemic raised significant questions regarding the future of these stores. So we took a look at two of the most popular department stores across four different states, Kohl’s and Macy’s, to see how both of their nationwide and state recoveries were going.
Everything in retail has been turned upside down in 2020, so it’s exciting to see something continue as normal. Obviously, we’re talking about the unique power of Starbucks to leverage the calendar to its fullest advantage. And while even this success requires COVID-era context, it still emphasizes a strategic approach that will guide the success, or lack thereof, for many retailers in the coming months.
In this Placer Bytes, we break down the sustained success of Kroger, the recoveries of Casey’s and GameStop, and analyze what Dave & Buster’s struggles mean for experiential. We’ve spoken ad nauseam about the strength traditional grocers have shown amid the pandemic and recovery. And have also dedicated a great deal of time to discussing the changes in customer visitation patterns.
In the last few weeks, there has been an endless amount of fascinating retail narratives, but there were three that really caught our attention. Nike was shutting down more of its wholesale accounts, department stores got headlines for less than positive reasons, and Walmart crushed earnings by making more out of less.
In this Placer Bytes, we dive into the recoveries of Lululemon, Macy’s, and Nordstrom to check on the status of some of apparel’s biggest brands. Heading into 2020, Lululemon was the darling of offline apparel and with good reason. Visits in January and February were up 17.1% and 24.8% respectively, continuing a trend of massive growth. Yet, the pandemic posed more than just a short term threat to the brand.
In this Placer Bytes, we dive into At Home and the surging home goods sector and break down Michaels’s recovery. Just as the home improvement sector has seen a powerful surge in visits even as its normal seasonal peak passed, the home goods sector looks to be picking up steam. At Home was up year over year in May, June and July with visits rising 4.8%, 34.1%, and 20.6% year over year respectively.
There are few sectors that rely on the back-to-school season to the same extent as office and school supply leaders. From Office Depot to mass merchandise leaders like Walmart, the season can drive huge returns. So, how has this season played out within the context of the COVID recovery? Context is key to understanding performance, and understanding 2019’s back-to-school season goes a long way in helping to frame the current results being seen.
In this Placer Bytes, we analyze Burlington’s up-and-down recovery, Ulta’s drive to normalcy and how Big Lots trends have differed from others in the space. When Burlington reopened stores, the visits started to flood back in and traffic had returned to just 35.7% down year over year in June. Yet, in July the retailer took a step back with visits down 40.2% year over year.
In this Placer Bytes, we dive into the insane momentum driving dollar stores and a similar power being revealed for Best Buy. The wider “dollar” space appeared among the most likely to see a longer-term boost from the pandemic. The sector is dominated by players with a wide range of goods and lower costs, positioning them well in a time where mission-oriented shopping and economic uncertainty reign.
In this Placer Bytes, we dive into BJ’s continued rise, what Dick’s Sporting Goods performance tells us about back-to-school, and the brands that could benefit from Stein Mart’s closures. When we last checked in on BJ’s Wholesale it was becoming clear that COVID helped to re-establish the brand within the wholesale category.
In this Placer Bytes we break down the data surrounding three major apparel retailers – Gap, Old Navy and Ross Dress for Less. Gap was in the headlines quite a bit toward the end of the 2019 and beginning of 2020, with news that it called off plans to spin-off its Old Navy brand, and would be closing hundreds of stores globally in the next two years. So, as Gap goes through some changes, we dove into the most recent data to see how the brand is recovering.
There were few stories that captivated the fast food industry like the ‘Chicken Wars’ of 2019. And much of this went far beyond the initial surge and centered around the fundamental shift it caused for Popeyes – leading to a near year-long run of ongoing growth. But, the next round is on its way and the combination of new competitors and a rising giant in the sector could make for an interesting season as the Chicken Wars hit their first anniversary.
The world of offline retail has been dominated by two key names – Walmart and Target. The strength of these retailers has centered around a unique ability to build a powerful and sustainable brand relationship. And while the entire retail ecosystem took a hit during the pandemic, these giants included, the recovery has presented an opportunity to really compare the environments they operate in.
In March and April, the home improvement sector was already showing a unique potential for a post-pandemic surge. The brands were enjoying a “lightning in a bottle” moment where essential retail status, home quarantines and an unstable economy were making their offering as valuable as possible. Yet, even for those that saw promise for the sector, the growth has been surprisingly strong and is lasting far longer than anyone could have hoped for.
