Posted Date: 4/20/2010
Best Buy, Dollar General Add 1,000's of Stores
Best Buy's bold announcement to open a thousand new stores is a signal that growth is back after more than two years of stagnation in a challenging economy. Other retailers announcing ambitious plans to expand their store bases include Dollar General, TJX and others. These aggressive retailers are clearly sending a signal that they want to lock in market share when the rebound strengthens rather than wait for a broad-based recovery when most retailers are opening new stores. Find out which retailers are leaping ahead of the curve to gobble up market share now.
Store growth started slowing down during the run up to the Great Recession and came to a screeching halt after the fall of Lehman Bros. in the fall of 2008. But that period now appears over as several major retailers have announced aggressive expansion plans in anticipation that consumer spending is rapidly on the rebound. The retailers listed below are clearly placing their bets that consumer confidence is on the rise there is significant pent-up demand for goods that shoppers postponed purchasing during leaner times.
Best Buy's to Open 1,000 Stores
Best Buy plans to further cement its dominance in electronics by announcing this week it will open up to 1,000 standalone mobile phone shops, according Brian Dunn, chief executive of Best Buy. Dunn told the Financial Times that the company will open 75 to 100 Best Buy Mobile stores this year on top of the 77 outlets it already opened, and will eventually have "a number somewhere between here and 1,000." Dunn said that its small-format mall-based mobile stores are attracting new customer traffic, despite being located within two miles of larger Best Buy stand-alone stores. The retailer recently reported stronger-than-expected earnings citing growing demand for electronics in an improving economy.
Dollar General Adds 1,100 New Locations in Two-Year Period
Dollar General, which has capitalized on the consumer's search for value during the recession, announced plans to open 600 new stores in 2010. The deep discount chain also has plans to remodel or relocate 500 stores. This aggressive growth plan follows the retailer's 500 new store openings and 450 remodels in 2009. A surge in customer traffic and average transaction amount has driven Dollar General to open more than 1,000 new locations in a two-year period. Bargain
Fashionistas Keep TJX Hot, Plans 130 New Stores
The off-price retailer TJX continues to attract bargain conscious consumers who don't want to compromise style. TJX plans to open 130 new stores this year, which will grow the chain to 2,873 stores by the end of 2010. The company intends to open 43 Marshalls/TJ Maxx stores, nine Home Goods stores and eight A.J. Wright stores. The remainder of new stores are planned for Canada, the U.K., Germany, and Poland. The announcement comes on top of the retailer opening 91 stores in 2009. "We have enormous store growth potential," said Carol Meyrowitz, president and CEO, TJX.
Junior Apparel Retailer Solidifies Strength, Plans 100 New Stores
Rue21, the popular low priced seller of junior and young men's clothing announced it will open 100 new stores in 2010. This comes on top of the 86 new stores it added in 2009, bringing the total store count to 535 locations in 2009. With a solid sales increase of 34.3 percent in 2009, rue21 has hit a sweet spot with its young customer base. One of the ways rue21 is winning is through strategically opening stores in small communities with populations under 200,000 people in shopping centers where junior and young men's clothing stores cease to exist.
Fresh-Fruit Chain Hits a Sweet Spot, Plans to Open 85 New Stores
The fresh-fruit gift basket chain, Edible Arrangements, announced plans to open 85 new stores in the U.S. and internationally. The 10-year-old retailer expects to hit its 1,000 store milestone by the end of this year. Last year, the retailer opened 74 new stores. This year, the retailer will be focused on ramping up its international presence by opening stores overseas in India, Brazil, Mexico, Spain and Canada.
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Finding Hidden Opportunities in a Multi-Dimensional View of the Customer
9/15/2010 2:00:00 PM
Moderator:
>>Adam Blair, Executive Editor, RIS News
Panelists:
>>Bob Antall, Managing Partner, Consumer Centric Consulting (C3)
>>Jim Webster, Director of IT, Comark, Inc.
>>Jeremy Grunzweig, Vice President Operations, Store Systems Group, MICROS-Retail
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Differentiate Mobile Retail: The Six Pillars of Success
The fast-moving adoption of smartphones by shoppers means the time is ripe for retailers to deliver mobile commerce that overcomes the challenges of the form factor and capitalizes on the unique capabilities of the medium. Here are six key pillars that you need to deploy to get your mobile program moving in the right direction.
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