Jun
13
Payless Gains from the Trade Down Crowd
Filed Under Retail
Over the past week, we surveyed various Payless locations to gauge trends in the sales of retail shoes. We asked the following questions:
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Are women’s shoes selling better than kids’ shoes?
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Are most of your shoe styles new since last year?
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Do you anticipate a lot of sale merchandise this season?
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Have you noticed an increase in your business due to concerns about the economy?
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Women’s shoes are selling better than kids’ shoes for 80% of stores. 20% say they’re not.
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Payless is showing a fresh assortment, with 96% of stores saying most of their styles are new since last year. The remainder of 4% says their styles are not new.
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84% of stores expect a lot of sale merchandise this summer. 16% of stores don’t expect a lot of sales.
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74% of stores have noticed an increase in business due to concerns about the economy, while 36% haven’t notice an increase in business.
Conclusion of Channel Check: Consumers are appear to be trading down to Payless shoe stores which could be helping the footwear retailer. Sales activity looks high however, so higher store volume could be offset by lower prices. Generally though higher traffic at discount stores is a positive for chains like Payless.
For access to the underlying survey or for more information, please contact Jason Katz at 415.867.0959 or jason@thechannelcheckers.com
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