Last week's announcement that Michael Kors would buy luxury shoe and accessories brand Jimmy Choo comes on the heels (heh, heh) of Coach's $2.4 billion deal to acquire Kate Spade. While this particular move is not in and of itself a catalyst for more merger & acquisition activity, there is a growing sense that various forces are converging to drive an… Continue reading The Kors/Jimmy Choo Deal May Usher In A New Era Of Retail Consolidation
Having spent my first 12 years in retail as an executive at Sears, I've followed the company's trials and tribulations with more than a passing interest. And considering my last role at the once-storied brand was leading corporate strategy--where my team was mostly focused on trying to fix the mall-based department store format and making… Continue reading Sears must think we’re stupid or gullible. Here’s why.
For those promulgating the "retail apocalypse" narrative, a key component of their Chicken Little logic is that malls are dying. Moreover, much of the blame is cast squarely upon the growth of e-commerce. While hyperbole IS the greatest thing ever, there is a lot more to the story. So let's try to put this all in a more… Continue reading It’s the end of the mall as we know it . . . and I feel fine
It seems as if major store closing announcements are becoming a nearly daily occurrence. Earlier this week Michael Kors, the once high flying accessible luxury brand, announced it would close at least 100 stores over the next two years. They now join the ranks of Payless Shoes, Macy's, JC Penney and a host of other major… Continue reading Shrinking To Prosperity: Can Store Closings Save Struggling Retailers?
Five years ago I wrote a post entitled: "The next punch in the face", which you can read here. I began by quoting noted retail legend Mike Tyson who allegedly said "everybody has a plan until they get punched in the face." My point, more or less, was that in the world we live in, we're… Continue reading Retail’s next punch in the face
An unprecedented number of retail store locations are closing this year and more announcements are surely coming--though perhaps not quite as many as I suggested in my April Fool's post. Given the lack of innovation on the part of traditional retailers, rampant overbuilding and the disruptive nature of e-commerce, this ongoing and massive consolidation of… Continue reading Wall Street’s Misguided (And Dangerous) Fascination With Retail Store Productivity