Archive for February, 2010
Target vs. Walmart on price: Worth the effort?
Published February 24, 2010 Discount stores , Retailing , Strategy Leave a CommentTags: Dick Seesel, Retailing In Focus, RetailWire, Target, Walmart
Vudu acquired by Walmart
Published February 23, 2010 Digital Media , Discount stores , E-commerce , new media , Retail technology , Retailing , Strategy Leave a CommentTags: Apple, Dick Seesel, Netflix, Retailing In Focus, RetailWire, Vudu, Walmart
A lot of diverse opinion on RetailWire about whether Walmart made a smart move by acquiring Vudu, a “digital delivery” service for movies and other content. I think it’s a smart move, at least to help Walmart become a player in the category:
Walmart already recognized the power of e-retailing by taking on Amazon more aggressively in the past two years. Now they see a clear future in digital delivery of entertainment as an alternative to rentals or even sales of DVDs and even video games. However, Netflix has a big head-start in this field and has positioned itself (through its marketing, not just its online capability) as the brand to beat. Apple clearly has a horse in this race, too, with the growth of digital delivery to its iPhones and iPads. But — bottom line — this is an important move for Walmart if it wants a serious foothold in the category.
Madonna meets Macy’s?
Published February 23, 2010 Apparel retailing , Department store retailing , Exclusive brands , Retailing , Strategy Leave a CommentTags: Dick Seesel, Exclusive brands, Macy's, Madonna, Retailing In Focus, RetailWire
RetailWire panelists have had plenty of chances to weigh in on the trend toward exclusive brands. The latest discussion focused on a possible tie-up between Macy’s and Madonna, crossing from apparel into several other categories. Here’s my point of view:
Madonna had vast influence on fashion and popular culture in the ’80s…but the question is how her iconic status would translate into a design point of view. The brand position should be “contemporary” but the age demographic is frankly not going to be as young as Macy’s might prefer. It’s certainly an idea worth exploring; many of Macy’s marketing initiatives and exclusive brands are celebrity-focused, and a “Madonna Collection” would fit right in.
Sears Holdings exploits its auto repair business
Published February 23, 2010 Exclusive brands , Investor Relations , Retail development , Strategy Leave a CommentTags: Craftsman, Dick Seesel, DieHard, Kenmore, Retailing In Focus, RetailWire, Sears Holdings
Does “truth in labeling” drive restaurant sales?
Published February 23, 2010 food retailing , Restaurants , Retailers and the Government Leave a CommentTags: Dick Seesel, food retailing, Retailing In Focus, RetailWire, Taco Bell
There has been a lot of discussion lately (including the following comment on RetailWire) about whether restaurants and fast food outlets can help or hurt their sales by being more upfront about calorie and fat content on their menus. Here’s my take:
There is no harm done in improving “truth in labeling” in restaurants and fast-food stores, but the long-term benefits may take years to determine. As the article points out, calorie labeling may drive sales from one menu item to another but may not reduce the overall consumption of fat, calories and sodium. This relates to the recent discussion about the “Taco Bell diet” — several menu items are being marketed as lower in fat and calories, but are consumers simply buying more of each item?
There is a bigger issue on the horizon: The “truth in labeling” on food packaging. Most serving sizes are unrealistically low compared to what people actually eat, providing a misleading perspective on consumption. While nobody is eager for the heavy hand of the government, some more accurate information on food labels would at least allow consumers to make their own decisions with better information.
Macy’s e-commerce efforts paying off?
Published February 23, 2010 Department store retailing , E-commerce , Retailing , Strategy Leave a CommentTags: Dick Seesel, E-commerce, Macy's, Retailing In Focus, RetailWire
I recently commented (via RetailWire) about Macy’s apparent success driving sales through its website. Here’s my observation:
Macy’s has been very aggressive in the past year about using e-commerce to drive sales to its website as well as its stores. I received several e-mails per week about free shipping and other offers intended to drive traffic to their site, and I also found that their assortment is much broader and deeper than some of their traditional department-store competitors. So it’s not surprising that Macy’s is seeing results from its efforts…the only surprise is the number of competitors who haven’t caught up.