3. Paul Young - Presenter
Bio
• CPA/CGA
• 25 years of experience in Academia, Industry and Financial solutions
• Youtube Channel -
https://www.youtube.com/channel/UCAArky1bAXPSuV2NLtUnyLg
4. Agenda
• Summary
• Retail Sales Breakout by Key Segments
• Retail Sales Growth by Key Segment
• eCommerce
• CPI
• Company profile – Shopco
• Retail Trends – July 2016
• IoT (Internet of Things)
5. Summary
• U.S. retail sales posted a healthy increase in June, another sign that consumer spending picked up in the
spring.
• The Commerce Department says sales at retailers and restaurants rose 0.6 percent from May after, after
a 0.2 percent climb in May. Sales were up 2.7 percent from a year earlier. Excluding volatile spending on
cars and auto parts, sales were up 0.7 percent.
• Spending on building materials and gardening supplies surged 3.9 percent, the most since April 2010.
• Consumers got off to a slow start this year, which is one reason the economy grew at a lackluster 1.1
percent annual pace from January through March. Economists expect spending to drive faster growth
from April through June and the rest of the year.
• Retail sales in June were expected to rise 0.1 percent, after increasing 0.5 percent a month earlier.
• The U.S. government also reported the latest reading on the consumer price index, which showed a 0.3
percent increase
Source: www.census.gov and www.cnbc.com
9. USA - CPI
• http://www.bls.gov/news.release/pdf/cpi.pdf
10. Company / Profile - Shopco
• One of the most impactful retail trends in recent years has been the stress on many big-box chains.
To survive in this brave new world, one company is shrinking the box.
• Truth be told, Shopko has been squeezing the size of its stores for more than a decade.
• “We haven’t opened a big-box store in 15 years,” says CEO Peter McMahon. The Green Bay, Wis.-
based chain, with 363 stores in 24 states, is laser-targeting its growth with Shopko Hometown stores,
small-town locations that are typically about one-third the size of big-box stores.
• Hometown stores attempt to attract local business by offering an array of brand name products at
prices that don’t break the bank.
• “Our whole industry is seeing a reduction in big-box locations,” says McMahon, who joined Shopko
in 2013 from Canadian retail giant Loblaw Companies, where he was chief operating officer.
“Shopko’s future is extending into underserved markets with smaller box stores and fulfilling the
needs of small-town America.”
• For Shopko, it’s a carefully calculated strategy that the rest of the retail world is watching. Can a
retailer whose very essence was wrapped in 100,000-square-foot stores chart a new path to success
by operating 25,000- to 35,000-square-foot locations in rural areas that focus on name brands and
product category expansion, and vastly change the customer experience?
11. US Retail Store Trends – July 2016
• Visa has introduced a payment ring. The first of its kind, the ring is backed by a Visa account and will be given to
all 45 Team Visa Olympic athletes in Rio de Janeiro, Brazil.
• There’s that word again: “phygital.” It keeps popping up, and this time it’s being used to describe the new True
Religion store that recently opened in London. The bi-level store, described by CEO John Ermatinger as “small,
intimate and bright” — embodies “phygital” retail. The bricks-and-mortar space is blended with a series
of digital advancements with the intent of providing each shopper with a more personalized experience.
• At Apple’s recent Worldwide Developers Conference, it was announced that Apple Pay will be coming to Safari
on the new Mac OS, allowing Mac owners to use Apple Pay while shopping on the web.
• Barnes & Noble is blushing about its newest concept, The Glossary. Using a clever play on words, the bookstore
is getting into the beauty game with a concept that brings a Sephora-like experience to on-campus Barnes &
Noble College bookstores.
• When is a box not just a box? When it’s a smartphone holder, a geometric planter or even a three-dimensional
llama. Last month Zappos began shipping a number of shoes in a limited-edition white box that encourages
recipients to reuse, refashion or repurpose the container in new, inventive ways. These specially designed boxes
are created with a collection of templates printed on the inside.
• In case you were not convinced, vegan is officially a white hot trend. Food options abound, and vegan apparel
and cosmetics are quickly becoming mainstays, too.
• https://nrf.com/news/stores-trends-july-2016