10 RETAILERS AT RISK FOR BANKRUPTCY
Chapter 11 filings are an ongoing retail trend this year. Shifts in consumer spending, declining foot traffic, and e-commerce encroachment continue to challenge retailers. The strength of the economy and consumer confidence may be a silver lining for the industry, but growing debts seem to be insurmountable for vulnerable retailers.
Using data sourced from Credit Risk Monitor, here are the retailers who have the highest risk of going bankrupt as of Q2.
FASHION + MODERN DAY SLAVERY
A new report released by the Walk Free Foundation suggests that besides tech, the fashion industry is the world's second-largest contributor to modern slavery. From child factory workers to those kept in debt bondage by their employers, the indirect support of slavery lies in the supply chain process.
HUDSON'S BAY COMPANY GOES LOCAL
In an effort to give the traditional department store model a fresh makeover, Hudson's Bay Company is opening pop-up stores featuring locally-grown talent. Starting in September and coinciding with Toronto's fashion week, the pop-ups will expose shoppers to up-and-coming local wares.
FRAUD WITHIN INFLUENCER MARKETING
Detecting and preventing fraud within influencer marketing is nothing new, but with improvements in technology, marketers have grown savvier at recognizing fraudulent patterns.
As more retailers explore influencer marketing campaigns, companies like Mavrck, a Boston-based influencer marketing company, are using algorithms to assess followers and accounts that like or comment on posts. The development defines levels of influencer fraud based on engagement or purchased followers. Izea, another influencer marketing company, considers creating a public database of high fraud individuals.
RELYING ON E-COMMERCE
Department stores are in the midst of a major transition following underperforming quarters from the past two years. Now, they're taking different approaches in creating a seamless shopping environment for shoppers by integrating online and mobile platforms with brick-and-mortar.
THIS WEEK'S BRIGHT SPOT
Anna Wintour is not going anywhere. Bob Sauerberg, chief executive officer of Condé Nast, squashed all rumors of the editor's departure. Wintour has reigned at Vogue since 1988, and acted as the artistic director since 2013. Whew, what would Vogue be without Anna???