American Eagle Soars and Cashless Payments Pose a Threat
AMERICAN EAGLE SOARS
"This year is going to be a huge year for jeans in American Eagle," says American Eagle CEO Jay Schottenstein. The retailer has surpassed $1 billion in jeans sales (https://www.retaildive.com/news/american-eagle-outfitters-denim-sales-top-1b/549937/) , which was the foundation for much of its fourth quarter growth. Despite inventory complexities, AE plans to expand its size range and continue innovating fabric washes.
In efforts to test new categories, the company will open a space in its New York Soho location for sneakers in a partnership with premium streetwear brand Urban Necessity.
RENT THE RECLINER?
Rent the Runway is expanding beyond just renting designer dresses, denim, and handbags. In a partnership with West Elm, the company will venture into the home categories while offering throw blankets and decorative pillow rentals. Curated by West Elm, the items will consist of soft goods mostly meant to decorate bedrooms and living rooms. Read More |
THIS WEEK'S SHUTTERINGS
This week Charlotte Russe filed for liquidation and will close all its stores. Liquidation sales began yesterday and will continue until April 30th. After closing 28 stores during 2018, Abercrombie & Fitch is planning to close up to 40 stores during fiscal 2019, primarily targeting U.S. locations. Read More |
CASHLESS TECHNICALITIES
Going cashless is an ideal concept for retailers. Nonetheless, laws against cashless stores are being taken up by some of the largest cities in the U.S. The backlash can no longer be swept under the rug.
Still, some retailers are taking a wait-and-see approach, arguing that the number of truly cashless stores is small, and a ban on cashless stores shouldn’t apply to all retailers. To counter, politicians are becoming more vocal, claiming companies who don’t accept cash discriminatory.
Entertaining going cashless? Consider missed and emerging payment opportunities. “I think that the option to pay in cash, can’t be understated as opening up opportunities for [all] individuals to shop at the store,” says Scott Astrada, the director of federal advocacy for the Center of Responsible Lending.
REWARDS ARE IMPORTANT
T.J. Maxx has debuted a new multi-city, pop-up, and interactive game built around the idea of "Maxximizing." Each installment will be curated by five different "tastemakers." The installations include Maxximize Your Style, Maxximize Your Vacay, Maxximize Like a Boss, and Maxximize Your "Me Time" with curlBOX founder Myleik Teele.
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THIS WEEK'S BRIGHT SPOT
Thanks to her cosmetics brand, Kylie Jenner has officially become the world’s youngest-ever self made billionaire at 21. Jenner’s finances first made headlines last July when it was revealed that she had amassed a $900 million fortune. Her products, including her popular lip kits, were only sold online and in pop-up shops until August of 2018, when she signed a deal with Ulta.
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