Major retailers are changing the way they do business because of the recession, a recent NY Times story reports. Here are some of the changes comes to Sears, Neiman Marcus, Saks, Wal-Mart, J.C. Penney, Macys, PetSmart, Target and Home Depot.
- Fewer items in stock because retailers can’t afford to sell extra merchandise at deep discounts. (Wal-Mart)
- Fewer brands to choose from to streamline the shopping process and require less stock on hand. (Wal-Mart, Target, Home Depot, PetSmart)
- Greater connection between in-store and online sales facilitated by in-store computers that lets customers check where an item is available. (Sears, J.C. Penney)
- High end stores will carry more “mid-priced” merchandise. At Coach, about 50 percent of the handbags will fall in the $200 to $300 price range, up from about 30 percent last year. (Neiman Marcus, Saks, Coach)
- Greater regionalization of merchandise that reflects what local customers are asking for and buying. (Macys)
- Shorter lead time for merchandise. I.e. no more swimsuits in February. (multiple chains)
- Greater connection between a retailers and a specific designer, which means more exclusives and fewer price wars because stores will not sell the same item. (multiple chains)
- Better customer service. (Home Depot)
These seem like fairly reasonable ways for stores to adapt. We could grumble over some of these changes, but as a consumer society if we are not willing to spend like we used to, how do we expect retailers to operate as if we are?
June 22nd, 2009 at 9:59 am
Better customer service at Home Depot? Sounds good to me. I was there last week and most of their employees were interested in socializing with each other than helping me find what I needed.
June 22nd, 2009 at 11:57 am
Everytime I USED to go, it was so hard to find anyone to help me, let alone make eyecontact with for “hey I need help!” I now shop at LOWES.
June 23rd, 2009 at 4:42 am
The very best customer service I have experienced was at a Coach outlet. Very Knowlegable and friendly staff. Excellent product and warranty. When I need a new purse…I am definetely going back to Coach.
June 23rd, 2009 at 12:30 pm
well i dont like it i went to macys and nothing was there i went to all the stores and got nothing no where had anytihng good on sale and the stuff that was full price was all picked over and nothing i wanted to see and i dont mind buying a bathing suite in fed that way i know it will still fit im at my winter weight if i loose it then ill get one on sale
June 23rd, 2009 at 1:01 pm
I have also noticed fewer SKU’s at Wal-Mart and Joanns.
July 3rd, 2009 at 1:38 pm
If better customer were the only thing that were to happen as a result of the recession, I would be happy as a clam. Customer service is pretty much non-existent these days, which is ridiculous considering people don’t want to spend their money. When customer service is good, I frequent the retailer, resulting in more sales for them. I also recommend it to my friends and family.