Target reported weaker Q2 sales, acknowledging it was partly due to backlash over its annual pride month collection in May, first from shoppers who reacted negatively to items like children’s clothing in front-of-store displays, then from LGBTQ groups angered by the company’s response. However, Target’s earnings beat expectations, efficiency efforts including automation and lean inventory.
The coronavirus outbreak is continuing to wreak havoc on retail, with the impact going beyond store shutdowns to online business being shuttered. Companies that closed their ecommerce operations in recent days include fashion brands Reformation, Marysia and The Frankie Shop, and retailers TJ Maxx, Marshalls and HomeGoods.
After spending years trying to shed its “coat factory” branding – think Boston Market on the fast casual side – Burlington Stores is shedding something else: ecommerce. The CEO said ecommerce represents just 0.5% of total sales and doesn’t leverage the company’s “treasure hunt” draw for shoppers, giving stores a huge advantage.