Retail Value Chain Federation Annual Fall Conference Kicks Off Sunday, Nov. 6th

RVCF's Annual Fall Conference is just a few days away! We're working on dozens of last minute details and are looking forward to seeing our customers and partners as well as make new connections.

Attendees can find us in the exhibit hall at booth #30. You'll ahve the opportunity to learn more about us and what we do and will have two opportunities to win one of our grand prizes - two Merge VR Virtual Reality headsets! Entering to win is easy. Stop by the booth and spin our prize wheel to earn an entry into the drawing for the first headset. To earn an entry for the second headset, post a picture from our booth on Twitter, tag us (@AccelAnalytics) and include the hashtag #ToolstoWinatRetail.

On Tuesday, November 8th, Director of Sales and Marketing Jennifer Freyer will present our session "The SOP of POS" at 1:30 pm. Join us in Salon C,D,E to find out how retailers and vendors can FLIP the usual process of managing point of sale data around to get results. Whether you're a retailer or a vendor we'll help you understand the value of POS data and how it can help your business.

If you have questions or would like to meet with us at the conference, please click here to set up an appointment.

Retail Spending Gathering Momentum, Strong Holiday Rebound Expected

According to the Customer Growth Partners’ 16^th Annual Holiday Forecast, retail sales for the November-December holiday period will reach $632 billion. The record figure represents an accelerating 4.1% year-over-year increase in holiday sales and significantly exceeds 2015’s tepid 3.6% growth. 

Rising incomes and deflation in food prices, apparel and electronics are fueling the growth.

“Consumers remain cautious, shop close-to-need and focus on value — but retail spending is now gathering momentum, and is about to unleash years of pent-up demand,” said Craig Johnson, president, Consumer Growth Partners, a retail and consulting firm. “Holiday 2016 is poised to turn out better than many expect—and may well turn out to be a lot better.  After a long slow spell, retailers may finally have some real holiday cheer, to cheer about.”  

Key finding in this year’s survey include:

• Boosted by the ongoing housing recovery and led by the home improvement category, home-related categories will shine with growth of 5.7%.

• Health and beauty retailers, from drug stores to specialty stores, will pace all other merchandise categories with year-over-year growth of 7.4%.

• Accelerating from last year’s already strong pace, online and other direct-to-consumer sales will grow 13.9% year-over-year, and will comprise more than 17% of total holiday spending.

• Though outerwear sales are flat with this fall’s warm weather, apparel will see robust unit growth approaching 4%, though deflation will hold dollar sales growth to a weak 1.5%. Key fashion trends this year include bomber jackets, long sweaters and wraps, denim and footwear.  

• With sluggish mall traffic and a value proposition far less relevant to millennials than to their parents or grandparents, most department stores will struggle again this year. A 2% year-over-year decline is expected.

• After a poor year for luxury, “hard” luxury such as high-end jewelry may at least see a late-season rebound.

Source: Chain Store Age

A New Resource for Both Customers and Inventory Management: The LoweBot.

Beginning this fall in Lowe’s locations in the Bay Area, customers will have a new resource to answer their simple questions. Meet the LoweBot. A NAVii autonomous retail service robot that will be rolling out in 10 stores over the next 7 months.

The LoweBot will be capable of scanning inventory and capturing real-time data, and will be there to answer simple questions so that Lowe’s employees can focus on offering project expertise and personalized service.

"We designed the NAVii robot to make the shopping experience easier for consumers – simplifying the process of finding the product you're looking for – while also managing the back-end and keeping shelf inventory up-to-date for the retailer," said Marco Mascorro, CEO of Fellow Robots. "Leaving the data and simple recommendations to NAVii allows Lowe's employees to devote their attention to the Lowe's customer, to provide them with thoughtful advice and personalized service."

Source: HBS Dealer

Luxury Goods Have Lost Their Shine

High income shoppers in the U.S. have had their confidence shaken in recent months. Between Britain’s vote to leave the E.U. and economic uncertainty in China, coupled with global stock market and currency swings, luxury brands are suffering.

China is attempting to drive down conspicuous consumption amid a slowing economy, and Chinese tourism growth has ground to halt around the world, meaning fewer visits to U.S. Department stores such as Neiman Marcus and Bloomingdale’s. Luxury retailers have every reason to be concerned.

A slowdown in the U.S., the world’s biggest luxury market could send luxury sellers into a tailspin. Big spenders in the U.S. are holding back due to economic uncertainty at home and abroad. Over the past three years, Americans have contributed significantly to the growth of luxury goods, second only to the Chinese. But for now, both are pulling back. And, some luxury brands are concerned that the uncertainty surrounding the upcoming U.S. election will dampen the market further.

With the U.S. stumbling, there are few other places for luxury sellers to find growth. With the pound’s weakness against the U.S. dollar and the euro, it’s possible that Britain could offer an opportunity. But the U.K. represents just 6 percent of the global luxury market so the opportunity is relatively small.

Some brands, like Accelerated Analytics’ customer LVMH, are weathering the storm due to their diverse set of businesses. And, affordable luxury brands, such as Kate Sade and Stuart Weitzman, may benefit from shoppers trading down to more affordable luxury brands.

Source: www.bloomberg.com

Data Analytics Among Strategies to Combat Loss in Omnichannel

With new technologies hitting the market on a regular basis, the retail industry is constantly evolving. Most retailers now operate in a technologically sophisticated omnichannel environment that includes strategies to enhance selling, including online, mobile retail and social media marketing.

In a 2015 retail industry survey conducted by PricewaterhouseCoopers, findings revealed that technology is making it more difficult for retailers to prevent, detect and manage loss.

“At the core of omnichannel is the concept that a customer can securely purchase and receive their product in any manner they desire,” Zawoyski says. “For many retailers with legacy pre-omnichannel operations and systems, ensuring secure and dynamic customer purchasing and fulfillment is a significant challenge. Beyond the well-documented data breaches and information security risks, many retailers struggle with ensuring supply chain inventory accuracy.”

According to the PwC report, many companies haven’t fully integrated new technologies that are needed to combat loss in omnichannel effectively. One key recommendation for the report: Retailers should embrace the process of root cause analysis while increasing their use of data analytics to better spot and mitigate shrink. Zawoyski says 59 percent of respondents reported they are employing data analytics and end-to-end root cause analysis as a primary tool to identify losses.

One of the many strategies that PwC suggests to enhance root cause analysis is to leverage data analytics.

“Effectively leveraging advanced analytics and end-to-end root cause analysis allows retailers to assess, strategize, plan and deploy risk mitigation programs,” says Zawoyski.

Sources: National Retail Federation: STORES magazine, June 2016, PricewaterhouseCoopers

Macy's Set to Unveil New Store Design

Retail giant Macy’s is set to debut a new store design at its remodeled location in Easton Town Center in Columbus, OH later this month. According to a report by The Columbus Dispatch, construction began on March 27th – with work taking place as the store stayed open – and the new store design prototype will be introduced on June 25th.

Everything from the lights to the flooring, fixtures and merchandise itself will be new. The model features “lifestyle” departments and leased businesses, a concept that recently gained attention when JC Penney tried it. For example, the new Restore, Nourish and Strengthen Department includes footwear from Finish Line, various brands of athletic apparel, Gaiam Yoga merchandise, Fitbit watches and a Berry Blendz full-service juice and smoothie bar.

“This is the new way Macy’s is looking at the customer,” said Andrea Schwartz, vice president of media relations and cause marketing.

Macy’s is hiring 117 additional employees at the Easton store to support several new initiatives and is counting on its heightened focus on customer service to make the physical changes to the store successful. One example is the Connect @Macy’s kiosk which will offer one-on-one service to customers as soon as they walk into the store. Additionally, Macy’s will offer a free personal-shopper service called My Stylist @Macy’s.

So far the Easton store is the only prototype.

Source: The Columbus Dispatch

Retail Sales Rose More Than Expected in May

According to the Commerce Department, U.S. retail sales rose 0.5% in May, beating a forecasted increase of just 0.3%. This followed a 1.3% increase in April and lifted sales 2.5% from a year ago.

The second straight month of gains was fueled by Americans purchasing automobiles and a range of other goods, suggesting economic growth despite a slowdown in job creation. Sales at clothing stores rose 0.8%, the largest gain in six months. Online retail sales, sporting goods and hobby stores all rose 1.3% last month and restaurant and bar sales climbed 0.8% Electronics and appliance outlets also saw a rise in sales with a 0.3% increase. Not everyone saw an increase in retail sales. Sales at building materials and garden equipment stores fell 1.8%, and furniture store sales dipped 0.1%.

The growth in retail sales could impact economist’s second quarter GDP growth estimates which are currently around a 2.5% annualized rate.

Five Below Exceeds Expectations

Specialty retailer Five Below had a strong first quarter, beating Wall Street projections for earnings and same-store sales over last year. Their net income for the first quarter of 2016 was $6.8 million, up an impressive 58% from the same time period last year. Net sales rose 25% from $153.7 million to $192.7 million and the company reported same-store sales growth of 4.9%.

“We are very pleased with our first quarter results that once again demonstrate the universal appeal of Five Below and the disciplined execution of our key initiatives,” said Joel Anderson, CEO. “Our top-line outperformance was driven by continued strength at both our new and existing stores.”

Five Below opened 21 new stores in the first quarter of 2016 giving them 458 stores in 28 states.  They expect to open a total of 85 new stores this year, including 28 in the second quarter.

Net sales and net income are expected to continue to grow in the second quarter, with projected net sales in the $216 to $219 range and net income expected to reach between $8.5 and $9.2 million.

Source: Chain Store Age

How Millennials are Revolutionizing the Beauty Industry

For the multi billion-dollar beauty industry, appealing to millennial consumers – the largest generation in America - isn’t just a good idea, it’s crucial.

According to market intelligence agency Mintel, the beauty industry saw revenues of over $46 billion in 2015 and is projected to grow to over $51 billion by 2020. Women ages 18 to 34 are the biggest portion of the $13 billion dollar cosmetics market and they’re the most likely to be heavy buyers, meaning they purchase more than 10 types of products per year.

But, when it comes to beauty products, millennials are suspicious shoppers. Burned by stressful counter experiences and exaggerated magazine reviews, they’re distrusting. Their skepticism is impacting how, why and where beauty purchases happen, and the industry is evolving in response, effectively changing the way all consumers shop for beauty.  Here’s a summary of the changes you may notice:

Try Before You Buy

Product testing is vital to today’s beauty buyer. Online beauty purchases are down and stores like Ulta and Sephora, where trial stations and testers are the norm, are growing. According to a survey conducted by TABS Analytics, Ulta experienced a 41% increase in regular buyer purchases in 2015 compared to 2014. And Sephora reported a 25% increase in buyer penetration and a 32% increase in regular buyer purchases last year over the previous year. Clearly, consumers want to try before they buy. And retailers are listening as more offer samples and bring products out from behind counters.

A-La-Carte Beauty Solutions

According to the TBAS Analytics report the big brands, like Accelerated Analytics’ customers L’Oreal, Estee Lauder and Clinique, among others, are still going strong. What does seem to be changing is the belief that any one brand can provide all solutions to all of their problems. In other words, millennials like to have a choice. This means the door is opening wider for niche and specialty lines like Anastasia Beverly Hills which has seen significant growth. “The consumer has demonstrated a very high capacity to try and use multiple brands and that tendency seems to be growing over time,” says Kurt Jetta, Ph.D., CEO and lead product developer for TABS Analytics.

Fewer Sales People

While 90% of beauty purchases are still made at brick and mortar stores, today’s buyers are researching before they buy and thus taking the experience into their own hands. Beauty consumers are turning to online reviews, beauty blogs, YouTube, and the advice of friends prior to their purchases. All of this pre-purchase research boosts buying confidence and helps match expectations with reality, but it also means that the traditional makeup counter salesperson is becoming obsolete. They’re being relegated to a supporting cast member that shoppers only seek out when absolutely necessary.

Source: www.racked.com

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Overregulation: Burdening America's Small Retailers

In an effort to gauge the views of small business retailers on the overall economic environment, the health of their individual businesses and the impact of public policies, the National Retail Federation commissioned a survey that was conducted online by GfK in December 2015 and January 2016.  752 small business owners participated and they represented a balance among demographic factors including gender, age, political ideology and geographic location.

The survey found that government regulation is a consistent point of difficulty for small retail businesses. Eight out of ten stated that government regulations actually weaken the appeal of owning a small business, and seven out of ten retail small business owners feel overwhelmed by rules and mandates on how they operate their business. The infographic below shows a sneak peak of the study and the full report is available on the NRF website at https://nrf.com/resources/retail-library/overregulation-burdening-americas-small-retailers.

Source: nrf.com

Build vs. Buy: Outsourcing your POS data-reporting and analytics is faster, easier and less expensive than building an in-house solution

Retail POS data holds the key to understanding how your products are performing at a store level. But it can be a daunting task, not to mention a drain on resources, to gather, analyze and report on EDI 852 and POS data from all of your retailers. Our newest infographic compares building an in-house solution to outsourcing your POS data-reporting an analytics. While there are beneifts to each approach, outsourcing the solution is faster, easier and less expensive. Complete the form below to request our FREE infographic!

 

J.C. Penney is Expanding it’s Relationship With Sephora

J.C. Penney’s successful 10-year relationship with global beauty brand Sephora is expanding. Sephora currently has over 1,780 locations in 29 countries including 370 in North America and 546 in-store shops inside J.C. Penney stores. The department store retailer announced that it will open 60 additional Sephora shops in Penney stores by June 17^th. Among the new shops will be a 3000 s. ft. flagship shop located in the newly relocated Penney at Northridge Mall in Salinas, CA. It will feature a larger assortment of emerging brands, merchandise displays and expanded room for service.

When Sephora made its debut inside J.C. Penney in 2006, it was a new concept.   

“J.C. Penney was one of the first department store retailers to forgo the traditional beauty counter and work with a global beauty brand to build a dynamic Sephora shop inside its stores,” Angela Swanner, senior VP for Sephora inside J.C. Penney. “Ten years and nearly 600 locations later, Sephora inside J.C. Penney has become a leading beauty destination that will continue to be a growth driver in 2016 and beyond."

The Penney-Sephora partnership isn’t limited to physical stores. Sephora also has a significant online presence on Penney’s e-commerce site.

Source: Chain Store Age

Lowe's Launches New Social Campaign on Snapchap and Facebook in a Push to Reach Millennials

Lowe's Home Improvement is launching a new social campaign to make sure they’re reaching millennials as the tech-savvy generation begins to reach the age when they start settling down and buying homes. According to the Wall Street Journal, Lowes is turning to Snapchat and Facebook mobile video to help first-time home buyers discover home improvement tricks.

In the push to reach new potential customers who spend time on visual and video-driven social media platforms, Lowes is working with Omnicom advertising agency BBDO to create a new series of social videos. The Snapchat video series is called “In-A-Snap” and it allows consumers to follow along with home improvement projects and tap the screen to complete specific tasks. On Facebook, Lowes will be the first marketer to take advantage of a flip video application on Facebook’s mobile feed that allows viewers to change the orientation of the video. The “FlipSide” videos, which link back to Lowes.com, show simultaneously what can happen if a homeowner doesn’t tackle spring cleaning projects, versus what happens when a homeowner cleans the gutters, changes air filters or prunes overgrown shrubs.

Lowe’s Chief Marketing Officer, Marci Grebstein said, “The challenge as a marketer today is, how do you continue to engage consumers differently and within different social media platforms. We have been able to create informative and entertaining content based on how the platform works.”

Sourcse: The Wall Street Journal, Retailing Today

Study Shows Department Stores Should Close Locations to Restore Productivity

According to new research by Green Street Advisors, department stores need to close hundreds of locations to recapture the level of productivity they had a decade ago in 2006. The real-estate research firm estimates that approximately a fifth of all anchor space in U.S. malls, or roughly 800 stores, could be a part of the closures.

As retail business has shifted to discounters or online merchants like Amazon.com in recent years, many large retailers have closed locations. Sears recently said it would close 78 stores including 68 Kmarts this summer as part of a plan that was announced in February. But according to Green Street, Sear would need to close 300 or 43% of its stores to regain the sales per square foot that it had in 2006.

To return to 2006 productivity levels, Green Street estimates that JC Penney would need to close 320 stores (31%), Nordstrom Inc. would need to close 30 stores (25%) and Macy’s, which closed 40 stores last year, would need eliminate an additional 70 stores (9%). 

Sales at U.S. department stores averaged $165 per square foot in 2015 which represents a 24% drop since 2006. But stores only reduced their physical footprint by a total of 7% over the same time period.

“Department stores used to be a great catchall for different brands, but today many of the brands have stores of their own, and shoppers can also find them online,” said DJ Busch, a senior Green Street analyst.

The stores have declined to comment on the Green Street Report, but have indicated that closing a large number of stores isn’t the right strategy to improve productivity in today’s dynamic retail market.

“There’s a misperception out there that when we close a store, that business transfers online,” Ed Record, Penney’s chief financial officer, told analysts in November. “When we close a store, particularly in a small market, we see our dot-com business go down.”

Macy’s has attempted to lure shoppers into their stores by adding Bluemercury beauty shops and Backstage discount stores to it’s department stores, and a spokesman for Nordstrom said that all of its stores are profitable, and closing stores “is not our normal practice.”

Source: The Wall Street Journal

Three Factors Contributing to Continued Weak Retail Traffic

The second week of April continued to see sluggish retail traffic. According to reports by Citi Research analyst Kate McShane and Cowen and Co. analyst John Kernan, total U.S. retail visits for the week ended April 16 declined 6.58 percent year over year. Total U.S. retail same-store traffic slid 8.75 percent year-over-year for the week while year-to-date retail visits are down 3.4 percent. In a report released this week, Cowen and Co. outline several factors contributing to the decline.

E-commerce and Mobile Growth

According to the Cowen report, holiday e-commerce sales increased about 14%, while mobile currently captures 61% of consumers’ time spent shopping online. The increased competition from e-commerce and the pressure to maintain brick-and-mortar locations contributed to several large retailers filing for bankruptcy in recent months.

Lack of Trends 

Retailers continue to be plagued by what Cowen and Co. termed “product malaise”. Either brands and retailers are not creating /offering enough fresh and exciting product to compel consumers to spend, or consumers simply aren’t as interested in purchasing “stuff” these days.

Election Year Politics

Retailers have notoriously blamed sluggish traffic and sales during an election year on the hype and uncertainty surrounding a presidential election. The campaigns and debates may draw attention away from retail shopping, plus high-end shoppers may scale down their spending before an election if they fear an increase in taxes when the next president takes office.

One tactic vendors and retailers can use to weather the storm is remaining focused on inventory and consumer buying trends using POS data and analytics. Research continues to show that when people find a product that they really like, they will buy it. With comprehensive data and reports readily available, vendors can make informed decisions that help ensure their customers can find and buy their product.

Source: footwearnews.com

Amazon Offers a New Prime Option: Monthly Membership

Since it launched in 2005, Amazon has offered its annual Prime membership plan for $99. That breaks down to $8.25 a month. This week the company launched two new subscription plans: a monthly Prime membership plan for $10.99 a month and a monthly Prime Video membership plan for $8.99. Neither requires an annual commitment.

The monthly Prime membership will include all of the same benefits you receive with an annual Prime plan, including free two-day shipping. The Prime Video membership includes all of Prime’s video content, but does not include the free shipping. Industry observers are calling the new video membership a direct challenge to Netflix and Hulu. With the success of critical hits like Transparent and Mozart in the Jungle, Amazon has worked to expand its Prime Video service over the past year and plans to release several more original series in 2016.

Though Amazon does not typically release specific Prime data, it has been estimated that there are at least 46 million U.S. members and that Prime members spend up to twice as much as non-Prime members in the course of a year. The e-tail giant has recently been making a number of competitive maneuvers designed to expand the reach of Prime. These include bundling Prime as a monthly service for Sprint mobile subscribers and making its Prime Now same-day delivery option more accessible by adding it in 11 new markets. And while the two new plans will cost consumers more than the original annual plan, they offer a way to ease into a Prime membership without a major commitment.

Source: Chain Store Age and Wired.com

Retailers Unprepared for Future Labor Challenges According to Survey

JDA Software Group recently conducted a new survey of more than 250 store managers and found that retailers are unprepared for the “perfect labor storm” that’s brewing. It’s fueled by new and shifting labor regulations and ever-expanding customer needs.

The Voice of the Store Associate Survey found that over half of respondents feel only somewhat prepared to staff appropriately to meet customer demands. They rely primarily on outdated forms of scheduling, like pen and paper, whiteboard or an Excel spreadsheet, and have yet to develop and deploy a modern workforce management (WFM) solution into their planning process.

Retail store managers face staffing challenges due to the increased demands that come with services such as Buy Online Return In Store and Buy Online Pick Up In Store. And, the lack of automated systems to predict staffing needs is resulting in increased labor costs. In addition, state and federal agencies are proposing and passing new labor laws that will have a direct effect of how retailers manage and pay employees.

“The research raises serious questions as to how much attention retailers give to managing their staff efficiently, predicting customer demand needs and complying with new or pending labor regulations,” said Tyler Owen, senior director, global solutions strategy, store operations, JDA Software.

Source: Chain Store Age

H&M’s Expansion Plan Includes 425 New Stores

Swedish retailer H&M recently revealed its aggressive plans for both physical and digital growth in 2016. The company will open its 4000^th location when they add 425 stores this year. H&M also plans to expand its e-commerce efforts to Japan and 10 other markets.

“Our strong expansion continues, we are gaining market share and we are confident that we can grow at a fast pace both through stores and online, in existing as well as in new markets, for many years to come,” said H&M CEO Karl-Johan Persson. “The spring will bring many store openings, for example the opening of flagship stores in South Africa, Switzerland, Hungary and India. Since 2010 we have doubled the number of stores in the group, and this April we will pass another milestone when store number 4,000 opens.”

H&M has chosen Mall of India in New Delhi as the location of it’s 4000^th store.

The addition of 11 new e-commerce markets will give H&M omnichannel capabilities in 34 markets by the end of the year. Their new markets include Japan, Ireland, Croatia, Slovenia, Estonia, Latvia, Lithuania, Luxembourg, Greece, Canada and South Korea.

Source: Chain Store Age

First Revenue Decline a Wake-Up Call for Retail Giant Walmart

According to its annual financial filing released on Wednesday, for the first time since the company went public 45 years ago, Walmart’s revenues declined from the year before.

With over 11,500 store in 28 countries worldwide, the retail giant brings in half a trillion dollars in sales each year. Is it possible that they’ve hit their growth limit? In February, Walmart lowered its annual net sales growth forecast to “relatively flat” from earlier guidance that called for an increase of as much as 4 percent.  Part of the 2015 sales drop is attributed to currency impacts and a decrease in fuel sales due to lower gas prices. Sales have also suffered from ongoing store closures, including its entire fleet of smaller, “Express” stores.

But, Walmart has acknowledged a shift in the way it runs the company. They’ve moved away from their previous focus on net sales and cutting operating expenses as a percentage of sales, and are now focused on making “strategic investments” to support the “long-term health of the company.”

What has been a mostly brick-and-mortar operation is morphing into one that meets the expectations and demands of consumers operating in an omni-channel marketplace. This can already be seen in its fast-growing app and its expanding grocery pick-up program.

While its first revenue decline should serve as a wake-up call, Walmart remains a massive retail force.

Supplier Survey Reveals Positive Outlook for Retail Sales

In a new survey conducted by Capital Business Credit, 75% of major retailers of soft goods such as clothing and accessories expect retail sales to grow by 4% or more for the spring and summer shopping season. If they do, they will outpace core GDP growth and provide a jolt to the economy.

According to the Global Retail Manufacturers and Importers Survey, a majority of those surveyed believe that 2016 will either be better (45.5%) or the same (38.6%) as 2015.

“While retail sales for January and February were lower than initially anticipated, this hasn't seemed to deter retail suppliers' confidence or business activity," said Andrew Tananbaum, executive chairman, CBC. "In fact, nearly 90% of importers and suppliers are reporting reorders for the spring/summer shopping season.”

The reorders mean that the major retail chains and individual stores are optimistic. Retailers have become increasingly reticent to stock shelves if they don’t think products will sell according to Tananbaum.

The survey results found that over 3/4 of retailers have increased their orders or stayed the same; approximately half indicated that they have increased their orders. And of those who increased their orders, 1/3 ordered 7% to 10% more, while almost 30% said that orders increased by more than 10%.

Impact of the Chinese Yuan

With so many U.S. retail goods produced in China, the devaluation of the yuan has been an important factor for importers and retailers to increase profitability while keeping prices low. Half of survey respondents are considering increasing their Chinese production due to the strong dollar vs. the yuan.

Just over a third (37%) believe that margins may increase due to the lower cost to produce goods in China, but the majority (56.7%) do not think this will translate into lower consumer prices.

"While the overall recovery from the great recession of 2008 has been sluggish, the low costs of goods produced in China has allowed the U.S. consumer to stretch their spending dollars and allowed retailers to keep costs down," Tananbaum concluded. "In our opinion, this is the first time since the recession that manufacturers, importers and other participants in the retail goods supply chain will have the opportunity to recover some of the margins they lost over the past decade.

Source: Retailing Today