No shortage of strange things going on in the retail world these days…and I’m not even talking about the fact that the rumors are hot and heavy that the Saks-Neiman’s conglomeration is about to implode seemingly only about a few hours after the former bought the latter.
No, will stay away from that one but these are some of the things catching my attention — and astonishment — this week.
Sleep Number’s “Turnaround”
You’ve got to applaud the sheer chutzpah of a CEO who after reporting her company had a 19.7 percent drop in sales and a 395 percent increase in the amount of money it lost tells the press the company is “in a turnaround.” That’s what Sleep Number head Linda Findley said after these dismal numbers and apparently she said it with a straight face. Turnaround is what anyone thinking of investing in this thing should be doing, running away as far as possible when you have a CEO who is trying this kind of desperate spin on the facts. And, by the way, shame on the business press for allowing her to get away with this by publishing her statement without question. What a number she pulled.
BBB’s New Home is Missing Something
When the newly renamed Kirkland’s — now known as the Brand House Collective — unveils its first Bed Bath & Beyond Home store this week just outside of Nashville, it will bear only a passing resemblance to its legendary namesake retailer that was so iconic…right up until the moment it wasn’t. Pictures from the store soft opening show a nice enough place even if it has little to do with what made BBB great. But at least from the visuals, one thing is blatantly missing: a housewares department that includes small kitchen appliances and cookware. This is what drove the traffic and shopping frequency at the original and without it, this store is just a pretty place with a lot of decorative bedding. Don’t forget: the original BBB was just soft home — just Bed and Bath — and didn’t succeed until it added the Beyond of housewares. History repeats itself?
Best Buy and Ikea Together Again?
We don’t get this one. Ikea is setting up shop-in-shops inside selected Best Buy stores to sell its custom kitchen and bathroom cabinetry. Best Buy does sell major appliances but its core business is consumer electronics and that’s got little to do with Ikea. In fact, a Best Buy department inside an Ikea would make so much sense in my opinion. Catch this one fast before it disappears like a Swedish meatball.
Retailing is not an easy business…especially these days thanks to the counterproductive trade and economic policies of our president. But it doesn’t have to be this hard.
WarrensReport 