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Retail News and Trends: 5th March 2019

Sujay Seetharaman
Sujay Seetharaman
Mar 6, 2019
Min Read

1. JD.com launches on Google Express

According to a report on Reuters, JD.com has launched an online store on Google Express named Joybuy. This marks the company’s latest attempt at leveling the playing field with its primary rivals, Amazon and Alibaba. JD’s launch comes after Google invested $550 million in JD.com in June 2018, looking to capitalize on the growing e-commerce sector in Southeast Asia.

2. Kohl’s Q4 earnings call

In its earnings call Tuesday, Kohl’s CEO Michelle Glass announced that the department store chain would be shrinking the size of 10 of its stores and leasing out space to fitness chain ‘Planet fitness’. These gyms will reportedly be between 20,000 and 25,000 square feet in size. Touching on Kohl's relationship with Amazon, she also said that the company will transition from a store-within-a-store concept to a more robust wholesale relationship with Amazon. The company’s Q4 earnings per share came in at $2.24 against a $2.18 consensus. Total revenue fell 3.3% to $6.82 billion beating the $6.58 billion consensuses.

3. LuLu group opens first Build-A-Bear store in India

LuLu Group International’s retail arm Tablez has launched the first Build-A-Bear store in India. The toy brand is now available at Toys R Us in Phoenix Marketcity, Bangalore. The firm which sells customized stuffed toys, reportedly aims to reach 9 million sales in the top 15 cities in India within five years out of standalone stores and Toys R Us shop-in-shop formats.

4. Target Q4 earnings call

Target’s Q4 earnings beat analyst expectations. Adjusted earnings per share came in at $1.53 versus $1.52 consensus. Revenue came in at $22.98 billion, against the $22.96 consensus. According to CNBC, the number of overall transactions at Target rose 5.3% during Q4, compared with growth of 3.6% a year earlier. And the average transaction amount grew 0.8%, better than the growth of 0.4% last year. The company plans to remodel about 300 of its stores in 2019 and another 300 the year after.

5. Diesel USA files Chapter 11

Jeans retailer Diesel has reportedly filed for Chapter 11 protection in the US Bankruptcy court in Delaware. The company attributed the filing to a decrease in wholesale orders, a "general downturn in the brick-and-mortar retail industry," expensive long-term leases, a decrease in net sales and multiple instances of theft and fraud, according to supplemental court documents.

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HQ Location: Beaverton, Oregon, United States Of America, 97005
hm.com, operated by H & M Hennes & Mauritz AB, is an internationally-focused online store that generates eCommerce net sales primarily in Germany as well as in the United States and the United Kingdom. With regards to the product range, hm.com achieves the greatest part of its eCommerce net sales in the “Fashion” category.
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