July Sales
Our client stores were up 6% overall in July. That’s a number worth paying attention to, especially because we were up against some tough comparisons.
Last July, early fall deliveries helped drive sales. This year, we had to beat those numbers, and we did.
Men’s led the way, up 9% on top of a 9% gain last year. Men’s Clothing was particularly strong, jumping 13%, while Sportswear increased 7%.
Women’s also held up well, increasing 3% despite going up against a 14% gain last year.
The takeaway is pretty simple: customers are still spending when they find the right merchandise.
The Consumer Is Getting More Careful
The broader retail numbers tell us we shouldn’t take that growth for granted.
U.S. retail sales fell 0.6% in July, the biggest monthly decline in 14 months. Consumer prices rose just 0.1%, bringing annual inflation down to 3.4%.
The bigger concern is confidence. The Conference Board Consumer Confidence Index fell for the third month in a row, as consumers continued to worry about the economy and the high cost of everyday necessities.
So while consumers are still buying, they may be becoming more selective about where they spend their money.
You Made the Buy: Tell Them Why
Fall merchandise is hitting the floor, and you’ve already made your buying decisions. Now it’s time to make sure your sales team understands them.
If you changed your merchandise mix, added new brands, moved up in price, or made a bigger investment in certain categories, don’t assume your salespeople know why.
If you bought a $1,500 jacket instead of another $900 jacket, explain what makes it different. If you brought in a new brand, tell them who it’s for and why you believe your customer will respond to it.
If you’ve taken a bigger position in a particular fabric, category, or price point, make sure they understand the thinking behind it.
This sounds simple, but it’s easy to overlook.
We spend a lot of time planning what goes into the store and not nearly enough time explaining the plan to the people who have to sell it. Let them in on your decisions and help generate their passion for the new products.
Blacks’ Bottom Line
Make sure your team understands what you bought, why you bought it, and who you bought it for.
