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The Discount On Clothing Stores In The United States Is As Low As Seventy Percent Off.

2014/12/9 18:22:00 38

Clothing StoresDiscount

This year the holiday shopping season has not yet started, and American stores have started early discounts.

This "discount war" has been escalating. Among them, the promotional activities in the clothing industry have been the most popular and the discount rate has been smitten, leading to a far less business in the industry than in electrical and furniture industries.

Many stores even make a 70% discount.

This irrational holiday promotion severely dampened the retail industry and led to a sharp drop in profit margins.

Delia*s, a large adolescent goods retailer, is unable to support and declared bankruptcy.

At the same time, when consumers shop, they always like to take out mobile phones or tablet computers, and compare prices to various shopping websites, which brings huge business pressure to the store.

Reuters reported that data analysis firms's survey results show that with the increase of discount rate, many retailers' profit margins are being constantly compressed - the clothing industry profits have shrunk most.

Steve Baal, an analyst at PwC, a leading American consulting firm, said: "sales promotion before festivals and after festivals is growing.

I have never seen a discount sale before this holiday.

When I was out for lunch, I found a clothing store offering a discount of 40% to 50%.

It is estimated that this year's holiday promotion scale will break through the historical record. "

At the same time, the shopping website announced a series of exciting discount information, such as "free freight", "partial merchandise 25%-50% discount", "shopping for $100, 25% reduction", and so on.

Physical stores and online stores are coming together, making the whole of America enveloped in the atmosphere of big promotions and big discounts.

However, although gasoline prices in the United States have dropped, the cost of driving shopping has also declined, job opportunities have increased, and the real estate market has also recovered, but consumers are still cautious about paying for their purchases.

This is mainly due to a very limited increase in wages and food.

Price

And medical expenses will not rise.

Generally speaking, most consumers are more sensitive to price.

A study by PwC this summer showed that 84% of respondents said that deciding whether to shop in a store was mainly based on prices, which was only 74% in 2013.

Youth products retailer

Aeropostale

The share price slipped to its lowest level in 52 weeks.

Like the clothing brand Express, Abercrombie & Fitch, Aeropostale also suffered a decline in its performance due to shrinking consumer demand.

Endless price wars also hurt many retailers.

On Friday, Delia*s, a youth goods retailer, announced that it would file for bankruptcy.

"

Retailer

The profit margins are under tremendous pressure.

If you do not want to lose money, the discount rate of clothing retailers can not exceed 50%.

Many shops have to extend the discount sale time in order to continue to attract customers and do not want to increase the discount rate. They are also promoting sales on black Friday and online shopping Monday.

Nomura analyst Simon Sigel said.

The Mobility Company has found some changes in tracking business promotions.

Market Track said that last year, the online retail prices of traditional retailers reached their lowest level on black Friday. This year the situation is different. Many commodities sell cheaper after black Friday. For example, the price of kitchen appliances in Sears and Messi stores decreased by 13% and 47% after the holidays.

ShopSavvy has tracked 100 top tier online retailers and entities based on the volume and sales of stores, and compared 5 products discounts in 32 stores on black Friday.

It was found that the discount rate of computers, clothing, household and garden supplies continued to increase.

The price of electrical and entertainment products is lower after black Friday.

The industry believes that this phenomenon shows that black Friday, online shopping Monday as a discount sales day meaning has been weakened.

Entering a lot of clothing stores, opening up a tag, found that almost all clothing discount rate is very high, such as American Eagle clothing brand promise, after the customer bought a dress, the second move.

At the door of a Aeropostale store, 70% discount ads were made.

The price of a pile of folded sweaters dropped from 44.5 dollars to 14 dollars.

A retailer complained: "everyone is on sale. If you do not discount, you will not only attract new customers, but even old customers."

To this end, even if we do not make money, we have to sell large teeth in the past few days.

In order to deal with the impact of online retailers, many large entity retail outlets offer the same price as Amazon and other retail websites.

Profitero, an e-commerce research firm, found that the discount rates of 41000 toys, electronics and sporting goods sold by Amazon, best buy, Toys R & amp; E and WAL-MART on Monday were the same as those on black Friday.

Messi department store spokesman Messi stores started selling earlier this year before the holidays.

Moodie analyst Charles O'Shea said that best seller and Jeter's appliances sell well. This is in stark contrast to the fact that many clothing stores began clearing inventories early.

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