Financial Reporting

Save E-mail Print Most Popular RSS Reprints

Retail sales down further than expected in July

August 13, 2009

Retail sales slid 5 percent in July compared with last year, and 0.6 percent compared with June. This dip was further than expected by many analysts and was substantially more than the 0.2 percent month-to-month decrease retailers saw in June.

Among the hardest hit were building materials and garden equipment stores (down 2.1 percent), department stores (down 1.6 percent) and electronics and appliance stores, which dropped 1.4 percent in sales from last month.

Food and beverage stores, and grocery stores specifically, saw a decline of 0.3 percent, while general merchandise stores were down 0.8 percent.

"There is really no positive spin to put on these numbers," Jennifer Lee, an economist with BMO Capital Markets, said in a statement. "The U.S. consumer remains very weak. The jobs situation, while slowly improving, is still dismal."

The numbers were particularly disappointing since economists had expected a rise in total sales (including gas stations, automobiles and restaurants) of about 0.7 percent.

A bright spot was sales for health and personal care stores, which were up 0.7 percent.

Clothing and clothing accessories stores also saw an increase of 0.6 percent, perhaps reflecting a slight bump from back-to-school purchases.

Still, the NRF forecasts that back-to-school purchases might be delayed until later in the summer or are being curtailed.

"Many families postponed the bulk of their back-to-school shopping this year, possibly waiting to take advantage of their state sales-tax holiday or hoping for additional discounts," said Rosalind Wells, NRF chief economist, in a statement.

The NRF's report draws on the U.S. Commerce Department's data (excluding automobiles, gas stations and restaurants).

"Hopefully, retailers' aggressive promotions and reduced inventory levels will make for a better August and shield retailers from a disappointing season," said Wells.
Save E-mail Print Most Popular RSS Reprints
Post a Comment
* Required field
* Author:
* Comment:
 

Financial Reporting

Zale slapped with shareholder class-action suit

A shareholders' class-action lawsuit has been filed against Zale Corp., its chief executive officer and three former executives, claiming the Irving, Texas-based, 1,931-store chain deliberately deceived investors. Read More

Birks and Mayors mid-year sales down 19 percent
3Q sales down 4 percent at ShopNBC
Retail sales remain flat in October
Richemont's six-month sales fall 15 percent
More Financial Reporting News

More Like This

Design Portfolio

advertisement

Video

Small multi video player located on right rail of NJN site

advertisement

Sponsored by:

Retailer Toolbar

America's Best Jewelers
Join the ONLY Social Network for Jewelry Retailers. Get access to expert content, peer best practices, and more.
Start networking today.
Newsletters
Newsletters
Topic-specific newsletters that deliver the latest news on jewelry, diamonds, wholesale operations and high-volume buying directly to your in-box.
Reader Connect
ReaderConnect
Supplier information presented with every article, bringing you related, actionable content on every topic.
Jewelry Yellow Pages
Yellow Pages
A comprehensive listing of associations, organizations, suppliers and services for the jewelry industry.
Classifieds
Classifieds
A comprehensive listing of job postings, product offerings and other materials for sale for the jewelry industry.
NJN Customer Connect
CustomerConnect
The most sophisticated suite of marketing services available for jewelry retailers, from Internet tools to data marketing.

advertisement