Growing unit sales alone isn't enough. A Green Wednesday Review. The results are in... and there is a lot of variation in Green Wednesday's performance. The team at Headset put this chart together. It shows how store management and local market conditions play crucial roles in determining if a store used discounts to drive volume and profit $$$, or if it was an unprofitable promotion day. 📗 Green Zone Demonstrate what you might call the "sweet spot" of retail performance. These stores- grew their profits at a rate of +88.5% while also increasing their units sold by +51.8%. This suggests they likely: + Maintained strong pricing discipline + Implemented strategic rather than blanket promotions + May have successfully upsold customers to premium products 📒 Yellow Zone: Represent stores with balanced but not optimal growth. In these stores, profit growth roughly matched unit sales growth. While this might seem acceptable, it indicates missed opportunities to improve margin dollars while growing volume. 📕 Red Zone: Roughly 25-30% of the stores. These stores showed high unit sales growth but much lower profit growth. This pattern typically indicates aggressive discounting strategies and might be falling into what's known as the "volume trap" - chasing sales at the expense of profitability. What's particularly noteworthy is red stores fall into two main categories: 1. Those showing high unit growth (150-250%) with minimal profit growth (0-25%) 2. Those showing moderate unit growth (50-150%) with negative profit growth (-50% to 0%) These stores are likely caught in a "death spiral" of discounting - where they keep offering deeper discounts to maintain their sales volume, further eroding their profitability.
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What zone did your dispensary land in for Green Wednesday? Is it what you expected? Our friends at Headset put together this chart outlining how store management and local marketing conditions play crucial roles in determining your performance. #CannabisRetail #Cannabis
Growing unit sales alone isn't enough. A Green Wednesday Review. The results are in... and there is a lot of variation in Green Wednesday's performance. The team at Headset put this chart together. It shows how store management and local market conditions play crucial roles in determining if a store used discounts to drive volume and profit $$$, or if it was an unprofitable promotion day. 📗 Green Zone Demonstrate what you might call the "sweet spot" of retail performance. These stores- grew their profits at a rate of +88.5% while also increasing their units sold by +51.8%. This suggests they likely: + Maintained strong pricing discipline + Implemented strategic rather than blanket promotions + May have successfully upsold customers to premium products 📒 Yellow Zone: Represent stores with balanced but not optimal growth. In these stores, profit growth roughly matched unit sales growth. While this might seem acceptable, it indicates missed opportunities to improve margin dollars while growing volume. 📕 Red Zone: Roughly 25-30% of the stores. These stores showed high unit sales growth but much lower profit growth. This pattern typically indicates aggressive discounting strategies and might be falling into what's known as the "volume trap" - chasing sales at the expense of profitability. What's particularly noteworthy is red stores fall into two main categories: 1. Those showing high unit growth (150-250%) with minimal profit growth (0-25%) 2. Those showing moderate unit growth (50-150%) with negative profit growth (-50% to 0%) These stores are likely caught in a "death spiral" of discounting - where they keep offering deeper discounts to maintain their sales volume, further eroding their profitability.
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Steady growth for small retailers, according to Yahoo Finance, november same-store sales are up 6.6% YOY The latest National Retail Solutions (NRS Plus), report highlights significant growth for independent retailers across the U.S., with November 2024 same-store sales increasing by 6.6% compared to the previous year. This marks an acceleration from October’s 3.7% YOY growth, signaling resilience in small-format retail amid economic challenges. Key Highlights: • Units sold grew by 4.5% YOY, and transactions per store increased by 3.2%. • Energy drinks rebounded, chocolate showed rare growth, and Ice Melt sales surged as winter storms hit. • Average prices rose by 3.9%, reflecting inflation and consumer demand shifts. Small businesses remain critical to our economy, demonstrating adaptability and value in serving urban, multicultural communities. As these independent retailers outpace national averages, it’s a testament to their vital role in providing accessibility and diversity in products. NRSInsights Contact: Suzy Silliman SVP, Data Strategy and Sales at NRS National Retail Solutions [email protected] IDT Corporation Contact: Bill Ulrey [email protected] https://lnkd.in/g77Wgh58
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This just in! Globe Newswire | GlobeNewswire and Morningstar DBRS July Retail Same-Store Sales Highlights: 📈 Same-store sales increased 1.2% year-over-year 📉 Same-store sales decreased 1.9% compared to June 2024 📈 Number of units sold increased 2.2% from last year 📉 Average number of transactions per store decreased 0.6% from last year Read the full report to learn more about the trends and insights in the retail industry. #NRSInsights #Retail #July2024Report https://lnkd.in/efzQDb_q
NRSInsights’ July 2024 Retail Same-Store Sales Report
morningstar.com
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Retail sales growth fell away in August Retail sales growth fell away in August, with the slowdown hitting, non-food, food and overall sales. Non-food was the worst performing sector, suffering a fall in sales: sales fell by 1.7% compared with a 0.2% drop a year ago. Food sales increased by 2.9% in the three months to August, but was well below 2023’s 8.2% rise. Total retail sales grew by 1%, according to the BRC, but this was significantly down on last year’s growth of 4.1%. ‘Despite summer finally making an appearance, and a slight uptick in consumer confidence, shoppers did not catch-up their spending during August, with total sales growth of only 1% reflecting the challenging retail environment that is likely to dominate for the rest of this year,’ says Linda Ellett, KPMG UK head of consumer, retail & leisure. ‘After many tough months of falling sales, sports and travel equipment enjoyed a welcome boost during this key summer holiday period, and sales of clothing also saw a second month of growth on the high street. Food and drink sales were positive on the high street, whilst online retailers saw demand for DIY and gardening items with growth at nearly 11%. Fashion retailers will be hoping sales growth continues as they look to dispose of excess summer stock as we head into the key autumn season.’ #retail #retailindustry
Retail sales growth fell away in August
https://interiorsmonthly.co.uk
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April 15th, 2024 - Volume 10 (2024), Missive 84 (Monday) *Most retailers saw a slowdown in sales growth or straight contraction *Inventories continue to operate at high levels *Volatility in the data is hard to overcome "You probably wouldn’t know it by the headlines, but just two of the ten major measured retail categories had a faster pace of sales growth in March than they did in February. While nonstore and miscellaneous retailers experienced a monthly increase in sales that was faster than last month, sales for motor vehicles, electronics & appliances, food, gas, sporting goods, furniture, building materials, health & personal care, and clothing all slowed with five of those slowing to the point of contraction. Again, overall advanced retail sales increased by 0.7 percent, which was over double the 0.3 percent growth rate expected. But just by doing a little bit of homework, we can see that the growth wasn’t evenly distributed and that on-line sales (which can account for pretty much all the categories) are dominating for the simple fact that they tend to be cheaper than the same goods purchased at the store. To that point, miscellaneous goods are also much cheaper, from a price point, than any other category. Price, not demand, is dominating retail spending right now which goes a long way in understanding what is really going on in the economy, below the headlines."
Retail Sales Advance For Just A Few
paulallenwinghart.substack.com
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In a recent analysis, Caila Schwartz from Salesforce highlighted a pivotal trend in retail: the power of strategic discounting to unlock consumer demand. As we navigate a dynamic economic landscape, it's clear that delivering true value is not just about price cuts—it's about understanding and responding to consumer needs. Retailers who have mastered this balance are witnessing a resurgence in order volumes, a testament to their adaptability and customer-centric approach. This is a call to action for all in the industry: prioritize your customer, and success will follow. #RetailTrends #ConsumerInsights #StrategicDiscounting #CustomerValue #DCM
Canadian Retail Sales Dip in May: Statistics Canada
https://retail-insider.com
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“According to the CNBC/National Retail Federation (NRF) Retail Monitor, total retail sales, excluding automobiles and gasoline, were up 0.36% seasonally adjusted month-over-month (MoM) and up 2.72% unadjusted year-over-year (YoY) in March. That compared with increases of 0.4% MoM and 2.7% YoY in February.” “The Retail Monitor calculation of core retail sales – excluding restaurants in addition to automobiles and gasoline – was up 0.23% MoM and up 2.92% YoY in March. Those figures are down slightly compared with increases of 0.27% MoM and 2.99% YoY in February.” “For the first quarter, total retail sales were up 2.65% YoY, while core sales were up 3.12%. Last month, NRF projected that retail sales will increase between 2.5% and 3.5% in 2024 to between $5.23 trillion and $5.28 trillion.” “Sales in March were up in six out of nine retail categories on a yearly basis, led by online sales, sporting goods stores and health and personal care stores.” “Online and other non-store sales were up 2.48% MoM seasonally adjusted and up 15.47% YoY unadjusted.” “Sporting goods, hobby, music and book stores were up 0.86% MoM seasonally adjusted and up 8.33% YoY unadjusted.” “Health and personal care stores were up 0.03% MoM seasonally adjusted and up 4.5% YoY unadjusted.” “Grocery and beverage stores were up 1.17% MoM and up 4.22% YoY unadjusted.” “Clothing and accessories stores were down 0.01% MoM and up 2.13% YoY unadjusted.” - Zachary Russell
NRF: Sales rise at steady pace in March
chainstoreage.com
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Early boost to retail sales at +3.5% up on last year for the 5 weeks ending 30 March or just a seasonal blip due to timing of Easter this year? While the numbers may seem promising, a closer look at the details reveals a stark contrast. Food sales at +6.8% drove the growth, while non-food sales (-1.9%) and online sales (-1.4%) performed poorly over the three months. With the economic outlook uncertain, many will be hoping for better weather to boost sales. Check out the full report here: https://lnkd.in/eSHqbSqk
Early Easter boosts March retail sales
https://www.retailgazette.co.uk
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As a lifelong retail merchant, I'm going to potentially have a stroke if the retail media continues to report sequential month-over-month results as an indicator of anything. Year-over-year results are indicative of true performance, with the caveat of a shift in a key seasonal event like...I don't know, perhaps Easter...that will impact the natural trends in consumer purchase behavior. In good news, inflation appears to continue to be cooling...good news unless you are trying to convince your buyer that a price increase you took previously should not now be reversed. Good luck with that, by the way... #retailmerchandising #retailsales #inflation
Retail sales were ‘virtually unchanged’ in April and inflation cooled
retailbrew.com
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🚀 March Marks Growth for NRS Independent Retailers! NRSInsights reveals stellar NRS sales stats for March 2024, underscoring a thriving independent retail environment: Network Expansion: The NRS independent retail network now features 29,800 active terminals within a wide variety of nearly 26,000 independent convenience stores and small-format retailers, spanning 197 designated market areas (DMAs). Sales Surge: Same-store sales soared 7.2% year over year, with a 6.6% increase from February to March 2024, reflecting vibrant consumer activity. Volume & Transactions: A significant 7.8% uptick in items sold and a 4.6% increase in the average number of transactions per store compared to March 2023 highlight robust retail engagement. Price Trends: Despite a slight year-over-year price increase (0.7%), the consumer purchasing power remains resilient, with particular strength in beverage categories, despite a dip in Energy Drink sales. 📊 Retail Resilience: Over the last year, the NRS network's performance outpaced the US Commerce Department’s retail data by 4.5 percentage points on average, painting a picture of a robust independent retail sector. How do you track and influence your brand's performance in independent retail channels? We can help. #RetailGrowth #NRSInsights #ConsumerSpending #MarketTrends #EconomicResilience https://lnkd.in/gSC65JbW
NRSInsights’ February 2024 Retail Same-Store Sales Report
globenewswire.com
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Driving Cannabis Retail Profitability In-Stores
1wLove this chart! Shows that heavy discounting doesn't always win.