FOCUS TRENDS is a monthly retail strategies article on a specific retail category highlighting growth and contraction within the market. For more on Apparel please listen to our APPAREL WEBINAR.
FOCUS TRENDS :: APPAREL
The apparel retail sector has taken over headlines over the past few months, but it’s mainly been big-name closures grabbing the spotlight. Retailers such as Rue21, Payless ShoeSource, Gap, The Limited, Bebe, and other have announced all or many of their locations will close. After rapid expansion, the apparel sector is entering a period of rapid contraction.
However, as these closures have spread, just as many apparel retailers have expanded and adopted future expansion plans that likely stems the tide of closures in the sector. Ross, T.J. Maxx, and Carter’s are a few retailers that look to be aggressive in their openings. There’s also the Millennial-driven retailers such as Uniqlo, H&M, and Lululemon that have ambitions to extend their physical presence.
The apparel sector is one that online shopping has completely transformed. While off-price and high-end retailers have remained afloat similar to the situation facing other retail sectors, the retailers in the middle without strong brand recognition and online presence have suffered during this time of flux. Communities should be wary of impending closures but not hopeless that other retailers can backfill former stores and help fill up new retail development.
Expansion and Closure Numbers
|Retailer Name||Existing Stores 2016||New Stores||Closures 2016|
|Burlington Coat Factory||558||49||10|
|Ross Dress For Less||1318||84||6|