Department Store Giants Fall in 4th Quarter
SPRINGFIELD, Mass. (WGGB) – Some big name stores are struggling, even after the recent holiday shopping boom.
Many are anchors at malls and shopping centers around the country, but can they make a comeback?
Macy’s, JC Penney and Sears. Following the recent retail season, these giants are reacting to some less than favorable numbers as shares begin to slide.
“I think if you’re in a publicly traded business, you have to watch the media and what you’re saying to people and you want things to be optimistic even if they’re not,” said Harry Gilligan, President of Breakthrough Business Advisors.
Macy’s and JCPenney both made statements saying that they were happy with their 4th quarter, even though JCPenney’s shares slid by 8 percent, but according to some their reactions are all a facade.
“You can’t stay in business if your sales are dropping. That’s a basic tenant,” Gilligan adds.
Only Sears has admitted that they were hoping for more after a 4.4 percent drop in revenue and said their results were “not nearly what we want them to be”.
“I think Macy’s, Sears, Penney’s all have to adapt some of their practices, that these other companies that are being successful have adapted,” explained Gilligan.
Although stores like Macy’s are going to be reducing their company and JCPenney’s and Sears have both seen loses in 4th quarter of 2013, the shoppers we spoke to today said they still frequent these stores.
“I actually I do them all, I’ve gone in Macy’s from time to time, I’ve gone in JCPenney, I go into Sears, just depends what it is,” said Reggie Rose.
But others say they like to shop from the comfort of their home as opposed to the crowded department store giants.
“I think online, I think it’s too cold out, I think the rush and the craziness of the stores,” Lorena Recca told us.
Other stores like Nordstrom are adding discount options for shoppers to increase their marketability.