Retail Sluggishness In March
If you're new here, you may want to subscribe to my RSS feed. Thanks for visiting!
Some retailers have blamed an early Easter and cooler weather for decreasing store sales in March. These two factors, combined with sluggishness in consumer spending, exacerbated the damage.
It is a perfect storm of factors: Gas and food prices are at an all-time high, the housing market is deteriorating, the credit market is tighter and consecutive months of job losses. However, retailers are looking forward to April sales. Last April, sales fell 1.8%. So the comparisons are easier. Also, seasonal purchases should get a boost as the weather improves.
Sales tracker Thomson Financial has reported that many retailers have missed analysts’ estimates than beating forecasts. The disappointments were more pronounced for firms like Limited Brands, owner of Victoria’s Secret and Bath & Body Works chains, and teen apparel chain Pacific Sunwear which logged an 8% sales decline.
