It’s been another week with far more retail news than there is time in the day. Below, we break down some things you may have missed during the week, and what we’re still thinking about.
From HelloFresh’s Ranch Flight kit to Spirit Halloween beginning seasonal hiring, here’s our closeout for the week.
What you may have missed
DSW names new chief marketing officer
Sarah Crockett is DSW’s new chief marketing officer. In that role, Crockett will oversee the planning, development and execution of all marketing and advertising initiatives for DSW’s nearly 500 U.S. stores and its e-commerce channel.
She most recently served as global chief marketing officer at Nature’s Sunshine Products, overseeing global product development, research and development, and category positioning, as well as leading Nature’s Sunshine and Synergy Worldwide. Before that Crockett was global chief marketing officer for Dickies.
“Sarah brings a wealth of experience as chief marketing officer and has a proven track record of driving innovative marketing strategies that resonate with customers,” DSW President Laura Denk said in a statement. “Her leadership and vision will be instrumental in advancing DSW’s presence and narrative, connecting with our customers in meaningful ways.”
Crockett is also a member of the board of directors at Rumpl, a sustainable outdoor blanket brand, and Stance, a sock, underwear and T-shirt brand.
Ollie’s announces CEO succession plan
Ollie’s revealed a CEO succession plan this week.
Chief Operating Officer Eric van der Valk was promoted to president, effective immediately, and will become CEO in early 2025. As a result, current CEO John Swygert will become the executive chairman of the closeout retailer in early 2025. Chris Zender is joining the company June 17 to take over Van der Valk’s former position as chief operating officer and Chief Financial Officer Robert Helm was also promoted to executive vice president, effective immediately.
Van der Valk joined Ollie’s in 2021 as executive vice president and chief operating officer. Helm joined OIlie’s in 2022. In addition to his current responsibilities as chief financial officer, Helm will also lead the company’s real estate functions effective immediately and will lead information technology when Swygert becomes executive chairman.
Zender will have responsibility for store operations, loss prevention and supply chain, and reports to Van der Valk. Ollie’s also reported Q1 earnings Wednesday. Net sales rose nearly 11% to $509 million and comparable store sales rose 3% from 4.5% the prior year.
Kirkland’s explores strategic alternatives
After posting 5% net sales and 3.5% comp sales declines in the first quarter, Kirkland’s Home on Thursday announced it has hired a financial adviser to review strategic alternatives.
“Given the slower than anticipated start to the year and the continued headwinds associated with higher ticket categories, particularly with our value conscious customer, we are taking swift actions to better align our cost structure to current demand trends and are taking steps to improve our e-commerce business while remaining laser-focused on driving long-term, profitable growth,” CEO Amy Sullivan said in a statement. “As we look to the future, we remain confident that our strategic initiatives that include re-engaging our core customer, refocusing our product assortment, and strengthening our omni-channel capabilities are key to driving sales growth.”
The company anticipates reaching $600 million in revenue and an adjusted EBITDA margin reflective of its past performance in the next five years, Sullivan added.
A cost-cutting plan announced at the same time includes reducing store payroll, marketing, corporate overhead and third-party tech expenses. Kirkland’s is projecting $6 million of savings in fiscal 2024 and $7 million in ongoing annual pre-tax savings.
Retail Therapy
Hello Kitty takes over Claire’s
Sanrio fans are in for yet another treat this year as Claire’s prepares to be the “one-stop-shop for all things Hello Kitty,” in celebration of the character’s 50th anniversary. Hello Kitty will be featured in a year-long effort that includes an exclusive collection, creative campaign and activations at Claire’s stores, the two announced Wednesday.
“For the past 50 years, Hello Kitty has been a globally recognized representation of kindness, friendship, and self-expression, the values that Claire’s has championed over the past six decades,” Claudia Lima-Guinehut, Claire’s chief merchant officer said in a statement. “As a longtime friend of Hello Kitty, we’re proud to honor the beloved character and share her message around the globe.”
The first drop in the collaboration covers hats, purses, jewelry, backpacks, water bottles, phone cases and more in red and white. As a part of Claire’s piercing services, fans can also choose from a pair of exclusive Hello Kitty earrings added to its jewelry selection. Several more exclusive lines will follow with other Sanrio characters with more programming, product drops, in-store celebrations, CGI-centric digital takeovers and social media moments, per the release.
Live, Laugh, Love (Ranch)
For those who love condiments to the point of it being a defining personality trait, HelloFresh this week introduced its first Ranch Flight kit. The offering includes all of the ingredients to create four ranch flavors, a board with four serving bowls, a 16 oz. bottle of Hidden Valley Ranch, an assortment of snacks and last but not least – a portable ranch flask.
Courtesy of HelloFresh
The HelloFresh Ranch Flight had its first drop on Monday, with a second drop available next week. A subscription to HelloFresh is not required, but orders will be accepted on a first-come, first-served basis for $34.99 with free shipping.
What we’re still thinking about
500
That’s now the number of Tractor Supply Garden Center locations. The company opened its 500th location this week in Lowell, Indiana, according to a company press release. The retailer launched its first Garden Center in 2020 in Rome, Georgia, and is on track to have over 600 by the end of the year.
Courtesy of Tractor Supply
“We saw interest in gardening spike during the pandemic and it continues to blossom, and we look forward to continuing to support our customers through our Garden Centers as they tend to their lawns, gardens and yards,” Seth Estep, chief merchandising officer at Tractor Supply, said in a statement.
50,000
Courtesy of Spirit Halloween
That’s how many sales associates and store managers Spirit Halloween wants to hire for the over 1,500 locations that will be open this spooky season. Associates will have “competitive” salaries, flexible scheduling and a premium pay incentive program, according to a company press release. Returning store managers are eligible for retention bonuses.
What we’re watching
The future of two retail darlings
This week brought news of what awaits two of retail’s one-time rising stars: Foxtrot and Outdoor Voices.
The upscale convenience store chain, which filed for bankruptcy and sold off its assets in May, said it is now set to reopen some stores this summer after abruptly ceasing operations earlier this year. Several locations in Chicago, Dallas and Austin, Texas, are slated to reopen and will maintain the retailer’s overall merchandising strategy and layout. Founder Mike LaVitola is leading the initiative, a spokesperson told sister publication C-Store Dive.
Likewise, the brick-and-mortar fleet of activewear darling Outdoor Voices, which disappeared from the retail landscape earlier this year, might not be gone for long. While the stores it shuttered in March are destined to stay that way, a new owner emerged this week with an eye on restarting an Outdoor Voices fleet of stores next year. Consortium Brand Partners, which also owns Reese Witherspoon’s Draper James, plans to expand Outdoor Voices into adjacent categories as well, which could happen as soon as this holiday season.
“We pass on an incredible amount of investment opportunities every week,” Consortium Brand Partners’ co-founder and Managing Partner Cory Baker said. “The ones that we dig into are the ones where we believe that the brightest opportunities are just ahead — and this is one of them. This is not a broken brand. It was a broken business. And that’s a very different thing.”
