• Weekly Retail Update: January 9, 2017

  • January 9, 2017
Weekly Retail Update

2016 Retail Hiring May Indicate Possible Retail Recession  

According to Business Insider, hiring for the holiday season for retailers was at its lowest since the recession. Hiring from the retail industry accounted for just 41.4% during the holiday season, the lowest it’s been since 2009 and could indicate retailers have a tough road ahead of them. But even with that, big box retailers like Macy’s and Kohl’s seem to be the retailers taking the biggest hit. “In our view, retailers will have difficulty blaming slow holiday sales on the macroeconomic environment. After all, consumer confidence is strong and auto sales are running at a solid clip. New home sales have been holding up, too,” said Neil Dutta, head of US economics at Renaissance Macro. (Business Insider)

Amazon Made 10x More than Any Other Ecommerce Site during the Holidays

Slice Intelligence reported on new data that suggests Amazon really did have its “best-ever season.” According to the data, “of more than 1.3 million US online shoppers, Amazon claimed 38% of all online revenue during the just-completed holidays. That’s a slight gain over its 37.9% share during the 2015 holidays.” The number 2 ecommerce site was Best Buy, with just 3.9% of online revenue, only one-tenth of Amazon’s earnings. (MarketingLand)

Retailers Competing Against Each Other and Experiences 

Consumers are looking to spend more money on experiences for themselves and others. According to a National Retail Federation Survey of nearly 7,000 consumers conducted by Prosper Insights & Analytics, two-fifths of consumers said they were interested in receiving a gift of experience. The highest percentage was at 57% with 18-24 year olds, followed by 50% for 25-34 year olds, and 44.3% among 35-44 year olds. “It’s one of the pressures that retailers face,” said Greg Portell, lead partner at A.T. Kearney. “They are starting to react to that. You are seeing them creating a much more experience-based environment and tying products with experiences in terms of the way they display and talk about products.” (eMarketer)

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About Holly Pels

Holly Pels is the Content Strategy Manager at RICS. When she isn't planning out the awesome content you see on the RICS site, you can find her playing soccer, baking, or drinking champagne.