General Discussion
Related: Editorials & Other Articles, Issue Forums, Alliance Forums, Region ForumsEveryone knew the web would affect retail, but a "retail meltdown"
was a surprise to all the people who should know.
Read More:
https://www.theatlantic.com/business/archive/2017/04/retail-meltdown-of-2017/522384/
What in the World Is Causing the Retail Meltdown of 2017?
In the middle of an economic recovery, hundreds of shops and malls are shuttering. The reasons why go far beyond Amazon.
From rural strip-malls to Manhattans avenues, it has been a disastrous two years for retail.
There have been nine retail bankruptcies in 2017as many as all of 2016. J.C. Penney, RadioShack, Macys, and Sears have each announced more than 100 store closures. Sports Authority has liquidated, and Payless has filed for bankruptcy. Last week, several apparel companies stocks hit new multi-year lows, including Lululemon, Urban Outfitters, and American Eagle, and Ralph Lauren announced that it is closing its flagship Polo store on Fifth Avenue, one of several brands to abandon that iconic thoroughfare.
A deep recession might explain an extinction-level event for large retailers. But GDP has been growing for eight straight years, gas prices are low, unemployment is under 5 percent, and the last 18 months have been quietly excellent years for wage growth, particularly for middle- and lower-income Americans.
theaocp
(4,237 posts)UNDERemployment. Also, "excellent" years for wage growth? Based on what metric?
Orrex
(63,211 posts)Chellee
(2,097 posts)So quietly, in fact, that you didn't notice. So infinitesimally quietly that even Horton didn't notice. Quite exceedingly quiet.
rainy
(6,091 posts)Demsrule86
(68,576 posts)We live in an age where adults are denied a safety net in most states...no welfare. They literally could starve in the streets.
hlthe2b
(102,276 posts)But the attempt to work us all to death leaves little time for the niceties of in-person shopping, much less the added costs.
I hate what we are losing, but can't help but be part of the problem
get the red out
(13,466 posts)or part of the inevitable, driven by technology?
CK_John
(10,005 posts)Everybody over 40 knows they will not have job in a few years.
Learn to weld, and protect your eyes.
get the red out
(13,466 posts)I am 52 and just hoping to make it to retirement before the bottom falls out, and hoping to have retirement.
Hortensis
(58,785 posts)Last edited Tue Apr 11, 2017, 04:21 PM - Edit history (2)
will become apparent and strengthen. And that's good, not just bad. No one thinks what we've created is the best we could have. By a long shot. It's just what people did willy-nilly with the current uncharted circumstances when they were where people had never been before.
One thing experts are examining is how all these sprawling subdivision deserts we currently call "the American dream," miles upon usually dangerously un-sidewalked miles from anything worth walking to, empty-street places where it's impossible to tell if anyone is home behind the doors, will evolve. Because they will.
Note that genuinely urban areas, with their plethora of concentrated amenities, are pricing most Americans out. We left to live in the country knowing we wouldn't be able to afford to return. And we haven't invested over an hour just in driving time alone for a concert or large political rally in a very long time.
And in addition to the problem of previously livable if unexciting suburban neighborhoods no longer served by even a mall to stroll in, between rising urban prices and dropping wages for half the nation, sometimes drastically, urban ghettoes are giving way to suburban ghettoes, which display all the dysfunctions of the inner city ones regardless of color.
But that's just a bad side of the transitional coin. Will charming, wonderful new townships capable of providing reasons for people wanting to gather around them, summer concerts in the park, etc., form in many of what are currently mostly cultural wastelands with no "there there?"
The answer is yes. Many of tomorrow's wonderful places to live and raise families are only plans in the minds of those who will make them happen now. Some well positioned decaying malls and strip malls will become parks and centers of community activities. But how many how fast, and where? I think we can safely assume blue states will lead the way.
Sen. Walter Sobchak
(8,692 posts)Now is not "The End of History"
KittyWampus
(55,894 posts)Because I know brands/sizing and cause there are stores I can go to on my weekly "up-island" shopping trip if I need to return stuff.
Kohls is generally great with customer service over the phone.
Macys is absolutely HORRIBLE. They use call centers in India and I use Macy's less because of it. A real PITA if you need help with a bill or whatever.
So shouldn't online retailing help department stores?
crazycatlady
(4,492 posts)And I'll admit internet shopping is easy. I've been in the market to replace a worn out bathing suit, but am extremely picky about styles.
After searching high and low for 2 years at multiple stores, I found one in about 10 minutes on Amazon.
3catwoman3
(23,987 posts)I would have to try one on. Typically, bathing suits are traditionally a "no return" item. Has that changed in the days of on-line shopping?
Somewhat OT - bathing suit shopping is the worst, followed by jeans shopping. Most of us are not built like the models photographed waring those item. I definitely hav thighs and a butt.
crazycatlady
(4,492 posts)A little loose in the bust but padding can change it.
Jeans shopping is the worst. Especially since the styles these days are horrible. I have thighs and no butt, so it's a problem.
I gave up on pants in the warm seasons. Skirts and dresses are easier.
3catwoman3
(23,987 posts)...are not meant for those with small waists and not as small derrieres.
hedda_foil
(16,374 posts)I fondly remember ha ing a 4-6" gap at the waist in anything resembling jeans. I couldn't get real jeans to fit me at all.
ecstatic
(32,704 posts)I already have enough swimsuits to wear a different one every day for at least a week.
Also, I've had zero interest in clothes shopping over the past year. Could be due to Trump induced depression. I can afford to shop, I'm just not in the mood.
malaise
(268,998 posts)blue neen
(12,321 posts)The NRA would never admit it, though.
CK_John
(10,005 posts)snooper2
(30,151 posts)Captain Stern
(2,201 posts)Perhaps you meant .00000000000000000034%.
Freethinker65
(10,021 posts)During the recession a lot of people, even those that still had disposable income, found out they just needed less stuff. Decluttering/Tidying Up and Minimalism have become common. Buying experiences (travel, socializing with friend, recreational activities, etc.) instead of material things is a new trend.
Online purchasing has hurt the standing retailers, but it also curtails the impulse purchases and overbuying of items. If one visits, say, Amazon.com for a wireless speaker, they typically end up with just a speaker (or a speaker and a couple tangential items). If one went to an electronics store, one might end up with a speaker, an optional case, a new phone accessory, printer cartridges (seen on sale, so why not?), look at that cool new Dyson product, etc.
Perhaps the age of the American as a mega consumer is reaching its end....and continuing to destroy the middle class will not help.
CK_John
(10,005 posts)crazycatlady
(4,492 posts)I make and sell pussyhats, many by mail. I needed to buy mailers to ship the hats in. First instinct was to go to Staples. From the store, I went on Amazon (on my phone) and saw that Amazon had 100 for the price of 10 at Staples. Who wins there?
Response to crazycatlady (Reply #26)
Name removed Message auto-removed
crazycatlady
(4,492 posts)And right now, I'm relying on pussyhats to save up to replace an older (1999) car with almost 300K miles.
If my car were newer, I'd donate some of the profits. But there's nothing wrong with supplementing my income.
Skittles
(153,160 posts)crazycatlady
(4,492 posts)This is not some Mom and Pop office supply store I was talking about-- it was Staples. Staples is affiliated with Bain Capital, Mitt Romney's company.
In my case, I saved 90% by buying on Amazon. Is shopping for bargains evil? Should I be buying my groceries from Whole Foods instead of Aldi? I guess DU has the finances to afford to pay 90% markup on things.
Staples also has much higher prices on basic office supplies (ie pens, paper clips, etc) than the stationary aisle at Target. I would assume that many things like that purchased at Staples are bought on an expense account.
(This is not just directed towards you, but also towards a since deleted post that was a personal attack on me because I choose to save money instead of paying higher prices.)
MissB
(15,808 posts)Because it's the right thing for you.
Skittles
(153,160 posts)I am not attacking anyone
by the way, most products I have found on Amazon, do enough research and you can find them cheaper elsewhere, sometimes in your own neighborhood
meadowlander
(4,395 posts)I was unemployed for four year after the global financial meltdown in 2008 and just learned how to make do without much stuff. Anything I do buy now is stuff that will help me through the next recession which, with Trump in the White House, is obviously just around the corner.
dixiegrrrrl
(60,010 posts)I shop a lot online because we are 2 hour drive from stores, and buy only what I set out to buy, even tho online stores do tend to encourage "if you liked X, you might also like Y and Z" complete with pics.
spinbaby
(15,090 posts)Everyone I know is decluttering, not buying more stuff.
Freethinker65
(10,021 posts)crazycatlady
(4,492 posts)In about a year and a half (after the holidays next year). I'm not moving any large items because it would be too expensive to justify it. So I'm in the process of getting rid of stuff because the only things coming with me have to fit in the car.
2naSalit
(86,612 posts)just don't buy much these days and are using what we already have. Another thing is the fact that employment stats use only the info on those who are registered with unemployment agencies, it doesn't count people who are no longer seeking work or have simply run out of the UI benefits allowed for the amount of income you earned last year, which is my case. I am looking for work but I am not counted in the "jobless" category because I am no longer receiving UI benefits, they ran out in January.
So there are a lot of us not working who are also not included in the data. When I have to spend any money, it is for food, shelter, transportation. There's usually nothing left in my budget after the first two needs are met. I don't buy clothing unless I'm working and usually I'm buying a new pair of shoes that have to last me at least two years, or bluejeans with the same time/life expectancy. I get new undies and socks every three years, stock up when I have an income, everything else I have is recycled/second-hand.
So I can see where there would be a drop in consumerism, it's not a bad thing when considering the environment, capitalism has outlived it's worth for most of us, we need a new paradigm going forward.
CK_John
(10,005 posts)2naSalit
(86,612 posts)Have a job interview tomorrow, a private sector job. I got screwed by the federal hiring freeze... I hav e"rehire status" but I don't think that a whole bunch of jobs in the agencies I work for will be filled this year, which sucks for thousands of seasonal workers AND the public who visit our public lands and national parks and forests. I wonder how the personnel problems at places like Yellowstone will be handled with this freeze in effect. So far, the only areas of hire are LEOs, firefighters and trail crews. No public outreach/education about what you need to know when you come here - for instance - because we have dangerous conditions here so camping in this area requires some knowledge about bears and cougars and your safety and it is usually my job to coordinate and conduct some of these programs. I'm willing to bet that there will be a spike in the number of bear/human encounters that turn out bad for tourists and the bears this summer.
So tomorrow I may get a rather decent job at a resort in the area, keeping my fingers crossed.
3catwoman3
(23,987 posts)Please let us know.
2naSalit
(86,612 posts)I have been a client at this place in the past, sponsored conferences there, it's a pretty cool place and it's probably the closest place to get a job too. I'm way out in the sticks.
MedusaX
(1,129 posts)In my area,
The number of storefronts per retailer increased because
1. a commercial construction increase had generated an excessive supply of retail storefronts ....
This led to substantially discounted lease $$ rates being offered to entice potential occupants...
At the same time, the online retailers were becoming more competitive with the traditional brick/mortar retailers... and were promoting the various aspects of on line shopping "convenience" .
Cheap rent allowed physical retailers an opportunity to add locations... theoretically increasing convenient access for shoppers to interact with their merchandise...
Unfortunately, even with the super low lease $$, the overall cost per additional storefront required to maintain a full inventory, personnel, & cover other basic operating needs was never sufficiently offset by sales revenue....
Plus, the original 1 or 2 locations often began to lose $$ because their customer base was now spread across multiple locations ...
2. An increase in Big Box retail stores emerged when commercial developers secured strong city support for tax related incentives ....
Again, the increased number of locations per retailer may have made shopping more convenient ... but it did not necessarily increase the # of total shoppers or the total $$ sales revenue generated...
Hence, the tax incentives alone were not sufficient to account for the inventory, personnel, etc required to operate each additional location ....
And there was not a sufficient increase in total revenue to make it worthwhile.....
I would guess that these are just 2 of many circumstances where trends in seemingly unrelated industries interact ... and There are some unintended consequences which occur as a result.
BSdetect
(8,998 posts)They have jumped over $50 lately. Now about $900.
I have not been to the local mall for several years now.
Its a juggernaut.
MissB
(15,808 posts)It's a great place to walk around when the weather sucks.
jalan48
(13,865 posts)Plus, Social Security has been essentially frozen for years now. I think most Americans are in survival mode these days.
snooper2
(30,151 posts)AT&T alone shows 2112 jobs available...
Give me a aptitude and a city I can find a job opening-
jalan48
(13,865 posts)I was under the impression most of the jobs created in the "recovery" were low paying service jobs.
jberryhill
(62,444 posts)Okay, waddya got for me?
snooper2
(30,151 posts)Third alligator found in Minnesota in two weeks, may have been pets
For the third time in two weeks, an alligator has been found in central Minnesota.
KARE 11 reports a 30-inch gator was captured near Pillager, Minn., in Cass County on Tuesday. Sheriff's deputies used a fishing net and help from a Minnesota Department of Natural Resources conservation officer to grab it on Hardy Lake, where it was spotted a day earlier.
Cass County Sheriff Tom Burch told the TV station that his staff typically deals with bears and, occasionally, cougar sightings, but never alligators. He said they might not have been able to handle it if it were bigger.
http://www.syracuse.com/us-news/index.ssf/2016/07/alligators_minnesota_pets_brainerd.html
Job ID: 12663
Job Class: NR Parks Specialist Intermediate
Who May Apply: Open to all qualified applicants
Date Posted: 04/10/2017
Closing Date: 04/24/2017
Hiring Agency/Seniority Unit: Department of Natural Resources
Division/Unit: Parks & Trails/ Region 3
Work Shift/Work Hours: Day Shift
Days of Work: Monday - Friday
Travel Required: Yes
Salary Range: $19.97- $29.00/hourly; $41,697 - $60,552 /annually
Classified Status: Classified
Bargaining Unit/Union: 214Professional/MAPE
Employment Condition: Full-time Unlimited
FLSA: non-exempt
Work Area: Central Region St. Paul, MN
Connect 700 Program Eligible: Yes
https://careers.mn.gov/psp/hcm92apc/MNCAREERS/HRCR/c/HRS_HRAM.HRS_APP_SCHJOB.GBL?Page=HRS_APP_SCHJOB&Action=U&FOCUS=Applicant&SiteId=1001
jberryhill
(62,444 posts)Will I get a cool apartment like Mary Tyler Moore?
ProfessorGAC
(65,042 posts)Sorry, couldn't resist.
taught_me_patience
(5,477 posts)Good jobs are plentiful and pay is rising quickly.
Doodley
(9,091 posts)in the 70's that was predicted to be the upside of automation and rapid population growth. It was to be a Utopia with improved living standards, more leisure opportunities and more time for personal growth through learning and traveling, but it only works for all if we have governments that have the will to guide it in that direction.
marybourg
(12,631 posts)I was young and I bought into it. We were all going to work about 4 hours a week. Nobody brought up the issue of who was going to pay us a living wage for working only 4 hours a week.
HughBeaumont
(24,461 posts). . . if the cost of necessities didn't skyrocket out of the range of the middle/working/poor.
Or that an entire generation is now indebted beyond their ability to afford a second or third necessity (housing and transportation) because Capitalism and a hyper-Capitalist run Government worked hand in hand to make sure their first necessity (education) now required 1/2 to 3/4 of a mortgage to attain.
NCTraveler
(30,481 posts)"and the last 18 months have been quietly excellent years for wage growth, particularly for middle- and lower-income Americans."
NCTraveler
(30,481 posts)Most donate of have their own lobbying arm. These lobbyists often work for that days best interests of the corporation, not the consumers they depend on.
Of course there are many reasons. Still, each has often worked against middle and lower income Americans when it comes to policies and politicians they support.
There is straight up dishonest in this article.
crazycatlady
(4,492 posts)A company like Macy's is digging their own grave by ailenating many potential customers. I'm in my mid 30s. I do not want to dress like a high school student or a retiree. To them, it means that I'm willing to spend three figures on a pair of jeans.
They offer very little for the market segment between 25-55.
NCTraveler
(30,481 posts)voteearlyvoteoften
(1,716 posts)Housing before outfits... just sayin
DUFan
(62 posts)Clothing, shoes, coffee and non-perishable food, pet food, bedding, etc. In my case, it is because of advancing age. I have arthritis and neuropathy and it is painful to walk long distances in large stores or malls. It may be that many of my fellow boomers are feeling the same way.
Sen. Walter Sobchak
(8,692 posts)Fashion retailers missed a lot of trends and changing tastes. It came as a surprise to a lot of people that kids aren't looking to dress like characters on The O.C. anymore. Fashion retailers were also blindsided by "fast fashion" and the associated margin pressures.
My former employer is exiting a number of profitable locations in California because their landlords are just plain delusional either perceiving another retailer to be waiting in the wings itching to pay top dollar for their space or believing they can redevelop the site. Both assumptions are comically flawed wishful thinking.
nikibatts
(2,198 posts)Check out who owns and operates most of the retail real estate in the country. You will be surprised.
JI7
(89,249 posts)JI7
(89,249 posts)AwakeAtLast
(14,125 posts)At least, I don't.
radius777
(3,635 posts)but I guess common amongst economic nationalists these days on both the right and left.
where something is made has very little to do with quality, as most items are mass produced by machines/automation.
product quality has much more to do with the decisions (for cheaper materials, design, manufacturing processes, etc) that (mostly white, western) executives/companies make.
AwakeAtLast
(14,125 posts)If I ever see something that is Chinese and high quality, I will buy it. Most of what I see in stores here today is low quality, mostly made in China. I shop as locally as I can and find that quality is better.
WinkyDink
(51,311 posts)radius777
(3,635 posts)it is a problem.
Lets face it, what drives populism amongst whites (on the right and left) is the idea that non-white countries are stealing white jobs/money, and that a first world standard of living is only for whites.
radius777
(3,635 posts)Brick-and-mortar only type stores are finished, but "click-n-mortar" stores (such as Walmart, Bestbuy, and others) that offer a seamless experience between the online site and physical store, and have the products that people actually want - can succeed. It's not the consumer's fault that Amazon has the top items in each category for a good price and fast shipping. There's nothing stopping a physical store from offering such products.
CK_John
(10,005 posts)WinkyDink
(51,311 posts)CK_John
(10,005 posts)Read more:
http://www.cnbc.com/2017/04/11/wal-mart-reportedly-cutting-hundreds-of-jobs-to-slash-costs.html
Wal-Mart is eliminating hundreds of jobs in its latest attempt to cut costs as it invests in online.
The layoffs span the company's international, technology and Sam's Club divisions. They follow Wal-Mart's decision to eliminate some 1,000 corporate positions earlier this year, including 200 in its e-commerce division.
A spokesman for the retailer confirmed the job cuts to CNBC, which had originally been reported by Dow Jones.
"It's really a continuation of what we said back in January," Wal-Mart spokesman Randy Hargrove told CNBC. "It's all part of managing our costs and our capital."
HughBeaumont
(24,461 posts)Is THAT not the most inspiring statement for pitchfork and torch sales?
radius777
(3,635 posts)model, which I think is the future for stores with a physical presence to survive. You can buy almost anything from their online site and have it shipped to the store for free, then just pick it up. This is especially good for large items where the shipping to home may be costly. They also have a large area/counter dedicated for the store pickups and it goes pretty smoothly.
Microcenter is another store with a good operation like this, huge counter with good service for the online pickups. They also have an excellent in-store selection, with the top items that people actually want.
Really, if these stores would simply stock the top products on Amazon (and NewEgg, for tech products) and that would bring people in who actually want to see the item. Most people will pay slightly more if they can just go in and pickup their item whenever they want it, and not have to wait for shipping.
Warpy
(111,261 posts)Most of us would rather try on clothing and especially shoes for fit, rather than take a chance online. Retail therapy used to be a thing, although I never really shared it. Window shopping was once a great way to kill an otherwise boring Sunday afternoon.
All that is gone and strip malls around here look like meth mouth from all the empty spaces and some are even getting bulldozed. In this city of about 750,000, one mall is nearly empty and the other is struggling. Mid level restaurants are closing and there are now two stand alone appliance stores in town.
Clearly something besides online shopping has been happening, and that something is wages that have been allowed to fall too far.
Anyone who wants amenities like retail back had better start supporting only those pols who campaign on higher wages. That's the only thing that will bring stores back.
marlakay
(11,468 posts)Shopping no Macy's Jc Penny or any other normal store so I rarely shop anymore.
No one dresses up in this area anyway.
alarimer
(16,245 posts)I read an item in Harper's Index that said 83% of new apartment units are unaffordable for anyone making less than $75,000 a year.
Nowhere in the country can a person making minimum wage afford a 1-bedroom apartment.
Wages have stagnated. Good jobs are replaced by lousy ones in the service sector (I mean that the wages and benefits are lousy) and which are uncertain to last. Given that most people work "at-will", uncertainty is the worst thing about employment.
So why would anyone shop for anything other than the necessities?
Baitball Blogger
(46,709 posts)Republicans are talking about cutting back on every program that benefits the middle and lower classes, and the end result is that the message they're sending to consumers is that it's time to tighten the belt. And it will continue to be that way unless the job market does something exceptional.
WinkyDink
(51,311 posts)TNLib
(1,819 posts)I prefer department stores. But I'm going to be frank service is terrible in department stores. The cash registers are old and often orders have to be rung up several times. The fitting rooms are gross and often closed you have to travel around the store to find one.
A couple of weeks ago I tried to purchase shoes only to be ignored by the staff. I went back a week later to buy the shoes since no other store I found carried them. They were completely out of my size and I ended up having to order them.
The department store experience isn't what it use to be. The only store with decent service is Dillard's and our local Dillard's is expensive and smells like cat pee.
Kohl's has a nice selection but every time I buy something it doesn't seem to last more than a year and falls apart.
I can see why retail stores are closing.
crazycatlady
(4,492 posts)And I witnessed the firsthand transformation back in about 2001. Keep in mind this was a lower end store (I don't want to name the company, but it is not a traditional mall anchor but is instead in strip malls).
When I first started there, the departments were subdivided each with a FT associate in charge. As people started leaving, the FT positions were eliminated and combined with a PT skeleton crew. It was impossible to learn your dept well because it got too big. For example, the kids' department was divided into girls, boys, and infant/toddlers. It was possible for someone to learn the boys' dept well, but not three. Same was in other ones. Misses was separated into casual, career, and plus and eventually they were combined. Hardlines was housewares, domestics, and seasonal soon to be one.
taught_me_patience
(5,477 posts)Using money saved by buying stuff online.
The Big Ragu
(75 posts)insane customers, shitty music, and cheap garbage: what's not to like?