Retail Strategy for Profitability

We all know that the retail market has been hit hard by the economic slow-down.  Jay Margolis, retail analysis has one major suggestion to retailers in order to stay profitable.  It’s about speed to market, and getting the consumer back into the store.  He believes it’s about the traffic, and then the conversion of that traffic.  Simply put, it’s about selling out of your inventory.  I know you’re thinking, duh!  Hold on a moment.  Mr. Margolis believes that retailers have already exhausted price cutting, lowering of overhead, etc.  It’s time to take a look at Forever 21, Zara and H&M because this will be the model from now.  Retailers must keep on trend with color, silhouette or shape just as those three retailers have been doing.  They’ve excelled and profited from this strategy, and the inventory moves in and out of the stores.  It’s all about newness.  He believes other brands will have to catch up. 

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