July retail sales better than expected
After a less-than-stellar June sales report, retailers across the nation performed better than expected, as many saw increased revenue from summer and clearance sales.
According to Retailing Today, research from Thomson Reuters revealed that 75 percent of retailers, including Limited Brands, Costco Wholesale Corporation and Gap Inc., experienced a rise in sales, as many stores turn their efforts from summer sales to the upcoming school season shopping. Although the back-to-school campaigns are considered the second-largest period for retailers after Christmas, July is usually noted as a transitional month, as sales are normally lower than other times of the year. However, with the recent increase in numbers, experts believe the back-to-school season will be boosted by recent positive sales.
"Hot weather and summer clearance, coupled with some newness in stores in the back half of the month, is leading to a nice upside heading into back-to-school," said Ken Perkins, president of RetailMetrics. "Retailers were pretty aggressive with promotions, trying to clear out merchandise."
June sales were not as profitable, as many retailers reported their worst figures in three years, states MarketWatch. Out of 20 retailers that reported their June numbers, approximately two-thirds did not exceed their estimates.
