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Tween Brands Dominates Tween Girls Apparel Market
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Tween Brands is in the number three position behind Wal-Mart and Target
in the tween girls apparel market. The Tween Brands market share in the
tween girl seven to 12 year old market increased 114 basis point for
the 12 month period ended June 2009 according to the company's latest
financial report. Additionally, during the same period, the tween girl
apparel market contracted almost 6 percent and JC Penney, Kohl's and
Old Navy all lost market share.
According to Mike Rayden, Chairman and CEO, "Our ability to pick up
market share, slow the comp store sales erosion, reduce costs, and
conservatively manage inventory all being done concurrently in an
economy that continues to decline, is pretty encouraging to say the
least. And, it's all the more encouraging since we have also been
involved in a bold complete brand transformation."
Other current initiatives that the tween retailer revealed in its most recent report include:
-Total inventory at the end of the quarter was down 18.5% per square
foot of cost from the end of the second quarter 2008. In store
inventory was down 19% per square foot of cost consistent with our
expectations.
- Increase the frequency of communication with its customer through a
greater number of contacts then it had originally planned and direct
mail efforts that extend deeper into its database during the second
quarter.
- Adjust promotional cadence and consequently plan to increase the
number of days to offer some type of promotion versus last year. The
retailer also planned to sweeten its offers at various times such are
more 40% off events as compared to the 30% off opportunities.
"Throughout the second quarter we in fact engaged in all of these
activities and saw improved performance for the period particularly
late in the quarter with the excellent response to our back to school
merchandise assortments," says Rayden. "This improved performance and
our ability to mitigate top line pressure indicates that the Justice
branded merchandise is being embraced by our customers because it is
appealing to her and the price is compelling. |
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