As retailers, you always want to know what the new retail trends are. From time to time Neil Stern, editor of Retail Watch, a publication of McMillan/Doolittle will comment on retail trends in Buxton's Fast Facts Newsletter.
With McMillan Doolittle celebrating their 20th anniversary in the retail consulting business, they shared some thoughts on innovation and development in Retail Watch.
When our business began twenty years ago, there were relatively few chains of consequence. Only Sears, JCPenney, and Kmart could be considered national retailers. Now, one by one, industries are consolidating and national retail powerhouses are emerging. In drug stores, home improvement, office supplies, consumer electronics and on and on, markets are gaining a homogenous look with chain retailers dominant. Less retailers means less innovation. The focus has been on scale and efficiency, not new format development.
While there will always be a stream of entrepreneurs with new ideas, there is less funding available. This means these businesses will have longer incubation periods. Our startup and small retail business practice is busier than ever and new ideas never stop. But funding plays a big role in getting retailers big, fast.
Among the new ideas we are tracking, more and more can be classified as niches. In fact, we struggle to name the newer billion dollar categories that we have tracked over the past decade-Old Navy launched discount family apparel perhaps; Kohl's, the discount department store; and specialty teen retailers have found a sizable niche. But, in many cases, the big business opportunities have to materialize. We thought used car superstores had that chance as well as upscale home improvement. While both are still around, the categories certainly have not grown as fast.
|
What's New in Retail - (continued) 
