Gallery: Tap Credit Card Rewards to Slash Your Holiday Gift Bill

Permalink | Email this | Comments

If you're thinking about buying the woman in your life a pair of slippers this holiday season, listen up.
Snooki's footwear preferences aside, fluffy terrycloth models won't cut it: Fashionable moms and trendy teens are choosing slippers adorned with animal prints, sequins and faux lynx fur.

In fact, slippers have gotten so stylish that they're not just for puttering around the house: Women are taking them to the streets.

Manufacturers have taken the hint, adding indoor-outdoor soles to appeal to women on the go. Slipper booties with outdoor bottoms, for example, are hot sellers at Kmart (SHLD), particularly among teens.

"During the winter months you can travel to any mall and see young girls wearing slipper booties or slipper moccasins in lieu of boots and even casual shoes," said Erin Bomgaars, marketing director for Kmart footwear. "The fashion boot craze has sparked much of the additional sales within slipper booties. It's a less expensive option for customers for whom retail boots are cost prohibitive."

Today's slippers feature "more sexy and fashion-driven materials and colors" rather than the traditional powder blue and pink, explained Greg Tunney, CEO of R.G. Barry (DFZ), parent company of the nation's largest slipper manufacturer, Dearfoams.

Dearfoams has seen sales explode, driven by teens and also by "Hot Mamas," the company's term for women between the ages of 35 and 42 who have kids and drive a minivan but "know what is going on in fashion," Tunney said. For them, there are zebra and leopard-print styles, sequined clogs, and edgier looks such as velvet tuxedo slippers in jewel tones like jade, red and deep purple.

As a result, the company -- which also supplies slippers to discounters and department stores under the Vera Wang, Nautica (VFC) and Levi's names -- posted record sales last year and is "on the same path" for 2013, said Nancy Coons, Dearfoams president of footwear.

From Humble to High Style

The slipper is just the latest example of the highbrow makeover of a traditionally lowbrow product. Over the last decade or so, marketers have been elevating a range of basic goods. Chic home stores like Crate & Barrel have given stylish upgrades to plastic dinnerware, for example, and the humble cupcake has gone haute cuisine since Sex and the City thrust trendy Manhattan bakery Magnolia into the foodie spotlight. Even doughnuts are getting an artisanal boost.

David Wolfe, creative director of trend forecasting firm The Doneger Group, suggests that the rise of the stylish slipper reflects the "dichotomy of fashion."

Just as "painful, torturous" and "extreme shoes" are in, so is "sublime comfort," evidenced by the slipper-doubling-as-shoes trend, as well as the longstanding popularity of Ugg boots and Juicy Couture-style jogging suits. "It's couch-potato wear," he said.

Coons agreed. "People are really looking for comfortable, pretty and sexy footwear that they [can] take outdoors. And they're finding that in slippers."

Permalink | Email this | Comments

Permalink | Email this | Comments

Permalink | Email this | Comments

Permalink | Email this | Comments

Permalink | Email this | Comments

Permalink | Email this | Comments

Permalink | Email this | Comments

Gallery: The Ones to Watch: These Stores Could Become Household Names

Permalink | Email this | Comments

Toys R Us is the latest retailer planning to ramp up seasonal hiring this holiday.

But just-released sales forecasts on the busiest shopping season of the year raise the question: Will all those added store associates be kept busy?

The toy chain announced plans to sign on 45,000 seasonal employees to staff its stores and distribution centers for the winter holidays.

The number reflects an increase from the estimated 40,000 seasonal workers it hired last year, due in part to more positions needed to fulfill orders resulting from new initiatives, such as its "Buy Online, Pick Up In Store," "Ship from Store" and "Ship to Store" programs, as well as its new free layaway and Hot Toy Reservation services.

Meanwhile, Kohl's (KSS) set plans last week to hire 58,000 holiday employees, about two dozen more than it did in 2011, just as Wal-Mart (WMT) will sign up more than 50,000 workers, slightly up from last year, the company said.

But it remains to be seen if the staffing boost, with 36% of retailers planning to hire more than last holiday, will end up being warranted.

According to a Moody's Analytics (MCO) report released this week, U.S. retail sales in the fourth quarter will grow at the slowest pace since 2009.

"The 2012 holiday season will be a mild disappointment for U.S. retailers expecting significant growth in sales," Scott Hoyt, senior director of consumer economics for Moody's Analytics, said in the report.

"The numbers will rise but less vigorously than they did a year ago. Consumers are still strapped for cash, with a high unemployment rate and a large pool of workers who have left the labor force causing the growth of wage income to slip, even relative to modest employment gains," he said.

Carl Steidtmann, Deloitte's chief economist, agreed, although the accounting firm has issued a more optimistic holiday sales outlook, forecasting a 3.5% to 4% lift in holiday sales over last year.

"Economic headwinds nagging consumers this fall include stubbornly high gasoline prices that continue to creep up and soft housing and job markets," Steidtmann said, in a statement.

Still, retailers are optimistic.

Retail consulting firm Kurt Salmon surveyed retail executives from a variety of store formats and sizes: More than half (56%) said their 2012 holiday sales will increase.

Permalink | Email this | Comments

Permalink | Email this | Comments

Permalink | Email this | Comments

Let the games begin: Toys R Us and Walmart (WMT) have unveiled their hot holiday toy lists, sending the message to shoppers that the Christmas selling season has officially begun.

Expect to see more top-toy lists from retailers such as Target (TGT) and Amazon (AMZN) trickle in over the next few weeks. (On Wednesday, Kohl's (KSS) debuted its list.)

But for now, here are a dozen of the toys Walmart and Toys R Us, the nation's No. 1 and No. 2 toy chains, respectively, hope will fly off their shelves this holiday season.

Gallery: Hot Toys For the Holidays From Walmart and Toys R Us

Permalink | Email this | Comments

Permalink | Email this | Comments

Gallery: Reserve Now at Toys R Us: Hot HolidayToys

Permalink | Email this | Comments

Attention pancake lovers -- who also love oatmeal: Have we got a breakfast for you. IHOP is teaming with Quaker Oats on an exclusive new line of hot cereals.

The union of the famous flapjack joint and the oatmeal-maker is just the latest in a series of high-profile brand mash-ups heading to restaurants, fast-food chains and retail stores -- from the oatmeal blends to a line of clothing and home goods by Target (TGT) and Neiman Marcus.

But not every partnership is a match made in heaven.

In order for these brand collaborations to be a hit with consumers, they need to seem like a natural fit to begin with --- particularly when it comes to food pairings, Bob Goldin, executive vice president of Technomic, a food-service consulting firm, tells DailyFinance.

Co-mingling brands must resonate with a common "target consumer group, while each adding something distinct to the equation," he says.

When the marriage works, "brands add credibility [to other brands] and lead to a sales boost."

Here's a look at some notable recent hook-ups.

Gallery: Brand Hook Ups

Permalink | Email this | Comments

Low prices: That's what's going to get registers ringing this holiday season at Kohl's (KSS), which is clawing its way out of a business slump.

So said Kevin Mansell, CEO of the 1,134-unit department store chain, at Goldman Sachs' retail conference on Thursday.

His comments come a day after the CFO of competitor Target (TGT) delivered the opposite message at the investor conference, vowing not to partake in the price wars during the Christmas shopping season.

By contrast, Kohl's will play up its lower-priced fare during the winter holidays, when it expects to see "the biggest acceleration in sales," he said.

The idea is to avoid a repeat of last year's holiday sales declines. It was a dearth of low-priced merchandise, as well as a weak gift assortment and poor presentation, that got the chain in trouble holiday 2011, Mansell said.

A Tough Year: Comeback In Store?

Kohl's holiday sales weakness continued into 2012. It has posted negative comp-store sales for much of the year, reflecting fashion missteps, too little inventory on the sales floor, and lackluster marketing.

But it turned a corner with back-to-school season, which was "very solid" for the chain, as it was for much of the retail sector -- a testament to a "resilient consumer," Mansell said. Sales rose 3.4% in August and 1.7% in July.

But Kohl's is not out of the woods just yet: Foot traffic in August "was still negative, but it was still the best performance we had all year," and sales-per-square foot lag historic levels, he said.

What's more, the retailer is still scratching its head as to how it can market itself distinctively from other retailers -- a necessary step if it's to drive sales higher. "That's remains a challenge," Mansell said.

Kohl's closest competitor is J.C. Penney's (JCP), which certainly made itself distinctive in the marketplace with its controversial -- and so far, unsuccessful -- move to eliminate sales and coupons.

When asked whether Penney's radical move has influenced Kohl's promotional strategy, Mansell said he didn't see his company following suit: Sales and coupons are a lifeblood of its business and spice things up for shoppers, he said.

"What we sell is very highly discretionary," Mansell said. The customer "doesn't need these things on a daily basis." In turn, sales keep them "motivated and engaged ... and create the demand," he said. "I can't imagine a scenario where that would change."

But although stores from mid-market Macy's (M) to low-priced Target and T.J. Maxx (TJX) have gained among customers alienated by Penney's "no sales" strategy, "Kohl's hasn't been the biggest beneficiary of that," Craig Johnson, president of the retail consultancy Customer Growth Partners, told DailyFinance. "There is a broader issue with the brand," he said.

Kohl's strategy to jump start the business includes strengthening its beauty and accessories assortments, and it's testing a new merchandising concept for them, said Mansell, though he declined to disclose details.

It will also beef up its line of exclusive collections from national brands and designers to draw in consumers used to having infinite shopping possibilities on the web. Among the upcoming offerings: Design Nation, an clothing line from Narciso Rodriquez.

"How do we get reconnected [to the customer] so we quit disappointing her?" Mansell said. By "getting her more engaged and giving her a unique experience."

Gallery: Brands That Will Disappear in 2013

Permalink | Email this | Comments

Gallery: 5 Retailers That Are Showrooming-Proof

Permalink | Email this | Comments

So what's Walmart up to with its mobile checkout test run?

According to The Wall Street Journal, Walmart (WMT) is giving its new Scan and Go system a trial in one if its Bentonville, Ark., supercenters. Customers will be able to scan items with their smartphones as they shop, then pay quickly at special kiosks, thereby skipping the checkout line. What the new system conspicuously fails to do is allow shoppers to pay with their mobile devices.

The apparently tentative move might seem like a half-hearted approach to what is arguably the biggest change brewing in how Americans shop. But when it comes to how the nation's largest merchant goes about its business, attention must be paid to all the details: This pilot program could be less about making it easier for shoppers to pay, and more about getting you to spend more.

Mobile Payment Mania

For its part, Walmart is being tight-lipped about the test. "We are continually testing new and innovative ways to serve customers and enhance the shopping experience," Ravi Jariwala, a company spokesman, tells DailyFinance. "At this point, we don't have anything specific to share on that testing."

Whatever its motivation, Walmart is taking a decidedly more measured approach to mobile checkout than its retail brethren.

Apple (AAPL), a mobile-payment pioneer, launched EasyPay last year, which allows customers at its Apple Stores to complete purchases on their smartphones without the help of a store employee. Even before that, those stores were largely cashier-less: Employees check out shoppers with handheld card readers so they don't have to wait in lines.

Meanwhile, J.C. Penney (JCP) set plans in July to eliminate cashiers, cash registers and checkout counters, replacing them with a smorgasbord of solutions, such as WiFi networks, mobile checkout, RFID (radio frequency identification) technology tracking systems for merchandise, and self-checkout options.

Beyond single company advances, a battle is being waged for consumers' digital wallets, with apps that enable shoppers to leave their cash and credit cards at home, and use their smart phones to pay for purchases.

Although new mobile payment options keep on popping up, retailers have yet to adopt a universal platform, though MCX, a new mega-retailer backed mobile payment network, is taking a shot at it.

New Way to Sell More Merchandise?

So why would Walmart invest in a technology that doesn't enable shoppers to seal the shopping deal and actually pay for their purchases themselves?

Permalink | Email this | Comments

Permalink | Email this | Comments