Leading US retailers on Thursday reported their first monthly sales gain since the financial crisis of September 2008, although most reported lower sales than last year as shoppers remained focused on bargain hunting. The 1.1 % rise in Retail Metrics’ September comparable sales index emerged as the Department of Labor reported that the number of workers claiming jobless benefits fell last week to the lowest level this year. The monthly sales figures were supported by a later Labor Day weekend, which saw some back-to-school sales shift into September from August.
The figures showed shoppers continuing to favor lower price retailers as they face uncertainties over unemployment and tighter credit.
For example, Gap’s Old Navy low-price chain reported a 13% surge in comparable sales, while overall same-store sales fell 8% and 12%, respectively, at its more upscale Gap and Banana Republic stores.
Comparable sales also rose 5.5% at Kohl’s, the low-price department store, and by 7% and 8%, respectively, at TJX and Ross Stores, which focus on re-maindered brands.
By contrast, Saks and Neiman Marcus, the upmarket department stores, underlined the comparative weakness of US luxury demand, with comparable sales down 11.6% and 16.9%, respectively.
Sales at Macy’s, the largest US department store chain, fell 2.4%, while Target, the mass discounter, reported a 1.2% decline. Walmart, the largest US retailer, no longer reports comparable sales on a monthly basis.
Gregg Steinhafel, Target’s chief executive, said the retailer “remained cautious” about the Q-4, despite the stronger-than-expected September. The National Retail Federation has warned that total US retail sales excluding gasoline and restaurants in November and December will fall by 1% to the levels last seen four years ago.
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