"Harry Rosen readies itself for retail foreign invasion"
Sensing profound change coming to the retail landscape, Larry Rosen called
his senior executives to an urgent meeting at Canada’s premier high-end
men’s clothier. They drew up their own battle plan, raised $100 million to
expand most existing stores, add a few new ones, and invest in e-commerce,
staff training over the next five years, and may even go back into the
women's luxury fashion business. With Nordstrom coming Harry Rosen sees it
as a direct challenge. "It's not business as usual,: said Mr. Rosen, 55,
CEO, and second generation to run the business. "In the next 5 years, there
are going to be winners and losers. I am very confident we have the
direction to be on the right side of that equation." This is the typical
response by most of the Canadian retailers. They're aggressively tightening
their businesses and expanding themselves. There's going to be a fight up
there and the consumer will benefit long term. (Source
Wal-Mart Canada's Loss Prevention
leader left to join the RCC, leaving the biggest LP job in Canada open.
Stay tuned for who'll get that job.
Sears Canada cuts 400 jobs in their
second downsizing. The second downsizing in two months as the
struggling retailer tries to cuts costs. "These are never easy decisions.
These people gave their heart to Sears," said Sears spokesman Vince Power,
who said most of the affected employees were in "non-core" areas, including
food services, administration and IT. At some stores, cafeterias will be
closed down, Power said."
(Source RCC newsletter)
Retail Sales in November were up 0.3% to $38.7B for the fourth straight
month. General merchandise store sales were up 0.6%, the
sixth increase in seven months. The "other general merchandise stores"
industry accounted for the gain, rising 1.7%. Following a decline in
September and flat sales in October, sales at department stores fell 0.7% in
No big LP job gains yet in
Canada - actually we've seen some shrinking of the market.
But that's typical when an entire industry is getting ready for war so
to speak. With a number of Canadian retailers out there buying other
retailers, streamlining, right sizing, and trimming all the fat. It's the
calm before the storm. However we have seen a few new jobs but they're
scattered and go by almost unnoticed. With all the news in the last 18
months of U.S. retailers going north it takes time to make that a reality
and some will stretch their resources and try to cover it from the States.
So all the new jobs will come but it's going to take time and it'll be much
more gradual then the actual store openings.
Coming in 2012:
LP Show Coverage
The Top 10