Ronald Friedman, Co-Leader, Retail/Consumer Products Industry Group, Quoted in CNBC Article, "The Latest Retailer to Join Discount Deluge."
By Krystina Gustafson
The off-price space is about to get even more cramped.
Lord & Taylor on Monday became the latest department store to throw its hat into the off-price ring, saying it plans to open its first Find @ Lord & Taylor location in Paramus, New Jersey, next month, with six more stores slated for next year.
The announcement makes Lord & Taylor the third major department store to enter the off-price market this year alone, as competitors who already have an established presence there continue to grow their reach.
It’s also the latest indication that traditional retailers are having to stretch outside their comfort zones as they attempt to drive their revenues higher, while at the same time jeopardizing sales growth for the overall sector.
“Lord & Taylor’s saying ‘OK, if I can’t do my regular gross margin … let’s go get more sales with outlet stores,'” said Ron Friedman, leader of the national retail and consumer products group at Marcum, an advisory firm.