Study: Retailers are eyeing a jump in sales — and seasonal workers — this holiday season
Optimistic that holiday sales will increase this year, retailers are stepping up their seasonal hiring plans.
This was according to a new Korn Ferry retailer survey. The study, which was conducted in September, is based on responses from 20 major U.S. retailers representing $160 billion in sales, and 1 million employees.
According to data, nearly half of the respondents (45%) said they expect to see an increase in holiday sales in 2017, and none of the respondents expect a decrease in sales. To meet this expected demand, 80% are planning to hire the same or more seasonal workers than last year.
Hiring additional seasonal retail staff may prove to be difficult, however. Forty percent of respondents believe there will be fewer applicants in the candidate pool this year, and 40% anticipate paying higher hourly wages. Specifically, 40% of participants expect minimum wage increases and market increases in the retail industry to exacerbate the situation.
“Despite rocky times this year with brick-and-mortar store closings at near-record levels, a relatively strong economy is expected to bode well for retailers this holiday season,” said Craig Rowley Korn Ferry senior partner, consumer and retail. “However, competition will remain fierce and retailers must come up with innovative approaches to win over consumers and keep them loyal.”
To help differentiate themselves in the marketplace, 20% of respondents said they are placing a greater emphasis this year on hiring employees who align with their brand culture. Meanwhile, 15% said they are placing a greater emphasis on the in-store retail experience.
“While 75% of respondents say they will use their mobile platform to help drive sales this holiday season, it’s clear that they still are focusing on the traditional in-store experience,” said Rowley. “But that experience is changing by becoming more intimate and tailored to the specific demands of the shopper.”
CBL malls to close on Thanksgiving
When holiday shopping madness kicks off on Thanksgiving Day, at least 121 malls will be sitting on the sidelines.
CBL Properties has announced that it will repeat the decision it make last year to let employees at malls across 27 states remain home to enjoy the annual feast with family and friends.
“The support that we received last year when we made this decision was overwhelmingly positive,” said CBL president and CEO Stephen Lebovitz. Feedback from retailers, CBL employees, and shoppers led CBL executives to the same decision this year.
CBL is giving the option to department stores, movie theaters, restaurants and other tenants with exterior entrances to open on Thursday, Nov. 23. The remaining areas of the malls will be open for business bright and early on Black Friday, with tenants cleared to open at 6 a.m.
Online giant targets its newest shopper: teens
Amazon’s new program gives teenagers purchasing power.
The online giant is giving teens between the ages of 13 and 17 their own login to use on the Amazon app. The service, which requires parental consent, enables teens to shop or stream content without supervision. However, parents still have the power to approve all orders or set pre-approved spending limits – a move that keeps parents informed of shopping habits, while still giving the young shoppers a level of autonomy.
Here’s how the service works: Teens send an invitation to their parent through either SMS or email. The parent will choose a payment method and shipping addresses for their teen to use when placing orders. The teen then receives an invitation to create their own username and password, and then download the Amazon App to start shopping.
Once their account is established, teens can begin to browse the app. When they place an order, parents will receive a text or email showing the item, cost, shipping address and payment information. Teenage shoppers can also include a personalized note like, “this is the book I need for class.”
Parents can approve the order by text or they can visit their orders page to further review the order. They also have the option to skip the approval step and set pre-approved spending limit. Parents receive itemized notifications for every order, and can cancel and return any item in accordance with Amazon’s policies, the online retailer said.
The program also allows parents to share their Prime membership with their children, at no additional cost.
“We’ve listened to families and have built a great experience for both teens and parents,” said Michael Carr, VP, Amazon Households. “For teens who have a parent with a Prime membership, they can also access Prime benefits at no additional cost, including fast, free shipping, Prime Video and gaming benefits with Twitch Prime.”