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United States Of America : Apparel Stores Losing Attraction

2003-5-27 9:55:00

Apparel is no more big attraction for consumers that it was once, space being devoted to clothing at discount and department stores are getting less.

Ernst and Young retail analyst Jay McIntosh pointed out that clothing prices have been dropping. He said deflation has been squeezing apparel costs for the past five years.

But sales of clothing continue to decline, too. According to a study from the NPD Group, apparel sales fell 2 percent last year.

So, analysts say many retailers are likely to follow the lead of Target, which is adding food to its discount stores at the expense of space for men's clothes and other items.

TJ Maxx has been offering more housewares and home furnishing products in recent years, and Macy's and Bloomingdale's parent company, Federated Department Stores, has announced it.

 
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