Weekly Retail Real Estate News
Holiday Shopping Kicks Off With Record-Topping Thanksgiving Weekend
During the past few weeks, a number of brick-and-mortar retailers offered very cautious and even gloomy sales forecasts for the holiday season. But U.S. shoppers came out to stores in droves for the official kickoff of the end-of-year buying tradition.
A record-breaking 200.4 million consumers shopped over the five-day holiday weekend from Thanksgiving Day through Cyber Monday, up 2% and surpassing last year’s record of 196.7 million, according to the annual survey released Tuesday by the National Retail Federation and Prosper Insights & Analytics. The figure surpassed NRF’s initial expectations of 182 million shoppers by more than 18 million.
Dollar Tree income falls; reviewing Family Dollar portfolio
Dollar Tree reported mixed third-quarter results as shoppers continued to cut back on discretionary purchases.
The deep discounter also said it has initiated a comprehensive review of its Family Dollar business “to address stores that are not aligned with its transformative vision for the company.”
Jack in the Box’s ‘playbook’ for new markets seems to be working
During Jack in the Box’s fourth quarter earnings call last week, CEO Darin Harris reiterated that development is critical to the company’s story. It has been since mid-2021, when Jack relaunched a franchise development program after a decade-long break.
Carrols is on the Front Lines of Burger King’s Comeback
Behind the bones of its $400 million comeback, Burger King’s turnaround is an optimization effort as much as a rethinking. Many of the frameworks at hand are designed to over-incentivize “A franchisees.” This calendar year, Burger King’s U.S. arm has closed a net of nearly 200 stores, with 300–400 gross expected to shut down across 2023. That’s well above the norm of roughly 200, but not an unexpected glitch in the journey. Pizza Hut, in August 2019, as it began to move away from Red Roof stores in favor of more carryout, delivery-friendly Delco units, started to shed underperforming restaurants and strengthen relationships with operators who were well-capitalized and committed to the close-and-replace approach.
Amid CEO Change, El Pollo Loco Keeps Eyes On Accelerated Growth
Roughly three-and-a-half years ago, El Pollo Loco unveiled a new “acceleration agenda” intended to spark franchise growth across the country, become more asset-light, and further digitize the business. Since, the chicken chain has grown by a net of 13 restaurants to 492 stores, moved its franchise ownership percentage from 59 to 65 percent, and overhauled its rewards program.
PacWest, Banc of CA Merger Approved
Four months after PacWest Bancorp and Banc of California Inc. announced their intent to merge under the Banc of California banner, the transaction officially closed on Nov. 30 following both shareholder and regulatory approval.
BurgerFi Shows Confidence in Turnaround Despite Sales Dip
BurgerFi CEO Carl Bachmann said Wednesday that after 90 days on the job, he’s “more confident than ever” about his decision to join the fast casual. He also described his progress thus far as “very productive.” But a lot of work remains.
The brand’s same-store sales lowered 11 percent in Q3. That breaks down to a 15 percent dip at 26 corporate restaurants and a 9 percent drop for 84 franchised units. The difference in performance between the two groups is because franchised units have higher-performing nontraditional locations and corporate units are mostly based in a currently weaker South Florida market.
Jack In The Box Inc. Q4 Profit Decreases, misses estimates
Jack In The Box Inc. (JACK) announced a profit for fourth quarter that decreased from the same period last year and missed the Street estimates. The company's earnings came in at $21.9 million, or $1.08 per share. This compares with $45.9 million, or $2.17 per share, in last year's fourth quarter.
With Hundreds Of Closures Coming, Drugstores Can't Find The Cure For What Ails Them
In just the last two years, the country’s three largest pharmacy chains have announced plans to close some 1,500 locations nationwide, a response to increased competition and dampened demand that have bitten into their budgets.
This contraction comes as the retail category overall continues to improve slowly after years of bankruptcies and buyouts. Drugstores including Walgreens, CVS and Rite Aid can’t seem to seize on the broader retail reset as consumers find more convenient ways to get their medications and get pickier about the retailers they frequent.
