As 2020 comes to a close there are a few brands on most expert's make-or-break watch list in 2021. I have three of them below with some of my thoughts.
Nordstroms
This company is primarily geared towards fashion/trendsetting or formal apparel. Its anyone guess as to when these categories will pick up. No need to wear Gucci loafers walking around the house in this work from homeworld. Also, it's my opinion that workplace attire will become even more relaxed once the pandemic passes and folks crawl out of their houses to return to the office.
Important to note that S&P has downgraded Nordstorms twice since the pandemic.
My prediction is a fairly safe one, Nordstroms will make it out alive through the pandemic. Affluent shoppers are the last to be impacted and are Nordstroms target customers. We aren't in a financial crisis (yet*) and likely won't end up there. I think the brand will limp through 2021 but no need to worry in my opinion.
Bed Bath and Beyond
A year ago I would have predicted this brand was lucky to make it to 2021. In late 2019 the company brought on Mark Tritton, as the new CEO, who was one of the architects of the Target turnaround.
Every time I drive up to Bed Bath and Beyond I mutter to myself, "how much longer can these guys stay open" then proceed to go in for a wedding or baby registry and leave with 10 things for myself, my dog, and my kids. It's the closest thing to a brick-and-mortar Amazon. The company is overdue for a branding refresh to bring it out of the 90's but overall, I think BBB will make it out alive in 2021.
Gamestop
I bet you forgot these guys still had locations. Would you believe they have over 3600 locations in the US? My question is how? Consoles can be purchased nearly anywhere else; Target, Sams, Costco, Walmart, online. Arent games are typically downloaded or streamed since every console is geared towards online play. Who is going to Gamestop AND actually buying from them?
It was a good ride and many of us have great childhood memories of Gamestop but I can't imagine a world where Gamestop makes it out of 2021. Again HOW have they made it this long?
The world of retail is continuing to undergo fascinating turns and transformations. Let's see how next year plays out.
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