Thanks for Visiting!

Register for free to get the full story.

Sign Up
Already have a Placer.ai account? Log In

Off Price Update

by 
Ethan Chernofsky
 on 
November 11, 2021
Off Price Update

As the pandemic’s retail effects took hold, the off-price apparel sector was put in a particularly difficult position because of their heavy dependence on brick and mortar traffic. Yet, the recovery period had been the reverse, with many of the sector’s key strengths aligning perfectly with wider trends.

The value the brands in the space provided was well suited to a period of wider economic uncertainty, while the treasure hunt experience drove interest in being back in stores. In addition, the orientation towards the suburbs and the wide geographic distribution also helped the sector ride the various waves of the recovery period.

Unsurprisingly, the sector saw tremendous results in the spring and then again in the summer Back-to-School season. But as the wider retail landscape has recovered, there is a real risk that the success may not continue - at least at the levels established in recent months.

Off Price Continues to Outperform

But looking at the latest data shows that the sector’s dominant position has continued. Average weekly visit comparison with 2019 for four top off-price retail brands significantly outperformed the wider apparel category.

Looking at the four weeks from October 4th through the week of October 25th shows that the wider apparel category saw an average weekly decline of 3.7% compared to the equivalent weeks in 2019. Yet, the off price average was actually up 4.2%. This is a huge swing that indicates the power the off-price retail sector has heading into a critical holiday shopping season.

The Brand Perspective

And diving deeper into the brand level shows that the strength is being seen across the board, with Marshalls, T.J. Maxx, Ross and Burlington all showed monthly visits growth in October when compared to 2019. In fact, for this group of retailers, only one month in the last five showed a visit decline when compared to two years prior.

Burlington has continued to lead the way with huge growth numbers, with a 14.7% average monthly increase in traffic compared to 2019. This is an especially important result considering the heat the brand took in early 2020 when they shut down their eCommerce offering. But the success has been felt by other leaders as well, with T.J. Maxx and Ross showed jumps of 8.3% and 13.0% respectively in October, even after an exceptional Back to School season.

This success combined with pent-up demand for the holiday retail season, lingering economic uncertainty, and the strong brand relationships these chains have developed all point to a very strong period in the months to come. 

Room for More

But what makes this sector even more exciting is how the approach can be expanded. TJX, which owns both Marshalls and T.J. Maxx, is also the owner of HomeGoods, an off-price home furnishings leader. The success for this chain has been equally staggering, with visits up 27.0%, 11.5%, and 21.3% the last three months when comparing to 2019 equivalents. The strength here shows that the model and perspective can have wide appeal which could push these brands to make more forays into adjacent retail spaces.

Can off price continue to dominate through the end of 2021? 

Visit Placer.ai to find out.

Get 3 brand & industry
breakdowns every week

Subscribe to the newsletter

Great! Prepare your inbox for data-driven insights...
Oops! Something went wrong while submitting the form.

Get a Demo

Please enter your first name
Please enter your last name
Please provide a valid email
Please enter your email
Please enter company name

Thanks for reaching out!

One of our experts will be in touch soon

Try Placer.ai Free
Oops! Something went wrong while submitting the form.
Checking in With Nike and Lululemon
Black Friday 2023 Retail Recap
Starbucks’ 2023 Holiday Menu & Red Cup Day Performance
Turkey Wednesday 2023
Who Attended the 2023 Pickleball Championship? 
Three Surprising Holiday Shopping Trends
What’s in Store for Ulta Beauty This Holiday Season?
Best Buy and Department Stores: A Holiday Deep Dive
Discount & Dollar Stores: Strength Toward The End of the Year
The State of Off-Price Retail: Discounts Seal The Deal
Placer Mall Index Recap: October 2023
Placer.ai Office Index: October 2023 Recap
Retail Corridors Ahead of the 2023 Holiday Season
California, Here Gap Comes
Checking in With Home Improvement
Getting Into the Glasses Game: Warby Parker Takes Over
Fitness Positioned for a Strong 2023 Finish
White Paper Recap: October 2023
Coffee Giants Brewing Up Business
Popeyes and Burger King Lead the Way
Diving into Yum!
Looking Ahead to Black Friday 2023
Blockbusters Drive Movie Theater Comeback
Crocs and Boot Barn: Shoe-Ins for Success
McDonald’s and Chipotle's Winning Recipe
The State Of Steak: Checking in With Texas Roadhouse
Pleasant Pastimes: Pickleball Potential Proves Potent
Who’s Driving Downtown Manhattan’s Weekend Revival?
Diving into Downtown Manhattan Foot Traffic Trends
Rite Aid: Rightsizing Right
Major League Soccer: Its Die-Hard and Casual Fans
The Anchor Recap: September 2023
Placer.ai Office Index: September 2023 Recap
Placer Mall Index Recap: September 2023
September White Paper Recap
The Consumer Habits of College Students
JCPenney: Rightsizing and Revitalizing
Pent-Up Demand Ahead of October Sales Events
4 Strategies Retailers are Using to Drive Traffic to Their Venues
5 Key Regional Grocery Players Impressing in 2023
Upscale Kitchenware Trending Up
Costco Finds More Room for Growth
Four C-Store Chains Making an A-Grade
National Parks + Outdoor Summer Activities
Diving Into Darden: Summer 2023 Update
The Summer Event Effect
Messi: Massive in Miami
Looking Back on Back to School 2023
The Anchor Recap: August 2023
Placer.ai Office Index: August 2023 Recap
Placer.ai Mall Index: August 2023 Recap
Placer.ai White Paper Recap: August 2023
Starbucks Pumpkin Spice Latte Strikes Again
Big Scoop: We All Scream For Ice Cream
Sports Away: Lululemon & Nike’s Momentum Continues
Summer Visits Heat Up For Recreation and Outdoor Gear Chains
No CSS overwrite - July 2023 Office Index Recap
Staging - August 2023 Mall Indec
Mid-Atlantic Grocery Deep Dive
Experiential Chains Heating Up This Summer
Petco Goes Big by Going Small
Ulta Beauty: Leading the Discretionary Pack
Discount and Dollar Chains Continue to Thrive
Summer of Sports: DICK’s Sporting Goods and Hibbett Sports
Off-Price: Succeeding Into Summer
The Anchor Recap: July 2023
Superstores Maintaining Pandemic Gains Amidst Economic Headwinds
2023: Home Improvement at the Halfway Point
July 2023 Office Index Recap
Placer.ai Mall Index: July 2023 Recap
The Taylor Swift Visit Lift
Southwestern Grocery Dive
July 2023 White Paper Recap: Halfway Point Review & Quarterly Index
Yum! Brands: Driving Dining Visits
Slurpees and Summer Movies Stimulate Consumer Foot Traffic
Cool Beans: Summer Coffee Update
Checking In on Back to School 2023
Crocs and New Balance Tip The Scales
Burger Bliss: Shake Shack and In-N-Out Stacking Visits
Chipotle & McDonald's Continue to Reign Supreme
Vibenomics and Placer.ai Partner to Enhance Retail Media In-Store Measurement
California Grocers Here We Come!
Marriott’s Different Audiences
Bonchon and Kura Sushi Thrive in the Fast-Casual Scene
A Shoe In: Footwear Climbs to the Top
Cheers! Raising a Glass to Beverage Retail
Placer.ai Office Index: June 2023 Recap
Placer.ai Mall Index June 2023 Recap – A Turn of the Tide and a Dive into Open-Air Lifestyle Centers
Local Kitchens: Redefining the Restaurant
Unlocking Urban Insights: The Value in Manhattan’s Employees
Ohio State Parks On The Rise
How is Inflation Impacting the High-Income Shoppers?
Five Fast-Growing Dining Chains
What To Expect From Prime Day and July Sales Events in 2023
The State Of Fashion: How Are Apparel Retailers Faring in 2023?
2023’s Latest Dining Success Story: GEN Korean BBQ House
The NBA Finals: A Location Intelligence Perspective
Moving the Market: The Impact of Domestic Migration on Housing Costs
Post-Pandemic Museum Update
The Darden-est Things