Thanks for Visiting!

Register for free to get the full story.

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

Placer Bytes: Unstoppable Target, Macy's Bull Case and the Albertsons IPO

by 
Ethan Chernofsky
 on 
June 29, 2020
Placer Bytes: Unstoppable Target, Macy's Bull Case and the Albertsons IPO

In this Placer Bytes, we dive into the endlessly impressive Target, take a look at Albertsons following its IPO announcement, and break down the optimist’s case for Macy’s.

Target Cannot Be Stopped

Yes, it was considered essential retail during the pandemic, but Target was still hit very hard. The year kicked off incredibly well, but visits saw a significant downturn, especially compared to superstore competitor Walmart. While Walmart’s traffic never dipped below 20.0%, Target saw visits drop 32.2% compared to the same month in 2019. 

Although its offline hit from the pandemic may have been worse, the pace of Target’s return looks to be far stronger. By May, Nationwide visits for Target had returned to a decline of just 1.7%, and the pace of return is picking up.

Looking at weekly visits since the start of May, Target has yet to see a year-over-year visit decline of more than 6.0%, and there have even been two weeks with year-over-year growth. This is exceptional performance considering many states were still imposing significant restrictions, and Target does have a significant number of stores in harder-hit states and

cities. Even more impressively, the rate of return actually looks to be increasing with the 15th, 16th, and 17th of June showing year-over-year growth of 4.7%, 7.3%, and 6.9% respectively. So, while May looks to have marked the beginning of Target’s recovery, June could put the rapid return into full focus.

Albertsons Excellent Timing

With Albertsons announcing its IPO plans, there’s an increased focus on what the brand’s performance has truly been, and the timing seemingly could not be better. The pandemic put traditional grocers on a pedestal, and this just poured more fuel onto an ever-strengthening fire for the chain. For example, while annual visits in 2019 were up 0.6% year over year, the first five months of 2020 have driven an overall increase of 3.1%. All this while taking into account the drops associated with the pandemic.

Albertsons kicked off 2020 with strong growth in January and February, before seeing a massive March spike, and major April downturn. Yet, May visits, even amid the ongoing effects of the pandemic, were already back to early 2020 year-over-year growth numbers.

And, here too, the pace is not slowing down. Analyzing weekly visits year over year shows only one week with a decline since the start of May, while visits the week of June 1st were up nearly 8%. Should this pace continue, the brand could be exceptionally well-positioned to carry its newfound strength deep into 2020 and beyond.

Macy’s - An Optimist’s View

Predictions of the death of the department store have only picked up pace lately, with the challenges facing malls and certain brands taking center stage. However, there is another perspective on the matter, and Macy’s is an excellent example. While visits for the brand are down, they are moving quickly towards normal with the week of June 8th showing a drop of 58.9%, a massive improvement on just a few weeks prior when visits were down 94.3% year over year.

While Macy’s is closing large numbers of stores, it has proven to be strategic in the process, identifying locations that can still be effectively served by other branches. And while not all new concepts have hit home, the retailer has shown a willingness to roll out ideas and innovate. Additionally, the removal of key competitors could create a strong opening for short-term growth. This combination of a more optimized retail footprint, an aggressive approach to innovation, and the opportunities enabled by struggling competitors could unlock new levels of growth for the brand.

Will Target’s dominance continue? Can Albertsons maintain its strength throughout 2020? Will Macy’s surprise? 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.
The Promise of Luxury Apparel
Catching Up With Ulta Beauty & Gap Brands
Ollie’s Bargain Outlet and Five Below: Q1 2024 Treasure Troves
CAVA Still Going Strong
Driving Success: Auto Parts Chains in 2024
Checking in With DICK’S Sporting Goods
Mother’s Day Shopping and Dining Trends
Placer.ai Mall Index: April 2024 Recap – Retail Resilience Heading into Spring
Dollar Stores Still Gaining Momentum
Off-Price Apparel Chains After Q1 2024: Demographics in the Balance
Walmart, Target, and Wholesale Clubs Continue to Thrive
Home Improvement and Decor Check In
Placer.ai Office Index: April 2024 Recap – Recovery Continues
Movie Theaters in Q1 2024: A Preview of Coming Attractions?
Let’s Get Physical: Fitness In 2024
Where Are Workers Returning to Office in 2024?
2024 Wins: Sweetgreen & First Watch on the Rise
A Full-Service Turnaround: Bloomin’, Dine, and Texas Roadhouse
Wendy’s and Denny’s: Breakfast and Late Night Dining Drives Success
Coffee Chains: Q1 2024 Update and What’s Changed Since COVID
Checking in with RBI and YUM!
Chipotle & McDonald's Serving Up Success
Wingstop & Shake Shack Continue Growing Their Reach 
Strong Start for Sprouts in 2024
Crocs’ Footwear Fairytale
Who Attends NCAA Final Four Events?
Eclipse Fever: How Did the (Retail and Hospitality) Stars Align?
Exploring Albertsons Companies’ Grocery Growth
Placer.ai Mall Index: March 2024 Recap – Malls Rise Again
Placer.ai Office Index: March 2024 Recap
Florida Spring Break Break-Up? Travelers Still Love Florida!
Provo-Orem and Ogden-Clearfield Emerging As Utah Hotspots 
Three Formulas for Experiential Retail in 2024
Aldi & Lidl Making The Cut
Texas Suburbs on the Rise
Exploring Luxury Hotel Brands’ Guest Segmentation
The St. Patrick’s Day Effect
How Can JOANN Make a Comeback?
Panera Bread Well Positioned for Possible IPO
Who Will Benefit From Family Dollar’s Downsizing?
Dave & Buster’s and Main Event Entertainment: Food and Fun for Everyone
Darden Brands: Location Analytics and Consumer Behavior
Nike and lululemon: a Strong 2023, Sprinting into 2024
Where Is Retail and Dining Foot Traffic Thriving in Early 2024?
Placer.ai White Paper Recap – February 2024
Three Retail & Dining Chains That May Surprise in 2024
Specialty Discount Chains Rock Retail Therapy
Placer.ai Mall Index: February 2024
Placer.ai Office Index: February 2024 Recap
Ulta Beauty Continues To Shine
First Watch Sails Into 2024
Hibbett Sports and DICK’S Sporting Goods: A Psychographic Analysis
Checking in With Discount & Dollar Stores
Peeking Behind The Curtain: Movie Theaters in 2023 and Beyond
Diving Into Brick-and-Mortar Eyewear
Getting Into Gear: Exploring The Auto Part Industry
Recapping Valentine’s Day 2024 Foot Traffic Trends
Fitness: A Strong Start to 2024
Dutch Bros. Continues To Percolate Visits
Super Bowl 2024: Placer.ai’s Postgame Foot Traffic Analysis
CAVA & sweetgreen Are On the Rise
Hats Off For Off-Price
Who Is Shopping at Malls?
Drilling Down Into Home Improvement
Walmart, Target, Costco & Superstore Space 2023 Recap
Catching Up With Shake Shack and Wingstop
Something To Chew On: Demographic Shifts at Steakhouse Chains
Placer.ai Office Index: Looking Back at 2023
Recapping RBI & Yum! Brands’ 2023 Foot Traffic Performance
Placer.ai White Paper Recap – January 2024
Who Shops at Anthropologie and Urban Outfitters?
Three Taco Chains to Watch in 2024
Starbucks and Dunkin’: 2023 in Four Data Points
Who Visits CVS and Walgreens?
Fashionably Frugal: Apparel in 2023
Catching Up With Fast Food
The Grocery Sector in 2023: An End-of-Year Recap
3 Mall & Shopping Center Trends for 2024
Bakery Chains Rising To The Top
Placer.ai and Esri Partner to Deliver Geospatial Analytics
Tampa Tourism Trends
Going For The Green: The Changing Dynamics Of Country Clubs
Christmas Day Dining Recap
Major Urban Shopping Districts – Holiday Season Recap
Placer.ai Office Index: December 2023 Recap
Recapping the 2023 Holiday Shopping Season
Placer.ai White Paper Recap – December 2023
7 Retail & Dining Segments to Watch in 2024
Diving Into Holiday Season Favorites
Super Saturday and Christmas Eve Eve: A Winning Combination
3 Budget Grocery Chains Finishing 2023 On a High Note
Making It In America: International Chicken Chains Bring The Heat
Domestic Tourism at a Glance: A Q3 2023 Roundup
Five Pizza Chains On The Rise
Jewelry Brands Taking Advantage of the DTC Opportunity
Secondhand News: Kids' Thrift Shops
Recapping 2023’s Dining M&As
MetLife Stadium Kicks Off Football Season
Placer.ai Office Index: November 2023 Recap
Small Coffee Chains Brewing Big Success