Marshalls is considered as one of the biggest store in America where it consists of more than 1000 stores in US where it offers diversity of big-brands in men’s and women’s fashion wear, home goodies, beauty products and accessories. Marshalls business is going so well without any online store so far but now as its available online, it’s believed to witness more successful stories.
Marshalls proclaimed about its online website “ever-changing, fresh mix of merchandise” on Tuesday. This logo mimics its store experience. Marshalls also offers returns facility to its customers on its online website.
TJX Companies (TJX) is the owner of Marshalls Company and a T.J. Maxx company where it sells home goods. T.J. Maxx has been offering online services through its website from several years.
TJX was rather focusing to extend its physical location to make more profit for Marshalls than going for online option.
Neil Saunders who is a managing director at GlobalData Retail said, “It’s smart because it gives Marshalls a good avenue for future growth”.
“Be careful”, Saunders warned to TJX that its online stock doesn’t cannibalize its stores. “One of the key things about the off-price model is that people will bargain hunt in a physical stores, which doesn’t always translate online”.
Because of the increase of new off-price stores which are being started by Macy’s (M) and Nordstrom (JWN), TJX’s earning drop off. There is almost 5% to 10$ billion for second-half ended in August.
It jumped 2% in early trading for TJX and is up to 25% for this year.