HOW BIG LOTS OPERATE IN TODAY ’ S ECONOMICAL CLIMATE
Big Lots is continuing its extreme bargain efforts into 2024 .
The discount retailer released its earnings on 7 March , 224 , in which President and CEO Bruce Thorn spoke of the desire “ to get more extreme bargains , closeouts , if you will , highquality closeouts ” to boost sales . Now , the company is aiming to make those discounted offerings account for the bulk of its sales .
“ We expect to significantly grow our bargains penetration to 75 % of our sales and within that have an expanded assortment of extreme bargains ,” Bruce said during the earnings call .
“ These extreme bargains create a more exciting treasure hunt experience , which will keep our customers coming back to our stores and help drive comparable sales growth .”
In the last quarter the sale of bargain items accounted for nearly 60 % of the company ’ s sales .
“ We achieved this by procuring products from over-invented and distressed retailers and vendors and through new factory direct sourcing partners domestically and overseas ,” he adds . The CEO also highlighted the strong sales for food items , as well as hair care , cookware , bedding and laundry equipment .
The call also held an Q & A session with an analyst asking how this effort will differ from the current business model .
Overcoming procurement challenges : Strategies for success One of the biggest opportunities Big Lots is solving for is speed .
“ At the end of the day if you cannot quickly and efficiently move the product from point A to point B , then it ’ s going to be a missed opportunity to delight the customer ,” Juan says . “ When we solve this challenge via deep category expertise , deal modelling and relationship building , we facilitate a successful shopping experience that keeps customers coming back to find more bargains .”
146 August 2024