Posted by: Bill Kirk, CEO
In middle May, many retailers downgraded their same-store-sales (SSS) projections into the flat to negative category as sales were suffering due to the record cold out West – COLDEST IN 20+ YEARS. About that time, the weather turned for the better with hundreds of record hot temperatures going into the Memorial Day weekend in the South and East which made a really bad month an OK month.
Results? Retailers posted gains of +2.6%, in line with ICSC’s expectations. The Clubs did the best with gains +8.7%, Luxury retailers +5.0%, while Drug Stores were the laggards at -0.7%. This was a classic example of how many retailers downgraded their expectations to -1% but then just a week later post gains of +3% to +9% showing just how vital a role the weather plays in retail sales! No advance look at the weather and it’s influence on retails sales = REACTION vs. using a forward look at the weather and adjusting plans accordingly = PROACTIVE.
Below is a day-by-day summary of how May trended vs. last year for the nation as a whole (click on image for larger view):
The chart below is a regional summary for the month overall (click on image for larger view):
The maps below show the global temperature and precipitation trends (click on maps for larger view):
U.S. MAY 2010 SUMMARY REPORT – click here
U.K. MAY 2010 SUMMARY REPORT – click here
G-20 MAY 2010 SUMMARY REPORT – click here