West Coast Port Slowdown Is A Bonanza For Fashion Bargain-Hunters

http://ift.tt/1Lja2CI

Listener42

The cargo-unloading slowdown on the West Coast of the United States had far-reaching effects on the global economy, causing problems for everyone from McDonald’s in Japan to truckers in Los Angeles. It was especially harmful to the fashion industry, which saw hot styles shipped over from Asia cool down as they sat off the coast, unable to be unloaded and put in stores. However, this means a bonanza for off-price retailers.

Some of these clothes and accessories might find their way to the department store chains’ own downscale stores, like Nordstrom Rack and Off 5th. There are entire off-price chains built on opportunities like this, though, and TJ Maxx, Marshalls, Ross, and their colleagues are ready to buy up all of those clothes that have finally found their way out of the cargo backlog. This led to a great first quarter for TJX, owner of TJ Maxx and Marshalls,

Off-price retailers do produce their own clothing as well, often licensing the name of a prominent brand but making the clothes themselves a little bit downmarket from similar items from the original. However, the port slowdown has apparently been great for fashion discounters and for bargain-hunters alike.

Off-price retailers strike gold from West Coast slowdown [Reuters]

by Laura Northrup via Consumerist