Talbots Invests $40M on IT, Store Refresh Initiative
Talbots announces its plans to invest up to $40 million on a major store refresh initiative, store segmentation and IT, doubling its investment from last year. The majority of the investment will be allocated to refreshing and renovating all the company's stores, as well as IT initiatives beginning in the second quarter.
The store refresh plan is one of the company's major 2010 corporate initiatives, aside from store segmentation, which aims to increase sales per square foot productivity by sorting stores along two dimensions - customer lifestyle and behavior and climate. Store segmentation is part of a multi-year initiative which focuses on upgrading the store experience and reinvigorating the brand to attract new customers.
The store refresh and renovation program will begin in August 2010 with 14 stores in three key markets.
"With the company now on solid financial footing, we will move forward with our key strategic investments in marketing, store segmentation and store refresh," said Michael Scarpa, COO and CFO, Talbot's. "While these investments will impact our earnings in the short-term, we believe these are the appropriate steps to be taking to best position us for long-term growth and profitability."
The store refresh plan is one of the company's major 2010 corporate initiatives, aside from store segmentation, which aims to increase sales per square foot productivity by sorting stores along two dimensions - customer lifestyle and behavior and climate. Store segmentation is part of a multi-year initiative which focuses on upgrading the store experience and reinvigorating the brand to attract new customers.
The store refresh and renovation program will begin in August 2010 with 14 stores in three key markets.
"With the company now on solid financial footing, we will move forward with our key strategic investments in marketing, store segmentation and store refresh," said Michael Scarpa, COO and CFO, Talbot's. "While these investments will impact our earnings in the short-term, we believe these are the appropriate steps to be taking to best position us for long-term growth and profitability."