TJ Maxx’s parent brand has unveiled plans to open thousands of new stores after several closures last year.
During an earnings call in early May, the department store chain’s updated outlook was confirmed by executives at TJX Companies.
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TJX Companies owns TJ Maxx, Marshalls, HomeGoods, Sierra and Homesense in the United States, along with retailers in Canada, Australia and several throughout Europe.
Ernie Herrman, CEO of TJX Companies, said shoppers would see about 1,300 new stores due to the belief that its unique business model reaches a broad customer base.
“We are convinced that significant market share opportunities remain in the U.S., Canada, Europe and Australia over the long term,” Herrman told investors on the call.
“We see potential to further expand our store presence by at least an additional 1,300 stores under our current retail banners in our existing countries.”
Read more about store closures
Herrman praised the operations run by TJX retailers as “flexible and resilient,” with the potential for significant growth.
“Our off-price business model is extremely flexible and resilient, and I believe we are poised for a long path of exciting growth in our geographies around the world,” explained Herrman.
He added that brands under the TJX umbrella continue to have a “broad customer demographic reach” and are starting to appeal more to Gen Z shoppers.
That reach apparently benefits from what the CEO called a “good, better, best” approach to merchandise at its discount stores like TJ Maxx, which offer customers at various income levels the opportunity to take advantage of deals.
Herrman added that the amount and variety of inventory among TJX retailers is also not an issue, as it is essentially drawn from leftover inventory from high-end stores.
Retailers receive weekly deliveries from these stores, allowing customers to find consistently fresh items at lower prices.
This fuels a Herrman shopping experience likened to a treasure hunt.
“We are the only retailer that offers a treasure hunt format with good, better, better merchandise for all income and age groups,” Herrman emphasized.
“Our value leadership and ability to capitalize on other retailers’ excess inventory gives us confidence in continued market share gains.”
The exact timeline for when the 1,300 store openings will take place across the world is unclear.
Despite the upheaval in the industry, our flexible business model allows us to adapt and gain market share.
Ernesto Herrman
MAKING ADJUSTMENTS
Herrman’s update also comes after several TJX retailer closings in 2023 and early 2024.
TJ Maxx has had two notable shutdowns in St. Paul, Minnesota, and Brooklyn, New York.
At the time, a TJX spokesperson told The US Sun that building leases were coming to an end for both locations, and careful consideration was taken as to whether or not to renew.
At least six other TJ Maxx and Marshalls locations have closed in Chicago, Illinois, considering similar “real estate strategies.”
TJX Companies highlighted that employees from closed stores received job offers in other locations.
Customers looking to visit TJX retailers during Memorial Day should also be aware of some temporary closures in recognition of the holiday.
HomeGoods has set specific hours for its stores.
Marshalls also made important adjustments in honor of Memorial Day.
This story originally appeared on The-sun.com read the full story
