Barnes and Nobles is the most recent retailer to recognize that sometimes less is more. After transgressing another appalling quarter, the big box retailers’ senior official pronounced that the road to a pleasant financial representation could be embedded the fact that the functioning smaller stores could be the key towards better performance. The idea behind is concentration on books and limited supply of items like games and toys.
Barnes & Noble Chief Executive Demos Parneros, who took the reins in April, told Wall Street analysts on a conference call that our aim is to set smaller sights. The smaller stores will be more methodical. It is simple to observe why one of the innovators of big-box retailing would be attentive in creating a paramount alteration to its business model. Barnes & Noble reiterated that comparable sales fell 6.3% in the quarter ended Oct. 28, the seventh straight three-month period to see sales decline.
The company said that the decline was caused due to big sales last year of a Harry Potter book and the absence in this year of a similar blockbuster. But other complications arose from non-book products that are being avoided by the customers. Approximate sales of those products were declining even more steeply than company average.
Simultaneously, book sales saw an upward trend as the quarter passed encouraging Barnes & Noble, the country’s biggest bookstore chain, to double down on selling books. Parneros said that heading forward, there should be a considerable prominence on books.