Sears Canada isn’t the only older company that has been in trouble lately. The ORM Los Angeles company has read that HBC shares a tumble after the company had announced jobs cuts, and weaker earnings. Jerry Storch the chief executive officer of the Hudson’s Bay Company addressed the company’s stakeholders during the annual meeting of its shareholders in Toronto and the company had announced that it was cutting 2,000 jobs on Thursday. The company released their first-quarter results after the markets closed and it performed worse than analysts anticipated in a number of categories including revenue and their earnings per share. Hudson’s Bay Company shares had fallen from $.1.10 to close at $8.61 on the Toronto Stock Exchange.
The CEO Jerry Storch had also explained that his company’s transformation plan is intended to put HBC ahead and stay ahead of the rapid industry trends. This includes a shift from the in-store shopping to online shopping. There is one problem with this plan, most individuals shop online because they don’t have the time to go store to store and are usually tool lazy to shop physically so they would rather do it from their bed or their couch. But, the thing with in-store shopping is that it is all about the experience that the consumer is getting. Most retail stores nowadays are making sure that you have that pleasant in-store experience and this is really important to them. Many retail workers feel like they haven’t accomplished something in a day if they weren’t able to give a consumer a pleasant shopping experience which is completely different from the past.
The message to Jerry Storch is to pursue their idea of being more online shopping oriented but to never forget about that pleasant in-store shopping experience that most clients actually look for. If the CEO of HBC is able to give the best of both world’s for online shopping and in-store shopping, then they will be able to come back stronger and better.