While shifts in consumer tastes and technological advancements have reinvented the face of retail, we are certainly not in a “retail apocalypse,” contrary to popular belief. According to Mark Matthews of the National Retail Federation, “the narrative that retail is struggling — or even dying — is significantly overblown.” Furthermore, one retailer in particular is consistently thriving— T.J. Maxx.
As a self-proclaimed Maxxinsta, I believe that I may be partially responsible for T.J. Maxx’s continued prosperity. According to Fox Business’s Suzanne Kapner, T.J. Maxx relies on creating a “constant treasure hunt.” By rapidly turning over merchandise, T.J. Maxx is able to capture the consumer and keep them coming back. Personally, I frequent the T.J. Maxx closest to my home once a week, or every two/three weeks when I’m trying to watch my wallet. To uphold Kapner’s point, the uncertainty and thrill of searching through the merchandise is one of the reasons I enjoy shopping at T.J. Maxx.
Low prices— another ingredient in T.J. Max’xs recipe for success. After purchasing a pair of Jack Rogers for $60, a Rebecca Minkoff bag for $99 and a Trina Turk bikini for $40, T.J. Maxx has set a standard for me. Knowing that I can find designer items for half the retail price at T.J. Maxx makes me less likely to ever pay full price from the original source, hence why I have become loyal to T.J. Maxx.
Who does T.J. Maxx attribute majority of its success to? According to Kapner, it’s their buyers, as “each buyer controls millions of dollars and has authority to cut deals on the spot, unlike most department stores, which can take weeks to review and approve orders.” After intensive training for several years, T.J. Maxx buyers are given an immense amount of responsibility yet freedom to bring sellable merchandise into the stores.
T.J. Maxx currently operates “3,800 physical locations and plans to open 250 stores this year,” as cited by Kapner. Even in the dawn of the e-commerce age, T.J. Maxx (and similar retailers, such as Marshalls, Saks Off 5th, etc.) still reap the benefits of a unique, bargain business model. Clearly, Maxxinstas everywhere are rejoicing.
Kapner, Suzanne. “How T.J. Maxx is Bucking the Crisis in Retailing.” FOX Business, FOX News Network, LLC. 20 June 2017. foxbusiness.com. Accessed 25 June 2017.
Matthews, Mark. “Retail’s Reinvention Story Is Just Getting Started.” The National Retail Federation, National Retail Federation. 14 June 207. nrf.com. Accessed 25 June 2017.