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1 Week of July 17, 2016 DEBORAH WEINSWIG, MANAGING DIRECTOR, FUNG GLOBAL RETAIL & TECHNOLOGY [email protected] US: 917.655.6790 HK: 852.6119.1779 CN: 86.186.1420.3016 Copyright © 2016 The Fung Group. All rights reserved. WHAT’S INSIDE WEEK OF July 17, 2016 This week, JCPenney is having a sale on back-to-school apparel that is identical to last year’s sale. The retailer is also hosting a two-day clearance sale this week, but last year it ran the clearance sale for seven days. During this week last year, Kmart focused its back-to-school sales on products for college students, but this year’s discounts feature items for elementary school students. Macy’s is offering markdowns that are similar to last year’s, but it has extended the length of its sale from one day to five this year. Last year during this week, Bloomingdale’s focused on boosting online traffic by offering shorter-duration, online- only sales. This year, it is offering longer-running, in-store- only sales. Kohl’s is offering savings similar to last year’s throughout its departments this week, and is running a “3-Day Door Buster” sale that is similar to last year’s.

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WeekofJuly17,2016

DEBORAHWEINSWIG,MANAGINGDIRECTOR,FUNGGLOBALRETAIL&[email protected]:917.655.6790HK:852.6119.1779CN:86.186.1420.3016Copyright©2016TheFungGroup.Allrightsreserved.

WHAT’S INSIDE

WEEK OF

July 17, 2016

• This week, JCPenney is having a sale on back-to-schoolapparelthatisidenticaltolastyear’ssale.Theretailerisalsohosting a two-day clearance sale thisweek,but last year itrantheclearancesaleforsevendays.

• Duringthisweek lastyear,Kmartfocused itsback-to-schoolsales on products for college students, but this year’sdiscountsfeatureitemsforelementaryschoolstudents.

• Macy’sisofferingmarkdownsthataresimilartolastyear’s,butithasextendedthelengthofitssalefromonedaytofivethisyear.

• Last year during this week, Bloomingdale’s focused onboosting online traffic by offering shorter-duration, online-only sales. This year, it is offering longer-running, in-store-onlysales.

• Kohl’sisofferingsavingssimilartolastyear’sthroughoutitsdepartmentsthisweek,andisrunninga“3-DayDoorBuster”salethatissimilartolastyear’s.

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WeekofJuly17,2016

DEBORAHWEINSWIG,MANAGINGDIRECTOR,FUNGGLOBALRETAIL&[email protected]:917.655.6790HK:852.6119.1779CN:86.186.1420.3016Copyright©2016TheFungGroup.Allrightsreserved.

US PROMO YOY HIGHLIGHTS RETAILER 2016 2015

SUMMERSALE

• Thisweek,CVSisofferingsalesonsoftdrinks,bottledwater,candyandliquiddetergent.

• Ayearago,CVSrandiscountsoncosmetics,haircareandvitamins.

BACK-TO-SCHOOLSALE

• Thisweek,Kmartispromotingaback-to-schoolsaleonkids’footwear,fashionbackpacksandstoragetotes.

• Lastyear,Kmartofferedacollege-dorm-themedsalethatfeaturedacompletebedset,decorativepillowsandtowels.

SCHOOLSUPPLIESSALE• Thisweek,Targetisrunninga50¢

saleonliquidglue,pinkerasers,two-pocketportfolios,crayonsandpapernotebooks.

• Lastyearduringthisweek,theretaileroffereda“BuyOne,GetOne50%Off”dealonmarkers,subjectnotebooksandbackpacks.

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WeekofJuly17,2016

DEBORAHWEINSWIG,MANAGINGDIRECTOR,FUNGGLOBALRETAIL&[email protected]:917.655.6790HK:852.6119.1779CN:86.186.1420.3016Copyright©2016TheFungGroup.Allrightsreserved.

WEEKLY US YOY COMPARISON RETAILER 2016 2015

• SummerBreakSaleo Extra40%offwhenyoubuyoneitemo Extra50%offwhenyoubuytwoormore

items• In-StoreOnly5-DaySaleo 50%offallsummeraccessorieso 40%offallwomen’sswim,shortsand

sandalso 30%offallfinejewelryandwatcheso 25%offallhandbagsandmen’stailored

styleso 20%offallkids’styleso 50%offgreenticketreducedandred

ticketclearance• 16daysoffreeshippingonbeautyorders

• 1-DaySale,OnlineOnlyo Extra25%offsaleandclearance

• 16-HourbQuick!OnlineSecretSaleo 50%–70%offselectwomen’sclothing

• Online&In-StoreSaleo Takeanextra$20offevery$50you

spendonpermanentlyreduceditems• 1-DaybQuick!OnlineSecretSale

o 50%–65%offselectfinejewelry• 1-DayHomeSale

o Save20%–75%onalmostallitems• 1-DaySale,OnlineOnly

o Takeanextra25%offselectsaleandclearance

• Buyonlineandgetsamedaypickupinstore• Back-to-SchoolSaleo 40%–50%offjuniors’apparelo 10%–20%offNikeshoes

• SummerRefreshSaleo 30%–50%offhome

• 2-DayRedZoneClearanceSaleo 50%–70%offnewmarkdownso 80%offfinalmarkdowns

• BacktoSchoolSaleo 40%–50%offjuniors’apparelo 20%–50%offbackpacks

• SummerRefreshSaleo 30%–50%offhome

• 7-DayJulySaleo Extra25%offwithyourJCPenney

creditcardo Extra20%offanyothermethodof

payment

• 3-DayDoorBustersSaleo 20%–50%offcookwareo 50%–60%offSonomagoodso 60%offbeachtowelso 30%–50%offworkoutclothes

• 1-DaySpecialo 50%offtopsandbottomsforwomeno 50%offshirtsandpolosformeno 50%offkids’apparelo 50%–60%offshoesandsandalso 50%–60%offbathtowelso 50%offsmallappliances

• 1-DayOnlineSaleo Take40%,30%or20%offall

purchases• 2-DayOnlineSale

o Getanextra20%off• 3-DaySale

o Get$10offforevery$50spento 40%–60%offdressandcasualsandalso 65%offcurtains

• 5-DayMacy’sBlackFridayinJulySaleo 40%–60%offwomen’sswimwearo 70%offbraso 50%offcosmeticsandfragranceso 60%offkids’andbabyclothingo 50%offwomen’ssandalsandflip-flops

• Semi-AnnualClearanceandSaleo 40%–75%offselectstyles

• 1-DaySaleo Save60%onwomen’sswimwearo 60%offmen’sdressshirtso 40%offwomen’ssandalso 50%offwomen’steesandshirts

• Semi-AnnualClearanceandSaleo 40%–75%offselectstyles

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WeekofJuly17,2016

DEBORAHWEINSWIG,MANAGINGDIRECTOR,FUNGGLOBALRETAIL&[email protected]:917.655.6790HK:852.6119.1779CN:86.186.1420.3016Copyright©2016TheFungGroup.Allrightsreserved.

DeborahWeinswig,CPAManagingDirectorFungGlobalRetail&TechnologyNewYork:917.655.6790HongKong:852.6119.1779China:86.186.1420.3016deborahweinswig@fung1937.comAnnikaRingblomResearchAssistant

HONGKONG:10thFloor,LiFungTower888CheungShaWanRoad,KowloonHongKongTel:85223002470LONDON:242-246MaryleboneRoadLondon,NW16JQUnitedKingdomTel:44(0)2076168988NEWYORK:1359Broadway,9thFloorNewYork,NY10018Tel:6468397017

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