OUTLOOK

Retailers are continuing to buck the market outlook, which at the start of the year predicted a severe drop in sales as consumers struggled with inflation.  The recession that was all but a certainty for 2023 never happened. 

Still, retail has been challenging for most brands even as things have eased up with logistics.  In fact, the return to pre-pandemic freight rates and greatly improved reliability of shipments has reduced costs, but as importantly, enabled retailers to lean into just-in-time ordering.  This has helped brands reduce inventory stockpiles and reduce carrying costs.