MERCHANDISING AND STRATEGY CHANGES
A glance at retailers that are restrategizing
Posted January 2003
Amazon.com agreed to manage the Web sites owned by Target Corp., which encompass the Marshall Field's and Mervyn's brands. According to the deal, Target.com will use Amazon's technology platform, which currently manages sites for Toys-R-Us and Borders Books. Amazon will also handle customer service and fulfillment for Target, but the same tasks will be handled by Target for Marshall Field's and Mervyn's. Target.com shoppers will be able to purchase books, music and movies from Amazon.
Direct Focus, Inc., a Vancouver, Wash.-based manufacturer of fitness equipment, changed its name to The Nautilus Group, Inc. The local company, which also owns the Bowflex brand, has acquired several well-known industry brands over the past few years, including Nautilus, StairMaster and Schwinn. According to the company, the new name reflects its evolution from the consumer-focused Bowflex brand to a "multi-faceted business model geared toward the direct, commercial and retail markets."
Fran's Chocolates, a Seattle-based company, began marketing its product nationwide. The company's new "chocolate partners" program targets and attracts some of the nation's most prominent retail chains, including Neiman Marcus and Saks Fifth Avenue. On a local level, Fran's operates two stores — one in Seattle's University Village and one in Bellevue. A third store is planned for downtown Seattle.
London Fog, a nationally known outerwear retailer, announced plans to move its distribution center from Maryland to the Puget Sound area. According to the lease signed by the company, the distribution center will occupy 282,000 square feet in the Benaroya Business Park in the Kent Valley. The company moved its headquarters from the East Coast to Seattle two years ago.
Peet's Coffee, which entered Larry's Market stores last year, began appearing on the shelves in Safeway stores as well. The Emeryville, California-based company distributes its coffee and tea products to 1,200 Safeway locations and affiliated chains nationwide — specifically in Baltimore, Denver, Phoenix, Portland, Seattle and Washington D.C., as well as in Northern California. Peet's operates 66 stores in five states.