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Lean holiday inventory could spur retail chase

New york ny(Reuters)Retail chains that have stocked over shirts, scarves and shoes for the christmas rush this year could end up scrambling for merchandise if recent shopping trends are any guide.

The retail industry has slashed products, sometimes as many as 25 percent, to avoid profit sapping markdowns since a economic slammed the brakes on spending late last year.

But charge card debt show signs of spending more, store chains could need to chase after goods or bring in some of next season's merchandise, said retail professionals, analysts and specialists.

If sales fashion which"Bought materially"In late sept and early october continue at this pace, brean murray, carret co analyzer eric beder said, spring products and solutions could land on shelves in december, rather than the usual february.

"Inventories at retail are now are at a point where with any specific uptick in sales, you will need to chase some goods, had identified emanuel chirico, leader of clothing maker phillips van heusen corp, soon at a summit hosted by women's wear daily. "If trends were to continue at these levels i think there are some retailers who will have a problem in december and january actually having goods,

Companies that stand to make use of such a scarcity have brands with evergreen appeal or are nimble enough to obtain new merchandise quickly.

Vf corp, brand of north face coats and wrangler jeans, said retailers is not the only ones on the hunt.

"We're all running with less inventory in our enterprises, said vf leader eric wiseman at the wwd summit. "Are we going to be chasing some things?Sure enough.Sure, we will be this christmas season if trends continue,

Polo ralph lauren corp recently said it was able to satisfy replenishment orders from its retail customers and speed up shipments of desired merchandise, helping it beat wall street bids in the third quarter.

Vehicle, whose brands require polo and chaps, said initial wholesale orders in the quarter were orthodox as consumer spending remained low.But as the quarter developed, sales exceeded enthusiasm, and polo ended up clocking a double digit percentage rate popularity of replenishment orders.

"It gives us another strategic weapon components servicing during this very skittish time, said polo chief operating officer roger farah on a business call.

Watch maker fossil inc is keeping some extra commodities on hand so it can respond quickly if retailers need replenishment, whilst late as december 20, said ceo kosta kartsotis soon, noting that the watch business can do up to 45 percent of annual sales yearly 10 weeks.

"Things can happen quickly, kartsotis said on a business call. "We've been hearing from some of our wholesale customers that they're willing to take goods if they need them.All of them are prepared if there's a big season,

The adrenaline excitment of the chase

Most establishments and vendors are playing it safe this year, having based their holiday orders on the weakness of yr after, Cheap North Face said needham co analyzer christine chen.And usually, it is far already happened for change.

"They can order for holiday in holiday, she being spoken, while noting that you names, i.E. Urban Outfitters Inc, Reckon Inc and Aeropostale Inc, May be small or nimbleEnough to chase a favorite items, Whereas Gap Inc and J Crew Group could have more predicament.

She also said brands which manufactures domestically, such as true faith apparel inc and american apparel, can turn around orders faster, as well as those which include basic styles that are replenished often.

"Polo's an ideal example, she wanted to say. "If the ranges of polo shirts are too low, clearly, a red polo clothing is a red polo tee http://www.rcorner.co.uk/ tt-T material, whichever time of year it is,

Because retailers, brean murray's beder is favoring apparel makers this season, since their worth tend to be below that of retail.They also stand to see stronger sales and income as retailers sell through their merchandise, which will mean fewer discounts.

Beder carries"Select"Scores on warnaco group inc, maidenform manufacturer inc, perry ellis Jackets Sale UK you can also use, true religious beliefs, phillips van heusen and g iii attire group ltd.

Rich hastings, a consumer strategist with global hunter stock options, expressed optimism about the option of Cheap North Face Outlet the industry's supply chain to respond to emergencies.

"You'd be amazed what the planet can produce within to do with four or seven days, he was quoted saying. "If you genuinely have a tough spot, you can still just load up a 747.It doesn't want to be big volume containers on cargo ships,

While it may cost more to turnaround such last minute orders, hastings said it was hard to say which side of the vendor supplier equation would absorb the profit hit.Just in time service might be seen as part of an ongoing contract between a company and its vendors, he explained.Thomson reuters journalists are subject to an editorial handbook which requires fair introduction and disclosure of relevant interests.

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