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TJ Maxx and what retail success looks like right now

rabbit

Veteran

I'm not sure if this got discussed already, if so, apologies, and I didn't want to highjack Lisap's thread on Anthropologie. Several case studies of retail giants doing less well have been posted lately, but I think it's interesting looking at what is working, and why.

There were several articles that came out last summer and in 2014 about the off-price retail boom and TJ Maxx in particular, and that identified particular reasons. These are from: http://www.racked.com/2014/7/2.....il-success which is mainly summarizing this in depth Fortune article: http://fortune.com/2014/07/24/.....ail-store/ which I found pretty fascinating.

-Quicker inventory turnover than competitors

-The mix contains some luxury goods and shoppers are motivated by the treasure hunt

-Buyers are heavily trained and their niche is very specialized (and they buy all the time, not a few times a year)

-Designers make merchandise specifically for T.J. Maxx and the company can buy very big and get discounts accordingly

-Designers have a better relationship with TJX than with department stores

-T.J. Maxx's CEO is a retail veteran

some other articles:
http://www.forbes.com/sites/wa.....ers/#35d7d

http://www.wsj.com/articles/tj.....1447792463

talking about the treasure hunt http://www.businessinsider.com.....egy-2015-5

talking about the appeal to millennials: http://mic.com/articles/124017.....e-notes#.9

Nordstrom is expanding its Racks and Macy's is testing out off-price too.
Are you an off-price shopper? If so what makes it successful for you? If you prefer retail, how does that better meet your needs?

Shopping

63 replies

Latest reply was from Penny

Angie

(website)

Fashion Stylist

I visited T.J. Maxx offices in Massachusetts, which was very interesting. The people were very nice, and their best stores are in that neck of the woods. They gave us a gift voucher to use and I couldn't find anything I wanted! Tried again in Seattle and the same thing happened. Eventually I gave the voucher to a friend. Clearly I'm not a T.J.Maxx target customer! But I'm glad they have their niche figured out. I love hearing about success stories, and hope they continue their winning recipe.

To answer your question - no, I'm not an off-price shopper. For all sorts of reasons, it does not work for me. I like to shop in season retail and specifically, department stores. My favourite places to shop in the world are at Japanese Department Stores. I also love British and American department stores.

Actually, Zara is still one of the most successful retailers in the world and for good reason. (Not what I would call off price though - just quite budget). Their supply chain is incomparable. 80% of the company is run by women who are under the age of 40 (the statistic is something extreme like that anyway). They NEVER advertise, and are successful in every country. It's quite mid blowing. And yes, I've always been a huge Zara fan.

Sara L.

Veteran

If I'm looking for something really specific (white button-down shirt), I don't got to TJ Maxx or Ross. However, if I'm looking for something more generic - like I need shorts but don't know what I want or have anything specific in mind, I'll go there. I think it's fun to sift through the racks.

Anonymous

I'm not, although I did buy more at Winner's (our version of TJMaxx and is owned by Marshall's) when I was younger and also buying baby and toddler clothes. I have friends who shop there very successfully , but I can't get into it. I prefer things to be well merchandised, steamed, pressed, displayed etc, and get zero thrill from "the hunt". I don't find Winner's carries much , if anything, in the way of better quality goods. Most of it seems to be low-priced random-factory labelled off-shore stuff. I don't find anything fashionably interesting or forward in our stores either. Perhaps like most chains, the locations in the biggest urban centres get better mdse. 47 racked feet of short sleeved t-shirts in size M make me want to cry. What I do like doing though, is shopping at Home Sense. Now that is fun

Angie

(website)

Fashion Stylist

That said, I DO shop at the Rack, and take clients there all the time. I end up with something from the Rack maybe once a year. The stuff I love there is hardly ever in my size, which makes me less inclined to shop there for myself.

Jenn

(website)

Veteran

I don't enjoy "the hunt" at all. Maybe it's that I don't trust my instincts enough to be able to find and style that one gem in the midst of vast racks of nopes, but I'm a fan of pretty merchandising and neatly-organized displays.

rabbit

Veteran

Angie I love browsing Zara, although I generally prefer to try on clothes in store and there just don't seem to be that many retail locations (their website confuses me, it's almost too minimalist, but it looks like just three stores on the west coast? I can't be searching correctly..). The way things go on sale and get added in small batches online also makes it difficult for me to find what I'm looking for unless I'm checking every few days. I find Mango's online site more user friendly because there is just more stuff available at any one time even as they add new collections in small groups and it's easier to sort.

Lisa I think Winners, Home Sense, Home Goods (the US version), Sierra Trading Post, Marshalls and TJ Maxx are all TJX stores, and in the US you can use store credit or gift cards from Marshalls at TJ Maxx. I've gotten towels and pet beds and kitchen supplies at Home Goods for sure.

Gaylene

Veteran

Rarely does anything I've bought at an off-priced store end up being a smart buy. Most gets tossed, almost unworn, in the recycling bag in the next closet purge. Over the decades, there have been the odd exceptions, but I've finally realized I do better in a regular retail environment where I'm less swayed by the price tag. Off-price shopping is too expensive for me.

rachylou

Veteran

I like, in order of preference: Ross, Burlington Coat Factory, Marshall's, then only then TJ Maxx. To be honest, I find TJ's has the least stuff, the highest prices, and while this has changed - it used to be the worst kept chain of stores in my area. The wares would all be thrown on the floors and no one ever picked them up.

Anyways, I like them because I like the hunt, I like that it's not all clothes, and that they are all close by and put in the same shopping centers as the grocery and pet store. Easy access, easy on the wallet, and if you go routinely you do find gems.

deb

Veteran

I am not a clothing "hunter" so stores like TJMax and even Rack drive me crazy. They are too unorganized and chaotic and make me feel very uncomfortable.

Kathleen

I never have much luck at TJ Maxx. I do find things periodically at Nordstrom Rack and Sierra Trading Post and there is a local designer outlet called Opitz where I have found some terrific finds. The thing with the off-price shopping for me is that I go to see if there are items that appeal to me. If I'm looking for something really specific, it usually doesn't work.

BrieN

Veteran

I swore off TJ Maxx about 3 months ago. I used to go in there all the time and buy...well..stuff. And you end up spending more $ in there than you think you are going to. I may let myself back in a few months from now, once my wardrobe is updated and I've developed a more discerning eye. But likely not.

Debbie

Veteran

I love Home Goods and I like the Rack. I don't have the patience for off-price shopping in general. The Rack is very hit or miss for. I know I don't check it out as much as I should.

rabbit

Veteran

Sara and Kathleen that makes sense to do a wide cast net rather than a narrow cast net at an off-price retailer.

Angie - good point about size range being an advantage most department stores have over the Rack, Saks off 5th, Last Call and the like.

Jenn, lisap, and deb makes sense that for those who don't like hunting pretty merchandising and neat displays are a much more comfortable and comprehensible environment.

Gaylene and BrieN I can see how if the price discount interferes with the filters you would normally use to judge an item, there can be a lot of mistakes that end up costly. I've definitely had that happen at times.

Rachylou - Like you I quite enjoy the hunt, and I appreciate that's it's easily accessible, and I can do a 5 minute sweep of Ross or Marshalls while picking up detergent.

I'd rank my favorites as first: The Rack (although it's hard to get to/park at for me so it's a rarer visit, most chaotic shoe section, sooo many choices, good for coats/jackets), then Marshalls (for basics and occasional shoes/bags), Ross - lower end items in general in my city, but the few gems are on serious markdown and I have a lot of affection for Ross (I check shoes, bags and sunglasses), lastly TJ Maxx - has higher prices but also has a much larger selection of leather bags. In general I have to know what trends/items I'm looking for and have a mental shopping list so I scan quickly and eliminate 90% of what I see.

Roxanna

Veteran

Lisap I stopped shopping at Winners when I 'grew out of it', like you - and then I discovered that the merchandise is very specific to its community and location! Here in Toronto, the downtown Winners carry a huge proportion of designer goods, as do the ones in the better-off neighbourhoods (I popped into one yesterday and they were selling a vintage Chanel and vintage Hermes Kelly. No kidding.) They have a wide range of designer bags, shoes and clothes, which are still enormously expensive but much better than regular retail. But you're right - the ones in the suburbs seem to have the same generic stuff day in and day out, none of which is very appealing to me. But next time you're in Toronto - tell me and I'll tell you where the good ones are

plonkee

I shop at TK Maxx (same company) for bags primarily as they have a good selection in a wide variety of colours. I've also bought other accessories there, but never quite have the energy for the clothes. I think I just like to buy from nicer displays, and am fortunate to be able to afford to do so.

texstyle

(website)

Veteran

I've never been a TJ Maxx fan either. I also prefer neatly organized stores with plenty of stock in the various sizes, etc. I'll pay the higher price to get what I want, even if that means waiting. It seems to me a bad sign when only off priced retailers are doing well.

Anonymous

I don't visit TJ Maxx often and am lucky if I do find anything. (I do agree with finding handbags at great prices there) In the past I have found a few items and was astounded to find a top that I bought there a couple of years ago at least $10 cheaper new than the same item that was worn at a consignment store.

I prefer to shop the larger retailers (like Saks or Bloomingdales), or even stores like WHBM, where I have a better chance of putting together an entire outfit or at least find something that I need quickly which I know I would never find at TJMaxx.

Wendi1984

I rarely find anything I want at Ross or TJ Maxx, it seems. However, I have found TJ Maxx to have a good selection of handbags, so I did buy a purse there a few months ago. But I rarely go in. On the other hand, I shop frequently at Nordstrom Rack. I often find things I want there, and the prices are usually in my budget.

Anonymous

I have been to TJ Maxx one time in my life. The place was a complete and utter dump. Product was literally just strewn around. Their merchandise looked messy, dirty, and bottom rung.

My single thought was "So this is what a TJ Maxx store is all about. Ew."

I left and never returned.

Muffin

Veteran

as I've gotten older my patience for the hunt has dwindled. I've also become much choosier and more easily overwhelmed by too much choice. I also think that I've shifted some of that in store hunt to the online hunt- still a giant time waste.

Angie

(website)

Fashion Stylist

rabbit, MNG is fab, and I used to shop there a lot 15 years ago. I prefer the style sensibility of Zara and things generally fit well, so that's why it's my preference. Their online service is EXCELLENT, so my suggestion is to take the gamble and order online. Sizes are small.

Like Lisa and others, I enjoy a well put together retail experience for fashion and style. I don't enjoy boutique shopping because again - sizes are limited and so is the aesthetic and return policy. Same goes with consignment and thrift stores. I would much rather boutique shop in a department store where I can get my size, the look I want, as well as the service.

I don't mind the fashion and style hunt at all. But I am seldom successful so am not that motivated. I can imagine though, that if you are a successful off-price fashion shopper, that it becomes an enjoyable hobby. And I'm happy for you!

Now. Home Decor and Food is a different kettle of fish. I will shop for that in any environment when the goods are fabulous. We've bought stunning off-price items for our home off the side of the road. The best cheese in France and the Netherlands is bought at a no frills outside market. And the best fish in Asia is bought on the side of the road too.

unfrumped

Veteran

I admit to liking the serendipity of TJMaxx but also have to be careful.

I only recently ordered my first item online, and it didn't work out, but I wondered if targeting "The Runway" online might be an interesting option? The main thing about going to brick & mortar is that many of the bargains are nothing specia,l and the "designer" brands are the mass-marketed versions. So it is a hunt but with very few nuggets.
Online, if minimum shipping is met for free, and return to local store, there is no added cost, and then could "hunt" for the real better-quality items.

Again, since I noticed there are so many more high-end items online and so few in store, I wondered if the occasional nuggets I find are online returns? Just as I returned the Rag&Bone blazers that did not work out.

always trying

Veteran

My new shopping strategy is know what I want and shop around for the various types and prices. prices vary widely for the exact same items form one web site to another, and from brick and mortar stores too.

UNFRUMPED-I too am wondering if some of the "bargains" in stores are the on line returns. I am feeling this is definately the case sometimes. A couple of years ago I found a great pair of expensive navy pumps marked down enough for me to think they were a great deal. They actulally fit and stayed on my feet for the first wearing. So I took them on a trip. Upon walking the long distance from the hotel room to the elevator one shoe fell off and almost turned my ankle. Then after reading all the stretching techniques some do to shoes that is what someone must have done to those pumps.

So after all what do they do with all those returns????

Laura (rhubarbgirl)

(website)

Veteran

For clothes, I have better luck at Marshalls and my local stores are more organized than TJ Maxx, whose stores tend to be very busy and chaotic. Home Goods is a good option for housewares, if you have the patience to dig through everything since it tends to be disorganized and picked through. I have had zero luck in recent years with Ross and Nordstrom Rack for clothes - if it weren't for shoes and bags, I'd stop going to the Rack entirely.

I'm in a phase where I'm uninterested in searching endlessly, or if I do I will do it online where at least I can sit on my sofa and avoid crowds. As a tall cusp size I pretty much have to stick with the same few brands that fit me, and a new brand I've never heard of is unlikely to work for me.

It makes sense that TJs is trying to appeal to a younger buyer (who are often budget conscious and interested in trends) and in providing an experience that has a bit of a treasure hunt aspect to it, to distinguish from online shopping.

gradfashionista

(website)

Veteran

I've tried again and again to shop at off-price stores, but get turned off each time by the experience. My most recent trips included Nordstrom Rack in Chicago, Bloomingdale's Outlet and Century 21 in NYC, but I've been to Winners and TJMaxx on several occassions. It's amazing to see a $1600 Oscar de la Renta top marked down to $400, and stained and rumpled on a rack! I've never been able to find something in-store that I liked, no matter what the deal. My one exception was a dress on Nordstrom Rack online, in which case I lucked out. The treasure hunt aspect, sloppiness, and disorganization are insurmountable obstacles for me.

TraceyLiz65

(website)

Veteran

I've had good success with shoes from Tjmaxx and in fact just got my newest pair for Spring from Tjmaxx online.

always trying

Veteran

I just bought a super pair of sandals at Marshalls. very soft leather, and made in Spain, not china. My blingy sneakeers are from Nordies Rack, and they are comfy and stay on my feet. Happy with both purchases. Saw some Michael Koors white jeans also at marshalls but did not have time that day to search for my size -few days later when i went back they were all gone.

I am believing that most of the mall shops that we now have will be gone in a few years. But there will always be something better than Wall Mart. I do not shop at target either..never found anything i wanted there -not even a bra.

rabbit

Veteran

Roxanna I've also found that location makes a big difference in the stock that is carried, and the newer the store location (or whether it was recently renovated) the more organized and tidy the shopping experience.

plonkee 'I think I just like to buy from nicer displays, and am fortunate to be able to afford to do so.' I think this hits the nail on the head. I was only able to afford to in more recent years so I learned to shop from an early age in a different way, and am usually not willing to pay for ambiance in a clothing store. Makeup emporium? Restaurant? Grocery store? yes, I'll visit partly due to and therefore pay for ambiance.

Sterling - off price retail can be like that, it can also be neat and clean, so much depends on the individual store. Having hit up multiple off price retailers in my city the most jumbled is the downtown Rack. It's an old and small location stuffed to the gills, but it has some great items for those willing to sift (and in heavily stocked sizes). Most of the Marshalls and TJ Maxx's in my city are either in newer locations or have been renovated, so they are about equivilant to shopping at a newer suburban Target in terms of what the racks and fitting rooms look like and how neatly they are kept.

Muffin - yes the online search can be just as much of a time suck (if not more with returns), but at least you can sit on the couch with a hot beverage

Angie - I'll keep stalking Zara, I'm sure I'll eventually test something out, I've filled my online basket enough times. I do enjoy the hunt with food and furniture as well. Local markets are awesome

unfrumped - I browse the runway online a lot. Most of the items are still out of my price range, and they aren't necessarily the most useful of designer offerings in the trendiest cuts, but for bags, shoes, jackets and dresses? Worth a look.

always trying - yes returns go somewhere, and sometimes you can tell by the extent of the discount or other signs. I actually keep an eye out for those in places like the Rack because I don't mind returns of great items in good shape. It's a bummer that those shoes failed you.

gradfashionista - it's good to know what works for you and to stick with that.

Tracey - Yeah between Marshalls/Ross/T J Maxx, Amazon, and DSW that's were most of my most worn shoes come from.

always trying - Marshalls regularly has Micheal Kors and Kut from the Kloth white jeans I've noticed.

texstyle - I agree that it says something both about the economy/wages, and how traditional retailers have or haven't adapted to a changing market.

lara - yes, price can be so variable between retail, clearance, off-price, and consignment, I think for me it comes down to 'what am I willing to pay' and how much time do I want to look for it.

Wendi1984 - I really like the Rack too. I have had better luck with city center than suburban Racks, but then I pay for parking in town so have to balance that out...

rhubarb girl - that makes sense, once you have found the brands that work for your body, why waste energy elsewhere?

Anonymous

I had the same experience as Sterling. I went there once and never went back. The place was a mess.

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