DSW Banks on Kids for Revival
DSW is expanding to kids footwear. It was announced that the Columbus, Ohio-based footwear and accessories retailer is expanding its footwear line to kids in more than 200 stores in 40 states — just in time for back-to-school shopping. The selection will include more than 100 brands for kids in multiple footwear categories. After slow sales, DSW is banking on the extension of its successful e-commerce shop, DSW Kids, to help revive the brand.
Total Retail's Take: While it seems like the logical next step for DSW to expand its kids line, I'm not sure it's going to (alone) help revive the brand. Same-store sales fell 1.6 percent last quarter, and over the last year shares have fallen nearly 30 percent. A contributing factor to DSW's slumping sales? Bland product assortment. DSW a lot of times describes itself as "high fashion," but only two of its 196 labels are considered designer (Gucci and Hugo Boss). The rest are mid-tier brands.High-fashion branding has changed over the last 10 years. I think instead of expanding, it's time for DSW to consider rebranding to keep up with competition.