
Discount retailer Five Below plans to open between 145 and 150 stores this year as off-price concepts continue to do well in the changing retail landscape. The company will end 2019 with nearly 900 stores nationwide after the addition of the stores, according to a company press release. Net sales at Five Below increased 23.5 percent in 2018, according to its most recent earnings statement. Furthermore, Five Below is forecasting an estimated 3 percent increase in comparable sales this year, leading net sales to reach as high as $1.885 billion.
Total Retail's Take: Much like others in the off-price retail sector, including TJX Companies (parent company of T.J. Maxx, Marshalls), Ross Stores, and Burlington, Five Below is cashing in on strong strong consumer demand for its low-priced merchandise. Five Below is looking to build upon that strong demand by opening more stores in 2019. In addition, Five Below has an e-commerce website, unlike Ross Stores and Marshalls (although one is coming), helping to drive sales. While the struggles of traditional brick-and-mortar retailers have been grabbing headlines in the first quarter of 2019 — as of the beginning of March, store closures in 2019 had already nearly reached 2018's total — the off-price store sector shows no signs of slowing down. Five Below is wisely looking for measured steps to capitalize on that trend.

Joe Keenan is the executive editor of Total Retail. Joe has more than 10 years experience covering the retail industry, and enjoys profiling innovative companies and people in the space.





