The 99 Cents Only store is ready to implement a turnaround plan, according to the retailer's president and CEO Geoffrey Covert. Covert joined the team just three months ago and is ready to put plans into action to improve the customer experience, increase inventories, improve operating efficiencies and reduce shrink.
For example, executives are developing a program to ensure the top 300 products are always in stock and inventory levels are stable, reported Supermarket News.
"We will try these programs in the test market, learn quickly, and then expand them quickly to other markets," Covert told Supermarket News.
He also said the company plans to reduce shrink by better managing inventory more efficiently.
When it comes to store growth, decisions will be more measured as the 56 store openings in the past two years have brought down profits in over-saturated markets.
Covert is part of a new executive team including Felicia Thornton as CFO and treasurer and Jack Sinclair as chief marketing officer.
In the latest quarter, same-store sales fell 3.9 percent and in-store traffic fell 5.1 percent , but tickets sizes increased by 1.2 percent. For the entire nine-month period, loss was $229.6 million, with same-store sales down 2.5 percent and traffic down 4.4 percent.
-See this Supermarket News article
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