The retail real estate sector has feared the effects of e-commerce and the steady erosion of brick-and-mortar retail sales by online stores for years. The latest scare comes from a research note published last by Goldman Sachs analysts in which they addressed the future prospects of such big-box retailers as Walmart and Target.
It wasn’t pretty.
Essentially, the investment bank cut its rating for the retailers in part because their shoppers are turning the Web for better bargains. This meme was repeated in the unrelated news from last week that Dollar Tree and Family Dollar are merging to better target the low-price shopper.
It is true these are trends to watch. However, they do not augur the end of retail or even a radical realignment of the retail or shopping store model. Click here to find out the 6 reasons why.
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