Canadian Tire announces major expansion of appliance business
Canadian Tire is making a strong push into major appliances.
The 1,200-store Canadian chain now offers Inglis refrigerators, washers, dryers, dishwashers and cooking ranges, as well as Amana freezers and microwaves at its stores across the country.
The expansion into appliances follows an 11-store test last year.
"Canadians turn to Canadian Tire for high-quality small appliances, and we’re now very excited to be partnering with Inglis and Amana to offer quality home appliances at great value," said T.J. Flood, VP merchandising of Canadian Tire.
Toronto-based Canadian Tire introduced major appliances at 11 stores in British Columbia and Ontario last year. "The current expansion is a direct result of the positive feedback from customers who appreciated the diverse assortment at those stores," Flood said.
From July 1 to July 28, the retailer is offering customers several promotions, including discounts of up to $150 off as well as bonus cards to be used on future purchases of select appliances.
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Consumer confidence slips again
The Conference Board Consumer Confidence Index, which had declined in May, decreased again in June. The Index now stands at 58.5 (1985=100), down from 61.7 in May. The Present Situation Index decreased to 37.6 from 39.3. The Expectations Index declined to 72.4 from 76.7 last month.
The monthly Consumer Confidence Survey, based on a probability-design random sample, is conducted for The Conference Board by The Nielsen Co., a leading global provider of information and analytics around what consumers buy and watch. The cutoff date for June’s preliminary results was June 16, 2011.
Lynn Franco, director of The Conference Board Consumer Research Center, said: “This month’s decline in consumer confidence was driven by a less favorable assessment of current conditions and continued pessimism about the short-term outlook. Consumers rated both current business and labor market conditions less favorably than in May, and fewer consumers than last month foresee conditions improving over the next six months. Inflation fears eased considerably in June, but concerns about income prospects increased. Given the combination of uneasiness about the economic outlook and future earnings, consumers are likely to continue weighing their spending decisions quite carefully.”
Consumers’ appraisal of present conditions was less favorable than in May. Those claiming business conditions are “good” remained the same at 14.3%, while those claiming business conditions are “bad” increased to 38% from 37.2%. Consumers’ assessment of the job market was also less favorable. Those stating jobs are “hard to get” increased to 43.8% from 43.5%, while those stating jobs are “plentiful” decreased to 5.2% from 5.7%.
Consumers’ short-term outlook, which had weakened in May, declined further in June. The proportion of consumers expecting business conditions to improve over the next six months declined to 16.4% from 17.2%. However, those anticipating business conditions will worsen decreased to 14.7% from 15.4%.
Consumers remained pessimistic about the outlook for the job market over the next six months. Those anticipating more jobs in the months ahead declined to 14.2% from 16.7%, while those expecting fewer jobs remained unchanged at 20.3%. The proportion of consumers anticipating an increase in their incomes declined to 13.9% from 14.9%.
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Home prices rise in Case-Shiller Index
The S&P/Case-Shiller Index, a closely watched indicator for the new housing market, has reported a monthly increase in prices for its 10- and 20-city composites for the first time in eight months. The composites were up 0.8% and 0.7%, respectively, in April versus March.
However, both indices are lower than a year ago, with the 10-city composite down 3.1% and the 20-city composite off 4.0% from its April 2010 levels.
Six of the 20 MSAs tracked by Case-Shiller showed new index lows in April — Charlotte, Chicago, Detroit, Las Vegas, Miami and Tampa. Thirteen of the cities and both composites posted positive monthly changes.
“In a welcome shift from recent months, this month is better than last [because] April’s numbers beat March,” said David Blitzer, chairman of the Index Committee at S&P Indices. “However, the seasonally adjusted numbers show that much of the improvement reflects the beginning of the spring-summer home-buying season. It is much too early to tell if this is a turning point or simply due to some warmer weather.”
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