BizJournals reports that business is good for Jos. A Bank. The retailer's annual same-store sales ending January 31st climbed 9% and profit was up 16%. The CEO told the Wall Street Journal that they became more promotional when the recession hit.
The company had been working for almost a decade to have "really terrific quality products at reasonable prices," and when the recession hit it became more promotional but didn't compromise on quality, Chief Executive R. Neal Black said in an interview with Dow Jones Newswires. "Customers want more right now and we're delivering."
Jos. A. Bank caters to white-collar employees who are struggling mightily because of the economy's pullback, and its category - higher-end men's apparel - is stagnant, at best. However, the company has a leg up on department stores through its direct sourcing arrangement with vendors and, while promotional, is more price competitive than other retailers that specialize in men's suits.
"Through the direct production system we use, we don't have middlemen," and that reduces costs, Black said.
The retailer may also have been bosted by job hunters buying new suits at a discount. Jos. A. Bank's most recent promotional effort is the $199 suit sale which debuted in March. The retailer promised to refund the price of the suit if the customer lost their job involuntarily. The promotion ends April 9th.
BizJournals 
