Ikea will close the only manufacturing plant it has in the US in December 2019. It is simply cheaper in Europe. Ikea has plants in Poland, Sweden, Russia, and China. There are 43 production companies around the world. There will be at least 90 layoffs and Ikea is doing all they can to help with retraining and finding new positions elsewhere for the laid-off personnel.
According to Ikea, This was an extremely difficult decision to receive,” Bert Eades, site manager at the Danville, Virginia, plant said in a statement. “We made every effort to improve and maintain the competitiveness of this plant, but unfortunately the right cost conditions are not in place to continue production in Danville, VA for the long-term.”
he company cited high costs associated with production in Danville, especially for raw materials, which resulted in “pricing that is significantly higher than other IKEA Industry units making the same products in Europe.” It appears IKEA did all they could to keep this plant open, and at the same time feel an obligation to help those who will lose their jobs.
Including dismantling, the facility will remain present in Danville until spring 2020. Ikea said it will work with the union as well as partner with federal, state and local agencies to support the 300 employees it currently employs.
AMAZON PRIME and PORCH PIRATES
Amazon prime is in full swing with 13 hours and 53 minutes to go. Of course one of the problems is the porch pirates, they have access to the internet and will followup on where packages are delivered. Several cities worked with Amazon to trap thieves with packages in hand, and within minutes made 23 arrests. The mail delivery service will cover up to $100 and the remaining amount refunded through the merchant or just order another item.
If possible have your neighbor or someone close by pick up your packages to save yourself the frustration of worrying about these porch pirates. Many apartment complexes today have lockers you can get to 24 hours a day and these lockers take packages from big as a washer and/or dryer down to a handbag. This is the ideal way to store packages till you can get to them You are notified by email. you go to the locker room and put in the code you were given on the touch screen, sign and the door pops open and there is your package.
TARGET TO OPEN SMALL FORMAT STORES NEAR COLLEGE CAMPUSES
Target’s spokesperson said its small-format stores are designed for convenience and contain a locally relevant product assortment. For college students, this includes grab-and-go snacks and grocery items, household essentials and school supplies. For now, they will open in Seattle, East Lansing, Michigan, Washington, and Lexington, Kentucky. More store openings to follow over the next year. Target is trying to zero in on the college crowd whereas most other retailers do not. And this is a crowd the retailers want to please.
This is a great concept, going after a group who have the potential of sticking with you later on, I have to say, when I have been in Target, and overhearing conversations with moms and the college-bound student, are already getting their bedroom necessities, bathroom decor, linens, towels, wall hangings, etc, and it seems to be favored by a lot of students on their way to school. And let’s face it is is a lot of fun planning your dorm room. I have no doubt Target will be stepping up the program to get these small-format stores going.
This is a group of shoppers Target would be able to develop customer loyalty with, and that is almost unheard of today. The only thing customers today are loyal to is a price. And this is understandable. We are all after the best item at the lowest price.
Thank you to Retail Dive