Retail Roundup: Thrift Stores See Sales Rise, Donations Drop, and More

(MoneyWatch)  Thrift stores see sales increase, donations decline -- Although retail sales dropped 2.8 percent in October, not all retailers were feeling the sting. In fact, stores that sell second-hand goods actually have received a boost since the downturn began. "Nationwide, Goodwill has seen an increase of between 6 and 11 percent in retail sales because of the economy," says Meaghan Carabello, a representative for Goodwill. The downside is that thrift-store organizations are worried about a drop in donations. The Salvation Army is launching a national ad campaign in January to fight a decline in donations; this will be the first ad campaign in the organization's 128-year U.S. history. [Source: 9news.com]

Free shipping increases holiday Web sales -- Free shipping may be the key to e-commerce success -- the latest Internet Retail survey found that 61 of the Web's 100 largest retailers offer free shipping as of Nov. 10. In most cases, the consumer has to hit a minimum order value, often $50, to receive free shipping, but both Zappos and Blue Nile offered the service unconditionally. About 90 percent of online shoppers say free shipping would motivate them to spend more this holiday season, according to a survey by The Conference Board and TNS. [Source: internetretailer]

7-Eleven busy converting company-owned stores to franchise units -- 7-Eleven Inc., the world's largest convenience retailer, is continuing to convert company-operated stores into franchised operations; by 2012, chain officials want the vast majority of 7-Eleven units to be franchised. Approximately 75 percent of the company's 5,600 U.S. stores are already franchised. Although existing store managers were the first asked to apply for a franchise, the offer is now available to the public. [Source: Highlands Today]

Victoria's Secret ignores economy with spectacular fashion show -- Although many retailers are scaling back costs wherever they can, Victoria's Secret spared no expense in presenting its annual fashion show at Miami's Foutainebleau hotel. The lingerie retailer used a high-profile lineup, including Heidi Klum, to model fashions that included a $5 million bra studded with diamonds and rubies. The show will air on CBS on Dec. 3, and only the ratings will decide if consumers will welcome the over-the-top production or deem it tasteless in a time of economic turmoil. [Source: WSJ]