Barnes & Noble continued its transition to geek central with continued growth in its Toys & Games and Gift businesses in the results from its third fiscal quarter, reported last week. Toys & Games was up 12.5% and Gifts was up 13.8%, CEO Ronald Boire said the conference call. Vinyl and adult coloring books were the only other categories in which Barnes & Noble reported growth.
Comparable store sales were up 0.2% for the quarter; excluding Nook sales, which continue to plummet, core comparable store sales were up 1.3%.
Growth in geek categories isn’t the only way Barnes & Noble is expanding its geek business; in its core books category, the chain has doubled the space it’s allocating to graphic novels in the last year (see “Barnes & Noble Adds New Release GN Displays”).
Meanwhile, Trans World Entertainment, which operates f.y.e. and Suncoast stores, reported that its trend category accounted for 22% of sales for 2015, up from 15% in the previous year. Trend sales were up 39% for the quarter as video sales declined 16%, music declined 6%, and video game sales declined 52% for the quarter. This is the continuation of an ongoing trend (see “’Trends’ Growth Accelerates at Trans World”).
Trans World comparable store sales were flat for the quarter and down 0.7% for the year.
Although there are huge differences between Barnes & Noble and Trans World, including an order of magnitude size difference, the reports that came out last week illustrate in striking fashion the growing importance of geek categories in specialty retail chains, which are looking for new sources of growth as their legacy categories digitize or are otherwise challenged.
Is all this increased exposure growing the size of the pie, taking sales from other retailers, or both? Managing the roles of the various channels will become increasingly important as these sales trends continue.
