Men’s Wearhouse Sales Are Tanking After Jos. A Bank Sales Were Abruptly Ended [News Brief]

Men’s Wearhouse reported a 15% drop in sales after it acquired Jos. A. Bank in 2014 and then nixed the company’s popular buy one, get 3 free suit promotion in October 2015.

“This [sales] decrease was primarily driven by a decline in traffic as the Company began the transition away from the Buy-One-Get-Three promotional events,” the company said in a statement.

Shares of Men’s Wearhouse plunged 28% after hours when it reported its third quarter results.

Men’s Wearhouse also cut its earnings outlook from $0.87 per share to between $0.46 and $0.51.

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The company is also facing an increasing amount of competition from fast fashion chains including Zara and H&M.

Many buyers are also embracing the athleisure trend which moves them away from suits and dressier clothing to a casual lineup.

Author: James Kosur

James Kosur is the co-founder and CEO of GiveItLove.com. His website focuses on positive stories and viral news. Over the last 17 years he has served in various CEO, COO, and Head of Business Development positions in tech, e-commerce, and general retail sales.... View full profile ›

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Men’s Wearhouse Sales Are Tanking After Jos. A Bank Sales Were Abruptly Ended [News Brief]