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CHICO’S FAS ANALYST EVENT TAKEAWAYS

Retail is changing rapidly and Chico’s FAS is working to adapt to address the needs of the evolving consumer. The new consumer has gotten used to a culture of immediate access to information, the ability to shop from anywhere, instant gratification and spending on experiences.

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Fashion Immersion Program (PhilaU)

• Amazon now has at least 54 million prime members, and
growing at 50%+ the last 2 years. By contrast, Costco has
44.6 million paid members
• Amazon’s video strategy with Twitch, Hollywood, and with
original content producers is helping to drive prime
membership more than originally expected. AMZN’s Cloud
leadership also enables this.
• The Fire – originally panned by critics – is the fastest
growing tablet – $50 changed the tablet game and is
allowing Prime content to be consumed easily.
• Originally thought of as an April Fool’s joke, Dash, a button
to order a specific product, now has 100 products at a push
of a button for Prime members.

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3Q2016 Recap and Back-to-School Outlook (Planalytics)

2016 Back2School Outlook
1. Overview – Retail Sales Looking Brighter for
Back-to-School
2. 2Q Update – Earnings Scorecards; Consumer
Discretionary Leads Growth
3. July Same-Stores Sales Somewhat Mixed
4. Back-to-School Drives July Traffic to Best
Month of Calendar Year and Much More

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AMAZON DEVICES ARE BACK AT TARGET

Target (TGT) has resumed selling Amazon (AMZN) electronic devices such as Fire tablets, Fire TV video devices and Kindle e-readers on target.com. The products are scheduled to return to shelves in October 2016.

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Meeting Tech Talk (ICSC NARTF)

• Affluent Consumers are expected
to take a greater hit
• Younger Consumers without
mortgage or stock market exposure
are less affected
• Middle-Aged & Retired Consumers
are the most cautious and anxious
group, with the most exposure to
the consumer finance metrics

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Lunch & Learn

• Fung Global Retail & Technology advises retailers, real estate developers, tech companies, and others on
projects situated at the intersection of retail, tech and/or fashion.
• Our team offers a robust knowledge bank and deep-rooted experience across the retail, fashion, and tech
industries. We are involved in many areas of the business, which allows us to offer a unique perspective on
the future and where the sector is heading.

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