The Container Store Moves Strategic Priority Forward with the Opening of its 100th Retail Location

Rhea-AI Summary

The Container Store Group, Inc. (NYSE: TCS) has opened its 100th store in Princeton, NJ, as part of its strategy to Expand its Reach and achieve $2 Billion in revenue. The new small-format store features a full Custom Spaces Studio, curated general merchandise, and in-home services, with an average of 12,500 selling square feet. CEO Satish Malhotra highlighted the success of small-format stores, with Custom Spaces adoption averaging 39% of sales per store and a strong Net Promoter Score of 83.

Positive

• The Container Store Group, Inc. has successfully opened its 100th store, marking a significant milestone in its growth strategy.
• The small-format stores have shown high productivity and faster adoption of Custom Spaces, which is a key component of future sales growth for the company.
• The average of over 60% new customers shopping at these locations indicates a positive response to the Company's offerings.

Negative

• The Company's reliance on small-format stores for future growth may pose a risk if these stores do not perform as expected.
• While the adoption of Custom Spaces is positive, there is a potential risk of saturation in the market, leading to decreased demand over time.

Specialty retailer sees whitespace for continued store growth of its differentiated solution-oriented offering

COPPELL, Texas--(BUSINESS WIRE)-- The Container Store Group, Inc. (NYSE: TCS) (the “Company”), the leading specialty retailer of organizing solutions, custom spaces, and in-home services, has opened its 100^th store location in Princeton, NJ, further advancing the Company’s strategy to Expand its Reach as part of its Path to $2 Billion in revenue.

The 100^th store is the sixth small-format store the Company has opened to date and one of five anticipated to open in its fiscal 2023 ending March 30, 2024. A primary objective of its small-format stores is high productivity with a full Custom Spaces Studio featuring its Preston, Avera and Elfa lines, curated assortment of complementary general merchandise, and in-home services, at an average of 12,500 selling square feet. Many of the locations are also built-to-suit, making them an appealing financial proposition.

“Opening our 100th store is a significant milestone as we execute our strategic priority of Expanding Our Reach and continue to unlock our long-term growth potential,” said CEO and President of The Container Store, Satish Malhotra. “We continue to be pleased with the productivity of our small-format stores, specifically with the faster adoption of Custom Spaces, which is a key component of future sales growth for The Container Store. At the end of our second quarter, this adoption was averaging 39% of sales per store. In addition, we saw an average of over 60% new customers shopping with us in these locations and the Net Promoter Score for our small-format stores remains incredibly strong at 83.”

The Company’s next store opening is slated for Spring 2024 in Gaithersburg, Maryland.

About The Container Store

The Container Store Group, Inc. (NYSE: TCS) is the nation’s leading specialty retailer of organizing solutions, custom spaces, and in-home services – a concept they originated in 1978. Today, with locations nationwide, the retailer offers more than 10,000 products designed to transform lives through the power of organization.

Visit www.containerstore.com for more information about products, store locations, services offered and real-life inspiration.

Follow The Container Store on Facebook, Twitter, Instagram, TikTok, YouTube, Pinterest and LinkedIn.

View source version on businesswire.com: https://www.businesswire.com/news/home/20231218572758/en/

Investors:

ICR, Inc.

Farah Soi/Caitlin Churchill, 203-682-8200

Farah.Soi@icrinc.com

Caitlin.Churchill@icrinc.com

Media:

The Container Store Group, Inc.

Katelyn Clinton, 972-538-6000

publicrelations@containerstore.com

Source: The Container Store Group, Inc.

FAQ

What is the ticker symbol for The Container Store Group, Inc.?

The ticker symbol for The Container Store Group, Inc. is TCS on the New York Stock Exchange (NYSE).

Where is the 100th store of The Container Store Group, Inc. located?

The 100th store of The Container Store Group, Inc. is located in Princeton, NJ.

What is the CEO's name of The Container Store Group, Inc.?

The CEO and President of The Container Store Group, Inc. is Satish Malhotra.

What is the strategy of The Container Store Group, Inc. in relation to store growth?

The strategy of The Container Store Group, Inc. is to Expand its Reach and achieve $2 Billion in revenue through the opening of small-format stores with differentiated offerings.

What is the average Custom Spaces adoption at the small-format stores of The Container Store Group, Inc.?

The average Custom Spaces adoption at the small-format stores of The Container Store Group, Inc. is 39% of sales per store.

What is the Net Promoter Score for the small-format stores of The Container Store Group, Inc.?

The Net Promoter Score for the small-format stores of The Container Store Group, Inc. is 83, indicating strong customer satisfaction.