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Williams-Sonoma CEO: 'We Sit In A Very Good Place Right Now'

Williams-Sonoma CEO: 'We Sit In A Very Good Place Right Now'

Home and kitchen goods store Williams-Sonoma, Inc. (NYSE: WSM) is positioning itself to better stand out in the crowded retail space by offering different features and perks to digital and non-digital customers, CEO Laura Alber said Friday on CNBC's "Mad Money."

Last week, Williams-Sonoma reported quarterly earnings of $2.56 per share, which beat the analyst consensus estimate of $1.53 by 67%. The company reported quarterly sales of $1.76 billion, which beat the consensus estimate of $1.60 billion by 10%.

Digital First Store: Williams-Sonoma's third-quarter report showed management's continued shift to emphasize its online sales as e-commerce penetration accounted for nearly 70% of total sales. This level of sales is consistent with the company's goals of being a "digital first" store but not "digital only," the CEO said.

Customers that love to sit on a sofa before purchasing it can do so with the expert guidance of sales associates, she said. Those that prefer to shop from home can virtually attend online classes for a cost or see how a product looks in their home through augmented reality.

"We sit in a very good place right now with a very sophisticated platform that can take a lot more volume than what we are putting through," said Alber.

Why It's Important: Williams-Sonoma's performance is a reflection of the company's shift to keep people safe amid the COVID-19 pandemic, the CEO said. The company shifted its marketing strategy to emphasize products that better address consumers' needs of hosting smaller Thanksgiving celebrations and backyard dining.

What's Next: Management noted in its third-quarter report it boasts the "strategies, the team and the world-class platform" to continue driving accelerating growth trends, increase profit and evolve into an "even more attractive business for our stakeholders during and post-pandemic."

Williams-Sonoma's stock closed Monday's session up 4.5% at $112.58.


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