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Five Below's CEO: Brick And Mortar Is 'Cake,' Online Is Just The 'Icing'

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Five Below's CEO: Brick And Mortar Is 'Cake,' Online Is Just The 'Icing'

At a time when most retailers are closing stores or at the very least not planning to open new ones, Five Below Inc (NASDAQ: FIVE) is an outlier as the company has plans to open 100 new stores.

The company's secret? Offer customers an incredible customer experience or tremendous value. But in Five Below's case, the company offers both, at least according to its CEO Joel Anderson.

"You go in our store, it's just a store to have fun," he said during CNBC's "Squawk Box" segment on Wednesday. "Let go and just have fun. If you can offer value and a great store experience you are going to win."

But Five Below has another secret up its sleeve to win in the retail space: Do the opposite of what everyone else is doing. At a time when retailers are placing more emphasis on online channels perhaps at the expense of brick-and-mortar, Anderson sees its physical stores as the "cake" and online is merely the "icing."

Finally, one of the biggest cases against owning Five Below is the company's large exposure to fidget spinners and once the trend fades so will the company. Anderson isn't in the least bit convinced and noted his store is a "trend retailer" that has been front-and-center in some of the hottest trends over the years, including Disney's "Frozen," selfie sticks and Shopkins.

Related Links:

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Posted-In: CNBC Fidget Spinner Joel Anderson retail retailers Squawk BoxMedia Trading Ideas Best of Benzinga

 

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