Shoe Carnival CEO Is Looking to Win Over Former Department Store Shoppers

While its lower income consumers are taking a hit due to inflation, Shoe Carnival is optimistic that it can continue to grow its presence among higher earning households. In the second quarter, the footwear retailer saw softness among its consumers with household income under $30,000, due to their outsized impact from inflation. However, Shoe Carnival also welcomed an influx of higher income, more profitable customers concentrated in the Shoe Station banner and online channels. Whereas more than 50 percent of Shoe Carnival customers were previously from households with income under $50,000, more than half of its consumers are currently in households with income above that. This includes a “significant percentage increase” in households with an income of more than $75,000, said Mark Worden, president and CEO of Shoe Carnival, in a call with analysts on Tuesday. “As part of our long-term strategy, we continue to invest to build our brand and acquire these higher income, more affluent customers to expand our customer base,” Worden said. The executive added that the retailer’s resonance with consumers from households making over $75,000 in income this quarter is partly due to these higher income shoppers trading down from specialty retail and department stores. “We’re capturing, as part of

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