QVC Group Looks to Social Commerce and TJX Continues Value Strategy Success

Ongoing financial pressure has forced many consumers to live paycheck-to-paycheck, prompting retailers to adjust their strategies to meet the demands of cost-conscious shoppers. With inflation continuing to outpace income growth, PYMNTS Intelligence data shows 67% of U.S. consumers are living paycheck-to-paycheck.

As a result, many consumers are turning to value-driven offerings and digital solutions to better manage their spending. This shift in consumer behavior is forcing brands to focus on providing greater value, expanding digital platforms and refining their operations to spark engagement and maintain customer loyalty.

QVC Group Adjusts to Consumer Shift

In line with this shift, Qurate Retail, which officially became QVC Group this week, is addressing challenges presented by a cautious consumer environment and rising competition.

During its fourth-quarter earnings call Thursday (Feb. 27), company officials stressed reducing debt and expanding its digital presence, focusing on the burgeoning trend of social commerce. Company revenue fell 6% in Q4 (to $2.94 billion) and 5% for the full year (to $10.03 billion).

QVC Group comprises QVC, HSN, Ballard Designs, Frontgate, Garnet Hill and Grandin Road.

“Our top line performance saw continued volume pressure, similar to the third quarter, driven by linear television declines, a cautious consumer environment, and meaningful distractions in our TV viewership due to headline grabbing events like hurricanes and the election,” CEO David Rawlinson told analysts. “These events affect our sales far more than other retailers as a video driven commerce platform with the need for people to tune into our programming in order to drive sales.”

By exploring platforms like social media, Qurate aims to engage consumers where they spend their time, positioning itself for future success in the video-driven commerce space.

Embracing the Social Commerce Trend

“Social scrolling is the new channel surfing,” Rawlinson said. “We are moving faster to become a live social shopping company with a focus on balancing top line growth with margin and cash flow discipline. Last Friday, we commenced our rebranding, changing our corporate name to QVC Group Inc, bringing the household name we are known for back into our everyday language.”

Social commerce is an “attractive market and a natural extension of our core capabilities,” he added. “The social commerce market in the U.S. is projected to nearly double in the next five years based on research estimates. Behaviorally, there are a lot of core similarities between the QVC model and the way consumers engage with social content.”

QVC Group’s Strategy for Live Shopping

Rawlinson said the company is implementing a new strategy around three priorities to win in live social shopping.

“Win is an acronym,” he explained. “W means we are going to drive live shopping content whenever she shops, wherever she shops and spends her time. I stands for inspiring people and products by creating the world’s leading live shopping content engine to inspire human connection with incredible merchandise. And N is about new ways of working to unlock efficiency and fund expansion on new platforms.”

Value-Focused Growth at TJX

Meanwhile, TJX Companies, parent of discount retailers like TJ Maxx and Marshalls, has adjusted its strategy to meet the demands of value-focused shoppers. The company reported a 4% sales increase for fiscal year 2025, reaching $56.4 billion, driven by strong customer transaction growth. With more consumers seeking affordable options, TJX’s ability to attract a broad demographic, particularly younger shoppers aged 18 to 34, has been key.

The company plans to open 130 new stores in fiscal 2026, including expansions into Spain, the UAE and Mexico, while continuing to offer discounted beauty and wellness products. By remaining focused on delivering value, TJX is positioned to grow despite ongoing economic uncertainty.

“Clearly, our great values, gifting assortment and freshness of our mix resonated with our shoppers during the holiday season,” CEO Ernie Herrman said. “We surpassed $56 billion in sales for the year and opened our 5,000th store, a milestone for our company.”

Company officials offered full-year guidance for consolidated sales in the range of a 3-4% increase, reaching $58.1 billion to $58.6 billion.

“I am particularly pleased that our overall comp store sales growth of 5% for the quarter was due to strong increases in comp sales and customer transactions at every division,” Herrman added. “As we begin a new year, we are confident that remaining focused on the off-price fundamentals of our great company will continue to serve us well, as it has over many decades, and as always, we will strive to beat our plans.”

Amazon Surpasses Walmart in Quarterly Revenue

This renewed focus on value aligns with a broader trend across the retail industry.

In Q4, Amazon surpassed Walmart in quarterly revenue, marking the first time since 2012 that Walmart was not the top revenue generator. Amazon reported $187.8 billion in quarterly revenue, while Walmart posted $180.5 billion. Despite this, Walmart remains the leader in annual sales, and its fourth-quarter earnings exceeded expectations.