Advertisement

Williams-Sonoma Expects Brick-and-Mortar Recovery to Play Significant Role in 2021

Williams-Sonoma plans to refocus on brick-and-mortar sales as the U.S. emerges from the pandemic, CEO Laura Alber told CNBC. Alber expects a strong recovery for in-store sales as the nation recovers, and the retailer plans to ride some of its strongest annual growth in nearly two decades.

Sales declined at Williams-Sonoma in Q1 2020 due to the initial lockdown, but the following three quarters generated positive sales growth. Revenue in Q4 2020, which ended Jan. 31, 2021, reached $2.3 billion, up 25.7% year-over-year.

Williams-Sonoma drove 45% online growth during fiscal 2020, which offset a 24% drop in in-person sales. However, while Alber acknowledged the role ecommerce played in making up for slow brick-and-mortar sales, she still expects the store to be a key component of the retailer’s 2021 success.

“The store traffic’s coming back,” said Alber in an interview with CNBC.  “I think people don’t realize the upside we have in retail.”

Advertisement

Alber laid out several factors Williams-Sonoma plans to build on in the company’s Q4 2020 earnings report. The company will maintain the momentum of its growth initiatives and the increasing relevance of its key differentiators, as well as ride the recovery in retail traffic and inventory levels. Additionally, the retailer plans to benefit from favorable macro trends including:

  • High consumer confidence;
  • A strong housing market;
  • An accelerating shift to ecommerce;
  • The expected continuation of working from home in some capacity post-pandemic; and
  • The importance of sustainability and values to the consumer.

Williams-Sonoma expects these trends to lead to mid-to-high single-digit revenue growth and operating margin expansion in 2021. In the longer term, the retailer aims to hit $10 billion in net revenue within the next five years, with operating margins at 15%.

Featured Event

View the Retail Trendcaster Webinar Series on-demand to uncover key 2025 retail trends, from AI and personalization to social commerce. Gain expert insights, data-driven predictions, and actionable takeaways to stay ahead in a rapidly evolving market.

Advertisement

Advertisement

Retail Trendcaster Webinar Series
Days
Hours
Minutes
Seconds

Uncovering What’s Next in Retail

On-Demand Limited Video Series

Q1 is a pivotal time for retail, with experts analyzing holiday sales and forecasting trends. View the full lineup of the Retail Trendcaster video series for insights on consumer spending, AI, personalization, social commerce, and more—helping you focus on what truly matters in 2025.

Brought to you by
Retail TouchPoints
Access Now
Retail TouchPoints is a brand of Emerald X LLC. By clicking the button and submitting information, you acknowledge and agree that your information may be shared with corporate affiliates of Emerald X LLC, and other organizations such as event hosts, speakers, sponsors, and partners. Please read our Privacy Policy and our Terms Of Use for more information on our policies.

Access The Media Kit

Interests:

Access Our Editorial Calendar




If you are downloading this on behalf of a client, please provide the company name and website information below: