After testing a new prototype store in 2021 that was designed to enhance the shopping experience and present more in-demand brands and styles, Famous Footwear, the Caleres-owned retail chain, intends to open 10 additional prototype stores over the next several months. CAL management has not disclosed where the stores will be, only offering that they will be in “geographically diverse markets.”

Additionally, Famous Footwear is accelerating a store refresh program it began in 2019 but pulled back on during pandemic-impacted 2020 before commencing again last year. There will be 120 updated doors this year following nearly 70 refreshes in 2021, and senior management thinks the new looks will bolster the banner’s national presence and “generate solid returns.”

In the fourth quarter, operating with 20 percent less inventory than in Q4/19, Famous Footwear reported adjusted operating earnings of nearly $55.7 million against $14.8 million as revenues rose 15.9 percent to $401.9 million. For the full year 2021, the retailer reported operating income of $276.4 million against a loss of $23.8 million from 38 percent topline improvement to $1.75 billion.

While the chain’s top 20 brands represented more than 80 percent of its sales last year, Famous Footwear continues to work on evolving its merchandise mix by testing and adding new brands across genders and categories.

“We believe this could attract new Famous consumers while at the same time, providing the current customer with additional options,” suggested Diane Sullivan, Chairman and CEO of Caleres.

Meanwhile, Caleres is making changes to its Brand Portfolio segment, which generated a 24 percent increase in Q4 sales. CAL is reducing the SKU count for each label to enhance productivity and lower costs while also prompting few markdowns on slower-moving styles, lowering development costs, and increasing sell-through and margin rates. During Q4, the Brand Portfolio had more than $160 million of inventory in transit.