# Ross Stores posts 9% comparable-store sales growth while competitors flat-line in off-price retail

*The treasure-hunt discount model scales when merchandising discipline beats inventory bloat.*

By **Jenny Huang Goodman MPA MSc MHSA, Principal** — The Stash Edge, Hako Shikin LLC.
Published 2026-08-23.

Canonical: https://www.pops4.com/stash/articles/ross-stores-2026-08-23t12-1
Subject: Ross Stores
Tags: off-price retail, inventory velocity, treasure hunt, comparable sales, discount strategy, merchandising

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Ross Stores reported **9% comparable-store sales growth** in its most recent quarter, establishing clear daylight between itself and the rest of the off-price channel, according to Retail Dive. While TJX Companies—parent of T.J. Maxx and Marshalls—logged **3% comps** and Burlington posted flat growth, Ross pulled ahead on a combination of tight inventory turns, aggressive store expansion, and a merchandising strategy that kept shelves fresh without overstocking.

Ross operates **1,900+ stores** and plans to open **90 new locations** this year, most in markets where foot traffic remains high and lease costs stay manageable. The company buys opportunistically—cancelled orders, factory overruns, end-of-season closeouts—then moves product through stores in tight cycles, typically under **60 days** from receipt to clearance. That cadence keeps the treasure-hunt psychology alive: customers return weekly because last week's rack is gone and replaced.

The model works because Ross never chases fashion cycles. It sources branded goods at steep discounts, prices them **20-60% below department store retail**, and relies on high inventory velocity rather than markup expansion. When department stores cancel orders or brands overproduce, Ross steps in as the preferred liquidation channel. The company's buying team operates without long lead times, so it can pivot to available merchandise within weeks. That agility compounds in volatile markets, where competitors holding nine-month forward buys get stuck with aging inventory.

For a small physical-product brand, the steal is not selling *into* Ross but copying the *cadence* play in your own direct channel. Run limited product drops with visible end dates and publish each batch as numbered runs. A **250-unit run** of a seasonal item, priced for **40% gross margin**, ships in **three weeks** and clears before you reorder. You announce the next drop two weeks out, publish the ship date, and let the previous sell-through create urgency for the next. The psychology mirrors Ross: customers check back because they know the window closes.

Operationally, you control inventory with pre-orders that fund production before you commit to molds or bulk material buys. A **$8,000 pre-order batch** covering **60% of production cost** means you manufacture only what sold, with a **10-day buffer** for walk-up demand. You avoid dead stock and the margin erosion that comes with clearance pricing. If you already hold inventory, you rotate SKUs every **30 days**, retire slow movers at cost, and replace them with new variants. The velocity becomes the brand signature, not the individual product.

The broader pattern is that treasure-hunt retail rewards the merchant who ships, sells, and clears before the category cools. Ross wins because it never sits on product long enough to need markdowns. A direct brand wins the same way: fast cycles, visible scarcity, no safety stock beyond one turn. You become the store customers check weekly, not the catalog they browse once a quarter.

## The takeaway

Ross turns inventory every 60 days and opens 90 stores this year by buying opportunistically and shipping fast.

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## Publisher

**Hako Shikin LLC** — Virginia Beach, Virginia. Founded 1997. ASI 217876 · DUNS 18-204-6339.
Principal and author: **Jenny Huang Goodman MPA MSc MHSA**.

- Author: https://www.huanggoodman.com/about
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