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This morning we got the US retail sales for July they actually edged up that's -- -- -- the ninth twelfth thirteenth time in a row we've seen up -- the increase was.
Just slightly less than what analysts had expected so where are the shoppers heading.
If they're going somewhere.
Why don't we find out exactly what stores are capitalizing on this is it for big ticket items the pricey luxury names -- the cost savings stores.
I'm joined by Eric Peter bring capital managing director and Oliver -- city's luxury research senior analyst and we brought you gentlemen and because.
We're done fooling around and just simply giving these basic sort of white washed statements that the consumers back specifically.
Where Eric is at the low end is at the high and where would you bet your portfolio money.
And when you look at it right now I think the consumer wants the -- and we've seen this -- back to school being weak us are looking for bargains.
Consumer knows how to play this game and the game is trying to the lowest price whether it's -- -- -- -- shirt or -- item they're gonna keep on finding that bargaining going for that.
Okay but back to school is is a slice of every thing for those without kids do you still feel that consumer is looking for the markets.
-- -- -- In terms of fashion they want to feel they're getting their best bang for their buck.
All for your city's luxury of research -- so I know where you stand why do you feel that luxury is the way to go when it comes to investing right now I am excited about Michael -- there really expensive experiencing explosive growth they have a global growth have awareness building the brand and it's also a good value compared to what high end luxury bags cost.
Michael course handbag around 300 vs 12100 plus -- -- -- time so that is a form of value your refund look at the back to school.
Groups that are out there shopping -- -- back to -- -- -- back to school generally has a point six to point seven correlation to fall and holiday.
So it matters about the health of the consumer and unfortunately.
Mall traffic has been -- it's been negative one in July.
I'm on the plus side we're expecting better weather.
As well as you know a stabilizing unemployment atmosphere and housing prices and -- -- This could be helpers but I still think back to school this year will be lower than last year we just had our reporter Jeff Flock go to a high end outlet mall.
There were lines to get into Tory -- lions to get into the Gucci outlet mall.
Stores so obviously Eric Berry is a great demand but it goes back -- exactly what you just said people want to at least I think that they're getting the good deal right I think they even plan and -- painful price of one -- I'm getting great product for someone comes like -- issues -- time mama.
-- self full -- products T shirt for a 110 dollars -- -- like Oxford Industries let's just getting that you kind of glossed over that want gloss over Oxford Industries because it has had a beautiful return is -- not I'm looking at 44%.
Here over here.
It's on great one of the things we're focused on -- organic growth think people need to see organic growth maintaining these valuations we're having ups we've had a very strong year for retailers.
They've been at full price storm they have two great concerts in time Hamas and Lili Pulitzer and frankly as one of our -- ideas just in terms of pure unit and.
Marchex -- Lilly Pulitzer for the for the Palm Beach set.
You talk Oliver about the fast fashion concept first of all.
That's when people see something -- the -- walk and then about.
24 seconds later it's in at least some of the stores who's capitalizing on fast fashion that we've seen a lot of international competitors -- and -- are as well as forever 21 and they're offering great looking Denham eight dollars.
And today it's all about personal style and mixing and matching if you can do high and -- really well.
And you're not wearing a uniform that's where it's -- for consumers.
A name like TJX offers a -- treasure hunt shopping experience for the customer and that's exciting -- fashion at a good price exhaust exhausting but entertaining.
Energetic pressure I have heard that a -- -- hunt experience.
But let's talk about what else you see -- -- that people talk about the luxury end and say coach Tiffany.
-- -- -- It's hit your radar yet we are recommending both from the names for different reasons I'm Tiffany has some really great product introductions on the horizon where they're leveraging.
The Great Gatsby the art Deco kind of innovation that's a great American sat silently brand.
It will -- I believe I think the execution looks great and you know it's -- back to the history Tiffany Eric your last pick his wet seal up this is sort of a teen retailer -- we haven't seen the Abercrombie and -- in the American Eagles do as well as some of the other 4050%.
Year for your moves for those.
Talking about what's you'll -- -- -- this is her answering your mansion came as the end of last year and they've actually moved to the fast fashion model they're one of the few teen players in the past fashion mall.
It's a turnaround story here management is reviving this business and abuse a fast fashion miles that -- -- turn around much quicker.
Then an Abercrombie and -- saw Michigan Kara literally in weeks and they're taking imagine that we've already seen them basically two quarters and positive comps the first time in two years.
Why -- either view picking the name behind free people and that is serving about Urban Outfitters.
All I hear about from the tween set and you know they convince their parents -- -- the -- -- -- -- is that free people is the hottest thing.
That also of course have -- after -- correct yes exactly to everybody -- people is a tool.
And that's very special in terms of the feminine in the execution there iffy to me it it is that Tzipi differentiated -- -- But special.
And to be active I think it's fairly priced at this level terms of the stock trading in the low Tony's PE courses -- sector.
But honestly they're focused on growth.
They they have great concepts that are about.
Ridden rebellious interest thing kind of differentiated execution should be -- -- expert.
-- the view all of earners -- great to have you were gonna put all of their picks up on FaceBook dot com slash lose claimant Eric Peter bring capital and Oliver Chen.
Secret thank you both very much we've got the.
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