00:00Lily, is that the story? Is this the consumer that's hungry for a deal because perhaps inflation is biting and the pocketbook is just a little narrower? Yeah, exactly. That's exactly what it is. You know, consumers of all income levels are looking for deals. So Dollar General said they saw high income consumers trading down and Dollar Tree said the same. How are they doing it? Because I associate Dollar General and Dollar Tree with lots of stuff in from China and you know other countries where tariffs really were hitting this year. Yeah, that's a great question. So Dollar General actually is a huge
00:29grocery section and that shields it a little bit from the impact of tariffs. So it has a lot of consumable goods that you know aren't as impacted as from tariffs. That is fascinating. The dollar amount that people were spending was that higher than average or was it just that more people were going into the store. Yeah. So they're actually seeing consumers their core consumers spend less but come to the store more often which was a sign for them that you know that core low to middle income consumer was feeling strained. Now we've seen several
00:59retailers do really well this year this season. I should say you know Abercrombie and Fitch Coles Macy's Dollar Tree General. Is there any conclusions we can draw about the consumer being strapped or is each story an individual one. Yeah. I mean I think the consumer is in an interesting place. They're definitely looking for deals. They're definitely feeling pressured but they still are open to spending and they want to spend either places that offer a strong value proposition or at brands that they know and love and care about.
01:29Victoria's Secret as well. That's one of the very very very very last companies. I believe it's tomorrow. Should we expect something similar to some of the other you know teen focused. Well I don't know. Is Victoria's Secret teen focused. Yeah. It kind of caters to a range. It'll be interesting to see you know they got a new CEO fairly recently and then have had a fair amount of investor pushback throughout the year. And so I'll be interested to see you know what the CEO says and how much she's able to really turn things around there.
Be the first to comment