THE GOOD NEWS FOR HEADWEAR VENDORS IS THAT ACCESSORY STORE SALES INCREASED IN JULY

Apparel and accessories stores posted sales of $17.9 billion, a 0.7 percent increase compared to sales in June, which is a 7.6 percent increase from last year.

Business for department stores is not so rosy, with sales of $17.6 billion, a decline of 0.4 percent from June and a 1.1 percent drop year-over-year.

According to economist Brian Bethune: "Department stores are very much appealing to a middle-income type of individual, whereas the specialty apparel clothing stores are more up-market….and the higher gas prices have hit the middle-income consumer harder.”

If I had to put my two cents in (that’s about all I can afford to lose) I would say that accessory business will continue to be good during these inflationary times because people will want to treat themselves to a low cost impulse item. When it costs $85 to fill up an SUV, that doesn’t leave much money to buy a new suit or dress, but it does leave enough cash for a hat or tote bag.

Personally, I think the reason people are not shopping in department stores is because it’s just too darn difficult and confusing. Life is confusing enough, who has the patience to scout out material matter in a space that’s as large as an aircraft carrier? Some of us don’t have the energy or the time and inclination to do so. Perhaps that is why some major retailers are creating free-standing specialty stores. We’ll keep you posted.

One thing we know: Now is the time to create “must have” impulse items for your customer’s need to overcompensate for reality overload.

But make sure it’s out of the ordinary.

What’s new is what’s New