The Big Picture
The market rallied last week on weaker-than-expected inflation figures and hopes that the Fed will cut interest rates even further.

But, in the wider market consumers hit the pause button in September, after two months of robust spending. Total retail sales posted a 0.5% gain, in part due to higher prices, according to the Chicago Federal Reserve.

Looking ahead, analysts are still optimistic about the holidays: the National Retail Federation forecasts retail growth between 2.7% and 3.7%, signaling a healthy close to the year.

September Sales Snapshot
Our client stores once again outperformed expectations, proving that affluent shoppers aren’t ready to step off the spending gas just yet.

–Total sales: Up 9% overall
-Menswear: Up 8%, with men’s clothing surging 15% after a quiet summer
– Suits climbed 15%, driven by renewed return-to-office energy
– Women’s wear: Up 9%, with ready-to-wear gaining 8% and dresses up 5%

In short, luxury consumers are still motivated, but they’re buying with purpose.

Higher Prices, Smaller Buys?
Looking ahead to next fall, expect price increases across many luxury categories. For merchants, this could mean smaller buys and tighter assortments if budgets stay flat.

But here’s the opportunity: use higher prices to grow your gross profit dollars, not shrink your buy. Invest in a broader, fresher assortment and commit to faster turn. Newness and availability will drive performance.

The True Value Question
In a shifting market, one question matters most: What’s your store’s true value to your customer?

It might not be your pricing strategy at all. For many retailers, their real value lies in personalized service, trust, and connection — qualities that keep clients returning no matter what the economy does.

Blacks’ Bottom Line
Now is the time to redefine and communicate your store’s value. When customers understand what makes you indispensable, sales will follow naturally.