The Big Picture
In the broader market, shoppers took a cautious step back last month as economic pressures continued to build.
Retail sales dropped 0.9% in May, following a modest 0.1% contraction in April.
Inflation inched up to 2.4%, and key indicators like job growth and manufacturing output softened, raising fresh concerns about momentum heading into summer.
The Federal Reserve is holding off on additional rate cuts for now, opting to “wait and see” how these shifts play out.
Meanwhile, the stock market remains surprisingly resilient, even as global tensions—including those that could impact oil prices—simmer in the background.
May Sales: Sunshine and Spending
Fortunately, our client stores didn’t feel the same economic anxiety last month. Warm weather, summer travel plans, and special events kept foot traffic strong and shopping upbeat.
Overall Sales: Both menswear and women’s wear posted solid 4% gains in May.
Menswear:
Clothing and Sportswear both rose 7%.
The post-COVID wedding boom continues to fuel demand—men’s formalwear sales jumped 63% in May alone.
Suits also performed well, up 5%, continuing a strong spring trend.
Women’s wear:
Ready-to-wear gained 8%, signaling demand for versatile, wearable pieces.
But dresses saw another decline, falling 7%—a continued sign that shoppers may be shifting their event-wear choices, or are already stocked up.
Planning Ahead: Fall & Beyond
As we head into the back half of the year, the economic outlook remains foggy—but that creates strategic opportunities.
This is a smart window to negotiate with vendors on Holiday 2025 and Spring 2026 goods. Locking in prices and delivery terms now can protect margins later, especially if volatility continues.
Flexibility is key—both in your buy plans and your thinking. Adaptability in assortments, open-to-buy, and vendor relationships will be critical as conditions evolve.
It’s worth noting: many of our client stores are currently pacing up single digits in June, proving that even in a shifting environment, strong customer service and thoughtful assortments can drive results.
Blacks’ Bottom Line
Clienteling is the name of the game right now. Customers are still shopping—but they’re being more selective. Focus on what you do best: making your clients feel seen, valued, and well-served.
