How Back-to-School Shopping Influences Retailers and Consumers

Back-to-School Season Importance - Back-to-school season is second only to the holiday season in importance for retailers [1] - Performance during the back-to-school season is highly correlated with performance during the holiday season [3] Competitive Landscape - Retailers are engaging in promotional activities to capture consumer spending early [1][2] - Competition extends beyond apparel to encompass overall consumer spending [3] Investment Strategy - Focus on retailers like Urban Outfitters, Hollister (Abercrombie), and Tapestry (Coach) that demonstrate strong consumer demand and willingness to pay full price [4] - Capitalize on momentum from back-to-school to holiday, favoring stocks of companies with positive trends [5] - Avoid investing in struggling companies simply because they appear cheap [5][6]