This story was originally published on Retail Dive. To receive daily news and insights, subscribe to our free daily Retail Dive newsletter. Through most of 2025, retailers and brands have told investors they will bump up prices where they can in order to mitigate the fallout from tariffs. As consumers contend with fresh economic challenges — and as the holidays draw nearer — this already intricate balance of protecting margins and maintaining demand is getting more fraught. In May, Target CEO Brian Corne ...

Group 1 - Ulta Beauty's stock has increased by 19.65% year to date, outperforming broader retail benchmarks, while LVMH's stock has decreased by 11.39% YTD due to concerns over weakening demand in China and Europe [2][4] - The shift in consumer spending reflects a trend where shoppers are prioritizing affordable self-care products over luxury items, indicating a "trading down" behavior that does not feel like a downgrade [2][3] - Ulta's diverse product range, loyalty-driven model, and efficient domestic supply chain are not only defensive assets but also serve as growth engines for the company [3][4] Group 2 - LVMH is facing challenges as demand in Asia declines and U.S. consumers show signs of fatigue, impacting even its flagship brand, Louis Vuitton [4] - In contrast, Ulta is successfully meeting consumer desires for affordable indulgence, positioning itself as a leading player in the beauty industry [4][5] - The current market dynamics suggest that Ulta is not just a trend but a significant movement in the retail space, capturing consumer attention and loyalty [4][5]