Market Overview

Gadfly's Banjo: Teens Know Best... When It Comes To Retail

Share:
Gadfly's Banjo: Teens Know Best... When It Comes To Retail

Teens might think they know best, but the adults know that isn't the case. But an exception should be made for investors: When it comes to retail, teens may know best.

As noted by Gadfly's Shelly Banjo, Piper Jaffray's 33rd bi-annual "Taking Stock with Teens" survey offers investors a report card on what brands are hot among teens and which are not.

Banjo explained that the findings from the survey made it clear that teens with jobs aren't as willing to spend a lot of money on clothes, shoes and other accessories. If that is the case then retail investors should brace for the possibility that certain retailers have "little recourse to find their way back into consumers' consideration."

The Role Of Social

The reason for this can be attributed to social media filters. If teens can use multiple filters and picture add-ons to change the way they look then why would they need to spend lots of money on clothes and shoes?

Banjo also pointed out that teens aren't necessarily spending less money overall. In fact, they are finding cheaper options for clothes and apparel while spending the extra savings on food, which also reaffirms another growing trend of meals and snacks accounting for a greater part of teens budgets at the expense of retail.

Bottom line, it is possible that as teens grow older there will be a reason for them to spend more on retail once again. In the meantime, the survey made it clear that it is "undeniable that this generation is spending less on clothing" and that "investors would be wise to listen to the youngsters."

Related Links:

Easter Might Be The New Christmas For Some Companies

10 Retailers Poised To Perform In The Digital Retail Revolution

 

Related Articles (XRT)

View Comments and Join the Discussion!

Posted-In: Gadfly retail retailers Shelly Banjo Taking Stock With TeensPsychology Media General Best of Benzinga