At first glance, the weakness in luxury is puzzling because consumer confidence is high and Tiffany's customers still have discretionary income to spend.
But Yarbrough points out that people are increasingly spending on categories other than luxury retail.
"People are still willing to spend on auto, and they're still willing to spend on their homes which are bigger-ticket items," he said.
"They're more interested in cars or homes or experiences," he said, pointing to movies and traveling as examples — not apparel.
An analysis by Jharonne Martis, director of consumer research for Thomson Reuters, confirmed that people were spending their money on hotels and casinos, too, Business Insider's Hayley Peterson reported earlier this month....
Valuable look at consumer shopping trends and changes. Marketers take note