International shopper spending growth is slowing in the UK and that's bad news for luxury fashion labels, although on the plus side, those shoppers who do visit Britain seem to be spending more per transaction.
UK high street and travel retail newsagent WH Smith has delivered a surprise with news that it’s buying US travel retail specialist Marshall Retail for $400m/£312m, radically expanding its travel retail chain.
Shoppers may not be in the mood for lavish spending at the moment, but the retail sector is being “propped up” by spending on the part of international tourists. And luxury fashion is a key beneficiary of this.
Macy’s cut its full-year earnings forecast on Wednesday after missing estimates for quarterly profit for the first time in at least two years, as it discounted merchandise heavily to clear spring inventory.
Middle Eastern tourists are expected to boost UK luxury retail this summer with a particular interest in British brands. That’s according to Global Blue, which predicted a 16% rise in transactions by Gulf visitors.
Prestige skincare brand Murad has launched a traveling California pop-up in honor of the brand’s 30th anniversary, featuring experiential touchpoints like meditative sound baths and skin consultations.