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Are Luxury Retailers a Dying Breed?

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  • (0:30) - Top Luxury Retailers
  • (2:45) - Is Luxury Retail Dying?
  • (4:00) - What Will Revive Luxury Retail?
  • (5:45) - Episode Round Up - Podcast@Zacks.com

On today’s episode of Shopping for Stocks, Editor Maddy Johnson takes a look at the luxury sector of the retail industry. Are these brands slowly fading away?

In the fashion world, many of our favorite designers are owned by massive conglomerates like LVMH and Kering, while others operate independently, like Michael Kors , Kate Spade , Coach , Ralph Lauren (RL - Free Report) , Burberry (BURBY - Free Report) , and Tiffany & Co. .

What their high-gloss ads in Vogue don’t tell you, however, is that many of these companies are seriously struggling, and have been for a long time.

Like their everyday retail counterparts, we can blame declining mall traffic, a strong dollar, changing markets in the U.S. and China, and heavy discounting for slumping sales, but most strikingly, consumers just don’t covet these once-desirable brands as much as they used to.

What will revive the luxury market? It may not be fast-growing anymore, but the sector is certainly fast-changing, shifting into something investors and consumers are unclear of. If luxury retailers can reassert their value, reaffirm their identity, there may be hope for them yet.

As a reminder, if you feel that something was missed, or if you want a different topic covered, send an email to podcast@zacks.com. Make sure to check out all of our other audio content at zacks.com/podcast, and remember to subscribe and leave a rating on iTunes.

Thanks for listening to this week’s episode of Shopping for Stocks!

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