{"id":1004774766,"date":"2025-10-24T03:29:05","date_gmt":"2025-10-24T11:29:05","guid":{"rendered":"https:\/\/www.commercialsearch.com\/news\/?p=1004774766"},"modified":"2025-10-27T05:38:28","modified_gmt":"2025-10-27T13:38:28","slug":"cpe-asks-will-this-summers-retail-reset-set-the-stage-for-the-holidays","status":"publish","type":"post","link":"https:\/\/www.commercialsearch.com\/news\/cpe-asks-will-this-summers-retail-reset-set-the-stage-for-the-holidays\/","title":{"rendered":"CPE Asks: Will This Summer\u2019s Retail Reset Set the Stage for the Holidays?"},"content":{"rendered":"
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\u201dThe modest-to-negative traffic trends in superstores and grocery stores indicate shifting consumer behavior under inflationary pressure,\u201d said Solanki.
Image courtesy of Colliers<\/em><\/figcaption><\/figure><\/div>\n\n\n

After a summer marked by cautious consumer spending, slower discretionary purchases and a continued focus on value, the retail sector is entering the holiday season with tempered optimism. Data from Colliers\u2019 retail research<\/a> shows that although total sales held steady through August, shoppers became more selective and price-conscious. To what extent will this shift influence how the year ends?<\/p>\n\n\n\n

Commercial Property Executive<\/em> spoke with Anjee Solanki, national director of retail services at Colliers, to provide insights into how the summer\u2019s “retail reset” may set the tone for the 2025 holiday season.<\/p>\n\n\n\n

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READ ALSO: <\/strong>Single-Tenant Retail Is Back in Favor<\/a><\/p>\n\n\n\n

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What can you tell us about retail sales at the end of the summer? Where did sales gains come from?<\/strong> <\/p>\n\n\n\n

Solanki:<\/strong> August retail results remained steady, with total sales up 3.5 percent year-over-year and core retail increasing 3.6 percent. However, volume growth was modest at just 0.4 percent. Consumers were more cautious than in July, leaning into online shopping (+8.2 percent) for price comparisons and convenience. <\/p>\n\n\n\n

Apparel continued to shine with 7.6 percent sales growth, while home improvement faltered (-5.7 percent) and furnishings saw only modest gains. Experience-based categories, such as theaters and attractions, saw sharp declines in traffic despite longer dwell times, underscoring that spending is being redirected toward essentials, apparel and value-focused retail.<\/p>\n\n\n\n

With fewer promotions in August, the lift from July\u2019s pull-forward spending did not repeat\u2014sales gains were almost entirely price-driven. Furniture and furnishings still benefited slightly from earlier tariff-related purchases, but the slowdown in discretionary categories such as home improvement shows that households are carefully prioritizing their budgets. Retailers must watch how much more strain consumers can absorb, especially as inflation continues to erode volumes.<\/p>\n\n\n\n

How did consumers shop this summer? What does the gap between home and apparel categories that benefited from promotions and foot traffic growth mean?<\/strong><\/p>\n\n\n\n

Solanki:<\/strong> The apparel category stood out in August, with sales surging 7.6 percent while visits rose only 4.66 percent. This gap indicates shoppers are visiting fewer times but making larger, more intentional purchases\u2014often driven by promotions and trend-forward inventory. In home-related sectors, modest gains in furnishings contrasted sharply with a 5.7 percent drop in home improvement sales, underscoring that consumers are deferring DIY and repair projects.<\/p>\n\n\n\n

Bargain hunting remains central, with discounters, off-price and resale formats capturing the most momentum. The outsized gains at value-oriented retailers, such as Goodwill (+11 percent visits), Ollie\u2019s Bargain Outlet (+9.8 percent), Citi Trends (+9 percent), and Ross Dress for Less (+7.8 percent), further reinforce that consumers prioritize deals and discount opportunities.<\/p>\n\n\n\n

With much of the summer growth fueled by early seasonal spending, how should retailers prepare for demand patterns heading into the holiday season?<\/strong><\/p>\n\n\n\n

Solanki:<\/strong> The $6.2 billion pull-forward spending that boosted July\u2019s numbers will unlikely provide lasting momentum. Much of that activity came from early back-to-school and even initial holiday purchases, meaning future months may see softer demand as those dollars have already been spent.<\/p>\n\n\n\n

This cautious optimism has left retailers absorbing part of tariff pressures in their margins rather than entirely passing costs along to the consumer, underscoring both the resilience of shoppers and the limits to how much more strain household budgets can take in the year\u2019s second half. Monitoring pricing with certain products or reducing the number of products in the store is critical.<\/p>\n\n\n\n

Are shoppers also consolidating trips to superstores and grocery? Why are these categories seeing modest traffic trends?<\/strong><\/p>\n\n\n\n

Solanki:<\/strong> The modest-to-negative traffic trends in superstores and grocery stores indicate shifting consumer behavior under inflationary pressure. Grocery sales rose 2.6 percent in July, but much of that growth came from higher prices and the continued shift toward private label, which hit a record $271 billion in 2024. At the same time, online grocery adoption is accelerating, reducing the need for frequent in-store visits.<\/p>\n\n\n\n

Within superstores, the traffic slowdown was uneven, with declines at retailers like Target and Big Lots weighing on the segment, while club formats and discounters have been more resilient. Costco has continued to post substantial traffic and sales gains in 2025, benefiting from its value-oriented membership model and loyal customer base.<\/p>\n\n\n\n

Meanwhile, fitness visits grew this summer. Is this rebound part of a broader shift toward wellness and lifestyle spending?<\/strong><\/p>\n\n\n\n

Solanki:<\/strong> Wellness has become a core priority\u2014especially for Millennials and Gen Z\u2014driving fitness, nutrition, mindfulness and healthy aging growth. Americans now spend more than $1.1 trillion annually on wellness, with 78 percent planning to maintain or increase that spend even in uncertain times.<\/p>\n\n\n\n

Gen Z and Millennials are leading the charge, with fitness spending up 7 percent year-over-year and younger households investing far more in wellness than older generations. This focus on healthier lifestyles is also reshaping adjacent categories, with alcohol sales seeing pressure as younger consumers increasingly prioritize the positive wellness effects of moderation or alternatives.<\/p>\n\n\n\n

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READ ALSO: <\/strong>The Rise of Retail-to-Office Conversions<\/a><\/p>\n\n\n\n

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Which retail categories do you expect to drive growth as we enter the holiday season?<\/strong><\/p>\n\n\n\n

Solanki:<\/strong> Heading into the holidays, growth will be led by value and experience. Off-price retailers like T.J. Maxx and HomeGoods and value-driven dining like Chili\u2019s are well-positioned to capture budget-conscious shoppers. At the same time, experiential categories\u2014fitness centers, theaters and attractions\u2014are seeing sustained traffic growth as consumers prioritize social experiences they can\u2019t get online. Even higher-end retailers like Nordstrom and Barnes & Noble benefit, showing that it\u2019s not always about the lowest price, but about delivering clear value for every dollar spent.<\/p>\n\n\n\n

What are the key risks retail owners should be aware of as seasonal demand shifts from back-to-school into the holiday period?<\/strong><\/p>\n\n\n\n

Solanki:<\/strong> The most significant risks stem from inflation and uneven consumer spending patterns. While vacancy rates are expected to hold steady and rents are projected to rise about 2 percent, households\u2019 limited ability to absorb higher costs could weigh on sales volumes. Store closures in freestanding formats, such as pharmacies and discount stores, may create localized disruptions.<\/p>\n\n\n\n

In contrast, mall and open-air center closures have been far less pronounced, leaving those formats comparatively stable. Steady demand and limited new supply offer some protection, but macroeconomic pressures could test the sector\u2019s resilience in the second half of 2025.<\/p>\n\n\n\n

What data points are you monitoring to catch signals of consumer resilience\u2014or strain\u2014over the next few months?<\/strong><\/p>\n\n\n\n

Solanki:<\/strong> Consumer spending behavior under tariff-driven cost pressures<\/a> will be the most important signal. In the first half of the year, tariffs accounted for roughly 30 percent of all retail spending, highlighting the immediate impact of higher prices and consumer concerns about future increases. Retailers have been buying more products than usual to take advantage of lower tariffs, while many consumers have also engaged in bulk purchasing to get ahead of anticipated price hikes. This dynamic could leave the holiday season unbalanced, with demand already pulled forward and the potential for higher pricing.<\/p>\n","protected":false},"excerpt":{"rendered":"

Colliers’ Anjee Solanki unpacks how cautious budgets and early shopping patterns this summer could shape retailers\u2019 holiday strategies.<\/p>\n","protected":false},"author":436,"featured_media":1004774767,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[44033,23891,21749],"tags":[40476,35498],"class_list":["post-1004774766","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-executive-profiles","category-national","category-retail","tag-cpetalks","tag-colliers"],"acf":[],"yoast_head":"\nWill This Summer\u2019s Retail Reset Set the Stage for the Holidays? - Commercial Property Executive<\/title>\n<meta name=\"description\" content=\"Colliers\u2019 Anjee Solanki on how cautious budgets and early shopping patterns this summer could shape retail sales in the holiday season.\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/www.commercialsearch.com\/news\/cpe-asks-will-this-summers-retail-reset-set-the-stage-for-the-holidays\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"CPE Asks: Will This Summer\u2019s Retail Reset Set the Stage for the Holidays?\" \/>\n<meta property=\"og:description\" content=\"Colliers\u2019 Anjee Solanki on how cautious budgets and early shopping patterns this summer could shape retail sales in the holiday season.\" \/>\n<meta property=\"og:url\" content=\"https:\/\/www.commercialsearch.com\/news\/cpe-asks-will-this-summers-retail-reset-set-the-stage-for-the-holidays\/\" \/>\n<meta property=\"og:site_name\" content=\"Commercial Property Executive\" \/>\n<meta property=\"article:publisher\" content=\"https:\/\/www.facebook.com\/CPExecutive\" \/>\n<meta property=\"article:published_time\" content=\"2025-10-24T11:29:05+00:00\" \/>\n<meta property=\"article:modified_time\" content=\"2025-10-27T13:38:28+00:00\" \/>\n<meta property=\"og:image\" content=\"https:\/\/www.commercialsearch.com\/news\/wp-content\/uploads\/sites\/46\/2025\/10\/Colliers-Head-of-U.S.-Retail-Anjee-Solanki.png\" \/>\n\t<meta property=\"og:image:width\" content=\"800\" \/>\n\t<meta property=\"og:image:height\" content=\"620\" \/>\n\t<meta property=\"og:image:type\" content=\"image\/png\" \/>\n<meta name=\"author\" content=\"Adina Rogoz\" \/>\n<meta name=\"twitter:card\" content=\"summary_large_image\" \/>\n<meta name=\"twitter:creator\" content=\"@cpexecutive\" \/>\n<meta name=\"twitter:site\" content=\"@cpexecutive\" \/>\n<script type=\"application\/ld+json\" class=\"yoast-schema-graph\">{\"@context\":\"https:\/\/schema.org\",\"@graph\":[{\"@type\":\"WebPage\",\"@id\":\"https:\/\/www.commercialsearch.com\/news\/cpe-asks-will-this-summers-retail-reset-set-the-stage-for-the-holidays\/\",\"url\":\"https:\/\/www.commercialsearch.com\/news\/cpe-asks-will-this-summers-retail-reset-set-the-stage-for-the-holidays\/\",\"name\":\"Will This Summer\u2019s Retail Reset Set the Stage for the Holidays? 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