Europeans Love American Retail

Back in the good ole days, Americans would plan lavish vacations to Europe, returning with overstuffed luggage filled with high-fashion clothes and other goodies. However, with the rise of the Euro, those days are all but a distant memory. Instead, Europeans are flocking to the states to get "bargain" deals at Apple, Armani and Ralph Lauren.

They're even mocking us by writing songs about it. Heard Estelle's latest cut, "American Boy?" Well, I have. Europeans are blatantly nabbing our "discounted" goods (hey--it's still full price for us!) and American boys, all the while laughing at our economic silliness. I don't care much about the boys, but I do care about having to cancel my trip to Paris because it now costs almost double what it would if I had traveled there, oh say, eight years ago. 

1 Euro currently runs about $1.50 to $1.60, making the United States a hot vacation spot for Europeans. And selfish reasons aside (I'll just have to see the Eiffel Tower some other time!), it's not a bad deal for retailers. If Americans aren't out shopping in droves, someone should be. Who better than our European pals? They've got fabulous accents, class and let's face it; they're a nice accessory to the shopping scene.

New York, Chicago and Los Angeles are all reporting increases in European travelers and retailers seem to be benefiting. In a recent article in Chicago Business, a European traveler had this to say, "We came here because of the strong Euro. It's great for us...We find the USA for us is now cheap, so we buy."

I have to admit, the concept resonates with me as well: cheap = buy. Absolutely! And if they want to throw money at Apple (one of the most popular locales according to Chicago Business), Hilfiger or even Bloomingdale's--by all means do. Personally, I think this is one way the sluggish dollar is working in our favor.

What do you think about the increase in foreign travelers to the United States for shopping purposes? Would you rather be in Paris (with me!) basking in the strength of the dollar? Or does it matter? Leave your thoughts here.

--Heather Strang

Comments

[E]

I'm currently living in London via D.C. and the dollar is killing me here....however I can't wait for my US visit when I will be exchanging British sterling for US dollars..I will be "middle class" and shopping til i drop!

[Hdtex]

The elections are coming up 11-4-08.
Continue to watch our economy spin out of control....or vote for change.
What we've been doing for 7 3/4 years is obviously not working.
"The fundamentals of our economy are still strong...." Uh...yeah, and you can see Russia from an island in Alaska too.