U.S. shoppers are ready to get through this holiday season — despite declining consumer confidence and anxiety over prices — but only if deals close, Tangier CEO Stephen Yalof told CNBC on Tuesday.
“Retailers discount to meet the consumer, and the consumer responds by making purchases,” Yalof said on CNBC’s “Money Movers.”
Yalof said Tanger tries to offer shoppers access to high-end brands at consistently attractive prices. Retailers across the company’s portfolio of outlets relied heavily on promotions during the holidays, helping to maintain traffic and sales.
Customers are “looking to get into a space where they can buy products at full price, maybe above what they want to spend, but they can embrace that price because they know it’s a great price every day,” Yalof said.
He described holiday traffic at Tangier’s shopping centers as strong, citing full parking lots and constant activity in November and December.
“I feel like the customer is very resilient,” he said. “They’re looking to spend.”
Yalof’s comments follow new data showing that consumers are spending more than their confidence levels might suggest.
U.S. retail spending rose 4.2% year over year during the holiday season, before adjusting for inflation, according to preliminary data from Visa published Tuesday.
The report, which tracks payments activity from November 1, reveals that in-store purchases accounted for 73% of spending, while online sales drove growth, up 7.8% from the previous year.
At the same time, sentiment remains subdued.
Consumer confidence weakened in December as Americans grew increasingly concerned about continued high prices and the impact of drastic tariffs imposed by President Donald Trump.
The Conference Board reported Tuesday that its consumer confidence index fell 3.8 points to 89.1, down from November’s upwardly revised 92.9 and approaching the level of 85.7 seen in April, when the administration imposed broad import tariffs on U.S. trading partners.
Similarly, the latest CNBC All-America Economic Survey, released last week, found that 41% of Americans plan to spend less this holiday season, up 6 points from last year, as rising prices continue to determine where and how shoppers spend.
Looking ahead, Yalof said retailers appear confident about demand in 2026.
“Retailers want stores. They like physical stores,” Yalof said, adding that brands are increasingly looking to control their own physical retail presence as department stores continue to consolidate.