There’s no doubt that the foodie movement is on the rise, with teenagers and adults alike posting pictures of meals all over their social media accounts. However, the movement seems to have reached such a crux that food brands like Chipotle and Starbucks are actually edging teen apparel retailers out of the market.
Piper Jaffray, an asset management firm and investment bank, has been tracking teenage fashion trends since 1997. Its most recent survey results show that for the first time ever, teens are spending as much on food as they are on clothing. In fact, as interest declines in brands like Abercrombie & Fitch, Aeropostale, and Hollister, it appears that Chipotle is garnering more young consumers every day.
What does this mean for teenage budgeting? Chipotle gained traffic this year despite an increase in their menu prices, which may mean that teens have even less money to spend on name brand clothing. “That menu price increase is coming straight out of the registers of teen apparel retailers this back-to-school season,” says Brian Sozzi from Belus Capital Advisors. Clothing brands are already losing out on revenue. It may be time for them to find a way to once again be number one in teenage hearts if they want to stay in the race.