The world of retail has been getting hammered. A combination of changing consumer trends, frugal shoppers, and a shift to online purchasing has led to a tidal wave of store closures and bankruptcies the last few years.
That doesn’t mean consumers aren’t spending, though. In fact, Americans have been steadily increasing what they shell out each month on non-essential items ever since the financial crisis. This situation of rising spending but struggling retailers can create buying opportunities for value investors.