Tariffs push Tanger to start back-to-school campaigns almost two months early
Outlet mall owner and operator Tanger plans to begin this year’s back-to-school marketing about two months earlier than it usually would, its CEO Stephen Yalof told Modern Retail.
Yalof said the company plans to push customers to start back-to-school shopping beginning June 1 through its “Summer of Savings” campaign because of uncertainty associated with the new tariffs on China and other countries. He and his team are investing in the idea that customers may be more motivated to shop earlier in the summer than during the typical timeframe of late July or early August.
“I don’t think anybody knows how to navigate [the tariffs],” Yalof said. “One thing they can be sure of is: If they can make decisions early and shop early, then they can take advantage of getting the products they want at the price they want.” Tanger operates 37 outlet centers as well as three other open-air shopping centers in the U.S. and Canada.
In 2024, Tanger’s back-to-school messaging and events started in late July, according to a company spokesperson. This year’s event will include emails or text messages to the 10 million members of its TangerClub loyalty program, with messaging along the lines of “shop back-to-school now” or “summer is the season for savings, shop back-to-school,” according to Yalof. It will also promote vacation gear, other summer-oriented products and Father’s Day gifts, the spokesperson said. The idea is to encourage people to shop now for the back-to-school season and take advantage of the low prices the outlets generally always offer, rather than pushing any specific promotion.
“If the customer is uncertain about the impact tariffs will have on their choice of merchandise or the inventory, or whether or not the shelves will be stocked at the back end [of the summer], we’re reminding them: ‘You have a better shot at getting the things you want if you shop early,’ much like we did in November,” Yalof said. “You always want your customers to shop sooner and shop often.”
This isn’t the first time Tanger has had an early kickoff for a campaign tied to a big tentpole event. Last year, the company began Black Friday deals Nov. 1 and promoted “Black Friday Every Week” throughout November, a spokesperson said. In recent years, brands have questioned when to start promoting Black Friday sales, especially last year when the presidential election took place in November.
Tanger brought in $135 million in revenue in the first quarter, up about 10% from the same period last year, according to financial filings. Yalof said foot traffic at Tanger’s shopping centers picked up in March and April — especially after mid-March when customers began considering the impact of tariffs. So far, he’s not ready to make a call on whether or not there will be a drop in demand later in the year.
During the pandemic, “we learned that the market can change on a dime,” Yalof said. “When the customer is out there shopping, you want to make sure that your marketing campaign pushes as many people through your centers as early as possible. If you think there are going to be some issues on the back end, you’ve got to make sure you take advantage of the opportunities when they’re served up.”
Beth Goldstein, an accessories and footwear analyst for Circana, said she doesn’t think Tanger will be alone in doing back-to-school marketing earlier, and that such campaigns have already been pushing earlier and earlier over the past few years. However, she has doubt shoppers will have enough discretionary income to buy things they won’t need for two or more months.
“We find that parents still tend to wait until the couple of weeks before school starts to buy what they need for their kids to start school,” Goldstein said in an email. Rather than thinking about what they need for back-to-school, she said many parents in June are still focused on “thinking about what they need for summer activities.”