Nicole Miller CEO: Here’s the problem with retail

Nicole Miller CEO: Boutique business is 'great'

In their efforts to cast as wide a net as possible, retailers — particularly in clothing — have made their designs boring, Nicole Miller CEO Bud Konheim said Tuesday.

"What's the problem with business today? Everybody's concentrating on traffic," Konheim told CNBC's "Squawk Box." "Traffic is this anonymous costumer, and they design and buy for this anonymous customer and the stuff becomes really unexciting at the big box retailers."

Konheim also said these retailers eventually see sales fall "and they blame the weather."

The retail sector has hit a slump recently, with October retail sales rising less than expected and with several big-name retailers — including Macy's and Urban Outfitters — posting disappointing quarterly reports.

Wal-Mart also reported mixed third-quarter results on Tuesday, with earnings per share coming in 1 cent above expectations and revenue coming in slightly below estimates.

"One of the big keys coming in for Wal-Mart is expectations for the company were really low given the meeting that they held last month and lowering their forward-looking guidance and the investments they're making in payroll and e-commerce," Nomura retail analyst Robert Drbul said in another "Squawk Box" interview.

However, Konheim said boutique retailers are doing great.

"The boutiques are paying their bills in full and coming back for more," he said, adding that about 60 percent of Nicole Miller's business comes from boutiques.