A dismal quarter for retail earnings made one thing clear, says Dana Telsey, founder and CEO of Telsey Advisory Group. Consumers are spending their money on experiences, not things.
"It's a different focus for where consumers are spending their dollars today," Telsey told CNBC's "Closing Bell" Wednesday.
Americans are using those dollars on gym memberships, travel, salons and lodging, she said. But this doesn't mean the end of brick and mortar. This shift in activities could push foot traffic to malls, Telsey said. Retailers are also selling more online goods but she it doesn't have to be "one or the other."
"Brands certainly have the opportunity to continue to flex their muscle to continue to have goods offered online and in stores," she said. "Look what's happening with e-tailers opening stores and retailers going online."