Is that refle- is that, are people shopping around it?

Yeah.

Well, it is.

I mean, there are a number of things are happening in the movie theaters too.

I mean, first of all, now movies are just in theater, which is a new thing that we're seeing in the last couple of years, when streaming and theaters were open, movies were opening at the same time.

But more importantly, when, uh, Odyssey as an example shot on 70 mil- uh, 70 millimeter IMAX, hard to find tickets.

Tickets are so rare, and we have a few IMAX theaters in our portfolio.

... for just the pricing and margins?

[laughs]

But early back to school is a big part of the promotions for us, and it's there because that's, the customer wants to get back.

They want to get great value.

They want to make sure they get the things they want when they're there.

And the thing about our outlet channel, you know, we like to say that outlet is, you know, that's Tanger's shopping holiday.

That's where the consumer's coming.

And the consumer that's looking for value, they're also looking for brand.

When you look around and you hear all the trepidation about inflation and the way the Fed is kind of positioning against it, does that resonate with you? Like if, you know, a- and I'm not, I mean, I guess I'm asking you to put your macro strategist on a little bit from what you're seeing relative to what some of the worries are out there as it relates to inflation.

Now, are there additional things that you've learned about community and those activations that have brought people together that have surprised you?

Totally.

I mean, let's look, let's fast forward a year or two.

Well, there's definitely going to be stores that are not going to reopen pandemic wiped.

A lot of that real, a lot of those retail stores literally off the map gone overnight, essentially.

So now you got a lot of vacancy in your centers that needs to be filled.

Um, And then another dynamic that was happening, so you would say, wow, that's a real challenge.

Sorry, word

Mm-hmm.

And the brands that are really resonating.

So, you know, you'll have the accessory category as an example.

Well, Coach is just such an outlier, doing unbelievable business.

The family apparel category is doing extraordinarily well right now.

Gap is an outlier.

And, you know, the athleisure business, and we know what's happening with some of the athleisure brands that had, you know, great success in the last few years, but now all of a sudden the brands like Aerie.

They're, they're working and have money to spend.

But I'm just wondering, you know, as we talk about people trading down value hungry consumers looking for that bargain, What sort of consumer trends have you seen specifically this year?

Sure.

Well, first of all, as we think about outlet, we don't think about the consumer trading down.

In fact, we're thinking about that there's a consumer that that entry level price point at full retail may be a little bit of a bridge too far.

And in that case, we've got an aspirational customer that wants to buy great things.

They want brands, but they want to get them in value.

So we offer value priced goods every day.

I mean, what sort of sets you apart? What gives you the edge against some of your competitors here in North America?

Is that the next place you'd go in the evolution, or is there something else coming in between? Yeah, no,

no, I think that's really, that's the journey.

Because, you know, Tanger is 40, and one of our biggest competitors in the space is 80.

And, you know, I would say between the two of us, we probably have 75% of the outlet centers, at least in the United States.

So if there's over 100 really solid outlet centers in the United States, 150, and you're a bigger brand that wants to be in all of those environments, and you don't want to disappoint a customer...

Right.

So let's you know, bigger brands like a Ralph Lauren is a really good example of Calvin Klein or Tommy Hilfiger.

other places.

Or do you have? Talk a little bit about that, the strategy behind

that.

Sure.

Let's go back to COVID.

I think it's really important.

I started in April of 2020, 3,000 stores and everyone was closed.

My first day of work.

Is it a difficult transition to manage and market a full price center?

How are you bringing the digital aspect of retail into a Tanger Center?

Well, look, we talked about loyalty and, you know, loyalty was sort of that first touch point, the Tanger Club and loyalty digitizing, you know, back in those days when, you know, you and I were doing deals together, it was all about the coupon buck.

It was all about, you stop the customer service, you get your coupon book, and then you shop with coupons.

Well, thankfully we've evolved and our first digital touch point is one's ability to, and we've got, you know, QR scan codes all around our center where, you know, sign up to our loyalty program and, you know, we will share with you our digital savings passport.

And what's so unique or effective about it digitizing, as you probably recall, is Those old coupon books were printed once, maybe twice a year.

Some of the retailers might've moved on.

Some of the retailers might've been new and just didn't meet the cutoff date.

It sounds like regular price will be very much a part of your approach to business going forward.

What's the role of beauty in that

vision you just outlined? Well, beauty is a great driver of traffic right now, especially for a younger consumer.

And again, as we are re merchandising our shopping centers to get a wider array of people to come in, we have our core customer.

You never want to alienate your core customer.

So we've got the brands that they've always come to love and come back for over and over again.

But to get a new customer off the couch and into a shopping center, there needs to be a number of uses that appeal to them.

And Sephora's been great.

What are you seeing in that area of the market from a retail perspective and a consumer pickup perspective?