Trade Wars, Slowdown In Tourism Have Hit Fancy Beverly Hills Stores Hard
BEVERLY HILLS (CBSLA) -- Normally, summer is the peak of tourism season.
But trendy, fancy shops in Beverly Hills say they are feeling a tight squeeze. Travelers from China and the Gulf states aren't coming here to shop. Tourism is down.
Many blame the trade war between Trump's tariffs and China. Others say international travelers have heeded warnings about coming to the United States with out-of-control gun violence.
CBS2/KCAL9's Crystal Cruz reported from Rodeo Drive where some stores are feeling it in the cash register.
"I bought a pair of sequined pants," said Sarah Cohen.
She got a smokin' deal at a heavily discounted high end pop-up shop in Beverly Hills near Rodeo Drive.
"This one says $395 and I got it for $70," she says.
If you take a look around Rodeo Drive you'll notice discounts and vacancies -- a sign things are changing.
"I noticed a lot empty store fronts. I would think that people would be lining up to get a store here," said shopper Adrian Cohen.
"My dad owns an optical store around Beverly Drive. Optometric Cafe. Business isn't really working. The economy is terrible. Everything is going online," says Milaud Talebi.
According to Julie Wagner, with the Beverly Hills Conference and Visitors Bureau, there's been a drop in international travel, which makes up a huge number of visitors or spenders.
"I've heard anecdotally that business is different than last year. And I do feel that if you walk around on the streets the business mix is a little different. There's definitely a lot of people here but it's changed a little bit," Wagner says.
Wagner can't say for certain if the President's politics with foreign countries like China and those in the Middle East are impacting the area but Wagner did say people aren't just looking for shopping but want experiences as well.
Louis Vuitton opened a temporary pop-up shop with an interactive exhibit inside.
"I think it's gonna change some of the nature of how people shop and it's definitely going to draw them into the stores," Wagner says.
Even though international visitors are down, you'll still find out-of-towners from places like Saudi Arabia and Dubai ready to spend cash.
"I stay here for one month. I spend around $23-25,000." says Nas Alneadi.
He's spending some of that money on Rodeo Drive, he also told Cruz he's spending money on a hotel, a rental car and travel to places like Las Vegas and San Diego.
