Retailers woo teenagers with 'cool stuff' at low prices

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High school senior Corinne Fitzgerald of Pasadena is on the lookout for bargains.

The fashion-conscious teen shops at favorites such as American Eagle Outfitters, Old Navy and Pacific Sunwear, while keeping a close eye on the price tags and an even sharper eye on quality.

"I always am looking for the deals," said Miss Fitzgerald, 18, while shopping at Arundel Mills last week. "I try to stretch my money as far as I can. But I'm not going to buy something that rips the next day."

That balance between quality merchandise and the right price is the magic formula retailers are searching for to get teens in their stores and opening their wallets.

"Teenagers are becoming one of the most powerful markets," said Marshal Cohen, chief industry analyst with the NPD Group, a marketing-information company in Port Washington, N.Y. "Teenagers have become an intricate part of consumer spending."

Teenagers spent $175 billion in the United States last year -- that's 14 percent more than they were spending five years ago and 43 percent more than in 1997, according to Teenage Research Unlimited, a teen-market research firm in Northbrook, Ill.

Teenagers are asking "who can give the look I want for the least amount of money?" said Tina Wells, managing partner of Blue Fusion and chief executive of Buzz Marketing Group, both of which deal with the teen market. "They are value-conscious shoppers, but at the same time they are spending a lot of money."

And times have changed.

Five years ago, teens were focused on brand-name labels that would "place them in a certain image category," said Rob Callender, senior trends manager at Teenage Research. "Now they may not be spending less on clothing, but they are getting more for their money."

In addition, their purchases are revolving more around technology than ever before.