Retailers around the country have felt the economic pinch, reporting declining sales and store closings, but Urban Outfitters has managed to somehow avoid the effects of the consumer-spending slump. Outfitters, along with sister stores Anthropologie and Free People, boasted a 79 percent increase in fiscal second-quarter net income despite putting a relatively limited number of items on sale. Other retailers have gone a bit sale crazy trying to lure in customers wary of spending money. Chief Executive Glen Senk said that the company plans to roll out 45 stores this year, but plans to cap growth for each branch at around 250 locations because of a company-wide policy that notes “big is the enemy of cool.”

Lucky for Nastia Liukin, Shawn Johnson and Alicia Sacramone, Michael Phelps doesn’t break out the blush brush or accent his brown eyes with volumizing mascara. The trio of adorable U.S. gymnasts will appear in CoverGirl ads, joining the company of other famous CoverGirls like Rihanna and Drew Barrymore. The flipping, cartwheeling and swinging squad actually signed a deal with the cosmetics company before their trip to Beijing, allowing a CoverGirl team to create custom make-up looks for each of the gymnasts. The team’s silver-medal success and the individual achievements of Nastia and Shawn will mean more ads and maybe a little more moola. Kudos to CG for skipping the tacky eye shadow a la that little 14-year-old Chinese gymnast. Note: bright blue eyeshadow doesn’t make you look older, just straight out of the 80s.

Attention freegan fashionistas: Yves Saint Laurent will hand out thousands of free limited edition cotton totes starting September 6 in the fashion-conscious cities of Paris, New York, London, Milan, Tokyo and Hong Kong. The Stefano Pilati-designed bag giveaway coincides with YSL’s annual catalogue handout in key markets. Approximately 500,000 catalogues land in the hands of potential customers with 5,000 in each of the five cities coming in the black and white tote.

Bratz and Barbie share a few physical characteristics, like abnormally large body parts and perfectly arched eyebrows, but the two popular doll lines also shared one vital link that has landed Mattel enough money to buy a boatload of Barbie Mansions. The link is Carter Bryant, creator of Bratz dolls who was under contract with Mattel when he came up with the idea for and sketched mock ups of the big-headed urban fashionistas. Mattel had sued MGA Entertainment, the maker of Bratz, for $2 billion arguing that because Bryant remained under contract, Mattel owned the rights to all of his designs. The settlement did not reach anywhere near the $2 billion asked for, but MGA will have to payout at least $40 million.

We have entered the world of shopping ’round the clock, click here, click there, ta-dah and all without having to engage in an awkward conversation with a nosy salesperson or drab cashier. While online shopping won’t likely ever disappear, do we all secretly miss having that middle-aged woman in housewares tell us where to find jackets? In studies that looked at the satisfaction of three completely different groups–convicted felons, venture capitalists and injured patients–the level of “customer” satisfaction directly tied to the amount of feedback and attention offered. In a hurried world, customer relationships can not fall by the wayside if companies hope to grow.

With Michael Phelps landing oodles of high-paying endorsement deals following his amazing Olympic performance, it should not come as any surprise that Mikey’s mommy may benefit from her son’s success with a collaboration deal of her own. Debbie Phelps went on a mini Chico’s shopping spree pre-Beijing, even sporting one of the retailer’s outfits in a Johnson & Johnson commercial, and now the womenswear line has entered talks with Mama Phelps about a possible deal. The website already showcases different pieces donned by Debbie during her trip to China.

Consumers waiting to jump on the Blu-Ray bandwagon may finally hope onboard as a rumored player price slash will arrive this fall. Sony will reportedly cut prices by $100 or more and companies like Philips, Insignia, Magnavox and Sylvania will likely follow, putting players in the $249 range and far more appealing to mainstream consumers.

What can you not buy at Cracker Barrel? From holiday-themed home accessories to omelets to rocking chairs, the comfort food restaurant chain is the ultimate shopping destination for people who want to drop money in a place that smells like French Toast and scented candles. Add Kenny Rogers’ latest CD to the Cracker Barrel shopping list as the country star has tapped the restaurant to sell “Kenny Rogers: 50 Years.” Not available anywhere else, the album sells for $11.99 and features old hits like “Lucille” and “The Gambler” along with three new tunes.

Procter & Gamble hopes that a new $60 million marketing campaign featuring fashion guru Tim Gunn of “Project Runway” and a tie-in with Ann Taylor Loft stores can spell success for what the company calls the biggest product launch ever. The ad campaign for Tide detergent and Downy fabric softener’s “Total Care” line hopes to lure customers to the venerable laundry goods by boasting the products’ latest innovations that include technology from P&G beauty brands. Check out Gunn’s laundry advice on how to “make it work” at Tide’s website and swing by Ann Taylor Loft retailers for free samples starting in September.

Although bikini-clad pole dancers may be standard fare for beer commercials, French viewers of the new Orangina commercial think sexing up the animal kingdom is taking it a little too far. The audience was shocked by scenes of Orangina “…exploding between the thighs of zebras and squirting onto the breasts of other animals…” and phoned in numerous complaints after the commercial was aired during an episode of “How to Look Good Naked.” One children’s charity says the commercial sends mixed messages to kids, but one has to ask, why are they watching “How to Look Good Naked,” anyway?

Barbie may have brought boobs to the forefront of Toyland, but the new dolly from Boobie Buddies have a workin’ rack. Strategically-placed magnets bring babe to boob, and all the clothes are removable for a truly educational experience for the whole family. Adding the stretch marks and varicose veins is optional, but magic marker is not included.

Calvin Klein Inc. has joined the rest of us in the 21st century. Go ahead, give ‘em a few golf claps. Starting today CalvinKlein.com will roll out e-commerce operations, offering consumers a chance to purchase hundreds of products from the fashion brand’s white label brand online. The online branch is a companion to a chain of white label retail locations that debuted last November. The products, everything from eyewear to jeanswear to underwear, offered online and by the speciality chain differ greatly from the company’s department store products.

Ditch the Hannah Montana spiral notebooks and scrunchies because a product line based on the CW’s new “Beverly Hills 90210″ will hit stores shelves in early 2009. Aiming to grab the attention of tween girls, who happily beg their parents to spend big bucks on anything and everything related to the sensation du jour, the extensive product line will feature everything from apparel to cosmetics and school supplies. A CBS Consumer Products spokeswoman also revealed that the merchandise will include “iconic graphics” from the original version of the teen soap. Let’s hope for some peel-and-stick Brandon and Dylan sideburns!

One-upping Addison’s posting of the panty on Grey’s Anatomy, an Australian woman is putting her pain up for auction on eBay. The first item on the block is a picture of the offending undies (since secondhand drawers aren’t sellable on the site) she found on the floor of she and her husband’s bedroom. A misdirected text message of suggestive content prompted her to race home to one very evasive hubby and the offending garment. Next up on the block will be his Harley. Said one eBay spokesperson of the incident, “This is obviously very therapeutic for this woman and it must be a great channel for her views on cheating and the sanctity of marriage.”

Paris, Milan…Sierra Leone? Now that the decade-plus civil war in the small African country is over, Adama Kai is one of the world-traveled entrepreneurs going home to rebuild the country. The unspeakable violence of the conflict that killed 50,000 people and caused half of the country’s skilled workers to flee plummeted it to the position of world’s poorest country, but the new administration is seeking to draw people back to a nation rich with unspoiled beauty and rich natural resources. Says Kai of her decision to come home, ” “I think what I am doing is in line with anyone coming here to open a school or a hospital: I know it is enriching this country.” Bright colors for a bright future? One hopes that will be the case.

There’s a juicy tidbit emerging from annual tech conference Gnomedex: Adobe is scratching their collective chins and in deep thought considering a Yahoo acquisition. Tweets have popped up chit-chatting about the possible purchase, but has anyone in the know heard any relevant info? Stay tuned.

Rejoice Beijing residents, you will now have your very own place to purchase leg warmers, spandex leggings and gold lamé bodysuits! After months of delays, American Apparel will offer its cotton-chic collection at Beijing’s World Trade Center. The clothier plans on opening four additional stores, but has to overcome the unenviable task of convincing citizens of the world’s largest apparel producer to purchase American-made duds. Eh, just do what you do here–massive billboards featuring hipster models in nothing but tights that resemble mom jeans from afar.

Move over Tony the Tiger because g-r-r-r-eat (or G-r-r-r-eight) swimmer Michael Phelps has inked a deal with Kellogg’s to pose on Frosted Flakes and Corn Flakes boxes. Wheaties had long stood as the go-to morning meal brand for celebrated athletes, debuting the “Breakfast of Champions” series with a 1934 box featuring Lou Gehrig, but it seems Phelps’ reputation for forging his own path in the pool applies outside the chlorinated water too. The Olympic champion’s Kellogg’s boxes will debut in mid-September, but won’t include mini medals as a shot of Phelps’ toned torso is enough of a treat.

Dog people are a special breed, and the Hotel Monaco in Washington is one of a number of new establishments greasing the social wheels of canine lovers across the country. With spending on pets equaling spending on children’s toys each year, the market is ripe for happy hours that allow owners to spend a little quality time with their animals at the end of a long week. A spokesperson for the hotel noted that the event seems to draw more than a few non-pet owners: “Some people really go there to mingle. The other day, four young men showed up … with one dog.” So throw back a beer and toss the dog a bone and maybe sniff a few bums in the process.

Protests aside, there’s speculation that the unprecedented performances of Michael Phelps are hitting Hollywood where it hurts, especially for the opening of Tropic Thunder. The film’s demographic is slanted toward the over-25 crowd who also have a greater tendency to have their eyes glued on Beijing. On the other hand, Pineapple Express had a jumpstart on the Olympics by two days, giving it an edge in the profit market (and maybe the stoners haven’t figured out the Olympics are going on yet). Luckily for Star Wars makers, it would take a nuclear holocaust and, perhaps, the double funeral of Luke Skywalker and Hans Solo, to keep them from getting their fix. Best to take some notes for 2012.

Like Goldilocks in the house of the three bears, sometimes it’s tough to find the one that’s “just right.” Jan Vinzenz Krause, a sex-educator from Germany, though, has been collecting the tools to erect the perfect solution, the spray-on condom. There have been stumbling blocks to prophylactic perfection, which have included testers who were “a little bit afraid to use the tube,” the 2-3 minute dry time and the unromantic hissing noise emitted by the device. While the kinks are being worked out, Krause is focusing his energies on expanding the number of condom sizes to six instead of two and continuing to offer sizing advice via his website. Although selling smaller condoms in stores has been a bust, Krause is optimistic about online sales: “Men on the Web, they are very honest.”

Starting in December, Target will welcome the girly, bold-colored frocks of fashion designer Thakoon, as part of the discount retailer’s somewhat inconsistent Go International Line. Thakoon has dabbled in budget fashion before, taking part in Gap’s white shirt project last year, but expect a more complete collection from the American via Thailand designer at your local Target just in time for the holiday season.

Sears, Roebuck and Co has announced that it will unveil a lifestyle exhibit at New York’s fashion week, a move likely aimed at avoiding the same fate as Montgomery Ward and other discount department stores that failed to cultivate a hip image to consumers. Amongst the Bryant Park tents where fashion’s most celebrated designers display their innovative and in-demand spring looks, Sears plans to showcase not only established brands, but new lines as well, including a clothing line from LL Cool J. Hmm, if Sears thinks LL Cool J, a rapper whose last number one album dropped in 2000, is synonymous with hip and chic, then the troubled retailer better start planning liquidation sales.

A dip in U.S. consumer spending has allowed Spanish fashion chain Zara to eclipse American clothier Gap for the first time as the world’s largest clothing retailer. Boasting nearly 3,900 stores in 70 countries, Zara has enjoyed a nine percent sales increase totaling $3.3 billion in the first quarter, compared to $3.2 billion in sales for Gap during the same period. Can Gap venture beyond khakis and cotton basics to compete with Zara internationally?

Anna Wintour may receive a few thank you notes from postal workers grateful that magazines like Vogue and other popular fashion and beauty glossies have cut back on the number of ad pages. Last year, Vogue’s much-hyped September edition tipped the scales at a whopping 4.9 pounds, primarily due to 725 pages of advertisements. This year’s fashion Bible included merely 674 ad pages, a 7 percent decrease and hopefully one less aspirin for the sore backs of mail carriers. Marketers’ waning interest in print media contributed to the slim down as middle-market, liquor and auto advertisers ditch print for the Internet.