Santa Claus was fighting the grim reaper for shelf space.
Candy corn was in a battle with candy canes.
And among all those spooky decorations were the Christmas trees sparkling with lights.
By the time Halloween hit last year, it was beginning to look a lot like Christmas inside stores.
That was when sales, promotions and ads abounded as early as July as retailers pushed holiday merchandise and so-called “doorbuster” Christmas deals, trying to grab any dollar the tight-fisted
consumer was willing to spend.
But so far this year, there aren’t too many icicles and snowflakes.
Christmas merchandise is sparse at best, and ads promoting the holidays are slim.
“What retailers really have recognized is last year didn’t work at all,” said Marshal Cohen, chief industry analyst with The NPD Group. “They went out last year early, but it was just so early that by
the time the holidays came around, it was just too stale.”
While the strategy seemed like a good one, it didn’t propel sales out of the economic doldrums. Last year’s holiday sales rose a modest 3.6 percent.
Looking back, retailers realized it was mid-November before consumers really started spending, Cohen said. During tough economic times, consumers tend to buy closer to the time they
need an item.
Take the upcoming holiday season. Sixty-three percent of consumers say they won’t start shopping until November, according to the National Retail Federation. Just 12.6 percent started before
September.
That could signal another tough holiday season ahead. The retail federation is predicting holiday sales will rise 2.3 percent to $447.1 billion. Average consumer spending will see a slight increase from
$682 to $689. In 2007, consumers spent more than $780 each.
“Pessimism among Americans about the upcoming Christmas season is off the charts,” said Britt Beemer, founder and chief executive officer of America’s Research Group.
That means retailers are keeping inventories lean. They won’t overbuy so they won’t have leftover merchandise – but they also don’t want to run out of merchandise too early in the holiday shopping
season.
Before Halloween, a tour of big-name stores such as Walmart and Target in Indianapolis showed no Christmas merchandise out and no displays pushing holiday deals. Target says it is following its
typical timetable, though some shoppers disagree.
Simon Property Group, the nation’s largest mall owner, is putting up its Christmas decorations next week, the same as always, Les Morris said.
Cohen says practically all major retailers had at least some Christmas displays out by Sept. 18 in 2009. Many were pushing the holiday well before then.
Sears is among the few continuing that trend this year, some analysts say.
Just like last year, it put up its Christmas Lane at 372 stores right after the July Fourth holiday. It’s also leading the way with early promotions, starting Black Friday deals this weekend with a DieHard
wheeled battery charger for $69.99, regularly $119.99, and a sapphire with diamond ring for $29.99, regularly $99.99.
Other retailers had planned to do some early Black Friday sales as well but have backed off, Beemer said.
“I sure haven’t seen it,” he said. “Seems to me they are holding back.”
Part of the lack of holiday promotions may be related to the unending flow of election campaign ads that has made it tough for retailers to get ad space.
Guglielmi also said Halloween falling on a Sunday has a lot to do with the lack of holiday ads so far this year because most ad sales run Sunday to Sunday.
“While it may vary slightly by store, you will see the holiday merchandise and in-store signage in stores next week,” spokeswoman Tara Schlosser said. “We are setting the merchandise on a schedule
consistent with previous years.”
Janice Schafer disagrees. As she shopped Wednesday at the SuperTarget in Fishers, Ind., she said she was sure at least some holiday goods were out in October last year.
“I swear I bought Christmas ornaments before Halloween here last year,” Schafer said. “I was here today looking for a wreath for my front door. Guess I’m out of luck.”
By Dana Hunsinger, Indianapolis Star
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