Britt Beemer
Britt Beemer
almost consumer good holiday news start worries
This summer, the consumer was cautious, with all the uncertainty going on in the country. But almost all of those worries are gone, and that is good news at the start of the holiday season.
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The really good ones have developed some sort of product niche, whether they are the place to go to get the latest and greatest cook or travel books. They've developed a niche that makes them really unique.
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J.C. Penney will probably be the most promotional store this year, similar to last year, and they'll probably have a good Christmas because of it.
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Overall, the moderate-priced stores such as J.C. Penney, Sears and Wal-Mart had good traffic levels. We think luxury sales were probably flat this past weekend because more people said they decided to go away on vacation before Christmas this year than last year. So this could have impacted spending on other high-end items.
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The luxury stores are the ones hitting the home runs and the discount stores are going to end up doing some pretty good numbers, ... I'm very worried that the middle part of the market is not here.
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What's happens is retailers become known for certain things. You want to be known for some product category. You want to be known for a return policy.
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I've never seen this many consumers not done with their Christmas shopping.
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Electronics is particularly hot cause there is nothing else that has created much excitement for consumers. Our research indicates that 44 percent of shoppers have completed their holiday shopping and about 20 percent still have to start it. This weekend we think more dollars will be spent overall. Apparel sales could benefit form colder weather but watch out for electronics to come out on top again.
categories continue growth lead sales
Electronics continue to lead all categories in year-over-year sales growth for the holidays.
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The success of GM's employee discount sale is a great example that consumers still are in a mood to buy. However, I think Christmas spending could be a little narrower than last year.
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I've advised clients that when you get into these types of situations, the PR battles are so bad. You might as well get out of it and not fight it.
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(Teens) are hard to market to because they have to see the final product before they can tell you whether they like it. When you lose teen customers, it's hard to get them back.
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At this point in the buying season, parents have only spent $71.96 so far, so there is time for stores to get aggressive and drive more sales,
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Consumers this year just never got enamored with what they saw.