Britt Beemer
Britt Beemer
buy cards christmas consumers gift last number planning shocked
One thing that shocked me was that the number of consumers planning to buy gift cards this Christmas is not as big as last year.
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Retailers had a sales plan for Christmas, stayed with it and then benefited from a very strong January without giving up margins.
average compared lower parents plans spending year
Parents have much lower spending plans this year, with the average at $296.20 compared with $411.24 a year ago.
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About 30% of people who got gift cards plan to use them this week. Many retailers are going to be putting out spring merchandise to get people excited about it.
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There are a number of consumers I've talked to who have given money to hurricane funds in lieu of gifts. Last year luxury retail was the grand slam .... If this shopper cuts back, it will send Wall Street into a spin.
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There are a lot of wealthy income consumers that have given a lot of money to hurricane funds, and they're saying they're doing that in lieu of Christmas gifts,
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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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When clothing styles went flat for a few years, people no longer had a reason to shop at department stores.
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To a great extent, the brand has become a non-brand. It has not been nurtured or built upon for the last few years. They won't necessarily save money, but they'll consolidate their advertising dollars to a limited number of brands and do it better.
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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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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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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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One in five people are being impacted by all these advertising lawyers on television, telling Americans it's not a problem.
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Only a month ago, I felt we could see the first negative selling season in over 20 years, but the drop in gas prices has given consumers a newfound shopping spirit that should sustain them throughout the month of December.