NRF: Consumers Cutting Back, Bargain Hunting for Holiday
Holiday shoppers will have their antennae up this season for discounts, bargains and anything that shaves a few dollars off their gift-giving budget.
In the National Retail Federation’s 2009 Holiday Consumer Intentions and Action Survey, conducted by BIGResearch, shoppers expect to spend an average of $682.74 this holiday, compared with $705.01 last year, a 3.2 percent drop.
Two-thirds of Americans said the economy is putting a dent in their holiday activity with 84.2 percent saying they plan to spend less this season than last year. More than half said they would be scouting for sales, and another 41.7 percent plan to use coupons to cut costs.
Some 43.3 percent said sales and discounts will be one of the most influential factors in gift giving. Also, 70.1 percent said they would be frequenting discounters where bargains are a daily staple, while 55.8 percent said they would be in the aisles of department stores.
With a soft economy, retailers have cut back on inventory to make sure drastic markdowns aren’t necessary. “In anticipation of weak demand, many retailers scaled back on inventory levels to prevent unplanned markdowns at the end of the season,” said NRF President and Chief Executive Tracy Mullin. “Once the most popular items are gone, retailers won’t have anywhere to get them. So if there was ever a holiday season to buy early, this is it.”—Deborah Belgum
