- It's Beginning To Look A Lot More Riskless
- Crescenzi: Claims Level Suggests End to Job Losses
- Hedge Funds Take Early Lead in Warren Buffett's 'Big Bet'
- S&P Stocks Trading at New 52-Week Highs
- 4 Food Stocks to Stuff in Your Portfolio: Analyst
- S&P at 1050-1200 Trading Range Next Year: Strategist
- Treasury On Mortgage Modifications
- Blue Jeans Expected to See Another Green Christmas
- Investors Thankful for Gains This Year
- For Many in US, It Will Be a Scaled-Down Holiday Season
- US Bonds Pare Losses After 7-Year Auction
- New-Home Sales Jump to Highest Level in Over Year
- Judge Erases Couple's $525,000 Mortgage Payment
- Claims Level Suggests End to Job Losses
- Consumers Catching the Holiday Spirit
- Airlines Hit With Penalties for Stranding Passengers
- Consumer Mood Improves, but Anxiety Over Finances
- Jobless Claims Below 500,000, Durable Orders Slip
MOST SHARED
- Ritz-Carlton ?Struggling? in the US: President
- Garlic Price Rises Surpass Gold, Stocks in China
- New-Home Sales Jump 6.2% To Highest Level in Over Year
- Half of Banks' Losses May Still Be Hidden: IMF Head
- Oil Price to Average $75.40 in 2010: Poll
- S&P Stocks Trading at New 52-Week Highs
- Americans Ditch Planes for Trains this Thanksgiving
- Consumer Mood Improves, But Anxiety Over Personal Finances
- Jobless Claims Below 500,000, Durable Orders Slip
ABOUT THIS BLOG
|
This blog will look at the winners and losers in the retail space. Who has the right strategy to capture consumer dollars? It also will look for trends in consumer spending and how that will impact the economy.
Text Size 
The leaves on the trees have hardly started to turn colors, but some folks are already dreaming of a white Christmas.
 |
AP |
This is because the vast majority of consumers polled by BIG Research — some 60 percent — said they expect to spend the same or less than they did last holiday season. (And that’s only counting the people who have some idea of what they will spend now – some 21 percent said it was too early to gauge their spending. There’s a good chance some of those folks will spend less than last year too.)
All told, the National Retail Federation forecasts sales will rise only 2.2%, or the smallest increase since 2002. Other projections are even worse: market researcher TNS Retail Forward expects sales to rise just 1.5% in the fourth quarter, below tepid sales gains in the third period.
And analysts clearly expect retailers will be looking to lure customers into their stores with sales and promotions, putting pressure on profits.
Investors take note: Wal-Mart [WMT
Loading...
()
] is stealing a page from last year’s playbook. The world’s largest retailer announced last week it is slashing prices on popular toys and accelerating the opening of its Christmas shops.
The strategy worked well for it last year because it clearly telegraphed the message that it was the place for cash-strapped consumers to save.
But Wal-Mart says the reason behind their move is an anticipation that consumers, pinched by high food and energy prices and falling home values, will be spreading out their purchases over a longer period of time in order to stay within their budget.
It may be wise for consumers to be among the early birds flocking to stores. Retailers, keen on staying in the black, will be keeping inventories lean and hot items are sure to go fast.
Questions? Comments?
- Here's how key provisions of the health care reform bill would impact your insurance and how you'll pay for it.
- Remember when auto shows were major events where new models could generate buzz?
- It may be the most unusual guide to business you'll read.
- After nine years the NBA’s minor league equivalent is finally coming into its own.
- Bill Griffeth is taking a leave of absence from CNBC and Power Lunch for a year. Here's a message from Bill.
- For nearly three decades, these on-call experts have been dishing advice on how to – and not to – cook turkey.
Data is a real-time snapshot *Data is delayed at least 15 minutes