Skip navigation
MOST POPULAR RELATED TAGS
  • TOPICS
  • SECTORS
  • COMPANIES


Current DateTime: 10:22:29 11 Nov 2009
LinksList Documentid: 23279679
Expiration DateTime: 11/11/2009 10:24:39 AM

Current DateTime: 10:22:30 11 Nov 2009
LinksList Documentid: 24355697
powered by digg

ABOUT THIS BLOG

Get RSS Feed

It's a make-it or break it time for retailers. The holiday selling season is always a critical time for retailers, but this year this may be even more true. With several retailers already falling victim to a drop in consumer spending, and filing for bankruptcy, retailers will be navigating through some tricky waters. Consumers are strapped for cash due to high energy and food prices, and unemployment is rising. The recent credit crunch has made it more challenging for retailers and consumers to borrow.

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
Dec.22
3:45 PM ET
Monday, 22 Dec 2008
A Third Of Americans Under Holiday Spending Budget

Folks weren't kidding when they said they were going to make a budget this holiday season.

A recent survey by BIGResearch found more than half of Americans are sticking to their budget this holiday season. Nearly a third — about 29.6 percent — said they are being even more thrifty than they imagined and are under budget. Only 13.8 percent of those surveyed said they are overspending.

This is just another bit of tough news for retailers, who were handed a blow by Mother Nature this weekend. Storms dumped snow across the nation, making it hard in some areas for all but the most intrepid shoppers to hit the mall. This will likely result in a 5 percent drop in customer traffic, according to Planalytics.

The timing couldn't be much worse. ShopperTrak RCT said the final weekend before Christmas typically accounts for 11.5 percent of all holiday shopping.

More on Retail:

Things may be particularly hard for retailers in the Northeast. According to Weather Trends International, this was the snowiest pre-Christmas week in the region in more than 20 years.

JP Morgan analysts said there are several retailers that may be more at risk than others because of the bad weather. These retailers, according to a report by CNBC's Margaret Brennan, include Children's Place [PLCE  Loading...      ()   ], Aeropostale [ARO  Loading...      ()   ], J. Crew [JCG  Loading...      ()   ], Tiffany [TIF  Loading...      ()   ]and TJX Companies [TJX  Loading...      ()   ].

Holiday Central

Meanwhile, for those procrastinators whose shopping plans were stymied by the snow, take heart. More retailers than ever are going to be burning the midnight oil in a last-ditch effort to win sales. Hours are being extended late into the evening, or in some cases, abandoned for 24-hour marathons at select locations. Macy's [M  Loading...      ()   ], Wal-Mart [WMT  Loading...      ()   ], and Toys R Us are among those who are using this strategy.

This may give consumers a chance to catch up on the shopping they missed, unless, of course they're more worried about sticking to their budget.

Gift Guides

Questions? Comments?
© 2009 CNBC, Inc. All Rights Reserved

Tools:
PrintEmailAdd This share icon
Next Post
  • digg share

CNBC HIGHLIGHTS

  • Bernard Madoff's Baseball Jacket
  • Bernard and Ruth Madoff's personal possessions will be auctioned this weekend. Click ahead to see.
  • How the Lord’s Prayer would read if Goldman Sachs’ Lloyd Blankfein were substituted for you-know-who.
  • If you are lucky enough to have money and the time, this is a great time to see America, says CNBC's Jane Wells.
  • An Italian cashmere maker aims to make profits while creating ideal conditions for his workers.
  • The real result of health care reform will be bloated government and higher deficits, says Larry Kudlow.
  • Vote and suggest your own, and remember--there's a fine line between a hero and a zero.
ADD COMMENTS
Remaining characters


Current DateTime: 08:55:45 11 Nov 2009
LinksList Documentid: 29778428

Current DateTime: 01:01:49 11 Nov 2009
LinksList Documentid: 29779196

Current DateTime: 02:13:25 11 Nov 2009
LinksList Documentid: 29779199

Current DateTime: 01:04:02 11 Nov 2009
LinksList Documentid: 29779198
  Data is a real-time snapshot  *Data is delayed at least 15 minutes
Global Business and Financial News, Stock Quotes, and Market Data and Analysis

© 2009 CNBC, Inc.  All Rights Reserved.
A Division of NBC Universal
Thomson ReutersThomson Reuters