Holiday Shopping Guide
Recession Creates New Holiday Shopping Trends
Despite the economic condition this year, some of the best bargains of 2014 will be found this winter. Retailers have an excess of inventory left over from slow summer and fall seasons. Many placed their holiday orders before the economic crash and over-ordered.
Combine huge inventories will low consumer demand, and this the formula for deep discounting. Look for huge markdowns in large ticket items like TVs, HDTVs, electronics and clothes.
PriceGrabber.com(R) data reveals: 70 percent are researching and comparison shopping online, 53 percent of consumers are taking coworkers off gift lists, and 36 percent anticipate holiday spending between $100 and $499
LOPriceGrabber.com®, a part of Experian, explores the impact of the economy on holiday spending in its latest Holiday Forecast Consumer Behavior Report. Survey data reveals that the state of the economy is shaping new trends in holiday shopping. More than ever, comparison shopping is on the forefront of consumers' minds, with 70 percent of consumers doing more research and comparison shopping online, compared with 38 percent last year.
Early promotions, sluggish sales to take a toll on profits
In holidays past, mall retailers sought to outdo one another by creating elegant window displays designed to convey the warmth and magic of the season. This year, however, sluggish traffic and lackluster sales will force retailers to woo shoppers with all the subtlety of a carnival barker hawking tickets to a sideshow, says retailing veteran Stevan Buxbaum, executive vice president of Agoura Hills, Calif.-based Buxbaum Group, the consulting and turnaround investment firm.
"You could call this the 'Battle of the Signs,'" Buxbaum says. "Instead of the windows being done up like something out of 'Miracle on 34th Street,' they'll be done up like a liquidation sale. The signage will be intense and extreme, with messages like 'Buy 1 Get 1 Free' and 'Everything 25% Off!' " Continue reading about holiday promotions.
New Survey: Americans Plan to Spend Less on Holidays but Remain Generous Despite Recession
NEW WORLD VISION STUDY SAYS WE PLAN TO GIVE MORE TO CHARITY WHEN THE ECONOMY IMPROVES
AMERICANS SAY IT'S ESPECIALLY IMPORTANT TO ADDRESS THE NEEDS OF CHILDREN DURING THE HOLIDAYS
The faltering U.S. economy will again force many U.S. adults to cut back on holiday gift spending this year but according to a new study, three out of four Americans (76%) would prefer to receive a meaningful gift that would help someone else instead of a traditional holiday gift like clothing or electronics. And according to the new study commissioned by World Vision, an international relief and development organization, an overwhelming majority (95%), say the nation's focus over the holidays ought to be on helping children. Most Americans also say once the economy improves, they'll increase their donations to charities. According to the poll, conducted by Harris Interactive, almost three out of four (74%) say they'll increase their charitable giving once the economy improves.
Economic Crisis Forcing Shoppers to Use the Internet
With the economy faltering, shoppers will turn to new websites even more, according to Internet shopping experts.
Online Consumers Plan to Spend Less in Stores, But Slightly More Online This Holiday Season
Online consumers intend to spend less in stores this holiday season than last year, The Conference Board and TNS report, but slightly more online. Consumers will be expecting free shipping and deals not available in stores when they shop online.
The Consumer Internet Barometer, a quarterly report produced by The Conference Board, the global business research and membership organization, and TNS, a global market insight and information group, surveys 10,000 households across the country and tracks who's doing what on the Internet.
"Given the current economic environment, it is no surprise that consumers are reigning in their spending and seeking bargains," says Lynn Franco, Director of The Conference Board Consumer Research Center. "Free shipping, exclusive online deals, coupons and discounts are among the incentives consumers will be expecting this season." Bargain hunting will remain the driving force behind online sales, the report notes. Continue reading about holiday shopping predictions.