What shoppers buy in this most lean of holiday seasons — and where they go to buy it — will be marked by austerity and utility, retail experts say.
“We think that this season is more about the practical and personal gift,” said Kathy Grannis, spokeswoman for the National Retail Federation. “Meaning a digital frame or even a digital camera, a necklace that you can wear year-round, home decorations — if you’re buying for a family member or a spouse — a grill set, which basically says, ‘Let’s stay in and cook instead of spending our money out.’ ”
Discount merchandisers may fare better than those with an “upscale” image during the tough season ahead, said George Mason University marketing professor Christopher Joiner. For example, Target may lose customers to Wal-Mart, which has more of a budget image.
“Just having that more luxurious, design-focused, slightly more upscale positioning makes them even more vulnerable,” he said.
Consumers can expect the best deals today — Black Friday — but targeted promotions and sales will continue through the season, Grannis said.
And she said this time those discounts will include luxury goods, a change from years past. High-end suppers historically have not been as affected by rising fuel prices and falling home values.
But with Wall Street’s collapse, resulting in battered stock portfolios and retirement accounts, Grannis said luxury retailers likely will be marking down their merchandise to get their customers back as well.
