01 November 2009
Holiday 2009 Will Be Extremely Tough For The Small Retailer
Nov/03/2009 11:13 Filed in: Small
Retailer
If
what I’ve seen lately in the media is any indication
of what lies ahead for this holiday selling season,
hold on it’s going to be a wild ride. The promotions
are starting already.
Last weekend, the last week of October, Sears had their first holiday insert in the newspaper.
Kmart is promoting their layway program on TV to get customers to commit and shop now.
Walmart has lowered their prices on toys again and they’re promoting their price match guarantee.
Kohl’s is on TV with their first holiday promotion.
Heck, I haven’t even put away my Halloween costume yet!
What does this mean for the small retailer that is counting on holiday sales to save their business? You better take a hard look at your expectations and your promotional plans. The big boys are coming out strong and fighting for every dollar of sales they can get. If you’re not prepared to fight for your business, you can’t survive.
Some say the recession is over, but that’s not the message the consumer is sending. According to Carl Steidtmann, Deloitte Research chief economist, in a statement: “Although there are signs that suggest the economy is nearing the end of its darkest days, many consumers remain burdened by restricted credit availability, high unemployment and foreclosures. Americans continue to save at historically high rates while also paying down debt, and these factors combined suggest another chilly holiday season for retailers.”
The small retailer needs to be very realistic. Holiday sales for 2008 were bad and sales for 2009 are predicted to be down a little from then. The worst thing you can do is to continue to put more of your personal funds back into a business that continues to struggle. Retail is changing for the small guy. It will never be like it was.
Now is the time to evaluate the future of your small retail business, not after the Holidays.
If you are considering a Store Closing Sale or Going Out of Business Sale, this holiday season represents your best chance to recover your investment. Call 520-305-9693 or email me at chuckhaug@solutionsforretailers.com to discuss if now is the right time for you to exit your retail business
Last weekend, the last week of October, Sears had their first holiday insert in the newspaper.
Kmart is promoting their layway program on TV to get customers to commit and shop now.
Walmart has lowered their prices on toys again and they’re promoting their price match guarantee.
Kohl’s is on TV with their first holiday promotion.
Heck, I haven’t even put away my Halloween costume yet!
What does this mean for the small retailer that is counting on holiday sales to save their business? You better take a hard look at your expectations and your promotional plans. The big boys are coming out strong and fighting for every dollar of sales they can get. If you’re not prepared to fight for your business, you can’t survive.
Some say the recession is over, but that’s not the message the consumer is sending. According to Carl Steidtmann, Deloitte Research chief economist, in a statement: “Although there are signs that suggest the economy is nearing the end of its darkest days, many consumers remain burdened by restricted credit availability, high unemployment and foreclosures. Americans continue to save at historically high rates while also paying down debt, and these factors combined suggest another chilly holiday season for retailers.”
The small retailer needs to be very realistic. Holiday sales for 2008 were bad and sales for 2009 are predicted to be down a little from then. The worst thing you can do is to continue to put more of your personal funds back into a business that continues to struggle. Retail is changing for the small guy. It will never be like it was.
Now is the time to evaluate the future of your small retail business, not after the Holidays.
If you are considering a Store Closing Sale or Going Out of Business Sale, this holiday season represents your best chance to recover your investment. Call 520-305-9693 or email me at chuckhaug@solutionsforretailers.com to discuss if now is the right time for you to exit your retail business