More on Shopping ‘Til You Drop

Forecasts were all gloom and doom for Black Friday, with the media predicting a huge pullback in consumer spending. But on Monday, numbers were released showing that shoppers had actually increased their spending over the same period last year. Many media outlets are still predicting less shopping in the weeks before the holidays and spending was way down leading up to Black Friday, meaning the boost may not do much to help ailing retailers.

(Overall, November sales likely dropped about 2%, according to Retail Metrics, a research firm. That is the biggest monthly decline since the company began tracking data in 2000.)

So while there was an increase in spending over the long weekend including Black Friday, you’d hardly know it. After touting predictions of a shopping slump, media outlets seemed loathe to report that they were wrong about consumers’ spending habits on Black Friday. Instead, the focus has been on the expected slower sales for the next few weeks, which may turn out to be completely accurate, but we’re not in the business of predictions. (In case you didn’t know, Black Friday is so named because it’s traditionally the day that retailers go from being in the red to being in the black. The name is no indication of the day’s apoplectic-sized shopping spree.)

More people were out shopping this year on Black Friday and the weekend after, with 172.9 million people venturing to the stores versus 147.3 million last year. The shoppers who were out spent more, too, an average of $372.57 this year versus $347.55 last year. But there was one statistic that indicated the media might be right about less spending in the coming weeks. This year, 10.6% of people said they completed all holiday shopping this weekend, up from 8.2% last year.

But the increase in spending may not be enough to rescue some retailers. Already Linens-N-Things, Circuit City and Sharper Image are going out of business, while Footlocker, Wilson’s Leather, Home Depot, Ann Taylor, Zales and Pier 1 Imports have announced that they are closing some of their stores. More big name firms are sure to follow, but the pickup in spending should help, at least for a few days.

My own personal experience seemed to indicate fewer people were out shopping, although I didn’t recover from my turkey hangover until about 1 p.m. on Black Friday and thus missed the mad rush in the early morning hours. I did see people out buying gifts, but they were mostly purchasing items that were 30% to 70% off … nearly four weeks before Christmas!

Most remarkable was that the local Wal-Mart parking lot was less than half full (typical for a normal weekend day) and I could actually navigate the aisles. I was expecting to be crushed by a mob, but found that the store wasn’t really any more crowded than it usually is during tourist season in our small hamlet of New Hampshire.

What shocked me most on Black Friday occurred at a Wal-Mart on Long Island where a man was trampled to death by early morning shoppers. Seriously. I think this is a clear indication that the “holiday spirit” has been replaced by media-hyped consumerism and materialism. This also means that it’s probably safest to shop online and avoid the mall at all costs. This incident reminded me of a few years ago when parents were beating each other up during the Tickle-Me-Elmo shortage.

While I understand that times are tight for many people and those that are out shopping are trying to get the best deals possible, the truth is, there’s plenty of stuff to go around. And if something doesn’t get purchased, it likely won’t ruin Christmas, but the family of the man who was killed definitely had their holiday ruined by this tragic event.

Takeaway message: No deal is worth someone’s life. Not even a $99 GPS or a half-price flat-screen television. Now that’s something to teach the kids this holiday season.

In the above article, I wrote that Disney is closing some of its stores, and while this has been reported many places, I have since discovered that this information is simply not true. Here’s a statement from the president of the company, Jim Fielding: “Disney Store has no current plan or announcement to close 98 Stores. This is inaccurate information that has been circulated via the Internet.”