Christmas '96: Retailers like what they see so far
Retailers are generally pleased with the start of this year's edition of the Christmas shopping season.
But problems facing shops, like duty and declining tourism, continue, they said. Add a shorter Christmas shopping season this time around and a Government preoccupied with hamburgers and it does not bode well, they said.
Friday marked the official launch of the Chamber of Commerce's Christmas shopping festival. Stores offered up the customary extended hours and will continue to do so for the remaining three Fridays prior to the holiday.
Several retailers are offering pre-Christmas sales or other marketing moves to bring in customers.
A spokesperson at the Chamber of Commerce office said many stores were happy with the turnout Friday and Saturday.
Shops were busy, she said.
"On general sales, it (Friday) was a good day and Saturday was even better,'' H.A. & E. Smith Ltd. vice president and general merchandising manager Alfred Spearing said.
"Those shopping early are getting the best selection,'' he said.
On the mood of the consumer, he said: "There seems to be a somewhat more relaxed spending atmosphere.'' And on how H.A. & E. Smith's Christmas sales would finish, Mr. Spearing predicted a better year than 1995.
Last year did not live up to expectations, he added.
"Retailing remains very difficult and we have tried to come up with innovative ideas to keep shoppers in Bermuda,'' Mr. Spearing said.
H.A.&E. Smith's, A.S. Cooper & Sons Ltd. and Trimingham Brothers each have a draw for store credit.
The credit promotion is new and designed to bring people in, A.S. Cooper's managing director Peter Cooper said.
Sales on Friday and Saturday were "better than last year and that's encouraging,'' he added.
Gibbons Company Ltd. president David Gibbons said they have opted not to go with the promotions chosen by competitors.
Instead, Gibbons has expanded selection, he said.
"The research we've done and the feedback we've gotten from customers points to customers looking for wider selection,'' he said.
"From our point of view the year started slowly'' but momentum has increased and consumer confidence has improved.
The combination of improved consumer spending and an overall more aggressive approach by retailers has made for a better shopping experience, he added.
"The word we've had on the start of the shopping season is so far positive.'' Despite optimism, retailers this year face the added challenge of a shorter Christmas shopping season.
Assuming the season begins when American Thanksgiving ends, there are five fewer shopping days and one less weekend this year.
"Because of this anomaly, we anticipated people shopping earlier and this seems to be occurring,'' Trimingham Brothers president Eldon Trimingam said.
Trimingham's has "dramatically'' changed its look since last year and is "generally offering a wider range of merchandise,'' he said.
Popular lines have been given more space so they are displayed better and new and unusual gifts have been brought in, he said.
But Mr. Trimingham was not optimistic about how retail would finish the year.
Tourism numbers are down and residents continue to spend abroad, he said.
And that means retail will be "flat or down'' compared to last year.
"Clearly we have to address duty and tourism, we have to address it quickly.
The cost of up front duty is not tenable. It's time for action.'' Sail On owner Hugh Watlington said paying the duty up front is tough and questioned whether or not the current duty system was fair when compared to big company's taxes.
It looks as if it's "skewed'' against retail, he said.
But despite the doom and gloom surrounding retail for the past seven years, Mr. Watlington was optimistic about this year's edition of the Christmas shopping season.
"At Sail On, November was a slow month, that's not unusual, but definitely things picked up Friday and Saturday,'' he said.
September's inflation adjusted retail sales figures fell 3.1 percent compared to 1995, Government Information Services said last month. Sales in the category of combined store types were fractionally off the pace, while shops catering to locals and visitors experienced a general decline.
