Page 12 - aruba-today-20221223

A12 BUSINESS
Friday 23 december 2022
Holiday procrastinators are back in

force. Blame inflation.

By ANNE D’INNOCENZIO
AP Retail Writer
NEW YORK (AP) — Last year,
Lucila Gomez and her hus-
band started their holiday
shopping around Thanks-
giving and wrapped it up
a week before Christmas,
spending $750 on tablets
and clothing for their three
children and relatives.
This year? Gomez is wait-
ing until she gets her an-
nual bonus on Friday to get
started and she’s limiting
her spending to $200, stick- Shoppers carry shopping bags down Fifth Avenue, Monday,
ing to World Cup themed Dec. 19, 2022, in New York.
jerseys for her 10-year-old Associated Press
twins and a 6-year-old.
“Last year, we were con- still wasn’t enough to off- tronics, and home and
fident. We were like, ‘Get set their rising expenses. garden stores.
them whatever they In fact, she said her fam- Americans’ spending has
want,’” said the 49-year- ily moved in with her par- been intact ever since in-
old Buckeye, Arizona resi- ents after their monthly flation first spiked almost 18
dent, an hourly worker in rent jumped from $1,500 months ago, but the ability
the billing department of to $2,000 earlier this year. of shoppers to keep spend-
a health company. “This She’d hoped to save for a ing in a period of high infla-
year, we’re waiting until we house, but mortgage rates tion may be beginning to
both get paid. We want to keep going up. ease. Inflation has retreat-
go into the New Year not Last minute shopping is ed from the four-decade
owing anything.” also being encouraged high it reached this sum-
Last minute holiday shop- by a quirk in this year’s cal- mer but remains elevated,
pers are back in force and endar, according to Brian enough to sap the spend-
inflation is partly to blame. Field, global leader of Sen- ing power of consumers.
For the first two years of sormatic Solutions, which Still, overall holiday sales
the pandemic, many were tracks store traffic. With should be decent, though
buying earlier in the season, Christmas falling on Sun- holiday sales growth is ex-
afraid of not getting what day, consumers have all pected to dramatically
they wanted because of week to shop. slow down from a year ago.
shortages of products or Retailers are relying on the The National Retail Federa-
delays in deliveries. They last minute spending rush tion, the nation’s largest
also had more money to to help meet their holiday retail trade group, is slated
spend thanks to govern- sales goals after a weaker- to release the actual results
ment stimulus checks and than-expected November. for the combined Novem-
child care credits. Americans cut back sharp- ber and December period
But this year, supply chain ly on retail spending last next month. The group ex-
snags have eased and month as the holiday shop- pects holiday sales growth
shoppers aren’t as worried ping season began with will slow to a range of 6%
about availability as they high prices and rising in- to 8%, compared with the
are about higher prices terest rates taking their toll blistering 13.5% growth of a
on everything from rent on households, particularly year ago.
to food, causing them to lower-income families. The last stretch of the holi-
postpone their buying until Retail sales fell 0.6% from day season is critical.
the last minute. October to November af- On average, the top 10
Gomez, for instance, said ter a sharp 1.3% rise the busiest shopping days in
that even though she and previous month, the gov- the U.S. which includes
her husband, an electri- ernment said last week. Wednesday, Thursday, Fri-
cian, each got a raise, it Sales fell at furniture, elec- day of this week and Mon-
day of next week account
for roughly 40% of all holi-
day retail traffic, accord-
ing to Sensormatic.
However, retailers might
expect even larger num-
bers this year as high gas
prices force consumers to
consolidate their shopping
trips and everyone con-
verges over the next few
days, Sensormatic said. q