Slow sales may lead to big bargains

PLYMOUTH TOWNSHIP - December 18, 2007 Experts say holiday sales are slumping, and that could translate into big discounts before Christmas.

A suburban shopping mall early afternoon, seven days before Christmas was hardly deserted, but was not jammed either.

Shoppers admit they are being very selective this year, some making budgets and so far sticking to them, citing external issues like three dollar gasoline.

"A lot of it has a lot to do with the gas prices. With the economy in general, I think everybody's dialing back a little bit," John Stickel of Perkasie said.

"Gas prices are increasing and we're all watching our dollars. We have a budget that we need to hit, unlike other years, where you might spend more money on a credit card, we're you're willing to pay it off during the year, where this year, you're being a little more cautious," Susan Redmond of Jackson, New Jersey said.

Worried retailers say they are slashing prices pre-Christmas and staying open late into the night. Sellers were already expecting slower than normal growth this season at bricks and mortar stores and online as well.

Drexel marketing professor Stanley Kligman says last week's storms threw in another monkey wrench.

"Last week was a bad week. It was cold, snowy, rainy, and gas prices were high. People did not come to malls as returns would have like them to have," Professor Kligman said.

Kligman has studied retailing for thirty years; he says the week before Christmas is key. He thinks the holiday spirit will take hold these last few days.

"I think it will be a very good season for the retailers; I think it will be a better season than last season," Kligman said.

The professor's optimism is somewhat tied to the weather. Should the weather go downhill during the next six days, he says then this may not be such happy holidays for retailers.