Local businesses show holiday sales growth

Though Sidney businesses appeared to see an increase in holiday sales this December, the rest of the nation wasn’t as fortunate.

Burt Flickinger, managing director at Strategic Resource Group said in an interview with Bloomberg Radio that his field team spread out across America saw modest to moderate sales on the Saturday before Christmas that became weaker and weaker leading up to Christmas day.

While online sales increased by 17 percent this holiday season, Flickinger said that in-store sales were not as prosperous.

“There were very disappointing sales on land during this holiday,” he said.

According to Flickinger two events really affected sale rates this year, Hurricane Sandy and the recent Sandy Hook Elementary School tragedy.

“After Sept. 11 we really saw a decline in luxury and conspicuous consumption. We are seeing the same thing after a combination of Hurricane Sandy and the senseless deaths in Sandy Hook Connecticut,” he said. “Shoppers are starting to think and give to the churches, Red Cross, Habitat for Humanity and other charitable organizations rather than giving luxury goods for oneself like what we have seen during the last decade or so.”

In an interview conducted by Colten Timberlake from Bloomberg News, Robin Lewis, a New York-based retail consultant said that more people bought household appliances and repairs instead of gifts this year due to Hurricane Sandy.

Lewis also told Timberlake that the Conn. tragedy gave Americans a dose of reality.

“The Newtown massacre, psychologically I think, spread through the country,” Lewis said. “This event was not isolated in the Northeast. It slammed the consumer with a lot of sobriety and made us think about what is happening in this world we live in, particularly around the holidays, when things are supposed to be wonderful and peaceful.”

According to Timberlake U.S. holiday sales grew less than in previous years.

Timberlake said, “U.S. holiday sales growth slowed by more than half this year after gridlock in Washington soured consumers’ moods and Hurricane Sandy disrupted shopping, MasterCard Advisors SpendingPulse said.”

According to Timberlake, the Purchase, New York research firm said that from Oct. 28 through Dec. 24, nationwide retail sales grew by 0.7 percent, compared to a 2 percent increase a year ago.

Michael McNamara, a vice president at SpendingPulse, also attributed the slower pace of sales to the “fiscal cliff” and weather, Timberlake said.

“Weather events and the fiscal debate both anchored the season in terms of growth. The media coverage, which did a good job of explaining the negative consequences of the fiscal cliff, created this negative trend in consumer confidence and spending,” McNamara told Timberlake. According to Flickinger, the following stores didn’t pick back up after Black Friday: JCPenney, Sports Authority, Radio Shack and Kohl’s. While stores like Macy’s, Urban Outfitters, H & M, Gap, Old Navy, Victoria’s Secret, Costco, Apple, Target and Home Depot rebounded nicely. Some local businesses in Sidney however saw less of a decrease, in fact they found the opposite. Teresa Grant, owner of Sidney Floral and Gift Shop said that everything in her store sold well. “The store was so busy. It was one of the best years ever,” Grant said. “It was wonderful. Everyone was friendly and seemed impressed with what Sidney had to offer.”

Grant said that she thinks more people realized this year that local businesses in Sidney have everything to offer that the big cities do.

“I tell people all the time that Sidney will keep growing every year,” she said.

Grant said that the most important factor she noticed this year was that everyone seemed to be happy.

“We had a great holiday, probably the best in the last 10 years,” Barb Meier, owner and operator of the Book and Coffee Corner said. “It was very positive. A lot of local shoppers stayed in town. They seemed to really want to support small business.”

Meier said the Book Corner has been in her family since 1974 and the Coffee Corner since 2001. She said the hot commodity this year was “Elf on the Shelf.” The popular elf that supposedly watches the house and reports to Santa on whether children are being good or bad, sold like crazy at the Book Corner, she said.

“Even on the last day everyone wanted it. We probably sold a total of 80 Elf on the Shelfs,” Meier said.