Black Friday sales stronger than expected, page 1
Pages: <<  1    2  >>
ATS Members have flagged this thread 9 times
Topic started on 1-12-2008 @ 11:00 AM by SLAYER69

Black Friday sales stronger than expected


abclocal.go.com
"Under these circumstances, it's truly amazing when you think about all the news that led into the holiday season, it certainly appears that consumers are willing to spend more than most expected,"
(visit the link for the full news article)


reply posted on 1-12-2008 @ 11:43 AM by SLAYER69
reply to post by princeofpeace






Gloom and doom
Now there are all kinds of threads spouting gloom and doom now there is a new one about the recession started in 2007?

I still haven’t felt that one either

that's kind of like a retroactive abortion!


reply posted on 1-12-2008 @ 12:02 PM by marg6043
Let me give you people a littler lesson on economics.

Yes the profits were up, but is many factors that come into consideration and is all about the way the profits are made.

You have to take into consideration the amount of profits that were made in cash vs credit.

Cash is money at hand liquidity for the retailers vs credit that is money promised but no really pay for.

Wait about one month to see how really the profits were made, in nation in recession with so many defaults on credit how much of that purchases will be actually profits but loses.

Second thing to take into consideration

1- Profits were hurt by bargain basement prices, what this means is that while the store sold much of their merchandise how much the store lowered the prices to make the sale and how much of that can be considered profits.

2- holiday sales account for 25 to 40 percent of annual sales for retailers but this was during the holiday sales, now been the economy in recession how much of sales will be done during the rest of the year, the holiday sale can be out weight when shoppers stop purchasing after the holidays.

3- Black Friday sales increased by 3 percent over the year before. But, with prices slashed to such great extents, retailers’ profits are still behind. this means that in order to make sales stores had to lower prices more than in pass holidays that will be deducted from the profits.

4- “You’re looking at discounts of 50 to 70 percent off,” so “You have to sell two to three times as much to break even.” that is self explanatory.

5- After black Friday shopped dropped dramatically, so the weekend was not as profitable as Friday.

So at the end and with the trend due to recession is expected that shopping overall during the season will be down by 10 percent from last year.

One day of shopping doesn't account for the entire year of loses.




[edit on 1-12-2008 by marg6043]


reply posted on 1-12-2008 @ 12:19 PM by SLAYER69
reply to post by marg6043



I am old enough to know what a real recession is I have lived through 3 of them, I'm just not seeing the same thing I'm old enough to remember stagflation under Carter and watched Bush senior loose his reelection because he just did not get it when people were hurting and later at the beginning of 2000

oil prices dropping, the over all of the mood where I live is optimistic

I'm saying I have not seen all the gloom and doom

[edit on 1-12-2008 by SLAYER69]


reply posted on 1-12-2008 @ 12:20 PM by marg6043
Good article here about Black Friday

Deep Discounts Draw Shoppers, but Not Profits

But while spending was up, there were troubling signs in the early numbers. The bargains that drove shoppers to stores were so stunning, analysts said that retailers — already suffering from double-digit sales declines the last two months — would probably see their profits erode even further.

Also, after shoppers flooded stores on Friday, foot traffic trailed off significantly on Saturday and Sunday.


www.nytimes.com...

People flooded the retail stores because they knew that we are facing a deflation, meaning that prices are down, including gas prices.

Many shoppers waited for Black Friday to do their purchases perhaps the only purchases that they will do for the rest of the holiday season.

Now we have another big sale going on the one after Christmas sale and I can only imagine bargain hunters going after that day also.


reply posted on 1-12-2008 @ 12:23 PM by marg6043
reply to post by SLAYER69



That is because we are having a deflection right now making possible for people to be able to purchase more with their money, but at the expenses of retail profits.

I also been around for a while.


reply posted on 1-12-2008 @ 12:24 PM by SLAYER69
reply to post by marg6043



True that but when the shelves go bare retailers will have to replenish their stock and make purchases and that keeps the ball rolling food prices should also drop now that oil prices have fallen.


reply posted on 1-12-2008 @ 12:38 PM by SLAYER69
reply to post by marg6043



We both know there is more to this than just deflation!

Come on with the dollar falling that means American made products will be cheaper abroad and will help the manufacturing sectors but with anything on the scale of the US economy time will tell.


reply posted on 1-12-2008 @ 12:52 PM by DimensionalDetective
Originally posted by SLAYER69
reply to
post by princeofpeace






Gloom and doom
Now there are all kinds of threads spouting gloom and doom now there is a new one about the recession started in 2007?

I still haven’t felt that one either

that's kind of like a retroactive abortion!



The explanation behind this is likely "regional differences". Certain regions are more effected than others.

I can tell you that here where I live, there is DEFINITELY a hardship taking place in several towns of my valley. There are certain sections of industrial and small business shops that look almost like ghost towns, with every other shop / building either empty, or with "closing for good" signs on them.

There will be areas that are the opposite, and alot of the folks here appear to be fortunate enough to live in such areas.

But it is certainly not that way everywhere, because I have seen it first hand.
Pages: <<  1    2  >>    ^^TOP^^



Russian scientists reach buried Antarctic Lake Vostok
  Posted 4 days ago with 83 member flags
Monsanto quits as GM results announced (EUROPE)
  Posted 5 days ago with 72 member flags
Strange noises reported around North Battleford
  Posted 16 days ago with 67 member flags
Ayatollah: Kill all Jews, annihilate Israel
  Posted 4 days ago with 49 member flags