Worst shopping season in five years, reports retailers.

[Selatius]

By BusinessWeek

Christmas has passed, but Elizabeth Milner is getting busier. The shoe associate at Macy's in Overland Park, Kan., says she's seeing even more customers now than during the Christmas rush.

That's because the store is offering an extra 30% off merchandise already reduced by half. Shave off 10% more with a pass from the newspaper and you reap a deeper discount than last year, says Milner, when the store offered 20% off items already reduced by 40%.

"There's even more traffic now than pre-Christmas," says Milner, who has worked at Macy's (M, news, msgs) since 2005. "Women are after the $100 to $200 boots now going for $30."

After the most disappointing holiday sales season in five years, retailers are turning to "desperation discounting" to rescue bleak holiday sales. From early-bird specials to new "power hours" and savings of up to 80%, chain stores such as Macy's and Kohl's (KSS, news, msgs) are trying a variety of tricks to resuscitate spending.

http://articles.moneycentral.msn.com/Investing/Extra/DesperateStoresSlashPrices.aspx

So...anyone wanna take a bet on when they will finally admit we're really in a recession?

[midlife_mo_Jo]

1. Worst sales in five years?

Gee, that's good news.

I thought it was going to be worst sales in many more years, if you kwim.

[sendero]

2. Wait until next year..

... then you will be right. We are still in the very early stages of the current downturn, most people aren't feeling it that much yet.

[ayeshahaqqiqa]

3. This explains it, then

My old sewing machine bit the dust (when out of time it stripped gears, and the cost of repair was more than a new machine), so I ordered a new one online. I was told it would take three weeks at least to get to me. I had it in a week (good thing for me, as I'm sewing my winter clothes-dropped 20 pounds and needed to alter old ones and make new ones). I also noted that, when I went to the fabric stores in Dallas, the prices were slashed--almost as cheap as the remnant houses I usually frequent--and the quality was better than the remnant houses.

Edited to add: I went shopping for fabric and books on Christmas Eve. I had to wait in line, but not long, in one store, and no wait in the other(both in the same strip mall). I noticed that the used book store I go to when I'm in town wasn't crowded either.

[Selatius]

8. I've been seeing a lot of deep discounts as well. Some of them are 50 to 60 percent off now.

They must be desperate to move out the excess inventory or risk heavy storage fees and lack of space for next season's inventory.

[ayeshahaqqiqa]

11. I've even seen 75-80% off

Hancock Fabrics had those kinds of discounts advertised, and I was amazed that hardly anyone was shopping there. Yesterday I went to a Goodys store to find undergarments, and the discounts were that great as well. And the racks were full of merchandise. The only places I've been where there was less inventory were the mom/pop stores that I always go to first.

[MadHound]

4. Housing downturn, people struggling with bills and mortgages,

Unable to use their house anymore as an ATM, maxed out on credit, high unemployment, yeah, I can understand how there would be a huge downturn in Christmas sales.

This was obvious when I went out to do my shopping. Deep discounts everywhere, many businesses who simply didn't make this far are closed, and there really weren't that many people out buying, and what they were buying were more practical and low priced gifts.

This is just the beginning, our economy is heading south at a rapid rate.

[PSPS]

5. That has to be wrong. That isn't what they say on the tee vee

All the talking heads on the TEE VEE NOOZ were saying that everyone was out shopping and that it was a great year! They wouldn't lie, would they? The stores whose advertising pay their bloated salaries and finance their lavish lifestyles wouldn't have any effect on what they say, now would it?

[KharmaTrain]

6. The Truth Won't Really Be Known For Another Month

Look for the year-end earnings reports and the unemployment numbers in January...that always tells you how successful a holiday season has been.

Ya figger that since people are spending a lot more on gas and fuel, health care, groceries and other "luxuaries", they may not have that much to throw at Best Buy gift cards this year. When thousands have lost their homes, many more are barely meeting the payments and the debt bubble and "big shitpile" are about to strangle the consumer economy, this holiday season may look good compared to next year.

[Gman]

7. They won't admit a recession in the next 341 days

that's for damn sure.

[Xenotime]

9. I'll declare one now. THIS IS A RECESSION

[TalkingDog]

10. My wager? About a month after the rest of us realize we're in a Depression.

The things you "want" super cheap.

Things you need (read: food, fuel, medicine, housing) pfft....got an extra kidney?

Credit (read: money) is already tightening up. The value of goods and real estate is deflating. That is not a straight recession.

My best advice: take a marketable skill you know (or really want to learn) and get your supplies now. The extra income will come in handy.

People who know how to sew, throw pots, weave, root doctor, garden, can food, build things, repair things, you should get your supplies while they are cheap.

On the bright side, these crunches are always creative and innovative times. The artist's mantra: We have done so much, with so little, for so long; we are now qualified to do anything with nothing.



My Favorite Master Artist: Karen Parker GhostWoman Studios