Print
Retail

Local Retailers Tackle Holiday Sales

By Ken Little, posted Dec 19, 2014
Like other small-business owners, Coastal Kicks owner Alan Murphy is banking on a last-minute push in holiday shopping. (Photo by Chris Brehmer)
Alan Murphy expects plenty of shoppers to get Coastal Kicks this season.

Murphy, proprietor of the footwear- oriented shop of the same name at 271 N. Front St., said the holiday shopping season got off to a sluggish start, but crowds are picking up.

Coastal Kicks’ online business is also helping to boost sales, Murphy said.

“Black Friday, sales-wise, it felt like, a better-than-average Friday. It wasn’t a landslide, I guess you would say,” Murphy said.

Since then, he’s seen a steady uptick in customer traffic, especially online.

“In the past couple weeks, it has become a very large portion [of total sales],” Murphy said. “We sell a lot of products that aren’t available anywhere else. We’re selling shoes to Hawaii; we’re selling shoes to Michigan. That’s getting us by.”

SPENDING OUTLOOK
William “Woody” Hall, professor of economics and finance at University of North Carolina Wilmington’s Cameron School of Business, has been tracking the region’s economy for decades.

Retail sales numbers aren’t available yet for 2014’s fourth quarter, but Hall said other indicators bode well for the holiday shopping season.

“We generally see a rise in the summer months because of where we are, and we generally see [the numbers] rise in New Hanover County now because of the season,” Hall said.

He said average retail sales in December eclipse all other months of the year.

“We expect a 13 percent jump in sales during the holiday season,” Hall said.

The National Retail Federation (NRF) forecasts a 4 percent jump in sales nationwide this month, he pointed out.

Hall said burgeoning online sales are another factor “that could really impact retail sales.”
Many shoppers who braved the lines for sale items on Thanksgiving night and Black Friday also took time to look for deals online, according to the NRF.

NRF’s Thanksgiving Weekend Spending Survey found that 55.1 percent of holiday shoppers were both in stores and online over Thanksgiving weekend, down from 58.7 percent last year.

Overall shopper traffic from Thanksgiving Day through Nov. 30 dropped 5.2 percent from 2013, with 133.7 million unique holiday shoppers this year versus 141.1 million in 2013.

Online promotions before the Thanksgiving weekend may have taken some consumer spending power with them, NRF officials said in a news release.

According to the survey, the average person who shopped over the Thanksgiving weekend spent $159.55 online, about 42 percent of their total average budget, down 10.2 percent from $177.67 last year.

The online shopping factor makes this year different from 2013, just as last year differed from 2012, Hall said.

“You’re getting free shipping; you’re getting two-day shipping, stuff that’s free,” Hall said. “I can buy stuff at 3 a.m. The downside is we don’t know what online sales have done to retail sales.”

‘BUY LOCAL’ CAMPAIGNS
Campaigns to encourage shoppers to spend at locally owned retailers in the Wilmington area and across the country have resonated with many community-minded consumers, Hall said.

But to compete with increasing online sales, even smaller retail businesses need to get in the game, he said.

“The traditional ways of doing business are not necessarily the most effective ways of doing business. I don’t see how you can survive without a website,” Hall said.

That’s not to say shoppers aren’t checking out what local retailers have to offer in person.
Locations such as Mayfaire Town Center are seeing a lot of foot traffic, Hall said.

“Traffic has been strong so far this holiday shopping season,” said Susan Rice, Mayfaire’s director of operations.

Rice cited several factors she believes contribute to the crowds at Mayfaire, including “much newness in fashion, technology and home goods this year.”

Recent cooler weather helps get shoppers in the Christmas spirit as well, and consumers in general are feeling better about the economy, she said.

“With gas prices down lower than they have been in years, folks have more spendable income,” Rice said. “Our merchants are nicely ahead of their projections for the holiday shopping season, and we are looking forward to the continuation of strong traffic and numbers for the remainder of the season.”

Foot traffic along Front Street and surrounding streets downtown also is also on the upswing, said Ed Wolverton, president and CEO of Wilmington Downtown Inc.

“It has been generally positive,” Wolverton said. “There was a little bit of a concern with Thanksgiving being later than normal. Small Business Saturday [which took place Nov. 29] was good for us. Several merchants said they had nice crowds of shoppers.

“Crowds generally pick up as you get closer to the holiday, for sure.”

Additionally, “More and more of our downtown merchants have become savvy about selling online,” Wolverton said.

PRE-RECESSION LEVELS
In general, local consumers are better positioned financially to spend on holiday gifts than they were a few years ago, Hall said.

“The volume of retail sales is up, but employment has still got to come back a little bit,” Hall said. “We’re back to pre-recession levels in retail sales.”

Businesses that capitalize on the natural resources the area has to offer are also geared up for the holiday season. One example is the CB Surf Shop at 209 S. Lake Park Blvd. in Carolina Beach.
The surf shop has been in business for more than 12 years, manager Jennifer Mangiacapre said in an email answer to questions.

“Black Friday and Small Business Saturday are two of our busier days during the winter holiday season,” she said. “Our sales were on par for what we were hoping to reach, and business continues to remain steady as Christmas approaches. It usually peaks again the two days prior to Christmas.”

From Mangiacapre’s perspective, the holiday shopping season is going well.

“We hope to continue the momentum through January and February,” she said.

Final numbers for the 2014 holiday shopping season won’t be available until early next year, Hall said.

Through the 12 months ending in September, retail sales in New Hanover County were up almost 7 percent, he said.

“Sales do bounce up around here at the end of the year. The problem is, we don’t know how high they’re going to bounce,” Hall said.

Murphy, at Coastal Kicks, expects to be part of that upward trend.

“You’ve got to buy gifts for your family and friends sooner or later. Business will definitely pick up,” he said. “If you have feet, you are a customer. Shoes have such a broad appeal.”
Ico insights

INSIGHTS

SPONSORS' CONTENT
Untitleddesign2 9202334730

Best in the State: Providing Quality Care to Medicare and Medicaid Patients Allows Novant Health New Hanover Regional Medical Center to Reinvest in Community

Novant Health - New Hanover Regional Medical Center Novant Health
Georgiarowe

Salling and Tate Dentistry Launches Annual "Gunner’s Runners" Shoe Collection Event, Aiming to Surpass Last Year's Success

Georgia Rowe - Wide Open Tech
Unknown 7112393341

Why Feasibility is Paramount to Success

Holly Segur - Lead Intuitively – Corporate Coaching

Trending News

Passenger Rail Study Offers New Details About Proposed Wilmington To Raleigh Route

Emma Dill - Apr 22, 2024

Severe Weather Postpones Trump Rally In Wilmington

Emma Dill - Apr 20, 2024

Will NC Be CNBC's Three-time Top State For Business?

Audrey Elsberry - Apr 22, 2024

In The Current Issue

Info Junkie: Lydia Thomas

Lydia Thomas, program manager for the Center for Innovation and Entrepreneurship at UNCW, shares her top info and tech picks....


Taking Marine Science On The Road

“My mission and my goal is to take my love of marine science, marine ecosystem and coastal ecosystems and bring that to students and teacher...


MADE: Makers Of Important Papers

W.R. Rayson is a family-owned manufacturer and converter of disposable paper products used in the dental, medical laboratory and beauty indu...

Book On Business

The 2024 WilmingtonBiz: Book on Business is an annual publication showcasing the Wilmington region as a center of business.

Order Your Copy Today!


Galleries

Videos

2024 Power Breakfast: The Next Season