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Retailers expected to have more sales this holiday season

Retail Sales
Posted at 10:03 AM, Aug 30, 2022
and last updated 2022-08-30 13:07:29-04

Discounts have returned to stores recently as businesses try to entice consumers who have been cutting back on spending because of inflation.

Stores are also trying to eliminate all the extra inventory that arrived later than expected because of supply chain issues. Companies want to get products off shelves before the holidays.

“The lack of discounts really became evident when goods weren’t available for sale and so retail stopped putting goods on sale, when in fact they didn’t have enough to sell,” said retail expert Mark Cohen. “That was a temporary illusory trend that, I think, has come and gone and we’re not going to see that come back anytime soon.”

Cohen expects discounts to be back for the holidays, but he doesn’t expect the supply chain to be fully resolved.

“There’s going to be, in my opinion, this holiday a mix of empty shelves reflecting things customers want but can’t get and lots of excess inventory that keeps coming ala the sorcerer’s apprentice that may represent things that no longer of appeals to customers,” Cohen said.

He expects sales of casual clothes, exercise equipment and home furnishings that have piled up.

There could be a shortage of the hot fashions of the season. You may also see a lack of cold weather products because stores started to be more conservative with their advanced planning last year.