A Hopeful Sign of Things to Come

By Sherri Collins

Editor, Pet Product News International

How were your holidays? Mine were pretty laid back, as is my wont. However, I hope yours were busy and bustling. If they were, then knowing that you were not alone might make them even cheerier in retrospect. According to a just-released news item from the National Retail Federation (NRF), this past holiday season saw a sales increase of 1.1 percent over last year. Granted, a 1.1 percent may seem a negligible bump, but you need to consider that the previous holiday sales season (2008) saw a 3.4 percent decline in comparison to 2007. Also 1.1 percent of hundreds of billions of dollars isn’t exactly chump change.

The collected data for 2009 combines the full months of November and December. November fell by 0.5 percent, but December more than compensated for that with a 2.3-percent increase, unadjusted year-over-year. The preliminary holiday sales results for 2009 hit $446.8 billion, surpassing NRF’s forecast of a 1.0-percent decline.

The big performers were apparel (leading with a 7.0-percent increase over December 2008), followed by healthy sales for sporting goods, hobby, book and music stores. Personal care items also did well with an uptick of 4.8 percent. Annoyingly (but expected), NRF didn’t have any statistics for pet goods.

Which is why we’re asking you directly. In case you haven’t seen (or answered) it yet, we’re running a “how were your holiday sales” poll on the website’s homepage. So far, the early results are also exceeding our expectations: 53-percent said their holiday sales either increased significantly (13 percent) or slightly (40 percent), while 7 percent held their own with neither an increase nor decrease. Those with sales slightly off amounted to 20 percent of the total, as did those with significantly reduced sales for a combined 40 percent in decreased sales.

Obviously, the economy—and the pet industry—aren’t completely out of the woods yet. Nevertheless, the signs are there. The path is becoming clearer and many may soon reach the sun-filled meadow beyond the trees. The NRF’s chief economist, Rosalind Wells, noted that consumers appear to be spending more, but double-digit unemployment is still a barrier to a complete recovery. Still, first things first; spending can lead to product demand, which encourages more production, which requires more manpower (personpower?) to keep up with those willing to spend-and let’s not forget all the ancillary beneficiaries, such as marketing, advertising and promotion departments.
Here’s to a successful year with a heap full of optimism that flat will no longer be the new up. Up is the new up.

One last thing: Did you have a particular product, product line or category that outshone all the rest this past holiday season? If yes, then let us know by adding your comments here.

« All Editorial Blogs

 Give us your opinion on
A Hopeful Sign of Things to Come

Industry Professional Site: Comments from non-industry professionals will be removed.