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So far, holiday sales levels proving a pleasant surprise

  • The Wichita Eagle
  • Published Thursday, Dec. 10, 2009, at 12:04 a.m.
  • Updated Thursday, Dec. 10, 2009, at 6:46 a.m.

It's been a surprisingly joyful holiday shopping season for Wichita's home-grown retailers, despite a sagging local economy.

And with two weeks to go before Santa arrives, the news is pretty good across the city's retail sector, where several operators say business is at worst flat with Christmas 2008.

Why the surprising sales? It could be "frugality fatigue," said Kathy Grannis, a spokeswoman for the National Retail Federation — it's Christmas, and shoppers are tired of the financial hysteria that surrounded the economic crash of fall 2008.

"Our first four days of December were up more than 100 percent over the same period a year ago," said Beth Tully, founder of Cocoa Dulce Artisan Chocolates in Bradley Fair, 2132 N. Rock Road.

"I think it will hold for us throughout the season, and I hope we can continue to ride this into 2010."

Carolyn Whipple, manager of Under the Cork, 2441 N. Maize Road in NewMarket Square, said sales are comparable to the same time last year.

"Knowing that the economy's tough, the season's met our expectations," she said.

The holiday retailing season has been unique, said Wichita State University marketing professor Cindy Claycomb — very slow sales until Thanksgiving, "when the light went on."

"I was a little surprised by what I was reading and hearing about the Thanksgiving weekend," she said. "We had expectations lower than last year, but it seems like people have decided that things aren't that bad. Let's see what retailers have to offer."

Friday's the big day for national retailing figures, but Grannis said early returns indicate that this year's Black Friday saw more traffic than any the NRF has tracked.

"There was a hunger for bargains," Grannis said. "We do believe that a lot of the purchases made thus far have been self-purchases, when it comes to discounted home goods and appliances.

"We usually don't see this kind of self-gifting until after Christmas when the clearance sales start pulling around, but a lot of the sales right now are close to what clearances are during a good economy.

"When we did our forecast, our economists felt like there was a decent chance for a fourth-quarter surprise. What you're telling me is nice to hear."

It's also a pleasant surprise to the locals.

"Because of the economy and all the aircraft layoffs, we really were hesitant," Whipple said. "We didn't know what to expect and really, until the end of the year you're not sure how you did. But we're really optimistic at this point. What I see is solid."

Retailers were cautiously pessimistic entering the season, Claycomb said.

"Many retailers thought people would spend less this year," she said. "I think many had expectations lower than last year, but it seems like people have decided that things aren't as bad."

Success stories

Tucked behind the Office Max at 3535 N. Rock Road is David Sasson's Overstock Art, which retails reproduction oil paintings to individuals and businesses.

Overstock Art is just one example of the formula that's worked for local businesses this Christmas: targeted, aggressive marketing and sales — lots of sales.

Christmas is traditionally the best time for business, Sasson said, but this one's off the charts: up 45 percent in November year-over-year.

"It's aggressive marketing, and we feel like the economy has bounced back in other parts of the country," Sasson said.

Same story across town, retailers say.

"A good part of our business around Thanksgiving was discount-driven," said Aspen Boutique owner James Smits. "We run a 15 percent discount storewide the week before Thanksgiving, and it seemed like that was really essential.

"And then we follow that up with a really unique Christmas card that includes a discount that ended this week. That drew a tremendous response. We think our customers really appreciate discounts."

Bargain-hunters make up the majority of business at Under the Cork, Whipple said.

"Lots of people shopping early and lots of people shopping deals," she said. "Our higher-end stuff isn't selling as much, but the lower end is. People are watching what they spend."

New store, big business

No retailer is more pleasantly surprised than Tully, who's ridden her new location in Bradley Fair to an off-the-charts Christmas.

"When the economic slump began, I was really worried," she said. "We're such a niche business and people can argue all day long that you have to have chocolate.

"But it didn't pan out that way. We saw a lot of people coming in telling us they were going to fill their gas tank half full that week and buy some chocolate. I was flabbergasted and thankful."

Now, with energy prices down a bit, business is even better than normal, Tully said.

"People are coming in and they're back to purchasing the box they used to. And our new customers are very aggressive. Personally, I'm thrilled."

Christmas 2009 may be the formula for retail success going forward in a tight economy, Claycomb said.

"Last year was different. People pull in when things are sounding bad and the news sounds bad. Last year, people were suffering a lot," she said.

"It sounds like Thanksgiving weekend was a really good weekend for the local folks. It seems like they've settled on more of not everything on sale, but things to drive traffic, substantial enticements to go after the customers who will spend money."

Reach Bill Wilson at 316-268-6290 or bwilson@wichitaeagle.com.

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