Retailers have bright weekend

NEW YORK — Holiday spending appears to be off to a respectable start, with shoppers crowding stores and malls in bigger numbers than last year on Friday and maintaining steady traffic the rest of the weekend.

Add in strong spending earlier in the month and robust sales online, and retailers are feeling encouraged. That's particularly true because shoppers also scooped up fashion and other items for themselves, though mostly where they saw bargains. The question remains how many dollars shoppers are prepared to spend before Dec. 24 in an economy that's still bumpy.

Discounts, particularly early-morning specials, were deep enough that many shoppers say they bought more than they had planned. But some say that means they're done, and they spent less than last year.

"I started Thursday, and I'm finished," said Tyler Jones, 34, of Manhattan, clutching packages at the Manhattan Mall on Saturday. She said she started shopping online on Thanksgiving, grabbing deals on LCD TVs at, as well as clothing at Gap and Old Navy throughout the night and into Friday. Then she went to the mall. She figures she spent $1,000 on holiday gifts, $500 less than last year.

The heavy discounting and lower prices on certain types of items, particularly LCD TVs, held down overall spending. On Friday, retailers at shopping malls eked out a 0.3 percent increase to $10.69 billion, according to preliminary figures from ShopperTrak, a research firm that tracks sales at 70,000 stores.

TV prices are falling almost twice as fast as they did earlier this year amid a glut. They're selling for anywhere from 15 to 20 percent lower than Christmas 2009.

Earlier buying in November also stole some sales away from the day, said ShopperTrak co-founder Bill Martin. But 2.2 percent more customers came into stores on Black Friday compared with the same day last year. The research firm tracks sales at stores in shopping malls, not big discounters like Walmart and Target, which draw much Black Friday spending.

The National Retail Federation trade group estimated on Sunday that 212 million shoppers visited stores and websites over Black Friday weekend, up from 195 million last year, according to a survey it conducts.

A fuller picture on spending will come Thursday when retailers report November revenue figures.

Online, spending rose more than 14 percent from Thanksgiving Day through Saturday, according to IBM's Coremetrics. The average order rose 14 percent and the number of items per order grew 15 percent, fueled by shoppers taking advantage of deals on Black Friday.

Online research firm comScore Inc. reported late Sunday that online spending for the first 26 days of November rose 13 percent to $11.64 billion, compared with the same period a year ago. On Thanksgiving Day, traditionally a lighter day for online spending, e-commerce sales rose to $407 million, up 28 percent from the year-ago period. That was helped by more stores pushing exclusive deals. Online spending is still a relatively small piece of the holiday pie, between 8 and 10 percent by various estimates.

Stores hope to keep shoppers coming back with continuous deals and early-morning events on weekends. But some analysts question whether the lull between Thanksgiving weekend and the days before Christmas will be even more pronounced than usual.

Stifel Nicolaus analyst Richard Jaffe described the weekend as a "success."

"I think retailers have won the battle of driving customers into the stores, but have they won the war? We won't know until January," he said.