Sunday 18 March 2018

US retailers celebrate Thanksgiving with open doors

The US holiday shopping season started even earlier this year, as more than a dozen major retailers opened on the Thanksgiving holiday despite protests from workers.

Crowds of cheering shoppers pushed through the doors at the flagship Macy's Herald Square in New York City when it opened last night.

About 15,000 shoppers were at the store just before the doors opened, estimated Terry Lundgren, CEO, president and chairman of the department store chain

The holiday openings are a break with tradition. The day after Thanksgiving, called Black Friday, had been considered the official start to the holiday shopping season and the biggest shopping day of the year.

But in the past few years, retailers have pushed opening times into Thanksgiving night. They've also pushed up discounting that used to be reserved for Black Friday into early November.

Sales on Thanksgiving were $810m last year, an increase of 55pc from 2011 as more stores opened on the holiday, according to Chicago research firm ShopperTrak.

But sales dropped 1.8pc to $11.2bn on Black Friday, though it still was the biggest shopping day last year.

Wal-Mart has been the biggest target for worker protests against holiday hours. It said workers get additional holiday pay for working on Thanksgiving. The company is also serving meals at the stores.

But worker Cindy Murray, 57, said she would not be able to sit down for a Thanksgiving meal with her family until after her nine-hour shift ended at 4pm local time, and insisted the company cannot put a price on the holiday.

"If they want to do something for us, they will go back to the old tradition," she said.

While the US job and housing markets are improving, that has not yet translated into sustained spending increases among most shoppers.

The National Retail Federation expects retail sales to be up 3.9pc to $602.1bn during the last two months of the year.

That is higher than last year's 3.5pc growth but below the 6pc pace seen before the recession.

Analysts expect sales to be generated at the expense of profits as retailers will probably have to do more discounting to get people into stores. More than two dozen stores have already lowered their profit outlooks for the year.

New York shopper Theresa Alcantaro, 35, was missing a holiday gathering of 40 family members but said she would meet up after shopping.

"I see my family every day. They understand," she said.

Press Association

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