Washington, DC – The struggling U.S. economy took another blow today with the news that revenue figures from domestic 2002 “Christmas in July” sales were down 39% from 2001. The sales, held mostly at retail locations and car dealerships, usually provide a boost to the economy in an otherwise slow period. Many retailers count on “Christmas in July” to keep their stores profitable until the actual holiday shopping season, which kicks off in November.
Steve Jeremy, owner of “Crazy Steve’s Appliance Emporium” in suburban Washington, D.C., says this was the worst “Christmas in July” he has seen since he opened his store in 1976. “Usually we get a big boost in sales, but (this year) sucked.” Jeremy said that for this year’s event, he slashed prices up to 40%, and spent double his monthly budget on advertising. “I did commercial spots, with me wearing a Santa suit, dancing around in fake snow, singing Christmas carols, everything”, he said. In addition to the ads, the interior of his store was decorated, and free eggnog was offered to shoppers who applied for a “Crazy Steve’s” line of credit. Despite all of his efforts, however, Jeremy said that sales increased only about eight percent from June.
Economists say that the poor numbers for this year’s “Christmas in July” sales are simply a sign that the U.S. economy is still suffering from low consumer confidence, fueled by corporate scandals and terrorism fears. Most expect a turnaround in late 2002, which means that next year’s “Christmas in July” season should produce the expected sales numbers and help keep appliance and car salespeople gainfully employed.
Auto dealer Charles Tremont certainly hopes the economists are correct. “I can’t have another July like this one”, he said. He added that his dealership usually sells double the normal amount of cars during his “Christmas in July” sale, during which he also wears a Santa suit, and his salespeople don reindeer antlers. This year, however, Tremont said that his sales were only up by about ten percent. Grumbled one of Tremont’s salespeople, who wished to remain anonymous, “we dressed up like idiots for nothing”. Tremont says to ensure a better July in 2003, he may augment next year’s “Christmas in July” sale with a bobble-head doll giveaway. “Everybody loves them bobble-heads”, he said.
If the economy turns around in the next few months, some retailers are considering pushing for “Christmas in September” events, but Jeremy for one, will not be taking part. “Whoever heard of ‘Christmas in September’? That’s just stupid”, he said. |
