Analysts: retailers pushing holiday discounts
New York — Mall traffic rose this past weekend as retailers increased their use of promotions to attract cash-strapped shoppers looking for holiday bargains, an analyst said Monday.
Wedbush analyst Mark Benson said there was an increase in shopper traffic, although the number of customers actually carrying shopping bags wasn’t high. There is just one more shopping weekend before the Christmas holiday.
At department stores, Benson said traffic rose, helped by more promotions and discounts and colder weather. “There was a definite shift from specialty retail to department stores in the colder climates with outdoor malls,” Benson wrote in a client note.
Macy’s Inc. had the highest traffic among department stores, Benson said, followed by Nordstrom Inc. and J.C. Penney Co., Benson said.
Also, traffic rose at home furnishings retailers Williams-Sonoma Inc. and its Pottery Barn unit.
Brean Murray analyst Eric Beder also said discounting has risen, especially among teen retailers, and expects the winners will be those companies that focus on value.
Beder said teen retailer Aeropostale Inc. is offering at least 50 percent off merchandise across the entire store, while competitors Abercrombie & Fitch Co. and Hollister Co. are sticking to their Black Friday price cuts.
