FEATURE/Consumers are shopping smart this Christmas season

Business Wire, Nov 22, 1994

CHARLESTON, S.C.--(BUSINESS WIRE FEATURES)--Nov. 22, 1994--Look for the conservatism that American voters took with them to the voting booths to be evident in Christmas gift giving this year.

Shoppers will be spending more money this year than last, but they'll be looking for bargains and seeking more value in their gift giving.

So says a national survey of 1,000 American consumers taken on the heels of the historic off-year election that elected conservatives across the country.

"The attitude of the public toward electing conservatives is the same way they're going to shop and pay for Christmas presents this year," said Britt Beemer, chairman and founder of America's Research Group and author of the study.

The vast majority of those interviewed said they would pay cash for their purchases. Nearly two out of three interviewed said they would be using cash more than last year. Even those who intend to charge their Christmas purchases say they will pay for them quickly. Nearly three-fourths of the charge card users said they would pay their bills immediately, and another 18.3 percent predicted they would have the Christmas bills paid within 90 days.

Santa's shopping list of the top 10 gifts has only minor variations from a year ago. Here are the most popular gifts:

TOP GIFTS - 1994

Toys under $20; Children's clothes; Women's blouses & tops; Men's casual shirts; toys $21-$50; Women's sweaters; Men's sweaters; Men's fragrances; Books; Jewelry.

When asked where they planned to shop, discount stores like K-Mart and Wal-Mart again topped the field. Shoppers indicated they would be spending even more time there during this season than last year. National department stores are expected to do about the same volume, according to the survey.

Regional department stores will "have to run major sales in order to attract customers," Beemer said.

Despite their optimism, the conservative mood apparent in the November 8th election was reflected in this survey, conducted four days later. For example, consumers say they've postponed their shopping later into the season than last year, again looking for those last-minute sales.

"It should be a very good season for any retailer who offers quality products at attractive prices," Beemer observed.

"All in all, it should be a very happy and prosperous Christmas season for retailers, buyers and recipients alike," Beemer said.

The national survey of 1,000 was conducted by telephone November 12-13, 1994. The survey has a margin of error of /-4.3 percent.

America's Research Group, formed in 1979, is the leading consumer research firm in the retail industry. The organization has interviewed more than two million American consumers, including 20,000 new interviews each month.

CONTACT: Citigate

             Norman Weissman, 212/338-0610
                         or
             Blackwelder Communications
             Jerry Blackwelder, 910/288-6235