DMNews.com featured an article by Carol Kroll last week, bearing mildly optimistic forecasting about retail e-commerce and advertising this holiday season. According to recent analysis by Google and OTX (a consumer research and consulting firm) 53% of 2009 holiday retail advertising budgets will remain the same as those of 2008, while 41% of retailers plan to increase their ad spending compared to last year.
According to Sandra Heikkinen, a spokesperson for Google, “...retailers had more of a chance to adjust their inventory." She continues, “last year, they'd had allocated their inventory before the downturn and needed to get items off the shelves. This year, they were able to plan a bit better.”
She also added the fact that e-commerce - one of the few performers in last year’s holiday shopping season, - will continue to shine in 2009. Compared to 2008, two-thirds of retailers expect online sales to increase this year; only 12% expect sales to decrease. Coupons will continue to be a major motivating factor for consumers this year, according to the study, which revealed that 68% of consumers plan to use coupons this holiday season.
Last month, the National Retail Federation projected a 1% decline in overall holiday retail sales this year, decreasing from last year’s drop of 3.4%. The NRF also predicted a 3.5% decline in retail sales for the full year of 2009.
via at Carol Kroll @ DMNews
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