"Many people feel selfish spending money on gifts—especially luxury
items—while so many of their fellow citizens are suffering because
of the events of Sept. 11," he adds. "The Christmas shopping season
is very much linked to feelings of celebration and people are not in
the mood to celebrate."
Making matters worse for retailers, according to Jain, is America's
growing fear of crowded places, like malls, that could be targets for
terrorist attacks, and the continued slide of the stock market, which
is reflected in third-quarter losses announced this month by the retirement
annuities of many consumers.
"All these factors point to a poor holiday season for retailers," explains
Jain, "but there are some steps retailers can take to bring shoppers
into the stores."
Jain suggests that retailers offer consumers a full slate of community
activities, such as holiday concerts or holiday fashion shows featuring
local high school students. This would provide consumers with relief
from their mourning, as well as give them a guilt-free reason to visit
stores and malls, he says.
Patriotic activities such as blood drives or fund-raising events for
families and victims of the terrorists' attacks would be particularly
effective and beneficial, he adds.
"These events will help heal wounds and provide an opportunity to escape
the constant drumbeat of news about the World Trade Center tragedy,"
he explains. "They give consumers the opportunity to see what items
are available and helps them see that it's okay to shop and behave like
a normal person."
Jain also recommends that retailers focus on promoting sales of non-luxury
items, such as winter clothing and other essentials.
In the long run, he says that government leaders need to do a better
job of educating consumers about how their behavior impacts the U.S.
economy.
"Most consumers don't realize that half of a department store's sales
occur during the Christmas season, and if these stores don't have a
successful holiday season, they can't afford to stay open during the
rest of the year," he says.
"So it's in the best interest of consumers to shop during Christmas,
otherwise their shopping choices during the rest of the year will begin
to dwindle. That means the terrorists will have accomplished one of
their objectives—depriving us of our freedoms."
