A Bell Ringer

All the year needed was a final record to top it off--and last week the record was assured. Despite six fewer shopping days between Thanksgiving and Christmas, despite the earlier pessimism of many merchants, despite even the shock of President Kennedy's assassination, Christmas sales set an all-time high. Last year's record was broken by Dec. 21, when sales were running 5% above a year ago. Christmas figures from many big cities showed the extent of the gain: 10% over last year in Houston, 5% in Boston, 3% in Chicago, 9% in Detroit, 9% in New York.

Less Frivolity. Booming Christmas sales, which usually account for about 20% of all annual retail sales, are being taken by retailers as a good omen for 1964, and a sign that merchants can expect to set more records this spring, when Easter comes earlier than usual (March 29). At the beginning of this year's Christmas rush, merchants noted a fall-off in sales after the President's death, and when the crowds set forth again, they showed more restraint and less frivolity than in many years. But people still had to buy gifts for wives and husbands, children and relatives--and quickly made up for lost time.

Merchants, as usual, turned the after-Christmas week to advantage. As consumers marched back to exchange wrong-sized gloves, unwearable ties or too-flimsy negligees (total returns equal about 8% of the year's sales), stores baited their welcome with year-end clearance sales. Because most stores do not like to tie up their money in big inventories, they usually borrow against expected sales at Christmastime to lay in the big holiday stock they need, like to get rid of whatever is left quickly in order to cut their interest payments and clear their stocks for spring merchandise. "Business between Christmas and New Year's is always fabulous," says Robert Daly, Chicago district manager for Montgomery Ward. "It is an exciting time in the retail business."

Give No Cash. Sometimes, because of the sales, customers exchange a return for one or two cheaper items, but stores depend upon commission-conscious clerks to lure customers into trading up to a more expensive gift, or buying a yellow shirt to go with the yellow sweater they were given. Giving refunds in cash is avoided wherever possible; Houston stores have joined together in a pact against giving cash refunds unless, says one merchant, "a customer carries his protest to lying on the floor and kicking his feet." Since few customers have enough post-holiday energy left, they are usually content to settle for something else.

This file is automatically generated by a robot program, so reader's discretion is required.