Retail forecast bright as holiday shoppers return to high-end stores and malls – CBS San Francisco
SAN JOSE (KPIX) – The future looks bright with retail stores forecasting a record-breaking holiday shopping season this year. Sales could be more than ten percent higher than last year, according to the National Retail Federation.
And shoppers are eager to return to stores and malls.
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âI love coming here and seeing all the decorations,â said Kathy Holmes, who went shopping at Santana Row in San Jose with her mother Harriet.
âLast year we couldn’t go out due to COVID, so this year I’m really looking forward to going out and shopping,â Harriet Holmes said.
The effects of the pandemic are still evident in many places, especially downtown shopping districts and those around office buildings where workers have still not returned. In downtown San Jose, many storefronts are still empty.
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On the flip side, destination shopping and entertainment centers like Santana Row are booming, in part because they cater to higher income households.
âA lot of people in the tech industry and Silicon Valley have been doing really well during this time. They have money to spend and they are looking for luxury goods, âsaid Matthew Holian, San Jose state economics professor.
High-income households are expected to increase their spending by 15 percent this season, providing
the biggest bump according to the National Retail Federation.
âI think overall this should be net / net growth from last year,â said Rohit Kumar, who plans to spend more this year than last year and do more shopping in anybody. âWe did not go out. The Delta has calmed down. I feel like we can go out and enjoy this Christmas, maybe it’s the end of the covid, I just feel better.
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And as retailers know, when shoppers feel better, they spend better.