Starbucks Corp is banking on gift card strategy to boost business volume this holiday season. The American Coffee company is expecting a record number of gift-card purchases on Christmas Eve. The gift-card business is propelling more traffic and loyalty to Starbucks cafes.
National Retail Federation
Breaking News
Holiday occasions bring smiles and enthusiasm in thousands of people as they celebrate by exchanging gifts and inviting people for a feast. This sometimes can lead to overspending, thus making a household budget jeopardized.
The National Retail Federation predicted that a regular household will spend more than $600 this year for school supplies. The amount is said have reduced from last year's spending.
U.S. consumers have not turned out in force for the final shopping days before Christmas, suggesting that traditional retailers will just meet industry sales forecasts in a season marked by deep discounts and growing encroachment from online rivals led by Amazon.com Inc (AMZN.O).
Shoppers filled up malls and department stores on the last weekend before Christmas, as the weather cooperated to help raise the prospect of a solid finish to a holiday season that has so far produced mixed results.
U.S. online sales grew a smaller than expected 8 percent on Cyber Monday after web promotions before and during the Thanksgiving weekend robbed business from what has traditionally been the busiest day of the year for Internet shopping.
This year is set to be a banner year for ecommerce as online sales for Thanksgiving weekend increased 22% from last year. Meanwhile, retail sales fall.
Troubled delivery service US Postal Service said it is hoping the surge in 2013's holiday online shopping and gift-sending would generate more revenue for the company through its partnership with Amazon.com and Sunday package deliveries.
The National Retail Federation said the US retail sales would increase this holiday season by 3.9%.
