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Retailers, consumers and prices

June 9th, 2008

Temperatures favor retailers for a change

Posted by: Nicole Maestri

beach.jpgRetailers looking to sell seasonal merchandise got a helping hand from the weather last week — at least in some parts of the country.

According to weather tracking firm Planalytics, the week ending June 7 marked the first time in 7 weeks that the temperature average across North America was warmer than the same week the prior year.

It was only the 8th week this year where temperatures across North America were warmer compared to last year, Planalytics said.

The higher temperatures in the East and Mid-Western North America sent consumers to the stores in search of air conditioners, shorts, sandals, and cold beverages. 

“For those areas that experienced severe storms, demand for emergency items such as generators, batteries, and canned foods surged,” Planalytics said.

But in Western portions of North America, cooler temperatures and occasional periods of rain kept seasonal demand levels muted, it said.

(Photo: Reuters) 

May 7th, 2008

Check Out Line: Let the sunshine in

Posted by: Brad Dorfman

sun21.jpgCheck out a little retail sunshine.
 
The weather finally got a little better in April, which helped retailer’s sales even as the economy stayed week, according to Planalytics.
 
“While April 2008, on a national level, may have been an ‘average’ month in terms of temperature — the weather helped unleash pent up demand, improving sales in the Northeast, Midwest and the Ohio Valley,” the consulting firm said.
 
The company, which provides weather information for businesses, said home centers, restaurants and softline retailers all showed positive year-on-year gains. 
 
It called out Bon-Ton, Dress Barn, Family Dollar and Lowe’s as having the strongest sales gains.
 
“While the economy remains sluggish, the weather has certainly done its part this month to improve business’ fortunes,” said Scott Bernhardt, Planalytics Chief Operating Officer.
 
Also in the basket:
 
Dr Pepper Snapple to focus on brands, U.S.
 
Unilever looks for Bertolli sale deal: sources 
 

(Photo: Reuters)

April 11th, 2008

Could there be sunshine on the horizon for retailers?

Posted by: Nicole Maestri

umbrella.jpgMarch’s weather was not exactly a friend to retailers.

It was cold, damp and even snowy in parts of the country — not quite ideal weather conditions for retailers trying to sell new spring goods, like dresses, sandals, or even fertilizer. (We saw the extent of their struggles on Thursday, when retailers reported dismal March sales figures)

While weather is obviously a very local phenomenon, April so far has not been much kinder than March. According to weather tracking firm Planalytics, this weekend – April 12th and 13th — will be a repeat of most Eastern weekends this spring — a mixture of storminess and cooler temperatures.

But wait … could an upper air pattern be coming to the rescue?

Planalytics said its meteorologists see a change in the upper air patterns between April 16th and 20th. That should result in warm, fair conditions over much of the East and Southeast, extending westward into Texas and as far north as southern Ontario and Quebec, the firm said. 

“Pent-up demand is strong in the East, from the Carolinas to the major Canadian cities of the St. Lawrence, where consumers have been anxious to get out and about. Their gardens need tending, bicycles tuning, and kids want out of the house,”  Planalytics said.

Get ready for surging demand for shorts, sundresses, fertilizer, grass seed, bottled water – even beer — Planalytics said, as people flock to the stores or enjoy the outdoors.

But we can’t all enjoy better weather.

“Unfortunately, the same change turns the Northwest cool and stormy and keeps many of the western and central Canadian provinces out of the fair weather,” the firm said.

(Photo: Reuters)