Alabama should break $10 billion in taxed sales in November and December for the second year in a row, the Alabama Retail Association predicts. Alabama holiday sales in our state may even reach close to $11 billion.
Through September of this year, our state has averaged 4.38 percent growth in taxable sales each month over the same month last year. If sales continue along that trajectory, Alabama could reach $10.8 billion in total taxed sales for November and December.
For the second year in a row, Alabama’s holiday growth rate is expected to exceed the national average.
The National Retail Federation expects retailers nationwide will see a 3.7 percent increase in spending during the months of November and December over the same time period last year, based on its 2015 holiday spending forecast.
“In light of positive jobs reports and record September sales in Alabama, Alabama’s holiday sales growth should exceed the nation’s,” said Bob Robicheaux, a professor in the Department of Marketing, Industrial Distribution and Economics at the University of Alabama at Birmingham and a member of the Alabama Retail Association board of directors. Spending in Alabama appears to be “breaking loose, which should lead to a positive fourth quarter,” Robicheaux said.
Still, Robicheaux added, “The 2015 holiday season is going to be as price competitive as ever” with continued “downward pressure on prices.” He also said “intense price competition among the giant retailers will mean tight margins for smaller retailers as well.”
Ricky Bromberg, incoming chairman of the Alabama Retail Association and president of Bromberg & Co., America’s and Alabama’s oldest family-owned retailer, said, “We are planning and have stocked for a moderate sales increase from last year. We are looking forward to the 2015 Christmas selling season.”
Alabama Retail projects about 1,000 net jobs will be added across the retail and food/beverage industries in Alabama during the months of November and December based on hiring trends over the past several shopping seasons. On the national front, NRF expects retailers will hire between 700,000 and 750,000 seasonal workers this holiday season, in line with last year’s 714,000 new holiday positions.
The Alabama Retail Association represents retailers, the largest private employer in the state of Alabama, before the Alabama Legislature and the U.S. Congress. Our 4,000 independent merchant and national company members sell food, clothing, furniture and other general merchandise at more than 6,000 locations throughout Alabama. Alabama Retail promotes what is best for the retailing industry in Alabama and has been doing so since 1943. From legislation to education, through communication and member services, Alabama Retail members benefit from the value of membership in their association. Retail works!
Melissa Johnson Warnke | 334.551.0631 | 256.338.0621 (c)
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