Retailers’ newfound pricing power is making some customers think twice about their holiday shopping plans
and Home Depot said they wish they had more inventory to sell, but lack of adequate supply does help reduce discounting.
The average discount percentage for men’s apparel purchased over the Labor Day weekend through Brad’s Deals, an online discount marketplace, was 54% this year, compared with 71% a year ago. For shoes, discounts declined to 51% this year, from 62% last year. And sports, fitness and camping gear was discounted on average 31% this year, compared with 50% last year. Each of those categories was also less promotional this year compared with 2019.
Casey Runyan, managing editor of Brad’s Deals, said that overall she expects reduced discounting to persist into the holiday season. “Promotions will likely be strategically placed on goods that retailers have in excess stock,” she said. “Those items might not be on top of shoppers’ holiday wish lists.”
For the first few weeks of October, the percentage of items on sale in aggregate at a handful of brands he tracks declined 5% compared with the same period last year. Nike and Adidas products sold athad the biggest reduction in promotions, with discounts roughly 30% lower at both brands. Coach, Ralph Lauren and Michael Kors items sold at Macy’s also had lower discount rates.
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