Small Business Owners Think
Economy is Improving,
But Predict Flat Holiday Season Sales

Survey Shows Small Business Owners Expect Increase in Cost- Conscious Shoppers; Few Will Hire Seasonal Employees

PHOENIX, Nov. 4, 2003:  A majority of small business owners think the American economy is on the upswing but predict that this year's holiday shopping season will result in the same revenue as last year.

The survey, conducted during October on shows that 55 percent of small business owners think the economy is improving while 44 percent think the economy is stagnant or declining. The survey also shows that many small retailers are ordering the same amount of holiday merchandise as they ordered last year, and that the overwhelming majority will not hire seasonal employees to help with the holiday rush.

"Small business owners are clearly being cautiously optimistic about the economy in the long term, but they don't expect to see a huge improvement in time for the busiest shopping season of the year," said Marc Joseph, president of Dollar Days. "While our survey is not scientific, it does point out the challenges faced by small business owners. It also points out that the economy probably won't benefit from a boost in seasonal employment."

Survey results include:

• 36 percent of small business owners say their sales seem to be ahead of last year's holiday season.

• 34 percent say their business is about the same.

• 28 percent say this year's sales are lower than last year's.
   

• 57 percent say customers are more cost conscious than they were last year.

• 41 percent say customers are equally or less focused on cost.
   

• 44 percent of small business owners surveyed say holiday season sales will be better than last year.

• 28 percent say their sales will be below last year's level.

• 26 percent expect their sales to be the same as last year's.
   

• 76 percent of small business owners say they will not hire seasonal employees to help with this year's holiday rush.

• 30 percent say they will stock their stores with more seasonal merchandise than they stocked last year.

• 31 percent say they will stock less.

• 37 percent say their stock levels will remain the same as last year's. TOP

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Source: DollarDays International
 

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