Retail Group: Blue Laws May Have Hurt Mass. Holiday Sales
Massachusetts retailers hoping to ring in robust holiday sales may not have fared as well as their counterparts in 47 other states thanks to state “blue laws” that prevented shop owners from opening on Thanksgiving evening, according to one retail expert.
The shortened holiday shopping season – with one less week between Thanksgiving and Christmas this year – created a challenge for retailers, said Jon Hurst, president of the Retailers Association of Massachusetts.
“It was always going to be a challenge because of the calendar,” he said. Massachusetts retailers lost the opportunity for millions of dollars in sales, he said, adding the state needs to rethink blue laws.
“It is something we are going to have to grapple with. We are going to have to look at it if the trends continue and people look to shop,” Hurst said. “Let’s face it; the blue laws don’t necessarily stop people from shopping. It just stops them from shopping from local employers.”
An estimated 45 million people nationwide shopped Thanksgiving Day, according to national retail data. Massachusetts, Rhode Island and Maine prohibited stores from opening. Hurst called the blue laws frustrating because they don’t restrict other retailers from opening, like grocery stores, restaurants, bars and movie theaters. Hurst said he spoke with his counterpart in New Hampshire, who reported stores were “packed” Thanksgiving.
Retailers with strong sales during the season could be hurt by deep discounts, Hurst said. “Profitability will be an issue. There is a ton of discounting going on,” he said.
Prices at stores and online retail sites began nose-diving days before Christmas as retailers tried to spur sales with discounts typically saved for after the holiday, Hurst said. Before Christmas, Amazon.com offered deals up to 70 percent off. Mall retailers, like Ann Taylor, chopped some prices by 50 percent, and Old Navy launched “after-holiday” discounts of up to 75 percent off.
Still, the final days of shopping could have turned the season into a win for retailers, Hurst said.
“We are still cautiously optimistic,” he said. “The consumer is far more optimistic now than they were a year ago. We have seen that throughout the year. Hopefully, it will end up being a good month.”
(Image credit: freedigitalphotos.net)
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