Without any innovative, must-have decorations for Christmas 2007, cautious consumers will have little reason to buy

Retailers and marketers are hunkering down for a less than stellar Christmas gift shopping season.  Now there is one more reason to add to their gloom -- There is no trendy Christmas decoration that people absolutely must buy to add to their holiday displays.  As a result, Christmas decorations sales are expected to remain about the same as last year at $9.3 billion. This according to the last study of the seasonal decorations market from Unity Marketing.

"Innovation drives the seasonal decorations market and this year there is nothing really new to capture people's imaginations and compel them to buy," says Pam Danziger, president of Unity Marketing and author of Shopping:  Why We Love It and How Retailers Can Create the Ultimate Customer Experience.

"Last season the must-have item was the outdoor balloon inflatables which contributed to the 9.5 percent growth in sales of Christmas decorations from 2005 to 2006.  This year the stores have little to offer that will generate that kind of excitement and stimulate such strong sales."

She continues, "The biggest innovation this year is the prelighted Christmas trees which eliminates a major hassle in decorating.  But with prices ranging $250 and above for the better offerings, this isn't the season when people are likely to 'trade up' to a more luxurious Christmas tree alternative.  They will wait until next year, when hopefully they will feel more flush.  For this season consumers are expected to focus on the 'usual suspects' when it comes to Christmas decorating, including Christmas tree balls and ornaments, mantel decorations and candle lights,"  Danziger notes.

And she concludes that new color schemes for Christmas decorating are not likely to jump-start sales either this year.  "While decorators and designers keep pushing alternative color combos for Christmas, nearly 70 percent of decorations buyers surveyed plan on sticking to traditional green and red themes.  Gold is a popular accent color, followed by white and silver."

About the Seasonal Decorations Report, 2007 Update

These statistics and more about the seasonal decorations market are available in a new Unity Marketing market research study, The Seasonal Decorations Report, 2007 Update. Based upon research conducted with active holiday and seasonal decorations buyers, including results of surveys of 2,000 consumers in 2005 and 2006, this report is prepared for product designers, marketers and retailers that target the holiday and seasonal decorations market and who need to know the latest trends in holiday decorating.
With a focus on the consumer, their needs, desires and preferences, this research study includes research data and statistics about:

• Market Size and Growth – The report breaks down sales in the $19.3 billion retail industry by holiday and season, by type of indoor and outdoor decorations and channels of distribution.  It also provides growth statistics from 2003 to 2006 and sales projections through 2015;

• Holidays and Events that Stimulate Decorations Purchases – Provides details about decorations buyer demographics, the holidays they decorate for, attitudes about decorating, what decorations they purchased and how much they spent.

• Types of Decorations –Details concerning what consumers use for each holiday and event, including Valentine’s Day, Easter, Halloween, Christmas and other major holidays, as well as parties and other events.

• Top Brands and Competitors --  The report profiles key competitors in the holiday and decorations market, including:

  • American Greetings and Carlson Cards;

  • Boyds Bears/Boyds Collection;

  • Bronner's;

  • Walt Disney Company;

  • Demdaco, including Silvestri;

  • Enesco;

  • Hallmark;

  • Kurt Adler;

  • Lenox Group, including Department 56;

  • Midwest of Cannon Falls;

  • Old World Christmas;

  • Pacific Rim;

  • Precious Moments;

  • Rauch Industries including Christopher Radko;

  • Things Remembered; and

  • Yankee Candle.

Where They Shop – Which stores they favor and the key factors that influence shoppers in their store selections for decorations shopping.
 

Personalities –  Provides profiles of five different types of seasonal decorators and provides guidance to marketers in how to use these psychographic insights to sell more.
 

Trends in the Market for Decorations  – Identifies five key opportunities for marketers now and in the future, as well as an important marketing vulnerability marketers must be careful to avoid.

For media:  Charts, tables and graphs are available on request.

About  Pam Danziger and Unity Marketing