Consumers are more value conscious than they've been in the past. There shopping habits have shifted from department stores to discounters and mass merchandisers. Many consumers can find the same items at a mass merchandiser that they can find at a department store at a substantially lower price. Christmas time has traditionally been important to retailers but there has been lackluster growth in the past few years despite the booming economy. Part of the problem is shifting demographics.
Older people tend to buy fewer clothing as they age.
Since, the baby boom generation is approaching 50 they will have less need for more clothes. Some retailers have responded by offering theme promotions during other parts of the year such as Valentines Day, Independence Day, and Easter. Retailers are also requiring their suppliers to develop unique and exclusive merchandise and product assortments for their stores to avoid competition with a competitive store for the same product. Consumers are much more value-oriented which has contributed to the growth of mass merchandise stores. Another indication is the growth of the warehouse or wholesale club store concept over the past two decades.