Convenience keeps Canadian shoppers north of border: analysts
Last Updated: Monday, December 24, 2007 | 9:41 AM ET
The Canadian Press
It's a familiar sight in shopping malls across the country — long lineups, exhausted customers weighed down with gift bags, stroller-pushing families sifting through red-tagged bargains to find the perfect present to tuck under the Christmas tree.
Despite the advantages of a stronger dollar, many Canadians are sticking close to home this year when it comes to last-minute holiday shopping. Some say it's the convenience of a quick drive to the mall, while others are making a conscious effort to shop in Canada.
"My family doesn't allow shopping in the States because we have to support the Canadian economy," said Carolyn Fraser, 43, one of hundreds of shoppers bustling through a downtown Toronto mall Sunday with her 15-year-old daughter, Kate Curley, and a friend.
Kendra Thomas, Curley's 16-year-old friend, said her family crosses the border to shop in Buffalo for a weekend about once every three months.
"I know my mom, she's done her [holiday shopping]. Has been for awhile," she said. "But I never know what to get them until the last minute."
Retailers across the country have been trying to lure Canadians back after the loonie rose above parity with the U.S. dollar earlier this year. Several have tried to match American prices, while others are risking a loss by offering big discounts.
Border lineups, weather keep Canadians at home: analyst
But unpredictable weather, long lineups at the border and more convenient gift returns and exchanges are also keeping consumers from straying too far from home, said Derek Nighbor of the Retail Council of Canada.
"People are not wanting to travel on the roads very much and also, people are remembering that, 'If I want to return or exchange something, I think I'd rather do that in my home community than have to travel 20, 30, 50 kilometres away to do that,"' he said.
Canadian retailers are still expected to have a good year, thanks in large part to the strong economy, said retail consultant John Williams of J.C. Williams Group.
"There was a lot of hemming and hawing about whether cross-border shopping and the strength of the Canadian dollar would make a difference. It might have hurt some people, but generally, the retailers have had a very good showing to date."
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