Feature Story

“Bah humbug” or “jolly” holiday season for area merchants?

Volume 2: Issue 11 - 11/01/2007

By Greg Cohen

The Halloween costumes and decorations have been put away; and now thoughts are turning to those two big questions that are on nearly everyone’s mind as Christmas approaches: "What’s on my wish list?" and "What gifts should I buy?"

For merchants, the big question is almost as universal: "Will this be a ‘jolly’ or ‘humbug’ holiday?"

For many retailers, the holiday shopping season can have a major impact on their business’ bottom line for the year. And that’s even truer for small businesses that must compete for every sale against the "big box" chains, discount stores and the Internet.

And for merchants in rural communities, the problems are exacerbated because they have a smaller potential customer base from which to draw.

It’s enough to give an elf heartburn.

That’s why shop owners in many smaller communities have joined forces in efforts to entice their residents to shop local merchants first for their holiday needs.

"The ‘Shop Local’ campaign has really grown, especially in Oregon," said Vicki Dugger, executive director of the Oregon Downtown Development Association.

Dugger noted that such efforts are particularly important for rural communities, where many of residents spend their Christmas shopping dollars at the malls.

"Everybody likes to go to the ‘big city’ to do their shopping; it’s an experience," Dugger told Coast River Business Journal. "It’s one more thing that rural merchants have to fight."

Despite the many sides competing for every holiday shopping dollar, Dugger said small town retailers can have a "merry" Christmas if they are willing to work together and accommodate shoppers.


First, she said shop owners need to know how to market themselves. They have to determine what makes them unique and then add value to their product to bring customers into their shops.

Successful business owners "think creatively," Dugger said.

And at Christmastime it’s important that downtown merchants work cooperatively with one another. By uniting in a collective holiday sales campaign, merchants have a better chance of attracting customers.

"They need to market themselves in a coordinated effort to get the biggest bang possible," Dugger said.

And shop owners must be willing to make the extra effort during the holiday shopping rush — whether it’s extending store hours; opening the store on Sundays, or offering free gift-wrapping services.

"One big downfall small town (merchants) make is closing at 5 p.m., when most holiday shopping is done in the evening hours after people get off work," Dugger noted.

And for a small community, its economic health is tied directly to the success of its downtown business area.

"According to national figures, for every $1 spent in a store, 54 cents stays in the local community," Dugger said. "That compares with only 14 cents from every dollar spent in a national retailer."

Seaside is one Oregon coastal community that is making a big push to attract local shoppers this holiday season with the Seaside Downtown Development Association’s first annual "Celebrate Festivus" event.

In a takeoff on an episode of the popular TV comedy show Seinfeld where one of the characters creates "Festivus" as an alternative to the holiday shopping frenzy, the Seaside downtown group is promoting extended evening store hours and other special events for shoppers for a week, from Nov. 24 to Dec. 1.

"Since we first announced the event, the response has been wonderful," said Laurie Oxley, executive director of the Seaside downtown group. "This is our first weeklong event ever."

With strolling carolers and an appearance by Santa, the event is designed to be a fun, low-key shopping experience.

"Our goal is to enhance the economic vitality of downtown business members," Oxley said.

But while Seaside’s downtown business group has the advantage of having a paid staff, similar organizations in Oregon’s north coast communities are run by volunteers, with little or no budgets — or time to devote to such undertakings.


Pat Roscoe, president of the all-volunteer Astoria Downtown Historic District Association, said her group focuses primarily on making sure the town’s business district sparkles with holiday lights.

"We encourage our members to stay open later, but it’s more of an individual decision," she said.

The Astoria-Warrenton Chamber of Commerce this year is sponsoring a "Shop Local" campaign that will be publicized through local media, said Skip Hauke, the chamber’s executive director.

Kim Bosse, executive director of the Cannon Beach Chamber of Commerce, said past efforts to create Christmas shopping events haven’t found a lot of support among local merchants.

Like many coastal communities, Bosse said the summer tourist season makes up the bulk of annual sales for Cannon Beach merchants. For that reason, there’s no real push by local merchants to promote holiday shopping.

Still, she said she finds that "very frustrating".

"I think that if you are a well-established business you would realize that the backbone of your longevity [is] your local residents," Bosse said.

Peter Ter Har, owner of Ter Har stores in Seaside and Cannon Beach, agrees that it is difficult for coastal merchants to plan for throngs of shoppers at Christmastime.

Ter Har said businesses and the community have tried to draw local residents to shop locally through various efforts over the years, including the annual holiday lighting in both Seaside and Cannon Beach.

"We don’t get as many visitors [to the coast] this time of year," he said. "But we try to promote [ourselves] to local residents by having a nice big selection of stock on hand and offering [discounts]. Our Day-After-Thanksgiving and Day-After-Christmas sales are like summer all over again."


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