With fears of an economic slowdown, consumers will be shopping for more modest gifts this Christmas season, according to an Ernst and Young sales forecast.
Ernst and Young partner Daniel Baer said supercentres and warehouse clubs attract more customers as consumers become more value conscious. While big-ticket electronics will again top Canadians' wish lists, they'll likely remain on store shelves, unless they're heavily promoted.
Instead of buying expensive LCD TVs or high-end cellphones, consumers are likely to stick with more affordable electronic gifts such as DVD players or GPS systems, which Baer said will be heavily discounted.
Baer predicted that retailers will discount their prices early this Christmas season and into the new year in an attempt to move inventory.