US retail compliance may be affected by holiday hiring
September 30, 2013
As retailers enter the busiest time of the year, many plan to increase hiring, but U.S. retail compliance is still a concern. U.S. point of sale compliance will need to be a consideration when stores take on new hires.
While overall holiday hiring is expected to be slower than in 2012, Walmart plans to take on 55,000 seasonal workers, which is a 10 percent increase from last year, Reuters reported. Other retailers are expecting holiday shoppers to be more cautious due to the slow recovery. Many consumers are turning to online shopping, which may take some sales away from traditional retailers. Some companies are taking on more seasonal workers as well as offering their permanent employees the chance to work more hours. In fact, Walmart will be changing some of its part-time employees to full-time status.
Holiday sales expected to increase with jobs, housing market
Although retailers' hiring forecasts appear to be static compared to last year, holiday sales are expected to rise 4.5 percent compared to 2012. Deloitte forecasts total sales from November through January would be $963 billion to $967 billion, according to Bloomberg. Home prices have risen and joblessness has reached its lowest level since December 2008. Job creation may continue to keep consumer spending high. Although reports on economic growth have been mixed, many expect solid gains during the holiday season. Despite improved employment rates, many consumers have been concerned about higher payroll taxes in 2013.
Online purchases are expected to grow to as much as 13 percent. Although non-store purchases are increasing faster than overall retail growth, the jump this year is predicted to be the smallest since 2010, Bloomberg said. Mobile-influenced sales are expected to account for approximately 8 percent of in-store purchases this year. Consumers often use their smartphones to do quick comparisons of products and prices at other stores, and customers who utilize their mobile devices are more likely to make a purchase than those who do not.
The mobile trend has led many consumers to visit fewer stores before they find the items they want. Many retailers are planning to start their holiday promotions as soon as Nov. 1 because there are fewer days between Black Friday and Christmas. Retailers have to adapt to shifting consumer behavior and the trend of mobile purchases.