Out-of-Stocks Could Humbug the Holidays
Every year, retailers, analysts and publications publish lists of the toys that will be in most demand for the holidays. In the past, manufacturers have often taken the public relations hit for not producing enough toys to keep up with demand. This year, however, consumers may be pointing their fingers at retailers as shortages, some that are already occurring, result from merchants being cautious with inventory rather than a lack of manufacturing capacity.
According to an Associated Press report, Zhu Zhu Pets hamster by Cepia Inc., Mindflex by Mattel, and Barbie Fashionista are becoming difficult to find weeks ahead of Black Friday.
Jim Silver, an analyst at Timetoplaymag.com, told the AP that will be shortages on the top 100 toys by early December versus the top 15 in typical years.
"Stores just under-ordered across the board," he said.
Discussion Questions: How will out-of-stocks affect retailers this holiday season? Do you think merchants will be "paying" for being out-of-stock on popular items even after the holiday season or will consumers be understanding of the situation?