Early deals, inflation-era spending, ‘Christmas creep’ define holiday shopping season

Nov. 21, 2022

The holiday season strategy at Bricks & Minifigs essentially is captured in two words: stock up.

That’s what owners Jenn and Ryan Dean have been doing since they opened the Lego store in May in a retail center on the northeast corner of 41st Street and Kiwanis Avenue.

“We are expecting a very busy holiday season,” said Jenn Dean, noting that customers already have come from as far as northern Minnesota to buy, sell and trade Legos.

“Lego has already said their production is a little less than last year, and our vendor for our new-in-box Lego has also told us it’s going to be tough to get the items to come in for Christmas. Luckily, we’ve been stocking up since June, so we have tons of inventory that we have been stockpiling to make it through the holiday season.”

The store is putting out a large selection of new, certified used and rare Legos for a holiday open house Nov. 26, known as Small Business Saturday, including door prizes, treats and Santa. Dean expects a surge when the doors open at 10 a.m.

“The last couple of weeks, we’ve seen lots of kids come in with parents getting ideas, walking in and making the Christmas list,” she said. “My advice to parents and anyone at this point is buy it while you see it because it may not be here next week.”

That’s a message that’s rippling across the retail sector, which has seen “Christmas creep” escalate even earlier this year.

“This holiday season cycle is anything but typical,”  said Jack Kleinhenz, chief economist for the National Retail Federation, in its holiday season outlook.

The overall forecast is generally positive. Despite high levels of inflation and low levels of consumer confidence, the spending continues.

“The holiday shopping season kicked off earlier this year – a growing trend in recent years – as shoppers are concerned about inflation and availability of products,” Kleinhenz said. “Retailers are responding to that demand as we saw several major scheduled buying events in October. While this may result in some sales being pulled forward, we expect to see continued deals and promotions throughout the remaining months.”

The federation’s research found 46 percent of holiday shoppers planned to browse or buy before November.

“It’s certainly trending differently,” said Nathan Sanderson, executive director of the South Dakota Retailers Association. “Ten years ago, Black Friday was this major, major thing, with people reopening on Thanksgiving, and there were these mad rushes to get great deals on electronics, and that’s not quite the same anymore. Black Friday is still a major shopping day in South Dakota and around the country, but Christmas creep is real. That is 100 percent real. We’re skipping Thanksgiving and going right to Christmas.”

By Nov. 1, retailers had swapped out Halloween for Christmas items, he added, and people started shopping accordingly.

“It’s a touch early, but inflation is a real deal, and it’s impacting the way South Dakotans are spending,” Sanderson said. “What a lot of people are saying is that people are spending about what they had planned to spend or about what they spent last year, and the dollars are going to be similar, but the net gain for a business owner is probably going to be less because in many cases their prices have gone up.”

At The Empire Mall, what general manager Dan Gies characterized as “an excellent back-to-school season” has spilled over into the fall.

“Typically you go into a September-October lull, and that didn’t happen as much as it normally did,” he said. “The supply chain has reversed course, so to speak, there’s a lot of inventory, and, of course, the deals start early just like they have the last couple years. You’ve got Black Friday deals (in early November) all across the stores, so I think it’s going to be a really solid November as well and a great holiday season.”

At Bricks & Minifigs, there still will be Black Friday sales, though the focus is on Saturday. And there is recognition that customers could be more budget-conscious. That takes the form of certified used sets, which ensure all pieces and instructions are there and offer a way to save.

“It’s boxed up and ready to give as a gift, so we have those for the budget-conscious shopper,” Dean said. “And, of course, we have our $3, $5, $10 and $15 shelves that will make great stocking stuffers or a little gift.”

Newcomers to the Sioux Falls market also likely will snag their share of the holiday spending pie. It’s the first holiday season for Bricks & Minifigs as well as a slew of new additions at The Empire Mall.

The newest, athleisure store AS Revival, chose the mall for one of its first stand-alone storefronts, reflecting the strength of its sister brands Altar’d State and Tullabee, which sells children’s clothing and also is marking its first holiday at the mall.

“That’s a big storyline,” Gies said. “Just this year alone, Lovisa was first to market in 2022, Tullabee was close after that, Pandora came back with a bigger footprint, and Daily Thread was a little later. Lauriebelles was a big one because that’s a local, iconic brand.”

New draws for younger shoppers include Gibby’s Arcade and newly returned Great American Cookie.

Seasonal retailers are back as well, including a Christmas store in center court with decor and personalized items.

Dillard’s has a literal sign of progress up, too, as shoppers will find the future entrance off the food court has a new floor-to-ceiling sign.

“There’s a lot of dirt moving,” Gies said. “We wanted to get some concrete down on the new addition prior to the snow flying. We’re still on target for October of next year. I think our refreshed announcement and all the construction going on is generating a lot of excitement and positivity.”

City sales tax revenue reflects continued sales growth as the year has progressed, up 12 percent year-over-year in October, which shows mostly sales from September. That’s over and above the 7.7 percent inflationary growth reported in that time.

Gies said he thinks it’s still just beginning, though.

“I still think our biggest days are going to continue to be between Black Friday, Thanksgiving week and weeks one and two of December,” he said. “Where typically in the past you ran up to Christmas, I think the biggest days are only a few weeks ahead.”

Want to stay in the know?

Get our free business news delivered to your inbox.



Early deals, inflation-era spending, ‘Christmas creep’ define holiday shopping season

“This holiday season cycle is anything but typical.” Shoppers started early and so did retailers. How 2022 is trending differently as we approach retail’s big shopping weeks.

News Tip

Have a business news item to share with us?

Scroll to top