The Washington Post - USA (2021-11-23)

TUESDAY, NOVEMBER 23 , 2021. THE WASHINGTON POST EZ RE A

Economy & Business

AIRLINE INDUSTRY

American, JetBlue

fight antitrust suit

American Airlines and JetBlue
Airways asked a U.S. judge on
Monday to dismiss an antitrust
lawsuit filed by the Justice
Department and six states over
the company’s “Northeast
Alliance” partnership.
The suit filed in September
alleges the deal would lead to
higher fares in busy
northeastern U.S. airports and
seeks to unwind the alliance. The
airlines said Monday that the
alliance has been in place for
nine months but that the suit
does “not allege that it has
caused a single higher price, any
reduction in quality or the
slightest reduction in output.”
The Justice Department
declined to comment M onday.
The government and airlines on
Friday backed a proposed trial
date of September 2022, but that
schedule has not yet been
approved by a U.S. judge.
The partnership was
announced in July 2020 and
approved by the U.S.
Transportation Department
shortly before the end of the

Trump administration. The Justice Department said the alliance would cost consumers hundreds of millions of dollars. The airlines argue the Justice Department and states should allow the alliance to continue to prove itself in the market. They note their commitments to expansion, oversight and measures to address possible anticompetitive effects. The Justice Department complaint said the partnership at least partially removed JetBlue as a disruptive maverick that would work to drive down prices. — Reuters

RIDE-HAILING INDUSTRY

Canada’s Uber to take cannabis orders

Uber Technologies will allow users in Ontario, Canada, to place orders for cannabis on its Uber Eats app, marking the ride- hailing giant’s foray into the booming business, a company spokesperson said Monday. Uber Eats will list cannabis retailer Tokyo Smoke on its marketplace on Monday, following which customers can

place orders from the Uber Eats app and then pick it up at their nearest Tokyo Smoke store, the spokesperson said. Uber, which already delivers liquor through its Eats unit, has had its sights set on the burgeoning cannabis market for some time now. Its CEO, Dara Khosrowshahi, told media in April that the company will consider delivering cannabis when the legal coast is clear in the United States. With more than three years into Canada’s legalization of recreational cannabis, the country is trying to fix its ailing pot market, where illegal producers still control a large share of total annual sales. The partnership will help Canadian adults purchase safe, legal cannabis, helping combat the underground illegal market, which still accounts for over 40 percent of all non-medical cannabis sales nationally, Uber said Monday. Cannabis sales in Canada will total $4 billion in 2021 and are forecast to grow to $6.7 billion in 2026, according to data from industry research firm BDS Analytics. — Reuters

ALSO IN BUSINESS Walt Disney amended the final year of a TV distribution deal that lets AT&T’s HBO carry movies from the former Fox studio, gaining the right to share some titles with its Disney-Plus

and Hulu streaming services. The deal, which lets HBO run films after they appear in theaters, is a holdover from when Fox was a separate company. The deal, which still expires at the end of 2022, will include a shorter exclusive

period for the films in theaters and advertising rights when they appear on the firm’s respective streaming services. HBO will hold exclusive rights to roughly half of the films, with the rest shared with Disney.

Ericsson, the Swedish telecom equipment maker, is buying U.S. cloud communications company Vonage in a $6.2 billion deal that will help it expand wireless services for business customers. The acquisition would also give it access to software developers who can build new applications to take advantage of features built into new fifth generation high speed wireless networks that Ericsson is building.

Sales of previously owned U.S. homes rose unexpectedly in October to the highest level since the start of the year, pointing to healthy demand as more buyers take advantage of stronger job growth and low mortgage rates. Contract closings increased 0. percent from the prior month to an annualized 6.34 million, figures from the National Association of Realtors showed Monday. — From news services

DIGEST

REHAN KHAN/EPA-EFE/REX/SHUTTERSTOCK A stockbroker monitors the latest share prices during a trading session at the Pakistan Stock Exchange i n Karachi.

bookstores, toy sellers, clothing boutiques and other indepen- dents on Small Business Satur- day. According to the U.S. Chamber of Commerce, the event was launched in 2010 to redirect some holiday shopping dollars to local stores and is now observed by all 50 states. To find a participating business near you, do a search for #SmallBizSat on social media or a simple online search. Local newspapers, blogs and neighborhood email groups can also point you to retailers in your area. [email protected]

9 a.m.: Bass Pro Shops

Black Friday 5 a.m.: Bass Pro Shops, Best Buy, Dick’s Sporting Goods, J.C. Penney, Kohl’s, Walmart 6 a.m.: Bath & Body Works, Bed Bath & Beyond, Big Lots, Home Depot, Lowe’s, Macy’s, Tanger Outlets, Ulta 7 a.m.: Michaels, Target 8 a.m.: Dollar General, Five Below 9 a.m.: Costco Wholesale 10 a.m.: Sam’s Club

Small Business Saturday The NRF forecasts 58.1 million Americans will turn to local

Federation. Fewer major retailers will be open on Thanksgiv- ing. Target, which closed stores on Thanksgiving Day last year because of the pandemic, has decided to make the holiday closure permanent, the Associat- ed Press reported Monday. Stores such as Kohl’s, Macy’s and Wal- mart also are taking the day off. Here’s a rundown of which national retailers will be open on Thanksgiving and Black Friday, though times may vary at some locations:

Thanksgiving 7 a.m.: Big Lots, Dollar General

BY AARON GREGG

Retailers have been urging consumers to get their holiday shopping done earlier this year because supply chain glitches have created new levels of uncer- tainty about what will be in stock and when. The message got across: Retail sales surged in October for things such as electronics, clothing and fitness gear. And yet an estimated 158.3 million Ameri- cans are still expected to shop in stores and online from Thanks- giving Day through Cyber Mon- day, according to a November survey from the National Retail

What time will stores open on Thanksgiving and Black Friday?

BY TAYLOR TELFORD

The days of lining up to shiver
outside big box stores in the pre-
dawn hours on Black Friday are
over for most Americans. Of those
planning to shop this year, a pro-
jected 80 percent will do at least
some of their shopping online to
take advantage of holiday deals.
With consumers financially
better off than they were last year,
analysts are expecting a high-oc-
tane season even as retailers re-
main vexed by supply chain snarl-
ups, labor shortages and surging
inflation. They will spend $785,
on average, on gifts, according to
NPD Group’s Holiday Retail Out-
look. That is more than 13 percent
higher than last year and 6 per-
cent more than 2019.
Most retailers kicked off the
season early, with many wheeling
out holiday inventory before Hal-
loween. Total U.S. retail sales
jumped 1.7 percent in October, the
U.S. Commerce Department re-
ported last week, even as consum-
er confidence hovered at a 10-year
low amid rising gas, grocery and
electronics prices.
Popular items are likely to be in
short supply and sell out sooner,
experts say, so making key pur-
chases will require patience, per-
sistence and flexibility.
“It might just be a strange shop-
ping season, a little bit less pre-
dictable but not necessarily more
cutthroat,” said Claire Tassin, re-
tail and e-commerce analyst at
Morning Consult.
Here’s five tips for more suc-
cessful holiday shopping, starting
with Black Friday weekend:

Start early — like, right now

If there’s anything specific and
nonnegotiable on your wish list,
such as a hot toy or gaming con-
sole, act now. There’s no guaran-
tee you’ll be able to snag it later
and nothing to be gained by wait-
ing, according to Taylor Schreiner,
director of Adobe Digital Insights.
“Anything you absolutely need
that’s specific, get it,” Schreiner
said. “Does it have a specific style,
color, size that you need to give to
somebody? Now’s the moment to
go buy those things. The prices
have already started to come
down.”
Many Americans jump-started
their holiday shopping in Octo-
ber, spending more than $72.5 bil-
lion online, Adobe reported, up
8 percent from last year. Toy sales
are up 50 percent from last year,
while spending on video games
and gift cards climbed 20 percent.
The swell of demand is causing
shortages to crop up months earli-
er than usual. Online “out of
stock” messages exploded
250 percent in October compared
with the year-ago period, with
shoppers seeing more than 2 bil-
lion of such warnings, according
to Adobe. Electronics had the
highest out-of-stock levels, fol-
lowed by jewelry, apparel, home,
garden and pet products.

Don’t expect a glut of
blockbuster deals

Black Friday and Cyber Mon-
day are great times to make pur-
chases that don’t have as many
specifications, such as TVs, lap-
tops, video games and clothing,
Schreiner said. Americans are
projected to spend $36 billion
online from Thanksgiving to Cy-
ber Monday, according to Adobe,
making up about 17 percent of the

entire holiday season. Inflation has forced many busi- nesses to pass increases on to customers. At the end of October, prices had climbed about 2 percent across all categories Adobe monitors, Schreiner said. There’s still going to be some deals, just fewer of them, she said, “and in general, prices are going to be a little higher than you would have expected.

Retailers also are grappling with skyrocketing shipping costs, a byproduct of the supply chain tie-ups and labor shortages chok- ing freight movers. “For retailers, that means that it’s harder to have the right items on their shelves and in their ware- houses, and harder to do as deep of discounting as consumers would typically expect on Black Friday and Cyber Monday,” Tassin

said.

Research before you buy It’s important to study your options if you want a good deal, according to Julie Ramhold, a consumer analyst at Deal- News.com. “Before adding something to your cart, be sure to check other retailers to make sure you’re getting the best price available,”

Ramhold told The Washington Post in an email. “If there are particular items you’re shopping for, be sure to look into them ahead of time so you’ll know what the normal price is and be able to tell at a glance if it’s a deal or a dud.” Taking the time can pay off: Retailers are increasingly willing to price match, Schreiner said, as well as offer curbside pickup and

other conveniences that can cut down on the shopping chaos. “In a world where things are likely to be out of stock, there’s a lot of value in getting on those apps, finding your product, lining it up, and then going to get it curbside or in store,” Schreiner said. “It’s a lot faster to open a different app and try and find the thing you’re looking for or open a different webpage than it is to drive... and go see if it’s at the next store over.” Best Buy, Home Depot, Kohl’s, Target, Walmart, Macy’s and J.C. Penney all have some form of curbside pickup this holiday season. And check hours: Unlike pre- vious years, Target, Walmart and Best Buy will all be closed on Thanksgiving. That’s partially because so many people are shopping online, Tassin said, but it also reflects a shift away from the midnight openings that were once a Black Friday hallmark: Since 2018, roughly 50 percent of consumers oppose keeping stores open on Thanksgiving, according to Morning Consult. “The impetus to go to the store is less attractive than it used to be, and for retailers to need to be open on Thanksgiving is less attractive,” Tassin said. “It also doesn’t look great in our current climate to have your staff working on holidays.”

Be flexible and brace for delays Although in-store-only offers are a thing of the past, store crowds are expected to far surpass those of the past two years, Ram- hold said. Be prepared for parking issues, long lines and longer checkout times. Bring your face mask, just in case, because many stores still require them for shoppers. For those shopping online only, compare deals and be prepared to take what you can get, Ramhold said. Given the season’s pared- down inventories, it “may be a question of what you’re willing to pay rather than finding the lowest price.” Shipping delays will be tough to avoid no matter where you shop, Ramhold warns, as few in- dustries are immune to the current challenges. And the closer the holidays get, the more pro- nounced the backups are likely to be.

Be persistent, but have a backup plan If you struggle to lock down a key item on your list, don’t lose hope. Between bargain-hunting and backup options such as gift cards, there’s always something to be found. And if you’re set on something particular, keep checking. You never know when a retailer will get a new shipment, Tassin said, and you’ll miss out if you don’t ask. “In some of these key sectors that have been more impacted already, it’s not necessarily that the items don’t exist. It’s just a matter of getting them to the right store, to the right place,” Tassin said. “Because of that unpredict- able timing of inventory, you could be refreshing your browser in the middle of December and find that what you want has come online.” [email protected]

For Black Friday’s best deals,

it’s best to get an early start

EDUARDO MUNOZ/REUTERS Shoppers visit Macy’s Herald Square in Manhattan on Nov. 27, 2020. This holiday shopping season, popular items are likely to be in short supply and sell out sooner, experts say, so making key purchases will require patience, persistence and flexibility.

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The Washington Post - USA (2021-11-23)

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