You're watching...
Patrick McKeever, MKM Partners Retail analyst, gives his outlook for Black Friday sales.
Also in this playlist...
Auto-advance: ON
Auto-advance
This transcript is automatically generated
It's.
The holiday wars are heating up ahead of Black Friday from protests over -- store openings of target to wal mart's lead away -- -- -- bookkeeper and camp partnered to my analyst.
Joining me now hi Patrick which discounters are going to perform the best.
In your opinion this Friday.
Well -- when you look at the big players I think -- Wal-Mart has taken a little bit of an early lead they actually had -- Black Friday Friday like promotion on November 5 on a Saturday they -- -- super Saturday but it had a lot of specials like you might find on -- Black Friday on Black Friday.
So I think warmer it's taken a little bit -- -- an early lead they brought their -- but brought.
-- lay away program back for electronics and toys and some other merchandise.
Jewelry but I think as the season progresses that we progresses at least with the big players I think targets you going to emerge.
A bit stronger than Wal-Mart -- let's see them as a real winner at least within MySpace.
And I cover the the discount stores I think Kohl's is positioned to do quite well here as well among the bigger players.
Let me back up to target with you for just a moment I'm curious if you're concerned about.
That what we're seeing with regards to target employees they are now we're bolting protests in the fact that they've got -- -- the holiday.
It nearly some could -- fair enough that we're Gannett -- our viewers that question at home but do you think that it hurts the company's bottom line.
Now I don't think so I mean I can understand why there might be some -- little internal backlash if you will.
But I don't see it hurting the company's bottom line maybe morale will suffer a bit in the short term.
And frankly I just don't I don't think consumers are going to care one way or the other I think consumers will be out there.
Shopping when they open the store is at midnight.
-- on -- Thursday or midnight Black Friday however you -- -- look at it so -- I don't think it's going to be a major issue for target but I can understand where the that the employees are coming from so you might.
You also cover TJX and that's TJ Maxx and they consider themselves an off price.
Retailer do you think that those types of stores are actually going to do well again this year.
Because unemployment is at 9% because the economy.
Is still not really growing.
Yeah I mean that's -- done very very well the the off price based TJX is the biggest player with TJ Maxx and marshalls.
Ross is a very strong number two that a great -- all -- frankly for about the past two years but yes I think they'll continue to do well they're more focused this year.
I'm gift giving.
Items within the store than they were a year ago so they've got some big campaigns.
Set up around gifts and being targetable -- this because they typically aren't.
In a major holiday destinations they're more year round.
Destinations but they've really turned it up a notch this -- so I think other positioned very well for it for for the holidays I'm expecting good things from TJ accent from Ross is well.
I'm Patrick let me ask you before I let you go this lay away story out Wal-Mart -- you know Wal-Mart offering the lay away option and this has been seen not just as a move -- Wal-Mart to try not obviously -- our customers into the door and turn things around but also because they're catering to.
He stressed consumer doesn't work it does it hurt target.
Well it I think it has worked at least in the early stages here Wal-Mart has brought back its lay away program.
On certain items toys electronics and jewelry and target actually mentioned last.
Last week during -- third quarter earnings call.
That that wal -- -- whip away -- program was hurting their toy business a little bit.
But I think it's as the season progresses it will become less of an issue but early on yes I think it is a factor.
I think -- put a little pressure on some other retailers that especially those that don't have -- away.
But as things progress -- think it will all even out I mean you have to pick up that merchandise.
At Wal-Mart I think it's December 16.
So becomes less of an issue in December than it was for these other retailers in November.
Patrick -- like now is works holidays take the kids this time -- -- -- -- take them take it along for dads are workday on Black Friday.
Will do have -- -- and thank pressure on him partners have a --
