Irma may ding state’s holiday sales

Florida shoppers are expected to increase their holiday spending by 3 percent to 3.5 percent this year, a growth rate slightly less than the projected national average for November and December thanks in large part to Hurricane Irma, the Florida Retail Federation said Monday.

Holiday sales are expected to grow by 3.6 percent to 4 percent nationwide, but the financial strain caused by the storm may leave some Floridians spending less this season, the federation’s President and CEO Scott Shalley said.

The federation said Irma’s impact played a significant factor in its statewide forecast for holiday sales. Typically, holiday spending in the state hovers at or above that of the rest of the country.

Irma made landfall in the Florida Keys on Sept. 10, knocking out power, downing trees and causing damage from South Florida to Jacksonville. As residents continue to recover from the storm, some may have less to spend on holiday gifts and supplies this year, the federation said.

“Hurricane Irma hit our state extremely hard,” Shalley said. “But we feel the overall strength of our economy and the incredi- ble recovery efforts that have taken place will help lessen the impact on retail sales this holiday season.”

Shalley pointed to Florida’s booming tourism industry, low unemployment rate and strong housing market — key factors he said should provide a boost to the retail industry during the holiday shopping rush.

“This season should be another strong one for our retail members, thanks to a 10-year-low unemployment rate, a strong housing market, high consumer confidence and 100 million tourists leaving with more than what they came with,” Shalley said.

Shoppers are expected to spend $678.75 billion to $682 billion in November and December, up from $655.8 billion during the same time frame last year, according to the National Retail Federation.

On average, shoppers will spend a record $967 on gifts, up 3.4 percent from 2016’s average of $935, the national group said.

Consumers also will have more time to shop this year. There are 32 days between Thanksgiving and Christmas — one day more than in 2016.

With the rise in online sales, Shalley said it is important for consumers to move quickly if they find a product at a price they like. Just as technology has made shop- pers smarter and more savvy, it also has allowed retailers to better respond to demand by matching their inventory and not overstocking their merchandise, the federation said.

In Florida, consumer spending accounts for 75 percent of the state’s gross domestic product, totaling $155 billion each year, the state’s retail federation said.

Florida’s retail industry employs 2.7 million people and is responsible for one out of every five jobs, the federation said.