'This holiday season will be defined by early shopping': Retailers gearing up for holiday rush

you may be holding onto summer. But toy companies are already thinking about the holiday toy season. They have to because there's a major shipping container shortage, according to Forbes. Toy companies have had to outbid each other in order to get space on the coveted shipping containers. It's to the tune of 20 to $25,000 for 40 ft containers. That used to cost 3000 to $4000 on its website. The Toy association announced its urging the U. S. Government to prioritize the situation with our members, many of whom are small businesses reporting of 500% increase on containers along with increased trucking and air freight rates and rail surcharges absorbing these costs has become extremely challenging. Unquote, said lee Moyers, director of Federal Government affairs at the association. The toy industry has weathered economic storms before, but industry insiders say this year may prove to be especially challenging with delays and additional industry shortages, including a truck drivers, CNN reports unresolved snags and the emergence of the delta variant has shoppers likely to face fewer options and higher prices quote when things turned back on, there was a huge rush from all industries looking for the same container space, shipping space, warehouse space, all of it unquote James on, Deputy editor of the Toy book told Forbes Moyer says the Toy Association will continue to work with the Federal Government to implement solutions to resolve the issue

Weary retailers continue to battle pandemic uncertainty as the delta variant causes new spikes in coronavirus infections. But for now, at least, expectations for a merry holiday season remain intact.What's happening: Data published Thursday is expected to confirm that U.S. retail sales declined for the second straight month in August.But new forecasts from Deloitte, Bain & Company and Mastercard predict a huge sales boom in the coming months, the most important time of the year for retailers.Deloitte estimates that holiday sales will increase between 7% and 9% in 2021 as vaccinations help shoppers feel more comfortable venturing out to spend some of the cash they've been hoarding."A steady decline in the savings rate to pre-pandemic levels will support consumer spending and keep retail sales elevated this season," said Daniel Bachman, Deloitte's U.S. economic forecaster. "Further, e-commerce sales will continue to grow as consumers demonstrate an ongoing and steady movement toward buying online across all categories."The consulting firm expects online sales to jump between 11% and 15% year-over-year, reaching up to $218 billion.Mastercard, for its part, sees U.S. retail sales rising 7.4%. While online shopping could rally 7.6%, in-store shopping is expected to increase by 6.6% compared to 2020. Bain & Company is also calling for a 7% sales growth rate in November and December."The pandemic has impacted nearly every inch of the retail industry," said Aaron Cheris, the head of Bain & Company's Americas Retail practice. "However, heading into this holiday season, we also see important tailwinds for nominal retail growth, including boosts from inflation, rebounding employment, healthy savings rates and wage growth."But wait: Supply chains remain badly tangled, causing shipping costs to soar. Some companies worry that empty shelves and shortages of in-demand products could dampen the mood."The demand is going to be there," MGA Entertainment CEO Isaac Larian told CNN Business late last month. "What is not going to be there is the product to fill the demand."Mastercard thinks retailers will try to get around supply chain concerns, as well as persistent difficulties in hiring workers, by offering earlier holiday promotions in stores and online — particularly for electronics and clothing items."This holiday season will be defined by early shopping," Steve Sadove, senior advisor for Mastercard, said in a statement.Investor insight: A spending surge would be good news for retail stocks, which shot up earlier this year but have been caught in a holding pattern in recent months. The SPDR S&P Retail ETF is up 45% year-to-date, but has shed 4.4% in the third quarter.U.S. retail sales for August will provide a crucial look at how spending amidst the delta variant is holding up in advance of the holiday season. A consensus estimate from Briefing.com predicts retail sales dropped 0.7% after declining 1.1% in July.Data released earlier this week from China showed that retail sales struggled in August, increasing just 2.5% compared to a year earlier. That was much weaker than expected and a dramatic slowdown from the 8.5% uptick recorded in July.

Weary retailers continue to battle pandemic uncertainty as the delta variant causes new spikes in coronavirus infections. But for now, at least, expectations for a merry holiday season remain intact.

What's happening: Data published Thursday is expected to confirm that U.S. retail sales declined for the second straight month in August.

But new forecasts from Deloitte, Bain & Company and Mastercard predict a huge sales boom in the coming months, the most important time of the year for retailers.

Deloitte estimates that holiday sales will increase between 7% and 9% in 2021 as vaccinations help shoppers feel more comfortable venturing out to spend some of the cash they've been hoarding.

"A steady decline in the savings rate to pre-pandemic levels will support consumer spending and keep retail sales elevated this season," said Daniel Bachman, Deloitte's U.S. economic forecaster. "Further, e-commerce sales will continue to grow as consumers demonstrate an ongoing and steady movement toward buying online across all categories."

The consulting firm expects online sales to jump between 11% and 15% year-over-year, reaching up to $218 billion.

Mastercard, for its part, sees U.S. retail sales rising 7.4%. While online shopping could rally 7.6%, in-store shopping is expected to increase by 6.6% compared to 2020. Bain & Company is also calling for a 7% sales growth rate in November and December.

"The pandemic has impacted nearly every inch of the retail industry," said Aaron Cheris, the head of Bain & Company's Americas Retail practice. "However, heading into this holiday season, we also see important tailwinds for nominal retail growth, including boosts from inflation, rebounding employment, healthy savings rates and wage growth."

But wait: Supply chains remain badly tangled, causing shipping costs to soar. Some companies worry that empty shelves and shortages of in-demand products could dampen the mood.

"The demand is going to be there," MGA Entertainment CEO Isaac Larian told CNN Business late last month. "What is not going to be there is the product to fill the demand."

Mastercard thinks retailers will try to get around , as well as persistent difficulties in , by offering earlier holiday promotions in stores and online — particularly for electronics and clothing items.

"This holiday season will be defined by early shopping," Steve Sadove, senior advisor for Mastercard, said in a statement.

Investor insight: A spending surge would be good news for retail stocks, which shot up earlier this year but have been caught in a holding pattern in recent months. The SPDR S&P Retail ETF is up 45% year-to-date, but has shed 4.4% in the third quarter.

U.S. retail sales for August will provide a crucial look at how spending amidst the delta variant is holding up in advance of the holiday season. A consensus estimate from Briefing.com predicts retail sales dropped 0.7% after .

Data released earlier this week from China showed that retail sales struggled in August, increasing just 2.5% compared to a year earlier. That was much weaker than expected and a dramatic slowdown from the 8.5% uptick recorded in July.

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