News

But Looming Strike Could Slow Supply Chain

A May, 2024, increase of 7.5% in goods passing through US ports over May of last year indicates confidence among large retailers, according to Global Port Tracker reports. Jonathan Gold, vice president for Supply Chain and Customs Policy with the National Retail Federation (NRF) said, “We’re experiencing the strongest surge in volume we’ve seen in two years, and that’s a good sign for what retailers expect in sales. Consumers can rest assured that retailers will be well-stocked and ready to meet demand as we head into the back-to-school and holiday seasons.”

Increased port traffic is a predictor of consumer spending, but a looming strike could slow the pace.
(Photo Pexels.com)

U.S. ports covered by the report handled 2.08 million Twenty-Foot Equivalent Units (TEU) – one 20-foot container or its equivalent – in May, the latest month for which final numbers are available. That was up 3% from April and up 7.5% year-over-year, and was the highest number since 2.26 million TEU in August 2022.

Reports for June are not compiled yet, but Global Port Tracker projected volume of 2.1 million TEU, up 14.5% year-over-year. July is forecast at 2.21 million TEU, up 15.5% year-over-year.

All this bodes well for expected consumer demand through the end-of-year holiday shopping season.

A Fly in the Ointment?

Supply chain issues continue in some quarters, but in June contract negotiations broke down between the International Longshoremen’s Association and the U.S. Maritime Alliance. A letter to President Joe Biden from more than 150 groups including the US Chamber of Commerce and the National Association of Manufacturers, called on the administration to work to resume contract negotiation to ensure no disruption of port operations.

“With all these existing challenges, the last thing the supply chain, companies and employees — all of which rely on the movement of goods, both imports and exports, through our East Coast and Gulf Coast ports — need is a strike or other disruptions because of an ongoing labor negotiation,” the letter stated.

The current agreement, which covers about 45,000 dockworkers at facilities including six of the 10 busiest US ports, expires September 30.

Twice a year, this newsletter puts the spotlight on trade shows, just as the season is kicking off. Everybody knows about the big-city shows: Las Vegas, Dallas, Atlanta, New York, Chicago, etc., but there are a variety of niche shows staged by trade associations. In this semi-annual trade show special issue, we take a look at some examples of association shows.

AETA and WESA shows in Dallas focus on equestrian products

Making “Specialty” Special

The Specialty Food Association (SFA) stages The Fancy Food Show in New York during the summer (June 23-25, 2024) and in Las Vegas during the winter (January 19-21, 2025), which includes an awards gala. The association also publishes “Specialty Food” magazine. Membership is geared toward vendors who exhibit at the shows.

If western and rural lifestyle is your focus, the AETA International Trade Show, from the American Equestrian Trade Association (AETA), may be for you. AETA’s show is the premier global event showcasing equestrian industry products from leading manufacturers. It takes place two times a year and is a “twofer” because it is coincides with the International Western & English Apparel & Equipment Trade Shows, from the Western & English Sales Association (WESA). Together these shows create the world’s largest marketplace of equestrian, western and rural lifestyle brands. By registering and attending an AETA Trade Show at Dallas Market Center, you receive a complimentary AETA Membership.

New York’s 41 Madison is the site of the Tabletop Association show.

International Fashion Jewelry and Accessory Group (IFJAG) is an association of manufacturers, importers and sales representatives in the fashion jewelry accessory & gift industries. The organization is member-owned & not for profit. The goals of the organization include sponsoring trade shows in appropriate locations for its members & their customers at minimum cost. IFJAG stages two shows: Las Vegas (Aug. 17-20) and Orlando (Oct. 21-23)

In spring (this past April, 2024) and fall (Oct. 18-21), the Tabletop Association hosts The New York Tabletop Show. Featured categories include china, crystal, dinnerware, flatware, glassware, hotelware, lighting, luxury gift, housewares, objet d’art and bespoke pieces. Membership is open to exhibitors in the industry.

Cutting the ribbon to open the 118th Toy Fair.

A Long Tradition Continues

Toy Fair, an iconic global event, is the show for The Toy Association. In September, 2023 it had its 118th show. It remains a premier showcase for the toy and play industry, attracting professionals from around the world in search of the latest products and play experiences. After being disrupted by COVID, Toy Fair is returning to its traditional spring schedule (March 1-4, 2025).

It’s In The Details…

There are more, of course. Details about a host of international shows as well as specialty shows like those above can always be found at the GiftsWholesale.Com Trade Shows page.

Semi-annual Trade Show Issue

Twice a year we look at the show season

Beginning during the COVID pandemic, when the trade shows were forced to suspend in-person events, OmegaNet Inc., publisher of this newsletter, began a semi-annual “Virtual” trade show at GiftShowSpecials.com. OmegaNet clients, whose sites are built on the CAMEO EZ^© platform, provided short videos which enabled retailers to get a taste of what they would have seen at the shows.

OmegaNet has continued the “Virtual” trade show, since nobody can go to all the shows, and there are vendors retailers might otherwise miss. In this semi-annual trade show issue, we will feature some of the CAMEO EZ vendors on GiftShowSpecials.com, what they offer and where they will be showing.

Ala Carte Alice

Dallas and Atlanta have two of the largest shows, and gourmet food vendor Ala Carte Alice will be there. Dallas: Jan. 10-16; Atlanta (Bldg. 2 Floor 8, Jan. 16-22). Products include savory sauces, red dog rubs, glazes, relishes and jams, plus yummy cheese balls, mouth watering desserts, party dips and awesome entrees.

Billy Joe Homewares

Unique and decorative kitchen sink strainers and kitchen sink stoppers, Billy Joe Homewares is offering a Winter Trade Show Special on website orders: Get Free Shipping on orders of $325 or more using coupon code “FreeShip325” at checkout.

Cin Chili & Company

Cindy Reed Wilkins, aka The Chili Queen, is a legend in the chili community. Cindy has won over 100 total awards, an extraordinary 15 first-place, in the world of championship red chili. Cin Chili will be at the Biloxi Wholesale Market Jan. 27-29.

CJ Bellaco

Through our various brands, CJ Bella Company creates gift and fashion items that are fun, trendy, affordable, and most importantly designed to help you boost your bottom line. They can be seen in Atlanta (Bldg. 3 Floor 5 #407) and Las Vegas (#E-1030). Show Special: 15% freight cap on all orders placed at the shows.

Dutch House Caramels

Another gourmet vendor, Dutch House Caramels, will be in Dallas (12-1420), Atlanta (Temps bldg 3, fl. 5, 103), Las Vegas (E934) and Minneapolis (200-3). The company features caramels in a variety of assortments and gift boxes.

Fancy That Gift & Decor

Since 2003, Steve and Carmen Mendelson, owners of Fancy That Gift & Decor, have traveled the world in search of unique products to complement our best-selling Coastal, Lake, Garden & Seasonal Collections. See their lines this year in Atlanta, Orlando, Panama City, Ocean City, Gatlinburg and Myrtle Beach.

Gina B Designs

Award-winning designer of greeting cards, stationery and gift products Gina B Designs will be in Dallas (Cathy & Co.) and Seattle (Cards and Gifts NW).

Regina’s Farm Kitchen

Small-batch artisan fruit spreads from Regina’s Farm Kitchen are made with only real fruit, no preservatives, artificial sweeteners or thickeners. Taste them in Jan., March and June in Dallas (WTC, Floor 7) and in Jan. and July in Atlanta (Bldg2, Floor 3 #525).

Spoontiques

With over 2 dozen categories and 2,500 skus, Spoontiques is sure to have any program you’re looking for. The company offers comprehensive collection,s including Home Décor, Kitchen/Tabletop, Accessories, Lawn & Garden and Seasonal programs. Spoontiques will be in Dallas, Atlanta, Chicago, Las Vegas, Toronto and Philadelphia.

Studio B Inc.

Studio B, your place for 1,000’s of unique licensed posters, art, stickers & collector pins, isn’t showing at trade shows but is offering a Show Special anyway: Mention “OmegaNet” at checkout and receive 10% off your first order.

Sunset Vista Designs

Sunset Vista Designs offers extra margin opportunities with innovative designs, proven products, space-saving merchandising solutions, and attractive package deals that all add value to our quality products. They will show at Dallas, Atlanta, Minneapolis and Las Vegas. Don’t miss their 2024 Holiday Catalog Special.

“That’s (Not) All, Folks!”

Many other CAMEO EZ vendors are featured in the Virtual Trade Show and other CAMEO EZ vendors not shown here may be at the shows. You can see a list of most trade shows at GiftsWholesale.com and a complete list of CAMEO EZ vendors in the CAMEO EZ Directory.

The National Retail Federation (NFR) is predicting 3%-to-4% growth in consumer spending during 2023’s holiday shopping season. NFR forecasts that consumer will spend $957 billion which would be as much as $30 billion more than last year, but economic factors also come into play.

Predictions are for a good holiday shopping season. Photo EnvatoElements.com

While that sounds good and in line with what was seen before the pandemic, that increase is far less than what was seen during 2021 and 2022, which saw spikes of 5.4% and 14.1%, respectively, which followed an 8.2% growth in 2020. So this year will be more “normal,” rather than the “boom” years druing and immediately following the pandemic.

Consumers Are Resilient

“In spite of the uncertainty in the economy and the challenges that households are facing, we’ve seen strength and resilience across the consumer sector,” NRF President and CEO Matthew Shay said in a recent press conference announcing the results of NFR’s holiday forecast.

Last year’s prediction had to be revised downward. NFR had forecast 6%-to-8% growth, but the reality was 5.4%.

Looking for Deals

CNBC noted that, even though inflation is cooling, many gift-giving items and food cost more. As of September, inflation is up 3.7% compared with a year ago, according to the Bureau of Labor Statistic’s consumer price index. That is about half the 7% inflation rate of 2021, which was the highest in 40 years. CNBC also expects consumers to be cost-conscious and looking for bargain because of economic concerns.

One factor fueling the preference for bargains is greatly increased credit card balances. According to CNN, during the third quarter, credit card balances hit a fresh high of $1.08 trillion. This represents a rise of $48 billion from the prior quarter and a record increase of $154 billion from the year before, according to the Federal Reserve Bank of New York’s latest Quarterly Report on Household Debt and Credit released Tuesday, Nov. 7. Higher interest rates, which the Fed is using to tamp down inflation, make this problem worse for consumers.

Mall Optimism

ICSC, the trade group representing malls, shopping centers, and other marketplaces, predicted last month that holiday retail sales will be up 3.8%, with food and beverage sales up 7.6%.

Gift cards were mentioned by those surveyed as the most popular gift, with 55% saying they would like to receive them, followed by clothing and accessories (49%), books, video games and other media (28%), and personal care and beauty items (25%).

NRF’s latest consumer survey was conducted by Prosper Insights & Analytics.

Predictions are that USA parents will spend a record-breaking $41.5 billion on back-to-school supplies this year, a 12% increase over last year, and brick-and-mortar stores are preferred over online shopping.

The National Retail Federation (NFR) predicts back-to-college spending to increase even more – $20 billion to a record $94 billion, driven by high-end electronics and dorm furnishings.

Image: Envato Elements

The NRF bases its back-to-school forecast on the consumer survey it has been conducting annually with Prosper Insights and Analytics over the past two decades. This year’s survey included close to 8,000 consumers and was conducted between June 30 and July 6.

“Charge it!”

A Motley Fool Ascent survey found that 30% of parents will use credit cards for all or some of their shopping and the average they expect to spend is $895, with clothing and electronics being the most expensive categories. The Motley Fool Ascent distributed a survey via Pollfish on July 17, 2023 to 2,000 American adults with one or more children. Survey results were post-stratified to generate a nationally representative sample for gender and age.

The survey also found that 47% of shopping will be based on lists schools provide to retailers.

Indications are that Americans’ concern about inflation has lessened compared to last year, according to Forbes magazine. “Consumers are adjusting to inflation by comparison shopping for deals, or trying lower-priced brands, but are not shifting to discount stores in the numbers they did during the 2008 recession,” according to Katherine Cullen, the NRF’s vice president of industry and consumer insights.

On the other hand, some parents started their shopping early, looking for good deals.

In-store Preferred

Unlike holiday shopping, back-to-school purchases tend to be times when parents seek out an in-store experience where their children can see multiple options and participate in choosing their own backpack, lunch box, or first-day-of-class outfit. And when those shoppers are in stores, impulse purchases become more likely.