STORY SUMMARY>>>

The worldwide economic downturn has Hawaii retailers competing vigorously for your holiday dollars.

With Christmas more then two months away many stores are already displaying holiday merchandise or trying to attract customers through sales and special promotions.

“The importance of the holidays for the retailers is that between 25 to 40 percent (of all business) is done in those two months,” said Carol Pregill, president of Retail Merchants of Hawaii, a trade association with 200 corporate members across the state.

“Retail is a highly competitive business and so everybody's going to do what they have to do.”

Last month the National Retail Federation forecasted holiday sales would grow by a meager 2.2 percent compared to last year. That would be the lowest growth since 2002, when holiday sales rose by just 1.3 percent.

However the NRF forecast came out a several weeks before the true nature of the nation’s economic crisis came into focus, which required Congress to pass an $850 billion rescue package for Wall Street.

In order to combat the negative perception shoppers may hold about the economy retailers both big and small are becoming more aggressive in how they target consumers this holiday season.

Ala Moana Shopping Center is in the process of finalizing a six week initiative designed to bring shoppers to the mall during the holiday season.

“A lot of retailers are going to have sales that are probably going to be a little earlier then usual,” said Matt Derby, Ala Moana’s public relations director.

Malia Johnson has owned Sedona at Ward Centers the past 19 years. The store features a wide variety of hand crafted jewelry, crystals, beads, and gemstones from around the world.

Johnson says despite the economic malaise gripping the globe, she’s hoping to increase holiday sales by five percent through energetic marketing.

“Business comes in cycles and you just have to be pro-active,” she says. “No doom and gloom - we're going after the business.”

Andrew may be reached at apereira@khon2.com or ph. 591-4263.