There may be more Christmas presents sitting under the tree in homes across Prince George compared to last year, but they weren't likely purchased with a credit card.
For the first time in 12 years Canada's ratio of household debt has exceeded the U.S. level. This prompted Bank of Canada governor Mark Carney, Finance Minister Jim Flaherty and Prime Minister Stephen Harper to say in separate appearances this week they're concerned about rising debt and the risks that poses to the nation's economic recovery, however retailers across Prince George have noticed more purchases being made with cash or debit card.
Retailers have also noticed an increase in foot traffic, shoppers are in a more positive mood and sales are up on last year.
"We've had a fantastic Christmas season," said Brandon-Shea Mutala, manager at Visions Electronics. "It's better than last year already, I'm very impressed with our sales."
While smaller items such as iPods and cameras are always big sellers, this time of year, he said 3-D televisions are surprisingly popular.
"They aren't our best seller, but they're going much faster than we ever expected or hoped for," he said, adding there seems to be an equal amount of cash, debit and credit purchases.
Anthony Voitik, co-owner and manager of Homework, said while October and November had roughly the same sales, he's seen a huge increase in December.
"There has been tons more traffic, which is a good thing. Customers' moods are much more positive and it seems like people are going back to their normal spending habits," he said.
He said there has been a huge increase in the small items, and he's really had to concentrate on re-orders and ensuring the shelves are stocked this year. Larger luxury items haven't been as popular, but he said it's a sign that people are living within their means.
"We've really noticed an increased amount of cash and debit purchases. That's something that stands out this year, for sure," he said.
Andre's Audiotronic has also noticed the positive trend in sales, and has some of the best sales numbers in the province, said manager Ed Jang. He said it's a sign that more people have disposable income this season.
Even Pine Centre Mall has noticed a large increase in foot traffic, though manager Shelley Readman said that doesn't necessarily mean increased sales.
She said apparel sales have been low this season. While usually at its highest in October, Readman said the mild weather has slowed the sales of winter clothing.
"Jewelry is one sector that has seen an increase in comparison to last year. And if more people are buying luxury items, that's a good indicator for the economy," said Readman.
There has been equal use of cash, debit and credit for the purchasing of Pine Centre gift certificates, said Readman, but she couldn't comment on any trends in the stores.
With files from CP.
