Small retailers struggle with recession, weather

Still, a decline in business during what is traditionally the shop’s busiest time will take its toll. The company let go of one regular staffer as well as a seasonal employee.

Hayward said the remaining 11 staffers are being asked to work two fewer days per month so the store can save money.

“It’s a way to cut back without losing anybody,” Hayward said.

The store, which carries items such as jewelry, scarves and children’s gifts, is planning conservatively for the coming year. Instead of the traditional goal of besting the previous year, store managers hope to simply do as well as they did in 2005.

‘We held our own’
While other retailers were fretting about a drop in business, Ladybug Landing enjoyed spectacular growth in the holiday season, thanks largely to the fact that it deals in more bargain-oriented resale.

The 16-month-old consignment store, which specializes in children’s and maternity wear, saw business nearly double from a year ago, as more people sought out bargains amid the recession.

Sarah Meyers, owner of the Lexington, Ky., store, was pleasantly surprised to see that business was pretty good even during the holidays, when she was expecting that sales would slow as people sought out more traditional retailers for holiday gifts.

“We held our own during the holiday,” she said.

As the holidays grew near, Meyers also continued to see people bringing in consignment items, in hopes of getting a bit of extra cash for the holidays. That trend has not slowed.

These days, she said she’s often fielding 20 calls a day with people wanting to bring in spring and summer items to sell.

Meanwhile, the weak economy appears to be drawing in more shoppers as well: Meyers said she often hears from customers facing job losses or other economic woes.

“People are just so appreciative of being able to find a deal right now,” she said.

MORE FROM SMALL BUSINESS

Small business Section Front

Sweet franchise   Dollars & Sense: Holiday gift ideas   Business Answers: Business Web pages & getting noticed   Elevator Pitch: Urban pirates Entrepreneurs find profit in solving problems   Startup Strategies   Small Biz Startup: How to get started   Elevator Pitch: Wine bags   Business Answers: Projecting your income Recession spurs growth in self-employment Small business Section Front   Add Small business headlines to your news reader: