Contact: Colleen Roche (212) 788-2958, Deirdra L. Picou (212) 788-2971
or
Bernadette O'Leary (212) 312-3523 (EDC)
Information released yesterday by TeleCheck Services, Inc., showed that although sales in the Northeast increased only by 2.9 percent, New York City led the region and was surpassed nationally only by New Orleans at 4.9 percent. Preliminary estimates forecast that this increased shopping activity will result in the best shopping season for New York City retailers since 1989, even with five fewer shopping days this year.
"New York City, once again, has soared above the national average, not only with crime reduction but with retail sales as well," Mayor Giuliani said. "The success of the 1996 holiday season has been phenomenal and is a real sign that the City's economy is booming. And with the sales tax exemption week starting on January 18 -- when City and State sales tax on clothing and footwear is suspended -- retailers should see this success continue through the New Year."
"The holiday season has resulted in increases across the board for New York City's retail businesses," said Fran Reiter, Deputy Mayor for Economic Development and Planning. "This was a great finish to a prosperous year for New York City's businesses and residents, who saw the creation of more than 36,000 private sector jobs,"
"Mayor Giuliani's business-friendly policies have once again made New York City an attractive place to visit, and apparently one of the most attractive places to shop in the nation," said Charles Millard, President of the New York City Economic Development Corporation (EDC). "We are seeing the results of his efforts to revitalize the economy over the past three years with the phenomenal growth of the holiday sales numbers."
While there appears to be across-the-board growth in sales for New York City retailers, the International Council of Shopping Centers (ICSC), estimates that sales of toys, books, jewelry and apparel did particularly well.
Beginning next Saturday, January 18, and continuing through January 24, shoppers in New York City will find no sales tax on clothing and footwear purchases as part of the City and State sponsored sales tax exemption week. The promotion is an effort, encouraged by Mayor Giuliani, to give sales a boost during a traditionally slow period and to encourage shoppers to spend in New York City.
The 4.8 percent increase in retail sales is based on information from TeleCheck, a research firm in Houston. TeleCheck's estimates from Thanksgiving through December 24, 1996, are based on a year-over-year, same-store comparison of the dollar volume of authorized checks written by consumers at more than 27,000 of TeleCheck's 160,000 subscribing locations. Checks account for more than a third of retail spending. TeleCheck is a subsidiary of First Data Corporation.
EDC is the City's primary vehicle for economic development services. Using its real estate and financial resources, EDC helps develop businesses and create jobs throughout the five boroughs.