RICHARD WALKER / RWALKER@STARBULLETIN.COM In what promises to become a common sight as Christmas nears, Ron Minton took a break from shopping yesterday at Ala Moana Center.

Isle retailers are
having a merry
Christmas season

Thanks to a strong local economy,
most are expecting the best shopping
season in three years

Oahu retailers expect their cash registers to continue to ring merrily this holiday season, and with 14 shopping days until Christmas, many are forecasting a banner year.

"Sales have been great," said Anne Murata, marketing director for the Festival Cos., which manages the Royal Hawaiian Shopping Center in Waikiki. "It's beginning to look a lot like Christmas."

What's Hot A look at some popular gifts this season: Toys » E-L-M-O, singing to the tune of "YMCA" » Barbie as the Princess and the Pauper » Trivial Pursuit ("Saturday Night Live" DVD edition) Gifts » Home spa accessories and health and fitness kits Jewelry » White gold » Chandelier earrings » Oversize watches Music / Entertainment » MP3 miniplayers » Plasma TVs SOURCE: INTERNATIONAL COUNCIL OF SHOPPING CENTERS

Carol Pregill, president of the Hawaii Retail Merchants Association, said the shopping season in the islands is shaping up to be the best since 2001.

Some shoppers, though, say the malls do not seem as crowded as in years past. Others say they have not had as much luck this year finding bargains.

"It's not very busy at all," said Lori Kira, who took vacation time yesterday to do some Christmas shopping with a friend.

By midafternoon she had hit Ward Centre, Ala Moana Center and some individual shops. There were still 10 people on her shopping list, but she was ready to call it quits. "I haven't been really impressed by the discounts," she said. "I don't remember it being this slow."

Many shops at Ward Centre were nearly empty yesterday afternoon, and parking spots were easy to find.

But that was good news for Jody Pearce.

The Kailua resident said she was nursing a headache after dealing with "crowds and parking hassles" at Ala Moana. Even so, she said stores around the island -- she had also tried Windward Mall -- did seem busier last year.

Hawaii's retail holiday season will not end until a few weeks after Christmas, so merchants cannot yet estimate their holiday sales, but most say they have seen an influx in consumer traffic and are expecting a profitable holiday season.

According to a nationwide survey by the International Council of Shopping Centers, holiday shoppers are expected to spend more this year than they did in 2003.

RICHARD WALKER / RWALKER@STARBULLETIN.COM Ala Moana Center shoppers were putting the escalators to use yesterday. The average adult is expected to spend $67 more than last year.

On average, adults expect to spend $703 on holiday purchases this year, higher than the 2003 household expectations of $636, the survey said.

Locally, a construction boom is changing the face of Hawaii as lowered interest rates have made building more affordable. Businesses are creating jobs and people are getting hired. They are spending money -- and they are buying homes and cars. They are also filing fewer bankruptcies and whipping out their credit cards again.

Pregill said that while Hawaii's retail sales have slowed slightly since the day-after-Thanksgiving rush, this year's holiday season is several days longer, and retailers expect to make up for any lost ground. Local retailers will likely record their strongest sales the weekend before Christmas and the week after the holiday, she said.

Traffic at Ala Moana Center -- consistently among the nation's top for holiday sales -- has been steady, said Sharon James, mall regional vice president of marketing. Merchants have reported single-digit sales growth from last year, she said.

RICHARD WALKER / RWALKER@STARBULLETIN.COM Ward Warehouse was alive yesterday with holiday shoppers seeking gift items.

Traditionally, merchants and economists watch consumer traffic trends on the Friday after Thanksgiving -- dubbed Black Friday because it is a day retailers expect profits to be in the black.

"Black Friday was great, with major increases across the board," James said. "But we expect the Saturday right before Christmas to be the biggest shopping day of the year, surpassing Black Friday."

Business also is booming at Pearlridge Center, with more than 23,000 children expected to ride the Pearlridge Express holiday train.

"Sales are up at all our centers," said Scott Creel, marketing director for MMI Realty Services Inc., which manages Pearlridge, Kahala Mall, Aloha Tower Market Place, Hawaii Kai Towne Center and Kamehameha Shopping Center.

Rising gas prices also have encouraged more people to hit their neighborhood shopping centers, said Terri Hansen, who handles marketing for the Pearl City, Mililani, Kaneohe Bay and McCully shopping centers.

"They want convenience and a bigger bang for their buck," Hansen said.

Economists say holiday shopping trends help predict the state's economic growth, and strong sales figures in the islands often represent rising consumer confidence and growth.

Pregill said holiday retail sales account for as much as 25 percent to 40 percent of the total annual revenues for retail sales.

"All of our retailers are very dependent on holiday sales," she said.

RICHARD WALKER / RWALKER@STARBULLETIN.COM At Ala Moana Center, a tot shared a stroller ride with some shopping bags.