You KNOW merchants are in trouble when they are running WINTER sales in the midst of summer.
Toys 'R Us is running a "Christmas in July" Sale beginning this weekend (July 19) and running for a week. This is not unlike hotels offering deep discounts (with a deposit) now for bookings in winter. The hotels are REALLY different in that many of them are offering SUMMER prices for Fall and WINTER stays when their prices are higher.
Last evening (July 15), well after my last post, Southwest Airlines announced a flash sale. Purchase travel by July 30th for travel August 16th through November 18th, '09. Travel on Tuesdays, Wednesdays and Saturdays. Southwest has to put bodies in the seats, and according to good ol' Yield Marketing (which is something you learn about when you study for an MBA), if you have a product and it doesn't sell at the MSRP, let us say n dollars, then see how it sells if the price is adjusted to n dollars minus r dollars. If demand increases, the price may be increased to just below the point of diminishing returns, let's say r dollars plus ten.
Basically if you have a plane with 136 seats and 50 of them are empty, it costs almost as much to fly with the empty seats as with them full. So FILL THEM UP. And if you are looking for deals, watch very carefully for other airlines to follow suit on the same dates with the same restrictions.
Good hunting.
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