Thursday, December 25, 2008

Christmas Tree Sales up Despite Bad Economy

This Christmas season the recession may force many people to cut back on spending for gifts or holiday parties, but when it comes to getting a real Christmas tree, that's one sacrifice few are making. Despite the poor economy, Ohio Christmas tree growers are saying business is as good as ever, if not better, because when hard times hit, people turn to traditions to comfort themselves. "We saw a huge bump in sales the Christmas after (Sept. 11, 2001 terrorist attacks) because people were in a crisis mode and I see the same this year," said Theresa Feisley, of Feisley Tree Farms in Belmont, in Eastern Ohio. She said the company has already sold out its allotment to retailers and there has been no drop in business for their choose-and-cut sales at their farm. "In times of crisis, people turn back to the basics for comfort," Feisley said. "They may be cutting back on gifts, but they're still buying trees." She said she has even been surprised by the sales of wreaths and other "green" decorations. "Our goal was to hold steady on our wreath sales, but we're finding that people are still buying the extras," said Feisley. Typically, between 25 million and 30 million real Christmas trees are sold every year, according to the National Christmas Tree Association. Sales nationally are expected to be strong again this year. "Most of what we're hearing is that (tree sellers) are having a pretty good year," said Rick Dungey, spokesman for the National Christmas Tree Association. Ohio is the 11th-largest Christmas tree producing state, with more than 370,000 harvested each year. There are more than 1,100 Christmas tree farms in Ohio, the eighth-most in the country. There are more than 21,000 Christmas tree growers across the country. Cackler Family Farms in Delaware County, too, is having a good season so far. "Business has been good," said Donna Cackler, co-owner of the farm, which has more than 22,000 trees. "We don't appear to be affected by the economy." She also said there is an emotional element to buying a Christmas tree that isn't inhibited by a downturn in the economy. "We're in the business of creating memories. People look back and think about getting their tree," Cackler said. Though she did say she's noticed some customers cutting back on extras, such as a nicer tree stand. Feisley said sales are strong in Eastern Ohio despite that region having been hit especially hard by the recession. "Things are very tough down here. A lot of people have lost their jobs, but they're still coming out and buying Christmas trees," she said. The mean purchase price of a real Christmas tree last year $41.50. More than $1.3 billion worth of trees were sold last year nationally. Of the real trees sold, 84 percent of them were pre-cut while 16 percent of those sold were cut by the buyers, according to the National Christmas Tree Association. More trees are sold at chain stores, 23 percent, than any other site. Another 21 percent are sold at choose and harvest farms and 20 percent at nurseries and garden centers.