More price breaks seen for holidays

Almost three-quarters of chief marketing officers expect U.S. retailers to offer more discounts and promotions this holiday season than last year to entice shoppers who are being squeezed by the credit crunch, according to a survey by BDO Seidman.

This year, credit concerns beat high energy costs as the top issue that chief marketing officers expect will affect the shopping season. When asked to pick one issue that would have the greatest effect on shopping, 27% of them said credit concerns and 22% cited high energy costs, according to the survey.

Retailers are heading into the crucial holiday season worried that shoppers will rein in spending as they face a credit crunch that could limit their holiday cheer.

According to the survey, 64% of executives said their sales and inventory purchase plans were more cautious this year than a year ago.

The survey, conducted in October, questioned 100 chief marketing officers at U.S. retailers, excluding car dealers and restaurants, with annual revenue of more than $100 million.