Published: May 03, 2008 07:20 pm            

Retailers look to stretch your economic-stimulus dollars

As the Internal Revenue Service began depositing economic-stimulus checks into bank accounts this week, several area retailers were a step ahead with sales and promotional offers already in place to entice residents into their establishments.

“We were looking at what we could do to help our customers stretch their checks a little bit further — provide more value,” said Sears Holding Corp. spokeswoman Kirsten Whipple.

Sears and its sister corporations Kmart and Lands’ End are giving customers who convert their stimulus checks into gift cards at their stores an additional gift card worth 10 percent of the check amount. To be eligible, customers must use the entire amount of their rebate for the initial gift card to be spent at any of the establishments or online.

The promotion is scheduled to last from May 14 to July 19, and will only be good for paper checks.

“We set the schedule to try and make sure we would include (everyone) and give people at least two weeks to get it done,” Whipple said. “There is no expiration date on the cards.”

She added customers have flexibility with the added incentive since they can use their gift cards online.

“They can really do what they want with their checks,” Whipple said.

Sears President Bruce Johnson said in a press release people will still shop despite current economic conditions.

“In this tough economy, we know that our customers are focused on how to make their money work harder for them,” he said.

Something they might want to do is revamp their homes with energy-saving appliances, Whipple said.

Officials from Sears recently pledged support for a congressional resolution introduced by Rep. Brian Baird to encourage Americans to spend their stimulus checks to invest in energy-efficient products to save money and energy.

Home Depot will be promoting energy-efficient choices, as the company will begin sending direct-mail advertisements, along with radio spots encouraging customers to use their rebate checks to buy home appliances that are good for the environment.

“This effort is to turn a short-term stimulus into a long-term investment really by saving consumers money over time,” Home Depot spokeswoman Jen King told Scripps Howard News Service.

Kroger is also getting into the rebate-promotion trend. The grocery store company will give an extra 10 percent to the value of $300, $600 or $1,200 gift cards purchased by July 31.

“Grocery bills represent a significant expenditure for the average American family,” stated David Dillon, chief executive officer of Kroger in a press release. “Kroger’s program allows our customers to stretch their grocery dollars further.”

The 10 percent promotion equates to $30 added to a $300 gift card. It would mean an extra $60 on a $600 gift card and $120 on a $1,200 card.

Customers whose rebate was direct-deposited can still take advantage of the program with cash, credit card or a personal check. Shoppers do have to have a Kroger loyalty card for the program.

According to a Scripps Howard article, a retail consulting group estimated as much as $42 billion of the $105.7 billion tax rebate total will be spent at retail stores between May and December. The rest will be split between paying debt, savings and charities, according to the survey.

        

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