Online spending is expected to rise a robust 17 percent this year, despite a sluggish economy that has bruised many brick-and-mortar retailers, according to an annual survey to be released Tuesday. Retail sales online, excluding travel purchases, are set to grow to $204 billion in 2008 from $174.5 billion last year, fueled by sales of apparel, computers and autos, according to a survey conducted by Internet analysis firm Forrester Research for Shop.org, the online arm of the National Retail Federation trade group. That projection is below the 21 percent increase seen in the prior year.
Consumers slow February spending
Consumers, battered by a credit crunch and prolonged housing slump, slowed their borrowing in February. The Federal Reserve reported Monday that consumer borrowing rose at an annual rate of 2.4 percent in February, just half of the 4.9 percent increase in January. The slowdown reflected much weaker demand for auto loans and other types of nonrevolving credit, which rose at a rate of 0.4 percent in February, much lower than the 3.6 percent growth rate in January.
Three carriers ruled the best in quality
Low-cost carriers AirTran, Jet Blue and Southwest took the top three spots in a national survey of airline quality, while the industry overall fared poorly amid rising fuel prices and increasingly fed-up consumers. At the bottom of the list released Monday were Comair, American Eagle and, in last place, Atlantic Southeast Airlines. The annual Airline Quality Rating survey found that more bags were lost, more passengers were bumped, more consumers complained and fewer flights arrived on time than in the previous year.
Air cell phones OK’d in Europe
You can use your cell phone in the skies over Europe later this year under new rules that will allow air travelers to stay in touch — and raise the cringe-inducing prospect of sitting next to a chatterbox at 30,000 feet. But don’t expect to use your phone on a U.S. flight anytime soon. The decision Monday by the European Union makes the 27-nation bloc the first region in the world to scrap bans on the use of cell phones in the sky. The EU insists the change will not compromise safety.
Starbucks debuts new signature brew
Starbucks Corp. will start serving up a new “everyday” brew today, hoping the signature blend will help revive slumping sales. To celebrate the launch, it will give away free 8 oz. cups of Pike Place Roast — named after its first store in Seattle’s famed public market — at more than 7,000 U.S. stores from 9 to 9:30 a.m. In a statement Monday, Chairman and Chief Executive Howard Schultz touted the roast for its bold flavor, smooth finish and “subtle, rich flavors of cocoa and toasted nuts.”
Correction
The networking breakfast for the Everett Area Chamber of Commerce will be held from 7 to 9 a.m. Friday at the Everett Golf and Country Club, 1500 52nd St. SE. An item on Page C1 in Monday’s paper listed on the wrong day.
Talk to us
> Give us your news tips.
> Send us a letter to the editor.
> More Herald contact information.
