HOLIDAY SHOPPING : Tips--With Sales, Even Scrooge Would Go Holiday Shopping

This holiday season is turning into a bargain hunter’s paradise.

Some major retailers started slashing Christmas card prices in half before Halloween. “Promotions� that promise bargain prices on name-brand goods, such as Levi’s jeans and Oshkosh overalls, are popping up at department stores. Price-cutting in the toy industry has hit such a fever pitch that some have dubbed this the “1991 Toy Wars.�

In short, even though the buying season has just begun, sales are virtually everywhere.

“The consumer is in a win-win situation,� said Kenneth A. Macke, chairman and chief executive of Dayton Hudson Stores in Minneapolis. “The Christmas season has been very sale-oriented for the last three to four years. But right now, all retailers are attempting to put better items on sale.�

The cost-cutting also seems to be emerging earlier in the year, and the discounts seem to be steeper than before, industry analysts say.

“It is a consumer’s Christmas,� said Jean Sundrla, vice president at Evans Economics in Washington. “Retailers have to get in there and cut prices ahead of time to move their merchandise. The kids are going to get their toys, but they are going to get them at a much better price this year.�

The price-slashing has its roots in the nagging national recession, which has slowed consumer spending and sent some department store earnings into a tailspin. Now retailers are doing everything they can to woo buyers back into the malls.

Consumers, however, should realize that sale shopping, particularly when buying gifts, is different from buying at full price.

Some retailers are reluctant to allow returns of sale items; others may refuse to give full credit for an item that has subsequently gone on sale. Additionally, some companies hold bogus sales, which offer “marked-down� prices on inferior goods that were never sold at the supposed full price. Meanwhile, some shoppers become frustrated when they find that an item they bought at full price on Saturday is marked down on Sunday.

But those who are savvy, and who keep a few simple rules in mind, will find that they can avoid the season’s pitfalls while enjoying its bounty. Here’s how:

* If you buy on sale, find out the store’s return policy. Can you get cash back, or does the store allow only exchanges or store credit with a return? Will your credit be for the full purchase price if the item has subsequently been marked down or for the new sale price?

Return policies vary from store to store and sometimes are contingent on whether you paid by cash, credit card or check. Some smaller stores, for example, enforce “holding periods� of up to 20 days for purchases made with a check. You may be able to exchange goods during that period but would not be eligible for a cash refund.

Additionally, some sale items are not returnable. Clearly, you don’t want to give a non-returnable gift unless you are absolutely certain it’s exactly what the recipient wants.

* Keep your receipt. Regardless of whether you are buying for yourself or for friends, you should be particularly careful to keep all your receipts this holiday season. For one thing, items could be marked down several times between when you buy and when an item may be returned. (Mark-downs are expected to be fast and furious this year.) If you paid $30 for something, you don’t want a $20 credit on return just because you lost your receipt.

Additionally, many stores allow you a partial refund if you bought something and it subsequently goes on sale. At Dayton Hudson stores, such as Target and Mervyn’s, for example, you get the difference between the price you paid and the sale price if you bring in your receipt within 10 days, Macke said.

* Beware of poor-quality merchandise. One of the oldest scams in the retailing business is to put a high-priced tag on a cheap item and supposedly mark it down. Obviously, one way to be sure of an item’s quality is to shop for brands you know. When that’s not possible and you are unsure, check the fabrics and seams in clothing, experts say. Seams are particularly tell-tale: A clue to shoddy clothing is if seams are uneven, bunched or pulled. Check for safety and durability in toys, looking for rounded edges and strong construction.

* Pay attention to where you shop: Not all retailers are alike. Some have better service as well as better merchandise. Since mark-downs probably will be found almost everywhere, you can be as choosy about the store you deal with as the merchandise you select.

* Don’t overspend just because everything is on sale. A classic problem consumers face at a sale is buying things they don’t need simply because they’re inexpensive. You never “save� by spending on things that will be used once and then rot in a closet. Buy as thoughtfully at a sale as you would otherwise.