People's livelihoods are at stake and locals need to support the community in their hour of need due to the impact of the global economic downturn and US recession on retail trade.

That was the stark message from Phil Barnett, chairman of the Chamber of Commerce, who called on residents to buy Bermuda and boost the local economy.

Gibbons Company chief executive officer Paula Clarke said the Island's retail sector was suffering the same as everywhere across the world and that the country was not immune to the financial crisis.

Mr. Barnett said a number of retailers were deciding to shut up shop as a result of the economic turmoil, including those who had a long history and relied heavily on the tourist business.

"People do simply need to focus their dollars locally this Christmas," he said. "Think about the Bermudians that rely on that for their livelihoods, whether you are spending money in the front or back of town, St. George's or Somerset.

"When you consider it is people's livelihoods at stake, when you buy things locally you are supporting Bermuda, from your neighbours to someone's cousins, aunts and uncles and children at school."

Ms Clarke agreed that Bermuda was feeling the pinch and the best cure was for people to get out there and shop.

"I am not saying that we are the same as the stores in the US, we are different, but certainly Bermuda is not in a cocoon and anything that happens in the US we are affected by," said Ms Clarke.

Ms Clarke was on a local radio station yesterday morning encouraging locals to buy from the Island's retailers claiming that their prices were the same as the US, and offer good value for money and a wide selection.

"All of Bermuda's retail sector has tremendous offerings and I feel at times the residents do not give us enough attention or credit for what the retailers provide and I am really asking them to look at us and see what exciting merchandise is out there," she said.

She said that Gibbons had been doing a lot more promotions this year than in previous years in a bid to attract more foot traffic in the stores.

"The customer sentiments out there are that they are very nervous," she said. "We are recognising that they are feeling the pinch and we are doing some tremendous promotions."

Among the promotions Gibbons was running were week-long sales in each department, including towels, bedding, home furnishings and kitchen, seniors' day, offering a 15 percent discount on Mondays, corporate shopping nights on Thursdays, late night shopping on Fridays and weekend specials from Friday to Sunday in the run up to Christmas, Ms Clarke said.

"We recognise the fact that at Christmas people not only want to buy and get involved in the Christmas spirit, but want to give back to the community," she said.

"If they pay $5 which goes to the charity of there choice, which must be listed in Bermuda, we collect the money and give the customer a pass to shop all day and get 20 percent off — it is like a win-win situation for the customer and for the charities.

"We then write one big cheque to the charity, which could be the Salvation Army, PALS or the Women's Resource Centre, for example — it is always very well-received and the customers really enjoy the savings."

Other offers range from corporate gift cards with company logos on to give to clients to website special offers for online shoppers and even a layaway scheme which has been extended from November through December, said Ms Clarke.

"We are really working very hard to bring a variety of products and services to the customer," she said. "We want to bring value and keep the dollars in Bermuda."