David Hamshere has been at the helm of some of Bermuda’s largest retail stores since 1985 and said this was undoubtedly the worst Christmas ever for the industry.He said the deep discounting and late hours being offered by stores over the last few months was “unprecedented” in Bermuda and showed they may be sitting on a lot of inventory.Mr Hamshere is the managing director of Tess Ltd, the operating company for Marks and Spencer, Cecile’s, the English Sports Shop, Lusso.He said his group was “the last to fall” in terms of offering the kind of deep discounts that competitors had been offering since early November.Retailers we spoke to said a major factor driving the deep discounts this season was the demand by today’s price-conscious consumers to score bargains.Marks and Spencer was offering 20 to 30-percent off select goods storewide, while Cecile was dropping prices 25 percent on select designer clothing.Several other large stores were also offering discounts for the remaining shopping days before Christmas, including, a 20-percent-off sale by SAL, a 20-percent-off storewide sale at Gorham’s yesterday, including 50-percent off Christmas decorations, Gibbons Company’s “doorbuster” sale yesterday until noon offering up to 40 percent off clothing and as much as 50 percent off certain brands, and Phoenix Stores has been offering deeper discounts on special senior shopping days. It also held a hugely successful US-style Black Friday event last month.“When you start discounting at above 20 percent you really are in deep margin danger,” said Mr. Hamshere. “It tells me there is a need to get cash back in to meet commitments for next year.”He said merchandise that ordinarily would be discounted in the January sales was being discounted heavily now.“The last week of Christmas you expect to be selling at prime,” he said. “This month, for most retailers, is make or break.”He added, however, grocery items at Marks and Spencer were selling well, or “galloping along”, with many items selling out.“The consumer is stretched, and they are waiting for sales,” said George Grundmuller, President and CEO of the Phoenix Stores.Mr Grundmuller said despite the sales and promotions, the group’s sales overall this season were about on par with last year.Gorham’s general manager Andrew Mackay said he had noticed his competitors were definitely discounting more this season.“It’s been a battle no doubt about it this season,” he said. “It’s a sign of the times. There are less people and they are more particular.”Chamber of Commerce executive vice-president Joanne MacPhee commended retailers for responding to the economic climate.“The Chamber is very encouraged to see its retail division actively engaging in strategic and aggressive commerce,” Ms MacPhee said.“It is a win, win for Bermuda when we can demonstrate a commitment to the economy, on a continual and sustainable basis.“Our retail members, be they in Hamilton, St. George’s of Dockyard, know that they are not just competing against one another for your business, but also competing with retailers word-wide. I would only add that we would actively encourage the public to trust and believe in our retail product and support it in any way that they can.”Paula Clarke, CEO of Gibbons Company, which has offered numerous discounts this season, has said the company’s sales were “matching expectations” this season and she was heartened by feedback from customers supportive of buying Bermuda.