Jodi’s Journal: Retailers, restaurants seek to avoid encroaching ‘March Sadness’

March 23, 2025

I’ll give CNBC credit for the timely, catchy headline.

“Shoppers and March Sadness,” it read on the screen during a segment I watched last week. The anchor noted that while basketball fans were gearing up for the big tournament, shoppers and the retailers trying to lure them were experiencing “March sadness.”

The interview featured national retail thought leader Michael Zakkour, who describes it as a “state of confusion in retail.”

“People are spending, they’re not spending, we had a great holiday season, things have tapered off, so I think there’s a bit of confusion and maybe a little bit of March sadness thrown in there,” he said.

“For most people, we don’t know what’s going to be in our wallet in the next month, two months or six months.”

There’s no doubt that the past few weeks have represented a ramping up of uncertainty, both from consumers and businesses. I definitely sense contingency planning already underway within businesses and nonprofits.

As for retailers, look no further than this year’s winner of the Downtown Burger Battle, Chef Lance’s on Phillips. The locally owned restaurant is known for filling up its reservations well in advance. While weekends have remained solid, Tuesday through Thursday nights got quiet in March.

Co-owner Lance White posted about it, asking customers to “let us cook for you” on those slower nights, and they responded.

He took a cue from other restaurants nationally that made a more intentional ask of their customers, telling them specifically how they could be supportive.

“The focus behind it for us was we need a few more butts in seats Tuesday and Wednesday, and we got it,” White said. “It was really good. Most of the time we are full, and it’s hard for people to get in. So we had to be real specific with our ask. We get that everyone wants to go out to eat on weekends, but it’s pretty quiet on the weeknights.”

The point is when a business owner who usually would have little cause to note a downturn is saying something, there’s probably something to be said.

More broadly, consumers are asking themselves: “Do I spend on trips? Do I spend on restaurants?” Zakkour said in his interview.

But the consistent theme is that despite the uncertainty, consumers are still spending. The issue is more about where they’re spending. Not surprisingly, the trend is toward value.

“I think the Ross stores, the Burlingtons of the world, the Walmarts of the world and even the Dollar Stores are doing well,” Zakkour said, adding that it remains to be seen which companies in which retail categories could face a rocky year.

“Do people retrench to what they need over what they want? There’s a bit of confusion.”

The challenge for independent retailers and restaurants is that much of the activity revolves around discretionary spending. Many people tell me they feel unsure at the moment. That doesn’t lend itself to indulging in a new outfit or accessory or updating your home decor.

However, I tend to believe moderation in most things is OK. So even if you’re watching your budget, it’s OK in most situations to look at a new piece for your wardrobe this spring or meet up at a restaurant with a friend you haven’t seen lately.

Just make sure you’re considering who you support when you do so — remembering those business owners who also live, work and give back to our community.

It’s never easy to put yourself out there as a business owner and acknowledge that conditions could be better.

But customers respond to authenticity, White added. When you’re real, people appreciate it, and it often gets reflected back.

“Sioux Falls is good to rally around people when they need help,” White said. “Anywhere we put our energy, we usually get energy back. Sioux Falls is a good community that just wants to help others succeed. I see that a lot.”

Maybe our small-business community should think about a bracket-style activity to drive engagement next March. In the meantime, if we all step up a little in the next couple of weeks, I bet our retailers and restaurateurs would appreciate it even more than usual. Especially if they don’t have to ask for it.

The post Jodi’s Journal: Retailers, restaurants seek to avoid encroaching ‘March Sadness’ appeared first on SiouxFalls.Business.