A survey by Retail Excellence Ireland shows that pre-Christmas spending in shops is up slightly this year compared with this time last year, when the wintry weather kept many consumers indoors.
It has also warned that a number of international retail chains are considering leaving the Irish market next year.
The group spoke to over 300 retailers and found that shopping had been relatively slow so far this month. But the group said many shops were still hopeful of significant spending over the next eight days.
Retail Excellence Ireland - which represents more than 650 companies - says retailers have yet to experience any real Christmas lift in sales. But the group predicts that the real rush will begin tomorrow.
Chief executive David Fitzsimons said customers had been acting cautiously, entering stores with shopping lists and doing online research.
He said customers were buying gifts that are functional rather than frivolous and were not opting in large numbers for the promotional offers such as "buy one get one free".
The group found the continued popularity of Kris Kindle for families as well as colleagues was also having a negative impact on gift demand.
Asked about the losses being reported by the department store Clerys, Mr Fitzsimons said the vast majority of retailers were currently loss-making, but that Clerys was an iconic retailer, which was well-run, and would come through its difficulties.
