Many of the nation's stores are reporting crowds for the traditional start of the holiday shopping season that are as least as large as last year. But deep discounting and tempered buying could result in a sluggish start to the season, which was already expected to be the weakest in decades.

THE DISCOUNTS: Stores — which had cut prices deeply throughout November in a desperate attempt to pull in spooked shopppers — offered even wider and deeper cuts on the day after Thanksgiving, known as Black Friday. Merchants were also more aggressive about discounting than a year ago. Macy's, which had offered 25 early morning specials for the traditional start a year ago, featured 200 early specials on Friday.

Janet Hoffman, managing partner of the North American retail practice of Accenture, estimated that the price cuts ranged anywhere from 40 percent to 70 percent and were taken on a broader array of merchandise on Black Friday. That compares with the 25 percent to 40 percent discounts taken on selected merchandise last year.

WHAT'S POPULAR: The fallout from the escalating financial crisis — tightening credit, massive job layoffs and shrinking retirement funds — is forcing shoppers to slash their holiday budgets and focus on fewer, less expensive and practical items like pots and pans and sheets. Children's apparel appears to be faring better than adult apparel, Hoffman said. Even parents who are limiting their gift buying to their children are being stingy. And while hot toys like Fisher-Price's Elmo Live are faring well, parents are also focusing on the best deals.

WHAT IT MEANS FOR SALES AND PROFITS: Such frugal buying and deep discounting could depress sales for the start of the holiday season. Some already feared retailers could see a rare decline in spending from year-ago levels.

"Stores have to sell more merchandise because what they are selling is cheaper than a year ago," said Ellen Davis, a spokeswoman at the National Retail Federation, the industry trade group.