Frasier’s holiday spirit sinks when he co-hosts Seattle’s Christmas parade with a popular rival radio shrink.

Ever since he was a kid, Frasier has dreamed of taking part in the city’s annual holiday parade. This year, he gets his chance when he convinces Channel 6 personality Kelly Kirkland to let him co-anchor the telecast with her. The gig is especially important to Frasier now that KACL has hired his former protegee, sassy self-taught radio shrink Dr. Mary, to host a hot new show.

To Frasier’s chagrin, Kelly is overcome by food poisoning at the last minute, and Dr. Mary is tapped to take her place. Meanwhile, Niles, Martin and Daphne gather to watch the event, and decide to open just one Christmas present each. During the program, Dr. Mary upstages Frasier with her witty ad-libs. Not that Frasier’s family notices – they’re too busy tearing through all their gifts!

Back at the parade, Frasier makes a fool of himself by accidentally punching Santa. Later, he apologizes to Dr. Mary, and admits he’s jealous of her popularity. While Niles, Daphne and Martin hurriedly re-wrap their presents at home, Frasier is thrilled to run into Bob Vernon, the original host of the parade. To his surprise, Frasier’s boyhood idol confesses that his first telecast was also a disaster, and offers Frasier some much-needed words of encouragement.