Easter retail turnover to shrink by 500 mln euros
Neither the favorable weather conditions in the runup to Easter nor the opening of commercial stores on May 1 have been able to persuade shoppers to loosen their purse strings this year, as the abolition of the Easter bonus for civil servants and most pensioners along with the high rate of unemployment have had a direct impact on retail commerce this Easter.
Market sources estimate that the decline in turnover will come to 10-15 percent at best compared to last Easter, with the biggest drop expected in food and toy stores as consumers buy fewer and cheaper gifts for their loved ones.
If market estimates prove correct, turnover this Easter will fall to about 4 billion euros from 4.5 billion during the same period last year, when turnover had also shrunk by 500 million euros from 2011.
On the other hand, the fact that Easter this year is in May appears to have contained the drop in turnover at apparel retailers. Tradesmen note that the Easter holidays and the unseasonably high temperatures have encouraged consumers to make summer clothing and shoe purchases.
In men’s clothing in particular – a section of the market that is typically hit hardest when consumers reduce spending – there has been a reduction in the rate at which turnover has dropped. According to shopkeepers, this is thanks to the fact that May is traditionally among the most popular months for weddings.
The market expects men’s and women’s clothing to register a 10 percent year-on-year decline, seasonal merchandise, gifts and toys to fall by 15-20 percent, children’s apparel to drop by 20 percent and food store turnover to shrink an estimated 10 percent over the Easter period.
This decline at food stores is attributed both to the fact that consumers not only buy less nowadays but also to the swing in favor of cheaper own-label products at supermarkets. In contrast to the period before the economic crisis set in, in cooperation with suppliers, many retail commerce chains have been making special offers in the runup to Easter, mainly regarding beer, wine, refreshments, flour and olive oil.
Stores will open from 1 to 7 p.m. on Good Friday, while on Saturday they will be open from 9 a.m. to 3 p.m. Supermarkets will close at 6 p.m. on Saturday.
All stores will be closed on Sunday, Monday and Tuesday, after the transfer of the May Day holiday from May 1 to May 7, upon the Development Ministry’s decision.
