Sales did not give the kiss of life to merchants

Profits from the first 20 days of sales are already 25% less than last year, a decrease that is a record for the past three years, as is apparent from the initial data emerging from a survey conducted by the Merchants Union of Greece. According to the published report, 8 out of 10 traders are confirming that their profits have decreased gravely, while there have been some local merchant unions in areas of Greece that are reporting a 60% decrease in profits.

The large discounts offered did not “move” consumers, who appeared very reticent in their shopping, and most transactions took place by means of credit cards. More specifically, clothing and shoes were down by 22-25%, houseware, electronics and furniture by 20-23%, and books, small objects and gifts by 20-22%. Department stores also dealt with a decrease of 7-10%.

Large food shops also recorded a decrease of about 6-8% and smaller shops (corner shops etc.) one at 17-20%.

Apart from the downfturn, the positive element is that the sales have decreased inflation from 5,5% in July 2010 to a 2,4% this July.