When walking through shopping centres in recent weeks one can't help but notice the many signs for reductions and sales that grace the windows of many leading retailers. However, despite the reductions and the availability of so-called bargains there has been a decline in retail sales in September.
According to an article by Dan O'Brien in todays Irish Times, CSO statistics that were released yesterday reveal that core retail sales, excluding the motor sector,"were more than 4 per cent lower in September compared with their April peak." The only sectors that saw increased growth were chemicals, pharmaceuticals and cosmetics.
This worrying trend shows that consumer confidence is still low. People are still worried about their finances and are cautious of spending.
However it is not all bad news, the article goes on to tell us that there has been a strong increase in motor trade sales this year. The Government sponsored scrappage scheme has been one of the reasons for this increase, according to O'Brien. The article also explains how "large declines are usually followed by large increases, as consumers find they can delay purchases no longer." O'Brien tells us that part of the reason for the increase in car sales in 2010 was that people who postponed their purchasing in 2009 have decided to buy this year.
Source: Irish Times:
http://www.irishtimes.com/newspaper/finance/2010/1030/1224282315623.html
No comments:
Post a Comment