A LAST minute surge in shoppers to Nicosia’s centre has brought relief to many branded shop owners, but leaving many of the independent shops still feeling the crunch.
For many shop managers, the influx of Christmas shoppers since the weekend has marked the end of a below average consumer spending spell, but how does this Christmas compare with the last, and how does this bode for the year ahead?
Demetra Hartsiotis, Managing Director of the David Steps Group which owns five stores, including Camper, Kickers and Start-Rite was upbeat about the state of the market.
Overlooking a bustling shop floor at her Soussura store, just of Makarios avenue, Hartsiotis said “The market is as good as it can be in these conditions. It is very busy at the Mall but and in the city centre, a little better than last Christmas. We expect to do good business in the next two days.”
Asked about consumer spending, Hartsiotis said “Customers are a little bit more conscious (of prices) but the problem is not as big as people are trying to show. My friends in retail are saying the same thing.”
Hartsiotis attributes the resilience of her stores to the brand names of her products. “The negative effects are mostly on cheap products because the customers are not willing to spend money on lower quality items.”
She added “The crisis does not affect brands with global awareness and which customers trust and know.”
It is a counter-intuitive notion, yet it is borne out by further investigation. After Soussura I wondered down the exclusive and boutiquey Stasicratous Street.
Frixos Demetriades, Retail Manager for Louis Vuitton, was so busy yesterday he said simply that it had been a very busy week, and would be able to speak further after Christmas.
At Occitaine on Makarios Avenue, Sales Advisor Christianna Mannouri said “Sales have gone up a lot since Saturday. I’ve been working here for a year and a half, and though it was a bit better last year by around three to four per cent, it has not changed much.” Mannouri explains that most customers are familiar with the products and frequently return to buy more.
“Cypriots have a habit of leaving their shopping to the last two days, and if the past two days are anything to go by, sales will be good.”
Also hoping for a last-minute boost will be the many independent stores. Joanna, a Sales Assistant at Lepus, which sells inexpensive jewellery and accessories in Cyprus only, said that this year the shop had been much less busy. “Because of the crisis, people are spending less.”
The contrast between independent and branded stores was even more apparent on Ledra Street.
Kriton, owner of the Fenix souvenir shop which sells replica guns and swastika emblazoned daggers, confirmed that business was down on last year, and had not yet picked up this Christmas. It was a similar scene at an empty Verona Shoes, where a sales assistant said that sales had not yet increased in the run up to Christmas. Asked about the months takings, she said “We will have to wait until the end of the month.”
Across the street at Carpisa, an international luggage and leather goods brand, Sales Manager Monica Barsoumian said it had been a very busy weekend, with sales similar to last Christmas.
With two more days to go until Christmas, the retail industry certainly seems to be in better shape than one might expect from a country in its third quarter of declining GDP. For Hartsiotis, the key to surviving the crisis is a loyal clientele, created by a strong brand. “In Cyprus it is easy to develop loyal clientele, but Cypriots travel a lot and know what is going on abroad. If you can keep the quality high then customers will not go elsewhere.”
