People spend more on food and drink, less in small shops this Christmas

Cypriots were out and about in the shops over the holidays but there was no significant uptick in Christmas purchases, other than at supermarkets, the head of the small shopkeepers association (Povek), George Ellinides, said on Wednesday.

He noted that major commercial activity was concentrated in large supermarkets and limited traffic was recorded in the city centres.

While people are on the move, engaging in various activities, including shopping, Povek’s head added that the overall market movement has not been substantial, except for the last couple of days.

This has grim impacts on shop owners. Ellinides focused on Nicosia, saying that the city faces problems with sales, as shop owners struggle to cover rents and expenses.

“The market has dried up, it’s not like before,” he told the Cyprus News Agency.

When asked if the festive events taking place in city centres these days contributed to market activity, he said these events did not benefit commerce.

“They contributed to recreation, to people having a good time. But there was no consumption in commercial stores,” he emphasised.

He attributes the limited market activity to various factors, including increases in product prices, electricity, and gasoline. People, he suggests, limit themselves and try “not to go beyond their means.”

This year’s market activity was not in a better condition than the previous year according to Povek. “Within cities, only catering works in the evenings, not commercial stores,” he added.

Looking ahead to the coming days of the holiday season leading up to New Year’s Day, Ellinides predicted the market would move within the same framework. “There will be some movement, [but] not as much as the shop owner expects in order to compensate for previous periods,” he said.

Responding to whether shop owners are anticipating the sales season, he noted that there was “anarchy in the market” regarding discounts, as everyone puts them whenever they want.

This lack of a structured approach has led people to pay less attention to the fact that this month is a discount period, diminishing its impact on consumer behaviour according to Ellinides.

The supermarkets and butcher shops said on Wednesday that they had performed very well during the holiday season, according to representatives of the consumers’ and the supermarkets associations. On the other hand, there was a decline in sales at clothing and footwear stores.

The Head of the Supermarkets Association Andreas Hadjiadamou mentioned that the market moved better than last year. Despite price pressures in the past two years, prices remained at last year’s levels, especially for essential products such as meats and other festive table items. Hadjiadamou expressed satisfaction with the visitor turnout and anticipated increased activity over the next few days leading up to New Year’s.

Lamb, drinks, Christmas sweets, including traditional kourambiedes, and melomakarona were particularly popular during the festive season, according to Hadjiadamou. He emphasised that there were no problems during the period, and checks by relevant authorities were continuous. However, he highlighted concerns related to the return policy of stores, emphasising the need for consumers to be informed about these policies before making purchases.

Similarly, the president of the Cyprus Consumers’ Association Marios Droushiotis echoed similar statements, saying that supermarkets and butcher shops performed very well compared to the past year. Today, traffic is low as people are expected to shop for their New Year’s table over the weekend, he said.

While children’s gifts were popular, the market for adult clothing and footwear, especially men’s items, faced challenges. Like Hadjiadamou, Drousiotis mentioned concerns about the lack of legislative regulation in store return policies, urging consumers to be aware of these policies before engaging in transactions.