2024-08-24 01:57:03
The second sales period of the year began this Saturday, August 24, for one month. A crucial time for Caledonian merchants. They hope to see customers return in a bleak economic context due to the crisis that has been ongoing since May 13.
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“Do you think we have the heart to go shopping, with the life we have at the moment?”
Basket and list in hand, this Nouméa grandmother does not feel like shopping. While winter sales are usually highly anticipated, this year, considering the crisis that New Caledonia is experiencing, it seems that not everyone will benefit from them as usual. This customer, encountered in a shopping gallery in downtown Nouméa, for example, plans to be more cautious: “we have to think about what will happen in the future, we can no longer act as we used to. It’s not the time to spend.”
These sales are, however, crucial and necessary for many merchants according to Guillaume Cazé, a member of the merchants’ union board. “This is a cash influx that can be important, especially now when many businesses need cash flow. And it’s an opportunity to renew stock and get rid of old stocks, old collections, for example, in clothing, and thus be able to renew the offerings in-store and have a constantly refreshed offer.”
But for that, they need to have stock. Wullan Jamain, manager of a shop in the Nouméa Centre gallery, simply does not have the necessary merchandise to offer discounted products. “It’s to clear our stock and right now, there’s no one. It’s hard for us to attract people.” Others, however, want to delight their customers, like Iris Wang: “One tries to pamper the customers a bit because they need it. That’s what they expect. And they are waiting for the sales, so I spoil my customers, I give them amazing prices. I’m going to offer many items at 50% off from the start.”
It is worth noting that merchants are not obliged to participate, as Stéphanie Salgueiro, in charge of promotion and the general secretariat at the New Caledonia merchants’ union, reminds us. “The merchant can perfectly start the sales period and stop it, if desired, after two weeks. The main thing is to really maintain the good period set by a government decree.” In addition to the mandated period, discounted products are also subject to regulation. “This is a period where we can go below the cost price, but the products must have been on the shelves for at least one month. The directorate of economic affairs is there to carry out inspections. Our members are fairly aware of commercial practices, so yes, we can find significant discounts.”
The sales take place from August 24 to September 22.
Future Trends in Retail During Economic Crises
The recent opening of the second sales period of the year in New Caledonia highlights a significant shift in consumer behavior amidst ongoing economic challenges. As the sales began on August 24 and are set to run until September 22, local merchants are grappling with a sharp decline in foot traffic. This scenario underscores the potential future trends in retail, particularly during times of economic instability.
One emerging trend is the growing prioritization of sustainability and mindful spending among consumers. With individuals like a Nouméa resident echoing sentiments of caution in spending, there is likely to be a continued trend towards more conservative financial habits. Shoppers may increasingly focus on essential purchases and limit discretionary spending, suggesting that retailers must adapt by curating collections that resonate with value and necessity.
Furthermore, the struggle for merchants to maintain inventory during sales highlights an opportunity for enhanced supply chain management. Future retail operations may see an increasing reliance on just-in-time inventory systems, allowing businesses to better align stock levels with consumer demand. As indicated by retailer Wullan Jamain, the lack of merchandise for sales may force shops to reconsider their stocking strategies to ensure they are better prepared for future promotions.
Additionally, technological integration is poised to play a pivotal role in shaping retail trends. With the acknowledgment from merchants like Iris Wang regarding the need to attract customers, leveraging digital marketing strategies and e-commerce platforms will become vital. Retailers may adopt personalized promotions and targeted advertising to engage customers effectively, especially those driven by significant discounts during sale periods.
As businesses evaluate their participation in sales, flexibility will be key. Retailers like Stéphanie Salgueiro note the option for shops to adjust their sales strategies dynamically. This adaptability may lead to a trend where brands increasingly tailor their sales approaches, responding proactively to changing market conditions.
In conclusion, as New Caledonia’s retailers navigate the ongoing economic crisis, understanding these potential future trends will be crucial in developing sustainable strategies that not only survive but thrive in an ever-evolving shopping landscape.