Only DIY and clothing untouched by crisis
Belgians changed their shopping habits in the first six months of the year as a result of the economic crisis, according to a report by the retail federation Fedis. Most sectors have felt the pinch as the public turned to saving instead of spending. Savings went up, from 13% of disposable income in 2008 to 15% this year.
For the first time in nine years, food sales were down – by 1.3% compared to the same period in 2008. One in five consumers cut back on food spending. Brand names were hardest hit, Fedis said, dropping nearly two percentage points of market share to 53%. Store-brand products remained stable, but discount brands leapt from 24.5% to 28% of the market. Four in 10 consumers told Fedis they now consciously go looking for bargains.
The non-food sector is also feeling the effects of the crisis: spending on video material was down 3%, games down 4% and electrical goods down nearly 4%. “We are all putting off major purchases like washing machines, dishwashers, vacuum cleaners and dryers,” a Fedis spokeswoman said. Only clothing and do-ityourself equipment saw sales go up, by 3.3% and 2.9% respectively.
The restaurant industry is also suffering, with an average of four businesses going bankrupt every day – a total of 1,101 in the first half of this year. In addition, 798 retail stores and 644 wholesalers went out of business. The number of jobs in the retail industry will still be up in 2009, but much less than in 2008: 1,000 extra jobs this year compared to 4,000 last year.
“Businesses have no choice but to make other efforts to attract customers,” said Fedis director-general Dominique Michel. “Selling more involves investing more – in renovation, diversifying, opening new outlets. Nearly eight out of 10 businesses in our survey said they would be making new investments this year.”
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