- The Government is the landlord for tenants caught in upward only rents
- A third of retailers in danger of collapse
- Irish company wins Kids Emmy Award
- Bank debt deal anything to shout about for SMEs
The Small Business Show is broadcast each weekend on Clare FM radio & Listened to by over 21,000 people a week ( official JNLR figures ). Items from the show are published as podcasts throughout the week on FocuSMEIreland.com. You can subscribe for free to download the MP3s automatically using RSS, iTunes or the Stitcher App.
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Topics discussed this week:
- Irish Retailers Losing €512m in theft and crime
- We talk these days about the USA and China, but what about Africa as a place to do business?
- We’re out of the worst of the recession…aren’t we?
- Did Gabriel Byrne have a point when he criticised the Gathering 2013 on the Matt Cooper Show on Today FM?
The Small Business Show is broadcast each weekend in syndication on Irish radio. Items from the show are published as podcasts throughout the week on FocuSMEIreland.com. You can subscribe for free to download the MP3s automatically using RSS or iTunes.
The gross disposable income of households was nearly €22bn in Q1 2012 – an increase of €771m or 3.6% compared with the same quarter of 2011, latest figures from the CSO show.
Higher wages (+€170m) and profits of the self employed (+€365m) along with lower interest payments (-€272m) were the main factors which contributed to the increase in household disposable income over this period, it said.
But there was little change in household expenditure between the first quarter of 2012 and the corresponding quarter of 2011 (€19.4bn compared with €19.37bn).
As a result, gross household savings increased from €2.4bn in Q1 2011 to €3.2bn in Q1 2012.
The derived gross savings ratio, which expresses savings as a percentage of gross disposable income, increased from 11.2% in Q1 2011 to 14.2% in Q1 2012.
This will come as bad news for the retail sector. While it seems there is more disposable income out there, more and more people are choosing to save that money instead of spending. Those figures may rise as the budget looms at the tail end of this year.
The volume of retail sales decreased 1.5% in April 2012 when compared with the previous month, Central Statistics Office figures showed today. This equates to an annual decrease of 2.7%.
Chambers Ireland has blamed last’s month’s decline in retail sales on the negative effects of the rise in VAT in Budget 2012.
ISME Chief Executive, Mark Fielding
ISME, the Irish Small & Medium Enterprises Association, reacting to the latest annual reduction of 2.7% in Retail Sales figures issued by the CSO today, has demanded that the Government immediately tackle the high cost base under their influence. The Association outlined that retailers were being ‘wiped out’ the length and breadth of the country, due to a deteriorating domestic economy, driven by consumer uncertainty and ever increasing costs. Unless these key issues are addressed, shops will continue to close, jobs will be lost and a key sector supporting local economies will continue to disintegrate.
According to ISME Chief Executive, Mark Fielding, “Today’s shocking retail sales figures confirm that when it comes to spending money in the shops, consumers are still cutting back. Overall, retail sales are down by 30% compared with the boom era. This is costing jobs and leading to shop closures. Consumer sentiment is weak and the outlook continues to remain uncertain. The high cost of rents, rates, tax and labour are causing retailers real difficulties and depressing consumer demand.”
“Retail is on the front line and the first to feel the downdraft of the recession. It is high time that the Government introduced policies to support one of the most significant contributors to the economy. We need the immediate formation of a Retail Strategy Group to address the risks to the sector and the Government to implement immediate policies to tackle the cost base, in order to secure the 250,000 jobs in the Retail industry,” concluded Fielding.
Sales from social commerce, driven by the influence of social media, are expected to more than double within the next five years, according to research from Barclays.
Research carried out in the UK found that the ‘social shopper’ will cast a considerable influence over the sale of goods and services by the year 2021.
It found that 41% of the consumer population is expected to be influenced by or the use of social media when considering a purchase. The figure is higher among 25 to 34-year-olds, expected to reach 73% – as 45% of this group are already engaging in what Barclays have called ‘s-commerce’.
Retail Ireland has revealed that over 70% of stores have responded to them to say they will be opening for St. Patricks day.
Retailers are hoping to cash in on the large crowds which will be pouring into towns and cities across the country to watch parades and enjoy the bank holiday weekend celebrations.
Usually most retailers shut their doors on St Patrick’s Day, but in Dublin at least 70% of stores have told Retail Ireland they are open for business.
January sales have been very disappointing for retailers and it is hoped the St. Patricks day celebrations can help give the industry a bounce.
Retail Ireland director Stephen Lynam says because Paddy’s day falls on a Saturday it makes sense for stores to stay open.
“The fact that St Patrick’s Day is a Saturday, which is usually the busiest shopping day of the week, and the fact that it falls the day before Mother’s Day has encouraged retailers around the country to open their doors,” he said.