Boom in sales for fitness retailers
Cycle shops and footwear retailers were among the big winners as Taranaki shoppers went local and sales soared during the first week of alert level 2.
Retail statistics provided by Venture Taranaki showed the total retail spend in Taranaki to the week ending May 17 was just
2.9 per cent down compared to the same period last year.
However, the number of transactions was 18.7 per cent lower than the same period in
2019. So while fewer people appear to be shopping, those who are shopping are buying more.
Retailers benefiting from the spend were locally owned businesses such as cycle shops, whiteware and DIY outlets, plant shops and leisure wear retailers.
New Plymouth Cycle Inn cycle shop owner Robert Coe said he had seen sales increase during alert level 2.
Coe said one of the biggest factors was the fine autumn weather during the lockdown that encouraged people to get out and exercise – either cycling, walking or running.
‘‘We’ve been in the right trade at the right time, although it would have been harder if the lockdown had been in winter.
‘‘We’ve had a lot of people come in and buy a new bike, or get repairs to their existing bikes, so they can go cycling.
‘‘It was like people needing a haircut after seven weeks. It was exceptional, I would say our sales and turnover are up from same period last year.’’
Shoe Clinic owner Nick Bull said the fine weather had also helped his business.
‘‘Sales have been really good since level 2 after being closed in levels 3 and 4,’’ he said. ‘‘Some people came to replace their shoes because they wore out their old ones during lockdown 3 and 4.’’
In South Taranaki, plant shops, DIY and whiteware retailers all had improved sales, Bizlink Hawera chairman Gerard Langford said.
‘‘There had been a real desire from many people to shop local,’’ he said. ‘‘The challenge will be the ability to sustain sales over the long run.’’
Coe and Bull said winter could be tougher trading, with cold weather and supply shortages from Asia.
The closure of Chinese manufacturers over New Year due to Covid-19 resulted in a two to three month supply gap for many items, including bikes and spare parts and clothing.
Venture Taranaki chief executive Justine Gilliland said the figures showed the region was spending strongly as shops reopened up for alert level 2.
The region outperformed the national average where sales were 11.2 per cent behind last year’s benchmark, she said.
Venture Taranaki strategy and sectors general manager Anne Probert said lower value high volume transactions would be less prevalent as habits around supermarket shopping changed and remote working continued.
Home and recreational retail, and food and groceries were up
42.2 per cent and 21.8 per cent, respectively on 2019. Hospitality and accommodation was down
38.5 per cent on last year but rebounding strongly, she said.