Traders rejoice as shoppers loosen festive purse strings
City retailers’ cash registers were ringing with extra Christmas cheer this December as sales returned to pre-crash levels.
Business leaders in the city report a return of consumer confidence and a loosening of purse strings among Galway shoppers.
Local experts say growth in Christmas trade has returned to the city’s retail sector for the first time in seven years, as employment figures improve and shoppers have more money in their pockets thanks to modest restoration of tax and social welfare cuts.
Galway City Business Association chairman, Anthony Ryan, of Anthony Ryan’s fashion and homestore, said it has been a very positive Christmas trading period, with sales up between 3% and 5% compared with last year.
“It is the first Christmas since 2008 we have seen growth both in traditional ‘bricks and mortar’ and online sales,” said Mr Ryan.
“Menswear has been particularly strong and so, too, our homeware. Sales are up by between 3% and 5% overall. People are loosening their purse strings, they have more money to spend and the budget has restored confidence, and people are anticipating having more money in the New Year.
“There are more people working now also which adds to the pot. Sales of groceries and food have been the same as last year but it has been so competitive in this sector, and people are certainly getting more value for money.”
Mr Ryan said the doubling to €500 of benefit in kind tax relief available for businesses who give employees vouchers means there are far more gift vouchers in circulation. He said the retailers are expecting bumper post-Christmas sales, which begin tomorrow, St Stephen’s Day morning.
Galway Chamber also reported buoyancy among its members despite the weather, and sales are on course to exceed Christmas 2014.
For more on the Christmas sales boom, see this week’s Galway City Tribune