ISME: Retail Sector Still Struggling But Recovering Slowly
Published on Apr 5 2016 7:26 AM
The results of the ISME Quarterly Business Trends Survey for the first quarter of 2016, released yesterday, show a disappointing turnaround in the sentiment of SME owners, with a worrying drop in the economic indicators tracked. Decreases in nine out of 12 indicators were recorded.
There were disappointing results recorded across the board, but in terms of Retail, the sector reported either a decrease or no change in six out of the ten indicators tracked.
The indicators 'Current Employment' and 'Investment' are both up within the retail sector, while 'Business Expectations' have remained the same.
Most notably, however, retailers' 'Profitability Expectations', a key indicator, decreased from 5% to 3%. The sector is experiencing a slow recovery and would benefit from a dedicated plan to improve e-tailing, ISME stated. There was one particularly positive sign, with retailers reporting an increase in their 'Future Employment' from -10% to +6%.
Commenting on the results of the SME Business Survey, Mark Fielding, ISME CEO, said, “It is disappointing but predictable that the results are mainly negative. The current political situation and the industrial relations landscape is having a major negative effect on business confidence and expectations.
“The current impasse in the election of a new government and the threatening industrial relations climate is having a major negative effect on SME sentiment. The lack of confidence to govern, shown by all parties in the new Dail, is a disgrace and is having a negative effect on business confidence."
© 2016 - Checkout Magazine by Niall Swan