EconomyA mixed record for traders, especially in Paris and...

A mixed record for traders, especially in Paris and in physical stores

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Despite the summer promotions, the crowds of shopaholics weren’t there this year in the stores. After the sales close on Tuesday evening, traders draw up a half-fig, half-grape assessment, especially for physical stores.

In Paris, as in 2020, tourist flows remain much less important than before the Covid-19 crisis. For their part, many residents packed their bags at the start of the school holidays. The shops of the capital have therefore not had good sales, 55% of them saying they are “not satisfied with their activity” between June 30 and July 27, according to the Paris Chamber of Commerce and Industry. Ile-de-France.

20% drop in clothing sales

Yohann Petiot, Managing Director of the Alliance du Commerce (department stores, clothing, footwear), evokes a drop in activity of more than 20% of sales in clothing stores compared to 2019, the last year of activity ” normal ”, according to a panel co-produced with Retail Int. In the other French regions, the drop in activity recorded for the stores is 6%.

The question arises again of the correct date of the sales, postponed this year by one week by the government, in particular so that small traders sell for longer at a high price. But it is difficult to reconcile the interests of consumers looking for good deals, traders wanting to preserve their margins and those wanting to sell their stocks.

The sales “cannibalized by the opening of May 19 and private sales”

In the end, the Ile-de-France CCI believes that the sales have been “cannibalized by the opening of May 19 and private sales”, consumers having already spent the bulk of their budget during private sales. Some, like the National Clothing Federation (FNH) go so far as to call for an evolution of “the structure of sales, which have become obsolete”. The Syndicat des Indépendants (SDI) questioned 512 of its members, and 66% of them “no longer see any commercial interest in the sales”.

“The big private sales on the Internet”, for example the Prime Days that Amazon had organized this year on June 21 and 22, “weigh on traditional businesses because everyone is somewhat obliged to follow”, observes the president of the Federation of Leather Goods and Travel Retailers, Sophie Brenot. However, the period “remains a strong moment for traditional businesses, especially the first weeks,” she continues.

More and more online shopping from the Covid

All the stores are confronted with the transfer on the Internet of a good part of the expenses of the French people. For the business transformation consulting firm Alvarez & Marsal, nearly 29% of French household spending “could be permanently transferred online” thanks to the Covid-19 crisis. And those that are most likely to be are clothing and home equipment, two categories particularly exposed to sales.

Professionals are worried today about the impact of a 4th epidemic wave of Covid-19, and the Alliance du commerce demanded Wednesday that the benefit of the Solidarity Fund for the month of August be extended to businesses located in shopping centers that would be affected by the implementation of a health pass.

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