Evidence on streets of ailing economy

Dunedin pharmacist Warren Leonard.
Dunedin pharmacist Warren Leonard.
More sick people are turning to Dunedin pharmacists for free consultations in an effort to save money, as the impact of the global economic downturn strikes home.

The trend was just one symptom of an ailing economy which is also hurting shop owners.

Wilkinson & Son Chemists owner Warren Leonard said up to eight customers daily were now coming through his doors wanting a diagnosis or medical advice, up "about two-thirds" from a year ago.

Those seeking treatment included one person with shingles, and another exhibiting symptoms of a heart attack, he said.

For most, it appeared to be a way to save money by avoiding GP visits, he believed.

"We are referring more and more people back to their doctors," he said.

"We are getting fairly serious disorders . . . where we have had to refer people.

"One day I did 14 [medical consultations] and I think I referred four of those."

Mr Leonard said George St trade had been "very disappointing" this year.

Retailers were hurting from the credit crunch, general economic downturn and rising living costs.

"I suspect it will be a pretty average Christmas season, talking to some of my fellow retailers."

While George St retailers said their Labour Day trade was average, garden centres around the city reported strong sales.

Vegetable plants proved popular as people looked for ways to control their budgets, Nichols Garden Centre general manager Rhys Gibbs said yesterday.

He had been called back to work because the store was so busy.

"The last few months have been phenomenal," he said, adding it was an encouraging flip-side to the economic downturn.

Trade in the central city was reportedly steady yesterday, but the warmer weather was credited with keeping shoppers away.

One retailer said the weekend sales had been "OK", but "I wouldn't write home about it".

Mulberry Lane clothing store manager Michelle Samuel said she had noticed a "quite remarkable" downturn in trade this year - particularly among the normally buoyant tourist market.

"It's up and down and it's like riding a rollercoaster. The tourists aren't spending what they used to," she said.

"I think anyone that said otherwise would be telling fibs."

Even the arrival of the Dawn Princess cruise ship, carrying more than 2000 passengers, last Wednesday had not provided the expected boom for all Dunedin retailers, she believed.

Many tourists brought tales of economic hardship with them.

"It's not like the days where they used to come in and spend $1000 or $2000 each," she said.

"It was actually quite mind-blowing to hear Americans talking like that."

Other George St businesses spoken to agreed economic hardship was widespread, although many were determined to remain positive.

Brent Weatherall Jeweller owner Brent Weatherall said smaller sales - between $50 and $150 - were in decline but larger sales - like diamond rings - were holding up.

"People are not stopping having birthdays; they are not stopping falling in love," he said.

Otago Sports Depot co-owner Brent Davies said turnover was "patchy".

The company had tweaked staffing arrangements and deferred its annual radio advertising to reduce costs.

Bob Shepherd Menswear manager John Larsen reported mixed success, with overall sales down but total spending growing.

"The guys that have got expendable income are spending well. The ones who are on the breadline, like most of us, have stopped."

Farry's Menswear manager Zeta Jordan agreed: "People are still buying suits but it's just not as steady as it used to be compared with this time last year," she said.

Annah Stretton fashion shop manager Raewyn Grey said customers were "more careful" when shopping.

"Impulse buying is slowing and they want to get value for money."

Despite the gloom, she was confident "the world's still going to keep rolling".

"Women will always be women and no matter what's going on in the world they are always going to shop, because it makes them feel better."

Munslows Wines manager Alastair McDonald had not noticed a big drop in sales, but some consumers were switching to cheaper brands.

Acquisitions merchandiser Hugh Spiers said the economic downturn had not dented confidence in the Dunedin store, with sales "on a par" with last year.

"We have noticed it a bit, but it's not all doom and gloom," he said.

"It's ups and downs, but Christmas is still going to happen."

Lemon Room manager Grant Ellis said retail activity had slowed since June.

"The expectation is it's going to be a tough 12 months to two years," Mr Ellis said.

 

Add a Comment

 

Advertisement