Ginger Bhagwandas: We have to believe things will improve
Published: 31st Oct 2017
Durban, SA - Our turnover has been decreasing since September. During the month of October this year we have had a further 10% decrease in turnover.
We attribute this partially due to macro economic factors, deteriorating business conditions and record unemployment.
We have started negotiations with some of our landlords in the past two years regarding a decrease in rental. Landlords have only now realised the enormity of the situation.
We have also been rationalizing unprofitable stores.. We have become more careful on the merchandise we are choosing to buy.
We are still investing into good quality footwear.
We eagerly awaited Black Friday to help boost our November sales and increase cash flow, and it was good and met our expectations. People really wanted to shop and they came in their numbers.
December we are confident that there will be sales. However we are concerned about ANC presidential election campaign. The campaign could affect mood and spending of consumers.
We think next year winter will also be challenging due to the current predictions of weaker rand and economic climate and political instability.
But we have to believe that things will improve. - +27 (0)31 305 2261, sunil.b@mweb.co.za
