Retail trade in Saxony disappointed by Christmas business

Saxon retailers are disappointed with the Christmas business so far. "Overall, the predominantly very mixed Christmas business has picked up speed towards Christmas Eve, but unfortunately this has not yet been enough to fulfill the hopes and expectations of a large proportion of retailers," René Glaser, Managing Director of the Saxony Retail Association, told the German Press Agency in Dresden on Friday. The typical last-minute purchases were also limited overall. According to initial, still cautious forecasts, retail sales would be down on the previous year in real terms.

According to Glaser, the signs for Christmas business were already not very encouraging. This was compounded by unfavorable weather conditions at the end of November and beginning of December. "Our hope now, however, is that a small final rally will develop in the days after the festive period - i.e. the days between the years, when many people traditionally visit Saxony, go on vacation and spend money on gifts - and that the retailers' final balance sheet at the end of the year will still be conciliatory."

According to Glaser, the main items purchased this Christmas were vouchers, books, perfumery, cosmetics and care products, watches and jewelry, as well as toys, electronic items and clothing. Cash will also often be given as gifts. "The multiple global and national crises, the rising cost of living overall and the constant new reports of further cost burdens and the reduction of relief in connection with the budget dispute have unfortunately dampened consumption - we continue to see a great deal of uncertainty among consumers here."

Consumption is also always somewhat related to a gut feeling, explained the CEO. "Unfortunately, the familiar ease of the Christmas season and the joy of gift-giving are diminishing with the constant news of new crises, dwindling political reliability and declining trust."