After a decline in sales in February, the mood in retail is improving. Easter business seems to be a ray of hope for many retailers.
Germany’s retailers did weaker business in February. Sales fell both compared to January and the same month last year, as the Federal Statistical Office in Wiesbaden announced.
According to the preliminary results, retailers had 1.9 percent less in their cash register adjusted for price increases (real) and 1.8 percent including price increases (nominal) than in January. Compared to the same month last year, sales fell by 2.7 percent in real terms and by 0.4 percent in nominal terms. The difference between the nominal and real results reflects the increased price level in retail, the statisticians explained.
The industry seems to have hope for Easter business. According to the Ifo Institute, the mood brightened noticeably in March. The traders assessed the current business situation as better than in February. Business expectations have also improved significantly. “The pessimism that has prevailed recently is decreasing. The Easter business has apparently been a ray of hope for many retailers,” explained Ifo expert Patrick Höppner. According to the survey, only as few retailers are planning price increases in the next few months as three years ago.
Source: Stern
