Retail sector faces weak summer sales amid low purchasing power

The retail sector is facing a challenging summer season, with July sales performing significantly below expectations. According to research by the Piraeus Commercial Association, 55% of businesses reported a decrease in turnover compared to last year, while only 12% saw an increase.

Retailers attribute this sluggish performance primarily to reduced consumer purchasing power, cited by 73% of businesses, and intensifying competition from international e-commerce platforms. To combat these trends, businesses are looking toward August as a critical period to improve liquidity, offering discounts ranging from 30% to 50% to attract both vacationers and those preparing for the autumn season.

In addition to economic pressures, a new duty of €3 per different product type on small parcels from third countries via electronic platforms has been in effect since July 1st, impacting the competitive landscape.