Bermuda’s declining population, rather than online shopping cited as cause
Paula Clarke, chief executive officer of Gibbons Company and former chairwoman of the retail division of the Bermuda Chamber of Commerce, has stated that the biggest concern for retailers in Bermuda is the size of the population and stressed that the economic outlook for the retail sector is based on population growth. According to Clarke, online sales make up 14 per cent of total retail sales in Bermuda as compared to 15 per cent in the US and are not a significant factor.
Paula Clarke, chief executive officer of Gibbons Company
“If more people were living here, spending their money in Bermuda, the retail outlook would be stronger.”
In line with retail sales figures reported in 2019, many of the major retailers are not seeing growth but instead report sales that are either declining or have been flat. In August, the last month for which figures have been reported by the government, sales fell by 7.6 per cent year-on-year when adjusted for inflation, the 16th month in 18 that sales had declined.
The outlook for retail in 2020 remains unpromising. Retailers continue to keep an eye on the economic forecast and to adapt their business operations by adjusting inventory levels and taking other steps to ensure costs and overheads remain low.
