Do the business locally
Tuesday 30th December 2008, 2:30PM GMT.
Chamber of Commerce president Paul Luxon.
GUERNSEY has a diverse economy with virtually full employment and no shortage of ideas for new business development.
Over recent years the on-island economy has probably been overheating to some degree as annual pay settlements have mirrored the relatively higher inflation figures, which has ensured the consumer is able to spend comparatively freely.
Although online shopping as an avenue for Guernsey consumers to broaden choice has continued its year-on-year growth curve in line with the UK and the rest of Europe, it has actually remained a relatively small percentage of the overall total consumer spend.
Most businesses would recognise that the internet can offer lower prices and possibly a broader choice, but nothing can beat actually going into a shop.
Technology may have encouraged us all to think globally, but human nature dictates that most of us prefer to act locally. Guernsey’s retail environment is vibrant and local shops are used regularly by the majority of residents.
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Why on line shopping?
With few exceptions better prices, better service, better post purchase service, and Mr Luxon don’t forget Guernsey has no consumer protection laws.
Mr Luxon, if you did something about persuading the hopeless Minister and Deputy Ministers at Commerce and Employment to introduce the tranche of basic consumer law proposed a few years ago, then the Guernsey consumer might use local shops more frequently.
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I use our local shops for milk, bread and the daily essentials. However when I purchase other things it is always online. Food is the one exception to this.
Why. Simply because it is a hell of a lot cheaper.
I am more than happy to miss out on pushy sales people with their flannel about warranties and set up ect.
My orders come straight to my doorstep with out the need to spend good money on fuel for my car. I can also setup my own equipment so the retailers are wanting to latch onto anything which may make some sense.
All major and minor purchases are backed by a manufacturers guarantee and in my experience this is always honoured.
Although whilst it is inconvenient to wait for things to arrive it is better than spending rip of Guernsey prices and lining other peoples pockets with my hard earn’t.
VAT free? What a joke. The retailers change what they feel they can get away with. This is a lot more than the UK.
Its high time that the retailers started cutting outgoings in favour of working towards a much better deal for the customers.
Paid parking will be the next nail in the coffin for town shops.
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Hmm, Mr Luxon, don’t you head up Cimandis? Aren’t you responsible for bringing in food from the cheapest places in the world to sell on to us locals? So you can make profit, but you are discouraging us from making savings?
Out of interest, does the President have support from Chamber Members for his regular soap boxing?
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According to what I’ve been told one of the main reasons for high local prices is the exhorbitant amount of rent charged by town landlords. I wouldn’t be surprised to see several shops closing down in the next 3-6 months and the problem with that is the possible knock on effect. Let’s face it, if an area of town suddenly loses a few shops then those that remain are going to suffer from reduced passing trade, thus causing them problems.
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Paid Parking/Wheel Clamping and numerous Speed Cameras – please NO.
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Mr Luxon should take note that the younger generations are a lot more savvy to e-commerce and as time moves on if local retailers don’t get more competitive, the balance will shift more and more in favour of the online retailers.
It’s all very well talking about “buying local” and supporting local businesses however most people aren’t rich enough to lose hundreds of pounds for the sake of sentimentality.
On the plus side, retailers like Sports Direct have at least tried to get prices on a similar level to the UK. Some may argue that they are a UK company as they employ locally the island still benefits.
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Yes. We should buy local whenever possible. When you spend your money in Guernsey, it has the ten fold effect, it also helps pay for our Heath, Education, etc.
We have tough economic times comming, so if you donot support local business, you may reap the benefit.
As for freight charges,that small strip of water does cost a lot to get across, most times more than Vat.
I also agree with Jackie.
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For many years I have bought many items on the internet, especially digital cameras and their gear, and have had no trouble whatsoever.
To be honest I learn more about a camera from online owner reviews rather than from a salesman in a local photographic shop.
I know that local stores have rents and overheads to pay, but I do begrudge being charged VAT, although they deny doing this.
The difference between internet and local pricing is too great to ignore.
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Quote David : “that small strip of water does cost a lot to get across, most times more than Vat”
That’s true however many mainland retailers, such as Amazon offer VAT free prices to the Channel Islands and free delivery.
I do see some light on the horizon for local retailers, some of whom are realising that although we don’t expect them to beat the large UK warehouse suppliers, a little more competitiveness in pricing is necessary. There’s only so much “shipping costs” you can justify adding on!
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