Retail market sees slight improvement from second quarter

Total sales value in the city registered a slight increase of 1.3 per cent for the third quarter of the year vis-a-vis the previous three months. However, sales of luxury products and vehicles are still double-digit lower than one year ago.
The latest data released by the Statistics and Census Service (DSEC) yesterday reveals that the city’s retail sales value totalled MOP14.61 billion between July and September, marginally higher than MOP14.42 billion in the second quarter of the year. Nevertheless, on a year-on-year comparison, the value represents a drop of 7.7 per cent.
The sales value of luxury products, including watches, clocks and jewellery, amounted to MOP3.4 billion for the quarter, plunging 17.5 per cent year-on-year. The sales value of luxury products occupied the largest share of the total, accounting for 23.4 per cent.
Compared to the third quarter of 2014, the sales value of motor vehicles posted a sharp decline of 18.2 per cent, totalling MOP761 million, while that of leather goods shrank 21 per cent year-on-year to MOP1.33 billion.
The sales value of cosmetics and sanitary articles, however, surged 29.1 per cent year-on-year, amounting to MOP607 million for the three months. That of adults’ clothing showed a notable increase of 12.1 per cent year-on-year, reaching MOP1.6 billion.
Sales volume
In terms of sales volume, the volume index of retail sales in the local market dropped 5.6 per cent year-on-year to 237.92 for the third quarter. After removing the effect of price changes, the volume of retail sales rose 0.9 per cent quarter-to-quarter.
Sales of watches, clocks and jewellery decreased 10.8 per cent year-on-year, increasing 16.9 per cent quarter-to-quarter. Meanwhile, the sales volume of motor vehicles and leather goods dropped 19.5 per cent and 16.3 per cent year-on-year, respectively.
Cumulatively, total retail sales value reached MOP45.3 billion for the first nine months of the year, down 10.4 per cent year-on-year, whilst the sales volume of the sector dropped 7.9 per year-on-year to 246.76.
According to DSEC, 40.4 per cent of the surveyed retailers in the territory have a negative outlook on the retail market for the last quarter of the year, anticipating sales volume will continue to drop from the third quarter. Only some 20.3 per cent expect the volume to go up, while the 39.3 per cent anticipate stable sales.
For retail prices, most of retailers, 70.6 per cent of the total, anticipate retail prices will remain flat, while some 7.2 per cent assume there will be an increase.
Commenting on the performance in the third quarter, 56.7 per cent of the interviewed retailers agreed that their sales volume had decreased quarter-to-quarter. DSEC said the number is down 10.4 percentage points from the second quarter.
Meanwhile, some 17.8 per cent of local retailers stated that they saw their sales volume increase during the third quarter compared to the previous one, while the other 25.5 per cent said their sales volume had remained stable.