Retail Sales Growth

 

There was a slowdown in retail sales for the month of June 2013 compared to the previous year, thereby reflecting that the consumer is under preasure. Retail trade  sales measured in constant (2012) prices increased by 1, 9% year on year (y/y) in June 2013 from a revised 6% (6,2%) increase in May 2013.

The best performers where the hardware, paint and glass showing a 5.3% increase whereas other retailers such as clothing, textiles, footwear and leather goods showed a 4.3% increase

   

 Analysts’ views

Futures business analyst and CEO of Master Retailing Eugene Beukes is of the view that shareholders are to act with caution when dealing in securities related to the furniture industry as there is a shake up on the horizon. Some of the big players are either busy with restructuring, consolidation and then there is also the recent announcement by Leon Kikinis CEO of ABIL that Ellerine Furniture (EHL) has eventually been put up for sale.

Eugene states that he doesn't believe a buyer for the ailing retailer EHL would necessarily come from the likes of JDG, Massmart, Lewis or Shoprite/Checkers due to the competitions board and, therefore believes that the only way ABIL can possibly dispose of EHL in current economic conditions will either be through international investors or by having to break up the various individual brands i.e Wetherlys, Furniture City and possibly Dial n Bed, whereas the remainder of the brands would most probably have to be sold as a package deal i.e Ellerines, Bears, and Geen & Richards together. Eugene states that he doesn't think the new brand introduced in 2010 Chateau d' Ax  will be up for sale as this was doomed from the start, and has never showed traction in the market. Prior to 2010 Bakos Brothers started reducing their exposure in this segment after 20 years which should tell you something, why did EHL then try to enter this similar market with a big bang approach before first testing the market?

§     Retail trade sales were expected to have increased by 2,8% y/y ‚ according to a survey of leading economists by BDlive.

§     Forecasts among the nine economists polled ranged from 1,1% to 4, 5%.

§     "This comes as no surprise. The 1,9% came off a high base. The latest retail figures are also constant with what we are seeing in the economy at the moment," Nedbank economist Isaac Matshego said. Spending by consumers is expected to moderate in 2013, given continued high debt levels and high joblessness.

§     "The latest figures are coming off a high base, but the overall picture remains one of aconsumer that is under pressure. The cost of living has been rising. Petrol prices are high," said KADD Capital economist Elize Kruger.

Source:

Business Day, dated 14 August 2013

Eugene Beukes (CEO Master Retailing), interviewed 14 August 2013

Beware - 7 Deadlly Sins Affecting Your Job Security

The long-gone reality of job security based on longevity no longer exists in today’s competitive marketplace. Your performance and the ability to produce results that contribute to your company’s profits is the only security you have today. However, did you know that certain destructive habits can easily mar your performance?

There are habits many of us have that might seem trivial and don’t necessarily make you a bad person but can certainly turn you into a liability for your employer. They reflect poorly upon your performance and can even cost you your job. You may be on the way out without even knowing it.

Although a single bad habit is not likely to get you fired however, the cumulative effect can be quite destructive. It is likely to affect everything, from your performance evaluation to your ability to do your job. Unfortunately, most employees don’t even realize they have these destructive habits until it’s too late. Here is a list of seven destructive habits you should avoid if you want to keep your job:

1. Compulsive Procrastinator
Don’t put off what you can do today. Many of us have the habit of putting off projects till the last minute without realizing that the last-minute rush tends to affect other people involved in the project as well who might or might not be able to complete their work on time because you submitted your work late. Procrastinating can seriously hurt your work performance and make you look like slacker.

2. Display Tardiness
Regularly arriving late to work shows that you have no respect for your time or that of others’. Some employees have an attitude of complacency and feel no disrespect in appearing late at meetings or returning late from breaks. They display their careless behavior with arrogance and do not make any effort to arrive on time.

3. Poor Communication Skills
This involves everything from being unable to express your point of view to not responding to e-mails properly or using terms that might be perceived as rude. Poor communication in a workplace, whether written or oral, can obstruct the efficiency of your organization and strain your productivity.

4. Social Media Addiction
Most of us these days are obsessed with social media, constantly checking Facebook or Twitter throughout the day. Add to this list, IMs, personal phone calls and mobile messaging and you have yourself a list of major distractions. Anyone who thinks that all this doesn’t interfere with his/her work is sadly mistaken. We know we are lying to ourselves when we say this. Some companies have taken strict measures to limit their employees’ social media usage, while others have blocked these sites completely. Social media addiction will lessen your productivity and can cost you your job.

5. Being Distracted
One of the best ways to damage your workplace reputation is to be inattentive and careless. Being distracted is a bad habit that many employees possess. It shows their disregard for the company’s culture and demonstrates their failure as a professional.

6. Spreading Negativity
Habitual water cooler gossip, whining or constantly complaining spreads negativity and will eventually lead to a counterproductive work environment. Your manager is responsible for ensuring a positive morale in his/her team and anyone who reflects poorly on him/her is likely to be cut out.

7. Avoiding Teamwork

Teamwork is an essential characteristic of a successful employee and an integral part of any workplace environment. Are you the kind who has a habit of always doing things your own way without any regard for other people in your team? Independence is a good quality, however team players experience more success at work while those who avoid teamwork and prefer taking credit for the work of their whole team will lose the support of their colleagues real fast.

These are just a few major habits of self-destructive employees. These can cost you your job and result in a ruined professional reputation. Most of this comes down to lack of communication, being inefficient, having zero tolerance, being disorganized and having no regard for your organization’s policies or culture. We all have a few annoying habits, but they can be corrected if only the individual is willing and open to communication. So unless you are looking for ways to lose your job, analyze your bad habits and try to mend them.