Christmas sales this year is looking gloomy for traders as a sluggish economic growth and rising inflation rate takes a toll on the purchasing power of Nigerians.
Christmas which is usually characterised by massive shopping, gift-giving, symbolic decorations and feasting is not looking the same this year for many Nigerians hit by stagnant incomes, unpaid salaries and job losses. NBS released data last week showing that the country’s unemployment rates now sit at 23.1 percent, the highest since 2010.
BusinessDay visit to some malls and informal retail outlet showed that consumer turnout for Christmas shopping is low even with retailers’ efforts to win them with discounts on several items.
At SPAR supermarket in Ilupeju, consumers were seen shopping for everyday groceries only despite the fact that Spar had on offer 25 to 50 percent discount on clothes and Christmas decorations but many consumers were not taking up the offer.
““We are hopeful that they will shop on Christmas day,” an attendant at SPAR told BusinessDay on Monday.
The story is similar at Ikeja City Mall, where retailers had their stores well decorated and inviting shoppers to look in. Like SPAR, some stores at the mall are offering slight reductions on selected items and consumers are weighing their options.
‘‘I am looking for an item that is not too pricy,’’ said Oyekemi Ojo, a teacher. “Despite the way things are in the country, that wouldn’t stop me from celebrating.”
An attendant at Party Perfect, a gift shop at the mall, is visibly troubled about her turnover this year.
Party Perfect lowered the prices of their gift items considerably to encourage consumers to buy. The Christmas trees went down to N52,000 from N70,000, and N25,500 from N31,500. But, the attendant said they are yet to make any reasonable sale.
“This time last year, we sold more items but this year sales have been low,” the attendant who gave her name as Cecelia, said.
‘‘I have not been paid in two months,’’ said Fred Udile, who works at a Public relation firm in Lagos. ‘‘My wife put to bed few months ago, and that is an additional responsibility.’’
Africa’s biggest economy with an estimated population of 200 million is mired in economic slowdown since 2016 amidst rising inflation and unemployment. Over 30 states in the federation owe workers’ salaries or allowances or both.
According to the National Bureau of Statistics (NBS) report last week, Nigeria’s unemployment rate climbed to 23.1 percent in Q3 of 2018 from 18.8 percent in Q3 of 2017.
Consumer prices rose 11.28 percent in November 2018 from a year earlier, compared with 11.26 percent in October, the NBS said on December 14.
The huge consumer traffic that is evident around Marina, the gateway to the popular Balogun market, has also thinned this Christmas.
A year ago, it was challenging finding a parking space days to Christmas. Now, it is quite easy, an indication that shoppers are shying away.
“This Christmas is the worst for me in years. People are not buying anything,’’ said Kemi Amuwa, a hampers retailer near the Balogun Market. Besides her are about 10 baskets of hampers sitting quietly in the blazing afternoon soon waiting for buyers.
A few metres away seats Mercy Ihionu who sells Christmas lightings, trees and bulbs. Disappointingly she tells the reporter that ‘‘patronage has been discouraging’’ as she points to the heaps of unsold items lying on the ground.
At Apongbo and Idumota markets, retailers expressed deep worries over the state of the economy which they say has greatly reduced their sales during this festive period.
“Some of my customers who bought hampers last year are not buying this year,” said Esther, a retailer at Apongbo market. “They said they don’t have the money for hampers.”
Esther, who is yet to sell a hamper in almost a week say it has never been this bad.
“Last year was tough but not as bad as this year,” said Esther.
“I used to sell more hampers in a day than I do now in a week.”
Bukola is a clothing retailer at Balogun market. Although she said sales have been discouraging, she’s optimistic.
“I experienced the lowest patronage ever this year,’’ said Bukola. ‘‘Last year was a bit encouraging than this year.’’
With the Christmas season in full swing many Nigerians are unsure if they can afford to spend the way they used to, with the sharp increase in the prices of food items and clothes.
Findings reveal that some Nigerians are indifferent about this year’s Christmas celebration.

“I am not making much preparation as salary and allowances are yet to be paid. I will stay indoors and eat whatever I can afford with my family,’ said Okunade Adekunle, a resident in Lagos.
Okechukwu Nwaiwu, a banker in Abuja said: “It has been tough and rough but I plan on giving my family a treat this Christmas in my own small way.”
‘‘My salary has not increased in the last three years and the prices of every item have gone up several times. I am spending little this Christmas because I do not know the hardship 2019 would bring,’’ said Nnamdi Obiabunmo, a Port Harcourt-based engineer.
While some have a low-keyed celebration planned, others have none.
Sade Bamidele is a petty trader in the Ojuelegba area of Lagos. Bamidele is aware that the festive period is around the corner but she says her hands are tied.
‘‘I would love to celebrate this Christmas but I don’t have the means,’’ said Bamidele. “It will be just like every other day.
CHINWE AGBEZE
