Valentine’s Day sales should not be immune to inflation. In 2022, retail trade tends to register a 2.6% drop in business on the date, indicates a projection released this Monday (6) by the CNC (National Confederation of Trade in Goods, Services and Tourism).
According to the entity’s calculations, sales should total BRL 2.49 billion this year, down from BRL 2.56 billion in 2021.
Valentine’s Day is the sixth most important commemorative date in retail in terms of financial transactions.
The amount estimated for this year is the lowest since the fall in 2020 (R$ 1.94 billion), when the pandemic caused a series of restrictions on economic activities. The numbers already take inflation into account.
The rise in prices, by the way, is pointed out by CNC as this year’s villain. High interest rates and fragile income also make the situation difficult.
“Despite the recovery in employment and the increase in income transfer programs, the combination of inflation and higher interest rates with a drop in the real average income from work (-6.3% accumulated this year compared to the same period in 2021) explains the deceleration of sales on this commemorative date”, says the entity.
“This scenario notably impacts the younger consumer public, whose unemployment rate is above average”, he adds.
Search for souvenirs
The clothing, footwear and accessories segment, the flagship of Valentine’s Day sales, should move R$ 1.049 billion, equivalent to 42% of the total, according to CNC. Compared to last year, this retail branch tends to lose 3.8%.
The entity also projects a retraction of 2.6% for the home appliances and electronics segment, which should account for 38% of the business, totaling R$ 956 million.
Sales of pharmacies, perfumes and cosmetics, on the other hand, tend to advance 7.4%, with just over 7% of the expected movement.
“In the perfumery and cosmetics segment, generally the type of gift does not go through credit, which is another problem at the moment. Credit is getting more and more expensive”, evaluates economist Fabio Bentes, from CNC.
“It must be a commemorative date for souvenirs,” he adds.
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