The Economics of New Year

The Economics of New Year

The Economics of New Year

The FINANCIAL -- New Year and Christmas are generally considered the major annual economic stimulus for most countries. Sales boost considerably in almost all retail areas. Shops introduce new products as people purchase gifts, decorations, and supplies for the festive season.

 

Sales at Populi Supermarkets, the largest multi-format retail network in Georgia, are expected to increase three times.

 

“We have imported exclusive products especially for the holiday season. Internationally popular brands such as Droste, Kinder present, Milka, Mozart, Haagen Daaz, Stork, and Ferrero are presented at our supermarkets. These are the leading trademarks in the world’s confectionary market and most of them are only imported to Georgia by Populi,” said Lika Mikautadze, Populi PR manager.

 

“We are planning to place special New Year discounts on most items associated with this day. Special samplings and lotteries will also be launched. We will certainly offer New Year hampers, which will be another great benefit. It will be a perfect gift for anyone, wrapped beautifully and containing various gifts and confectionary products. The price for this basket will be less than the total price of included items if sold separately.”

 

According to Mikautadze 4 new Populi supermarkets will be opened, consequently the number of stores will reach 30 before 2008. These new supermarket will be opened in Kutaisi, Telavi, Rustavi, and Gori and be of XL format which means a commercial area - up to 1000 sq.m, and service - 08.00am-12.00pm.

 

“All our supermarkets will be decorated according to the spirit of the holiday. Even now you really get the feel that New Year is coming when you enter one of our stores,”

 

In 2007 the commercial area of Populi increased 2.5 times, from 4.900 sq.m to 12.600. Daily sales went up from GEL75.000 to GEL 252.000 (Not including New Year sales). Annual Increase rate of the same store sales made 6%. The number of employees increased from 450 to approximately 1 200. The strategic plan of 2008 envisages the opening of 30 more stores all over Georgia.

 

Goodwill Hypermarket has also presented various New Year items to its customers, starting from a 40cm Christmas Tree costing GEL 8 to a 4m one, for the price of Gel 1 500.

 

Santa Claus shaped Milka chocolates cost GEL 10.15, at Goodwill. A 300 gram Ferrero Rocher chocolate box costs GEL 17.90, Mon Cheri Chocolate box - GEL 16.60. Witor’s Chocolates gift box - GEL 54.60.

 

A parcel of 20 Christmas tree balls costs about GEL 16. Three Christmas tree bows cost GEL 3.95. Big Santa - GEL 70. Candles of different colours and scents - 4.15. Prices for postcards range from GEL 1.75 to the expensive musical ones - 6.30.

 

Some people choose to spend their New Years Eve in restaurants, bars or nightclubs. A ticket for the New Year program at the Restaurant Maidan for instance costs GEL 70.

 

For those deciding to spend New Years Eve in Bakuriani, the price is GEL 280 at Hotel Vere Palace. Spending New Years in the Sport Hotel in Gudauri costs GEL 532. However all rooms in most first-class hotels in Bakurani and Gudauri have already been reserved.