Declining consumer purchasing power hits retailers seriously.

Hurriyet Daily News (Turkey) reported that the retail industry has shrunk from the second quarter of 2024 to September, mainly due to control inflation by government.

The sales fell sharply in July, August remained bleak, and retailers experienced another tremendous recession in September. According to a survey conducted among Turkish United Brands Association (BMD), two out of three brands in the ready-to-wear, shoes and cosmetics categories reported a decline in unit sales in September.

All food and beverage brands have seen unit sales decline as well, according to the survey, 23% of companies responded that their sales in September fell by 11 to 20% compared with other months, some retailers even saw their monthly sales decline by more than 40%.

*Photo reference source: https://www.reuters.com/world/middle-east/turkey-presses-strained-retailers-price-freezes-ahead-elections-2023-01-19/