Restaurants, retailers see business improvement

According to the latest business survey of the restaurant and retail sectors, both types of establishments showed year-on-year improvement in December 2016.

The survey, commissioned by the Statistics and Census Bureau (DSEC), interviewed 167 restaurants (accounting for 53 percent of the sector’s revenue) and 135 retailers (accounting for 70 percent of the sector’s revenue).

Among these, 44 percent reported higher year-on-year revenue in December, while 24 percent showed little change. Chinese restaurants’ turnover grew 59 percent from the previous year, while Japanese and Korean restaurants’ takings increased by 44 percent.

Regarding retail traders, over 60 percent of interviewed retailers registered a year-on-year sales rise in December. Moreover, 80 percent of leather goods retailers, 78 percent of supermarkets, 67 percent of department stores and 67 percent of cosmetics retailers recorded higher turnover.

According to DSEC, most restaurants and similar establishments expected their business to slacken in January 2018 at the time the survey was conducted. Only 15 percent of the interviewed establishments predicted a year-on-year rise in revenue.

On aggregate, retailers expected no significant change in their business in January 2018. Among those interviewed, 28 percent predicted a year-on-year sales decline and 31 percent expected an increase.

In accordance with the survey results for the whole year of 2017, the restaurant sector showed general improvement over 2016. More than 60 percent of interviewed businesses reported year-
on-year revenue growth or no change for most months of the year, except for February (during the post-Chinese New Year slowdown) and August (after Typhoon Hato).

Retail trade improved significantly in the fourth quarter of 2017, with interviewed retailers reporting the highest year-
on-year sales increases since the survey was launched, according to DSEC.