An increase in the cost of living in 2018 did little to dampen spending in Nelson Mandela Bay over the festive season.
Port Elizabeth’s upmarket beachfront restaurants, in particular, recorded buoyant trade over the summer break.
Ginger restaurant assistant general manager Kim Boehmke said that following a sluggish start in early December, trade had picked up significantly from Christmas Day.
“We had lots of foreigners this season and probably [fewer] domestic tourists.
“However, the restaurant has a loyal client base, and they play an important part in our success,” Boehmke said.
She said the Beach Hotel had also done well during the same period and had also hosted a significant number of foreign tourists.
Load-shedding was a concern for Dany Boueri, who owns Ocean Basket in the Brookes Pavilion eatery complex on the beachfront, but he said he had recorded a good season and was satisfied.
“It was certainly a tough year [2018] economically in South Africa,” Boueri said.
“This translated into some changes in consumer behaviour.
“For instance, while we still enjoyed good foot traffic, there was a decrease in spend per head.
“For example, if a couple had a bottle or two of wine with their meal last year, this year we saw them rather ordering a glass or two.”
He said the shorter school holidays had reduced the number of trading days and the threat or implementation of load-shedding also affected the hospitality industry.
“We have a generator here at the centre, but the cost of running it is quite high, which means that the profit from the food and beverages goes to energy costs,” he said.
He predicted consumer behaviour would be more conservative going into 2019 and particularly in the run-up to the national elections.
Anneke le Roux, the accounting manager for Coachman on the Bay – which is also at Brookes Pavilion, said: “We have been very busy.
“Not only do we have a loyal following from local patrons, but we have also had, for example, tourist groups coming through and then a number of groups in the city for various sporting events.
“It has really been a good season and we are certainly satisfied.”
Pine Lodge in Summerstrand also reported a successful season, saying the accommodation venue and entertainment complex was fully booked for large parts of December.
“I believe part of the success we enjoyed stemmed from the programmes we have for our guests, particularly the children,” marketing manager Michelle Grobler said.
Greenacres Shopping Centre spokesperson Kirsti Dolinschek said trade had shown an increase in 2018 over 2017 and that foot traffic during the summer season had increased by more than 3.4%.
Dolinschek said a trend that emerged strongly in 2017 – of people opting to buy centre vouchers as gifts – had continued into 2018, with the centre fielding an increase in gift card sales.
“Greenacres saw an increase in gift card sales over the festive period, starting from October.
“Corporates and shoppers were planning ahead of the festive rush,” she said.
“[The centre’s] food and beverage tenants had a successful festive season, as did the Greenacres Photos with Santa – which saw an increase of around 10% in sales.”
Dolinschek said it had been a very well-managed festive season all round, for shoppers and tenants. “There were no reported crime incidents at all, thanks to the full-time presence of the SAPS and the tight monitoring within the mall.
“Retailers had been set significant targets to achieve, but for the most part, it seems that they exceeded their 2017 benchmarks,” she said.
“As for 2019, hard work lies ahead for all.
“While South Africa is not formally in a recession any longer, this is a big political year ahead for the country.
“Shoppers are going to be watching every cent they spend until they know what the future holds for them and how the economy responds to the 2019 elections.”