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leader Editor Lewis Eckett H


arrogate has come and gone and if the general feeling among greetings cards publishers and retailers is anything to go by, things are tough out there.


It’s hard to quantify how tough things are of course since everyone in the country is still having a birthday, getting married, moving house or experiencing some aspect of life that requires a card. Hence the reason why most people in the industry continue to feel that greetings should be more resilient than most in riding out the tough times.


Nevertheless, retail sales of cards are persistently


flat. You only have to look at the profit warning from high street colossus, Clinton Cards, to realise that (see P8). And if that hasn’t convinced you then the collapse and subsequent acquisition of The Art Group by Pyramid International really hammers it home. It’s the same picture in retail too with many stores anxiously scanning doorways for elusive customers


Summer is a strange time anyway: Everyone’s on holiday (or wishing their were on holiday), looking after kids or trying to stay cool at work, so the opportunity to browse stores for the perfect greetings card is drastically diminished. The football World Cup hasn’t helped drive footfall to the shops either and nor has the pronouncements of hard times ahead and austerity budgets by the Government.


No wonder consumers are put off. The fact is that all the data points towards the early gains in retail sales at the beginning of the year falling back and finally flattening out as we move into 2011.


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Some of the pain could be compensated for by retailers adjusting their margins in the run up to the VAT increase in January. Interestingly our poll running on: www. greetingstoday.co.uk shows that 25% of greetings stores intend to use the impending rise as an opportunity to put up prices. Although that move is balanced by the 25% that think higher process will put off consumers. Meanwhile, the remaining 50% just think the whole thing is going to be a nuisance.


Putting up prices this side of Christmas while there’s pressure on sales may seem slightly crazy but could be the best way to ease retailers into the even tougher times that are being mooted post VAT rise. Whatever the choices taken, it’s essential for retailers to use any downturn to set themselves up for the road ahead. Part of that process


for es


should include trips to exhibitions like Harrogate, Top Drawer and Autumn Fair because that’s where a great many opportunities lie.


Make no mistake, card publishers and suppliers are nervous too and are furiously developing new products to excite consumers and keep the tills ringing.


Exhibitions work hard to bring retailers and supplier together so both can benefit - it makes sense to be proactive and get out there.


• Our 6th Greetings Today golf event was once again a brilliant day: Wonderful weather, great course and some very good scores. See full report on pages 30-31.


Do you agree/disagree? Send your views to: lewis@lemapublishing.co.uk


EDITOR’S FAVOURITE One of my favourite fi nds at Home and Gift, Harrogate was a great range of Christmas cards from German publisher, Artebene. The use of die-cut wood veneers was a particularly warm, tactile element but when complemented by either emboss or fl itter added up to a sensational piece of design. The Germans love their Christmas and these cards reminded me of December trips to the famous Berlin markets, sipping glühwein and listening to oompah bands.


bands.


“Card publishers and suppliers are nervous too and are furiously developing new products to excite consumers and keep the tills ringing”


www.greetingstoday.co.uk 5


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