Retailers will continue to suffer in 2010 as consumers return to saving their money, a franchising expert says.
Stan Gordon, managing director of Franchised Food Company (FFCo) which owns Cold Rock Ice Creamery, Mr Whippy and Pretzel World, said shoppers had become frugal due to the global financial crisis.
“Consumers are being more mindful of the products they buy, even using the term ‘saving’ when questioned in research and retailers must take notice,” Mr Gordon said.
Mr Gordan said the sector experienced a bounce from the Rudd government’s $900 handout in 2009 but the benefits of that stimulus package had passed.