The Number of People Eating out in Restaurants Halved in Ekaterinburg

31.03.2009 — News

THE SVERDLOVSK OBLAST.

58 retail and catering companies have closed in Ekaterinburg since the beginning of 2009. The main reasons are the lack of profits and high rents, the Mayor's office informed RusBusinessNews. Non-food retail chains have been hit the worst, particularly those trading in household appliances and consumer electronics. Dixis, a mobile communications outlet chain, has completely withdrawn from the market, the Eldorado retail chain has closed two stores. There is a 40% reduction in furniture sales and 20% in jewellery. The number of people eating out in restaurants has nearly halved; set lunches, for example, are no longer in demand. People of Ekaterinburg, being short of cash, are eating in more often. Agencies organising event catering and entertainment saw a 70% plunge in demand for their services. Only low-cost food retailers have kept their sales volumes. Ekaterinburg tailor shops are in increased demand as expensive stores have lost some of their customers to tailors.