Ibiza runs out of stores

Ibiza runs out of stores

The trade in Ibiza is extinguished by internet and rentals.
32.8% of the ‘survivors’ decreased their sales in 2017, twelve points more than in 2016.

At the closing of the Vara de Rey bookstore, which follows that of the historic Serrcinema , the one from the Can Domingo clothing store and the move of the Ibifoto photography establishment have been added . The Can Vadell pastry shop has already closed in the immediate vicinity, and last weekend it was the turn of the Teatro Pereyra concert café .

Ibiza is not going to be exempt from the disappearance of traditional businesses that are affecting many urban landscapes of the world to become what is already called “franchise cities”, in which the big brands are at their best.

After what is happening is, mainly, the online business (which grows two digits annually) and the high prices of rentals, as they pointed out yesterday from the Small and Medium Business of Eivissa and Formentera (Pimeef) during the presentation of your annual survey.

At this moment in the capital pitiusa survive about 550 shops, the lowest figure of the last decade.

From Pimeef restoration, Joan Riera, owner of Can Alfredo restaurant in Vara de Rey, ensures that rentals in the area range from 6,000 to 15,000 euros. And what is more disturbing, can not think of any business that can be profitable even paying the lowest figure.

The small businessmen also blame their situation on the appearance of large surfaces and the lack of support from the administration. These are the ones that can afford aggressive offers that diminish margins, and to which small trade can not cope, they explain.

Many entrepreneurs have also complained that because of the pedestrianization of the Vara de Rey promenade, executed this year by the municipal government of PSOE-Podemos, many pedestrians have been lost.

Among those who survive things are not giving them too well, according to the survey presented yesterday by the president of Pimeef , Alfonso Rojo, the secretary of the employer’s association, Maria Ángels Marí, and representatives of Banco Sabadell Juan Óscar Prohens and Vicent Prats .

32.8% of the merchants of Ibiza and Formentera assure that their sales decreased during the last year with respect to 2016. And what is worse, that sales fall is much higher, almost twelve points, in the fall of 2016 with respect to to 2015.

As explained by the secretary of the employers, the survey has revealed that the Pitiusas begin to show signs of economic slowdown and that its expansive economic cycle of recent years “is coming to an end.”

The indicator of this deceleration, he explained, is the fall in the number of entrepreneurs with a positive vision between 2017 and 2016.

In 2016, 50.9% of entrepreneurs said they sold more than the previous year, while in 2017 this percentage has fallen to 38.4%.

This decrease also breaks with the good figures that were maintained since 2014, when 45.6% of businessmen improved their sales, a percentage that was improved in 2015 with 52.2%.

“This result indicates that the expansive economic cycle we were experiencing is showing signs of slowdown,” the secretary of small businesses told Efe.

Along the same lines, the president of Pimeef said that the “upward slope” of the economy of Pitiusa is entering the “maintenance” phase after “significant growth”.

More than 70% can not find staff

The hoteliers or the big establishments of the island are not the only ones that have problems to find, not already qualified personnel, but not even personal for their businesses.

70.67% of small business owners in Ibiza and Formentera acknowledge that they have had difficulties in finding suitable professionals or that they have not even been able to find them.

Once again, behind this problem is the price of housing and the high cost of living, which are not commensurate with salaries, and much less in small businesses.

But it is not the only problem of small entrepreneurs. Among the factors that most affect their businesses, according to the survey presented yesterday, are mainly indicated the intrusion (52.7%), the costs of hiring personnel (40.25%), and the increase in competition (38, 17%).

Unlike trade, where entrepreneurs who say that sales have fallen, industry, transport and construction sectors are those that show better results, motivated “by the increase” of the reform works “of the last years”.

The survey also reveals that for 61.9% of entrepreneurs the 2018 season will be the same as in 2017.

In addition, 82% of respondents have pronounced against the tourist rental in multi-family buildings and 48.9% think that tourist saturation “is quite oppressive at times”.

Up to 58.8% believe that measures must be taken to control the tourist flow by eliminating illegal tourist places and a greater control of rental cars, the anchorage of boats and the entry of ships into ports.

For 2018, the forecast is that the year will be the same as 2017, according to the majority opinion of 61.94% of entrepreneurs.

For the president of Pimeef, Alfonso Rojo, the forecast is that this year’s season will be similar to that of 2017. This means that the low season will also be “very good” and “increased confidence” between the businessmen, explained yesterday the representative of the Ibizan businessmen.

And that warns that a percentage of tourists, as it was warned at the last tourism fair in Berlin, will choose other destinations that are recovering.