Boost in sales spreads Christmas cheer among retailers, vendors in Chennai
However, on the downside, the cost of plum cakes and other pastries have surged by around 7-20% due to input costs, admit industry sources
Decorative items at a shop in Chennai ahead of christmas (Photo credits: P Ashish)
CHENNAI: All the streets and bylanes of the city’s busiest market places are lined with Christmas lights and decorations. Vendors and retailers are happy with this year’s sales, unlike in 2023 when the city was hit by Cyclone Michaung.
However, on the downside, the cost of plum cakes and other pastries have surged by around 7-20% due to input costs, admit industry sources.
It seems plum cakes are passé this year, as denizens have fallen in love with walnut cakes, brownies and dessert cakes (premium cakes). However, plum cakes are still priced at a premium with a kilo costing Rs 1,250. Walnut cake is Rs 750/kg and the price of a dessert cake begins from Rs 1,000 this year.
Intermittent showers last week, and at the beginning of this week put a damper on sales but it has “picked up now, and we expect it to keep rising from today,” stated M Muthumani of Blossom and berry cakes in Nungambakkam. A few corporate companies are regular customers, and they often buy in bulk every year.”
Though the price of raw materials like egg, maida, sugar, oil, dry fruits, and other materials added to the problem, Muthumani pointed out: “Every year, there is an increase of 5% for low quality cakes, and 7% for high quality cakes – depending on the ingredients used. Packing quality also affects sales as customers prefer products with unique packaging.”
Christmas spirit shone bright on Broadway and T Nagar, the city’s major commercial hubs, on Saturday. Santa Claus has arrived in different shapes and sizes, and in many shops, the plump man in red and white is even seen riding a polar bear! Santa singing and dancing, and hanging from a chimney finds a lot of takers too.
“Sales for decorative items have been very good this year. And, it’s definitely better than last year,” smiled Zahir Hameed of Sunlight World, Broadway, while barely pusing to take a breath while speaking to this reporter. “There are new varieties of stars, lights, festoons and figurines that are flying off the shelves. Demand is high for Christmas tree and decorative ball items this year.”