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Beware the bear market

Decline in sales began in November

ANGELA DASHER

Issue date: 6/11/09 Section: News
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The current recession combined with the slow summer season is negatively affecting Athens businesses.
Media Credit: WAITES LASETER
The current recession combined with the slow summer season is negatively affecting Athens businesses.
[Click to enlarge]
Media Credit: WAITES LASETER
[Click to enlarge]
Every year, many businesses in Athens prepare for summer to be their slow season due to the high number of students who go home until August.

However, it is not every year that businesses also deal with the effects brought on by a recession.

During the past months, many Athens businesses have experienced a decline in sales, while others have watched their sales remain consistent. And despite the tough economic times, a lucky few have even seen a sales increase.

"We've seen a drop in sales, and I think every retail business has," said John Widmer, co-owner of the downtown clothing store Encore. "The drop has been consistent since it started back in November, and the lack of home football games toward the end of the season did not help either."

In addition to Encore, The Georgia Theatre and Bulldog Sporting Goods are feeling the effects of the slow economy.

"Ticket sales went down in April," said Scott Orvold of The Georgia Theatre. "There are also less bands to book because they can't afford to go on tours, and there is less room for bands to be successful. Sales at the bar are down as well because people are a little more frugal now."

Orvold said business is usually slow during the summer months, but he expected ticket sales to be about average during July and August.

In addition to a decline in sales, Bulldog Sporting Goods is cutting back on the number of employees' hours, according to Terrence Jones, the store's footwear buyer.

Allison Barron is a University student who works at Bulldog Sporting Goods on Baxter Street. Last semester, she worked about 20 hours per week, and was hoping to increase her number of hours during the summer.

For the past two weeks, however, she has not been scheduled at all.

"At first I was really pissed off. I have to pay bills," said Barron, a fourth-year student from Alpharetta. "It's understandable though, everyone else has to pay for things too."

Because her hours were cut, Barron searched for a new job at Beat the Bookstore to supplement her income until she is scheduled again at Bulldog Sporting Goods. One of more than 100 applicants, Barron did not receive the job.

"I was lucky just to get an interview," she said.

Other businesses are also feeling the effects of an already slow summer coupled with the down economy. Junkman's Daughter's Brother and the Last Resort Grill attribute their decreases in business to the lack of college students in Athens during the summer months, a phenomenon not new to Athens.

"Business is traditionally slower in the summer months," said April McDowell, general manager at Junkman's. "I don't feel that we've been strongly affected by the recession, but we have done a little less advertising."

And Jaamy Zarnegar, general manager and co-owner of the Last Resort Grill, said the University and Classic Center have helped maintain his business with tourists, students and professors.

"We've all been hurt somewhat, but not as much as other places," he said. "We're fortunate and thankful for the University and community for their support. We're maintaining­ - not growing, but not dropping."

But for a lucky few Athens establishments, business is on the up.

Marvin's Shoe Service and Cillies Clothing are both seeing increases in business.

"Business has been beyond normal for shoe repair," said Frank Eberhart, owner of Marvin's Shoe Service, who said business is the best it has been in 15 years. "It has been difficult to stay caught up, and tough to find help because not many people are in the shoe repair service."

Eberhart said business has jumped 10 to 20 percent in the past few years. But college students, he said, are not responsible for the increase.

"College students don't think much about repairing their shoes, unless they support themselves financially," Eberhart said.

Along with shoe repair, the sale of used clothing is also on the rise.

"Business is great," said Katharine Waldrit, manager of Cillies Clothing. "I have more used inventory than I've had in previous years because people are selling us clothes they don't wear or need anymore. And, our clothes are affordable and good for people on a budget."
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Hometown Girl

posted 6/11/09 @ 4:45 PM EST

Try giving the people who actually live here year round some kind of discount. This may earn you more business year round.

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