New Year fails to help retail sales in Singapore
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Retail sales grew by 5.2 percent year-on-year in February, a reversal from the 6.1 percent decline recorded in January. This improvement was mainly associated with Chinese New Year celebrations in February, said the Singapore Department of Statistics (SingStat) on Monday (Apr 5). Chinese New Year was in January last year.
Comparing the performance for the January to February two-month period of the festivities, retail sales fell 1.2 percent in 2021 compared to 2020. Excluding motor vehicles, retail sales increased 7.7 percent in February, compared to the 8.4 percent decline in January. On a seasonally adjusted basis, retail sales decreased 1.6 percent in February compared to the previous month. Excluding motor vehicles, seasonally adjusted sales fell 1.2 percent.
The estimated total retail sales value for February was about S$3.3 billion. Online retail sales made up about 10.1 percent of this, similar to the 10.2 percent recorded in January, said SingStat.
Online retail sales made up 44.3 percent of total receipts in the computer and telecommunications equipment industry, 26 percent of sales in furniture and household equipment and 10.7 percent of sales in supermarkets and hypermarkets.
While most retail industries recorded improved year-on-year sales in February due to the Chinese New Year boost, on a seasonally adjusted month-on-month basis, the watches and jewelry, petrol service stations, and computer and telecommunications equipment increased between 2.8 percent and 5.6 percent during this period.
SALES OF FOOD AND BEVERAGE SERVICES REMAIN WEAK
Sales of food and beverage services fell 3.5 percent in February on a year-on-year basis, a smaller contraction compared to the 24.6 percent decline in January 2021. This was again mainly attributed to Chinese New Year celebrations, SingStat said.
Food and beverage sales remained weak due to capacity constraints arising from safe distancing measures, SingStat added.
On a seasonally adjusted basis, sales of food and beverage services declined 1.1 percent in February over the previous month.
The total sales value of food and beverage services in February was estimated at S$699 million.
Of this, online sales made up about 22.2 percent, slightly higher than 22.1 percent in January.
Questions & Answers
Q.What was the overall retail sales performance for January and February combined, when accounting for the Chinese New Year timing difference?
What was the overall retail sales performance for January and February combined, when accounting for the Chinese New Year timing difference?
Comparing the two-month period of festivities (January to February), retail sales fell by 1.2 percent in 2021 compared to 2020. This indicates a slight decline when normalising for the holiday's timing.
Q.Which specific retail sectors experienced a month-on-month increase in sales in February, after seasonal adjustments?
Which specific retail sectors experienced a month-on-month increase in sales in February, after seasonal adjustments?
On a seasonally adjusted month-on-month basis, the watches and jewelry, petrol service stations, and computer and telecommunications equipment sectors all recorded increases. These gains ranged between 2.8 percent and 5.6 percent.
Q.What proportion of total retail sales in February was generated through online channels?
What proportion of total retail sales in February was generated through online channels?
Online retail sales constituted about 10.1 percent of the total retail sales value of S$3.3 billion in February. This figure is similar to the 10.2 percent recorded in January.
Q.Why did sales in food and beverage services continue to remain weak despite a smaller year-on-year contraction in February?
Why did sales in food and beverage services continue to remain weak despite a smaller year-on-year contraction in February?
Sales in food and beverage services remained weak primarily due to capacity constraints arising from safe distancing measures. This factor continued to impact the sector's performance.
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