|01.04.2009|02.04.2009|28.04.2009|
April 28, 2009
Inner city businesses
It was really interesting to see the vote result on the levy for the formation of the association for inner city businesses. On the face of it the 67% in favour said there was a majority in favour of the $250 levy to be paid to set up an organisation to help grow business, mainly retail, in the CBD. A very good move considering the migration to the big malls on the city fringe and the overall economic situation.

Reading between the lines of the results gives cause to wonder about how committed CBD businesses are to improving their lot in life. There was an overall voter turnout of 33%; which means that a staggering two thirds of voters didn't even bother having a say. So whether they agree or not, they are will now be the recipients of a $250 levy for the new association which, in my opinion, is a really worthwhile initiative.

But I do have to wonder about the apathy being shown out there when it comes to having a say in your own destiny. In case you hadn't noticed there is a recession happening. The conditions are the most difficult and diverse that I have ever seen in my entire working career. And from my point of view, dealing with it is about looking it squarely in the eye, trying to get a read on what is happening and acting accordingly. Sitting back and letting other people determine our destiny is simply not an option as it is exactly the same as conceding defeat.

From what I have experienced, different businesses are dealing with the recession in different ways. For us it is a lot to do with attitude and focus. We made the call that as far as we are concerned there might be a recession taking place, but we have elected not to take part. Enacting this is challenging but it is providing a focus as we try to keep busy and fulfilled on new existing and potential clients.

The way I see it, there will be an end to all this and things will improve so it will be much better to be equipped to handle it all when does. In the meantime, burying our heads in the sand as we wait for the tsunami to pass is the last thing we would contemplate doing. Even by applying every ounce of our experience and expertise to every single assignment is not a guarantee that we will escape unscathed.

As far as the CBD businesses are concerned I have no quarrel with those who voted against the levy as they no doubt have a plan to deal with things. But I can't work out why you wouldn't vote. Overall from what I can see, a lot can be done to present a unified front in the CBD. There is intense competition from the city fringe malls but the offer there is different. It's big volume retail, destination shopping. In the CBD the opportunity is to create a different shopping experience in the same way Newmarket and Ponsonby have done in Auckland.

It's great that there is an orgnanisation to start making this happen but it will only be successful with the involvement and commitment of as many businesses as possible. What worries me is that the apathy we have seen in the voting numbers will translate to apathy in promotion activity and all the other elements that will be required to create a vibrant, successful CBD.

If you overlay the recession onto this, then it will make it even harder. But the real problem will be when things start to pick up - without a the full commitment if all involved, the big shopping malls will create even more space and be in an even stronger position to compete for the shopping dollar.

This recession will end. Those that come through the strongest and best equipped to handle an upturn will be those that are creating the opportunities today.
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