11/20/2009 10:40:00 AM Why the 'Buy Bermuda' mantra is deeply flawed
Ceola Wilson
There's been quite a debate in recent weeks on the Buy Bermuda Campaign, with local retailers understandably singing the blues on declining sales due to the economic climate.
One retailer said Bermudians have "lost a sense of community," so to speak, by opting to spend millions abroad. There's also the age old argument that when you factor in airfare, hotel accommodation and sales tax, Bermudians are not really saving money.
That may be true, but here's the thing - to hardworking Bermudians who plan their annual vacations around that Christmas shopping trip abroad, you could sing that tune until the cows come home. Your cries will continue to fall on deaf ears.
People work hard for their money, some with two and three jobs. Where they shop is their choice. They want variety on a larger scale and a vacation, albeit a shopping vacation, all at once.
Losing our sense of community - that's another story. Some of us would like to know from retailers and other local business stakeholders - 'how do you expect us to Buy Bermuda when a growing number of employers choose not to 'Hire Bermuda'?
More and more they use cheap labour to increase profits, which is their perogative. But consider what Bermuda's economy loses by way of wage earnings by guest workers who send millions of dollars out of the country to support their families and rightfully so.
You can't blame a man or woman from any country for trying to make a better living. But there must be a lot of money going out of here. Funny I don't hear the business sector, retail or otherwise moaning about that. I'm also wondering why the total figure isn't publicised, unlike the millions Bermudians declare in goods and services purchased abroad in the quarterly consumer price index. I'm willing to bet it is as much, if not more when you add it up.
How are the two related? Consider this; cheap labour in the construction industry has forced the hourly rate of pay earned by qualified veteran Bermudian masons down to a much lower rate. That mason is earning today what he was paid 20 years ago, but he's paying today's prices. Let's say he has three or four children, one or two in college abroad and has a partner working with him.
Away from the stress
Do you know what they do as a couple? They plan their vacation just before Christmas every year, with or with out a recession, and shop abroad. Does that mean they've lost their sense of community? I don't think so. They get a trip out of here, away from the stress of it all and they shop while doing it.
They don't count the cost of airfare and other expenses, and they never will.
Moving on, can someone explain to me why an Essence magazine costs close to ten dollars here when there's no import duty on printed material? And why does it cost three times as much for a book than it does in the U.S. or Canada? Is it shipping costs or greed? With the advent of the Nook, the latest reading device that allows readers to download entire books, why should I even bother buying them? If I use a debit card to avoid high interest credit card rates I save even more. As for foreign newspapers. I can read them online .
With the flick of an electronic switch and the click of the mouse, I avoid import duty and the hastle of parking in the city of Hamilton. And whenever someone I know goes away, I get them to bring back my favourite magazines with them. I refuse to pay $8 or more for a magazine here that sells for less than $4 abroad. The cost factor of running a business is not the consumer's issue.
I don't like to paint with a broad brush but I get the feeling in some local stores that I'm doing the staff a favour. And you feel like you're disturbing their in-house conversation when you ask for help.
The quickest way to lose me as a customer is to make me feel like my money doesn't matter.
Where's the sense of community in that?
Reader Comments
Posted: Monday, November 23, 2009
Comment by:
Derek Jones
To Sara: I understand what you are saying and I fully agree with you. I just wanted to point out that we are dealing with an apples and oranges case when it comes to the cost of doing business. As to your point about what to sell, unfortunately if people just focus on selling the upscale expensive stuff then the problem will only increase. I hope that the Bermuda retailers that do offer value and selection get as much business as possible and people go out of their way to support them even if it means having to pay a little more.
Posted: Monday, November 23, 2009
Comment by:
Sara
To Derek:
I can't afford to shop in Bermuda, as is the case with many people. If we can't afford it, then you must rely and direct your energy towards those that can afford to shop here. Most people are saving very little of their paycheck after bills are paid. That means that $40 t-shirt isn't going to be bought at the end of the month. I say if you can afford to shop here, great, but please understand many people just can't.
Posted: Saturday, November 21, 2009
Comment by:
Ceola Wilson
Thanks for reading. To the local retailer who hires Bermudians, would love to know which store is yours, I'd be inclined to shop there just because of your hire Bermuda mantra.
Posted: Saturday, November 21, 2009
Comment by:
Derek Jones
Sara, one thing one needs to remember is that a retailer in Bermuda has quite a bit of overhead that they must cover and a very limited market to sell to. Buying online from the US maybe cheaper but there is a reason for it. Most of the companies ship straight out of a warehouse which they pay a tenth the price of what a local Bermuda retailer pays. Buy Bermuda means the money stays in the Bermuda economy and helps pay the salaries of Bermudians. The rent money paid by the local retailer also goes straight back into the Bermuda economy to pay for services etc. Collectively undermining the local retailers is a sure-fire way to stifle the economy and further limit the availability and selection of goods in Bermuda.
Posted: Saturday, November 21, 2009
Comment by:
Pemroke
The thrust of the article is that retailer are begging for business from Bermudians, the same community they refuse to hire. While part of this premise may be true, there is no explanation offered as to why these circumstances exist. Clearly readers will know that many Bermudians will not work for the pay that retailers can pay. I stress the words "can pay." Around the globe, persons in retail are among the lowest paid and Bermuda is no different. Guest workers will help the bottom line since they work for less, but who do you think is stocking the shelves at WalMart when you go overseas? Well, its not Bermudians! Local retailers could try paying higher wages unlike the rest of the world and wait for the bailiffs to come.
The fact is the most of local retail market is doomed. In a short time, consumers will have little selection other than fuel, food and hardware - items that Bermudians will find it difficult to fit in a suitcase or order online. Its not bad, just the way it is.
Posted: Friday, November 20, 2009
Comment by:
Ellie
I tried to hire 1 employee for my store from May of this year. I vetted 16 employees and hired 6. Not one lasted longer than a few weeks. One person who was to start work on the first day at 8:30 am but did not show up until 10:30 am. She was fired before she even began to work. One employee closed my store at 2 pm twice to babysit the grandchildren with no notification. Another one took a 2 week vacation with no notice and expected to still have a job. An other quit because the employee was bored. The excuses are unbelievable.
I finally discovered a gem of an employee in a senior citizen.
Posted: Friday, November 20, 2009
Comment by:
Sara
I am so glad you wrote this article. I am so tired of hearing about the poor retail industry. The articles have an undertone of blaming the people of Bermuda. So retailers pay shipping and duty. Then they have to mark the item up from there. Well the reason I don't feel sorry is simple. The prices are still too high. It doesn't add up. Something I buy in U.S. and pay duty on ends up costing me half, half. Maybe if you were only making a 20% profit on things instead of 50% profit, people would be more likely to BB. Shoes are another thing that are outrageously priced here. Sometimes costing three times what they do in U.S. Another thing, maybe you retailers might want some help with selecting what products to buy, because stuff just ain't that cute. I hate to say these things, but I am tired of this being blamed because people don't BB. Get better stuff and lower prices or suffer the consequences.
Posted: Friday, November 20, 2009
Comment by:
ex-bermuda shopper
I refuse to shop in Bermuda. I completely agree with the last bit of this article - I used to go into shops and I would have to actually interupt the sales person while she was having a conversation with somebody and then I would get a "look" as to say "how dare you interupt me, what do you want??"
Posted: Friday, November 20, 2009
Comment by:
Local retailer
I am a local retailer, and am proud to say that ALL my staff are Bermudian. There would have to be a very specialist position needing to be filled that would make me employ a guest worker, if I couldn't find a Bermudian to do it.
My personal philosophy is Buy Bermudian, as I want other Bermudians to buy from me. What we don't stock, we can get for you. Maybe not immediately, but as fast as possible.
I agree that some places you go to make you feel as if you are disrupting the staff's personal time. This does seem to be rarer (to me) than it used to. However, I have the right, which I use, to shop elsewhere if those people don't want my money to help pay their wages.
