The biggest laundry chain in the country, Superwash, has reported that its sales have decreased significantly since last October by 10 percent, according to its proprietor.
Dionisio D’Aguilar told The Bahama Journal Thursday that he has been severely affected by the economy and it does not seem as if things will get any better especially after hearing the prime minister declare in the House of Assembly Wednesday that government revenue is down.
"Customers are a lot more cautious about spending and laundry is one of those things where people are not going to go back to scrub boards and water," he said. "Sales decreased by 10 percent and it really dropped off in October of last year."
"Up until September of last year we were just up and down but in October was when we saw the decrease. January and February have been down as well this year compared to last year."
Mr. D’Aguilar, who is also the President of the Bahamas Chamber of Commerce, said that if people do not have jobs then they will not go to the Laundromat.
"I hate to get complaints about poor service and I’m wondering why my employees don’t get that this is a tough time," he said. "The prime minister articulated the fact yesterday that revenue is down and this is not the time to be offering customers bad service. I wish I had a solution but there’s no one fix solution you have to get back to basics."
"You have to be innovative and expand the services you offer."
He said that the fact that the government’s revenue projections are falling far short of what they projected is a big deal.
"The government earns revenue on economic activity so if economic activity is down then government revenue would be down," Mr. D’Aguilar said.
When asked what small businesses should focus on during the tough times, the Superwash proprietor said now is the time for employers to focus on details.
"Running a business is all about the details and I think that you have to make sure that you are meeting your customers expectations," he said. "You have to respond to them, you have to act concerned about them."
"Employees who are collecting the same salary may think that things are not tough so they may continue to offer the "same ole same ole" but as an employer you see the picture get bleaker and bleaker."
Mr. D’Aguilar said the hardest problem he has is letting his staff know that things are tough because they are still getting the same salary.
"As an employer you see things deteriorate quite rapidly and while you maintain paying your staff you have to communicate to them that things are deteriorating and they need to buy into the concept of improving the product or the service being offered."
When he presented the mid-term budget to Parliament late last month, Prime Minister Hubert Ingraham explained that total revenue collections for the first six months of the 2008/2009 fiscal year amounted to $626.5 million, down $51.6 million or 7.6 percent from the forecast.
At the time, the principal revenue shortfalls were said to be import and export duties, which were $39.1 million lower than forecast. Other shortfalls occurred in excise tax at $18.1 million and tourism tax at $11.3 million.
However the Prime Minister then assured that despite the level of revenue weakness, total collections over the first six months of 2008/2009 were "largely in line" with collections over the first six months of 2007/2008.
