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The economic issues plaguing the nation are affecting Hillsborough Street businesses as well, and area businesses have changed policies and prices to keep up with the changing economic climate.
Lucy Phillips, a sophomore in visual arts application, has been working at LocoPops, the popular frozen snack supplier, for about a month now and has already seen a change in policy due to economic stress. Now, a popsicle that would have been two dollars including tax is two dollars and change.
“Since I started working here, the old policy has changed where they used to include tax in the old prices, everyone was coming in with not enough money because they were not used to the new prices,” said Phillips. “Now we add the tax on with the popsicles, which is a big change.”
Likewise, Global Village Organic Coffee has adapted in response to changes in the economic climate, including changes in its employees’ paychecks.
“[The manager] has had to cut back on hours,” said Nick Morse, a senior in business administration and a Village employee. “He has changed the store hours – we close earlier now.”
“It has become less busy this semester as compared to last semester, but nothing too noticeable,” Morse said. “We still have about the same amount of customers, they are just ordering cheaper drinks, so instead of like a latte they will order coffee.”
Although some businesses have noticed changes sooner than others, all businesses seemed to have been affected around Christmas by a slump in sales.
“This is my fifth Christmas and it’s one of the biggest times of the year because scooters are gifts and it was just down,” said Rick Sathoff, owner and manager of Electric Scooter City. “You could tell – interest was down, sales were down.”
Morse echoed Sathoff’s sentiments.
“The transition occurred over break,” Morse said. “Going into the break we didn’t see to much of a difference, but then coming back … our busy hours — morning and lunchtime — just don’t seem as busy anymore.”
Jerry Bates, owner of College Music and Pawn, first experienced a decrease in sales about six to nine months ago but has managed to stay in the black by various means.
“My sales are down, but buying gold, and making loans and interest payments are what’s keeping me afloat,” stated Bates. “I have to turn people away … I don’t take VCR’s anymore, I don’t take tools … I am not cutthroat doing it but … I am a music and jewelry store … the only reason I buy the jewelry is because my wife wanted me too.”
For Bates, as a pawnshop owner, it is easy to see the full breadth of the economic stress beyond its effect on him and other local businesses.
“My loans are up probably 30 percent but I am finding out people aren’t coming back to pick those up, they just can’t afford it,” he said. “I hope it doesn’t get worse because … I see the people come in [saying] ‘I got laid off, I got laid off,’ and I see a lot of wedding bands too.”
On the bright side, not all businesses seem to have been affected, as Rose Schwetz of Sadlack’s Heroes reports relatively normal business aside from the typical sloth seen in January and February.
“My sales have been good,” Schwetz said. “People still want to eat and my sandwich prices are at a good level, the food is good, and if people drink it’s because they have extra money.”
“Everybody is running that recession stuff but you can always eat here from $4.95…all the way up to $8.95, so you have variety depending upon the size you want, so I don’t get stuck in that recession stuff,” said Schwetz. “I have a real steady repeat cliental [that] keeps me pretty much even all the time.”
With respect to other businesses on Hillsborough Street, Schwetz hopes the upcoming Renaissance March 14 will give them a boost.
“It’s supposed to be 5,000 to 10,000 people on the street,” Schwetz said. “They are going to block the street off and [have] bands, concerts, [and] competition … sidewalk sales, and stuff outside and music all day and all night.”
“We’ve got to promote it,” she said. “Banners are supposed to go up this week on every pole.”
Aside from a lucky few, the majority of businesses seem to be hurting right now and all seem to have the same outlook for the future. As Sathoff said, “I expect it [business] to be slow all year, but we’ll see.”
Correspondent Daniel Farrell contributed to this story.