These are the peak selling days of the year for the commercial community. Retailers have been stocking up for them for weeks, even months. Their outturn for the year depends to a considerable extent on the level of sales they achieve in the final week to Christmas, quite less so to the New Year.

Hearsay reports so far say that business is looking up. There will be a proportion of business people who will report lower sales than last year. Others will say sales have remained stable. But there will probably be a larger proportion than usual who will say that sales have picked up.

That is a general statement. It reflects a multitude of factors. On the supply side, these include the range and quality of goods offered to buyers who see this time as their main purchase effort. Above all, the supply side will be affected by competition.

It is growing fast. Shops compete among themselves within a changing supply profile. A major development in the household sector was the arrival of the Lidl chain, which has taken root and is set to expand further. That notwithstanding the fact that major food suppliers have not been deterred from also expanding. The Scotts chain and the Miracle Food shops are another strong presence in the market.

Some smaller shops may have been squeezed out, but, going by the numbers still open, not too many.

There will be further competition from the large shopping areas. None larger than The Point in Sliema, which seems to have taken off, though there are reported disparities in the results of those who are located there. Daniels has come on the scene in Ħamrun. Smart City will soon be joining the fray.

Malta is an economy one does not understand too easily. Increased competition makes purchasing power go round more thinly. Yet, many of those who might be presumed to be hit by these developments survive. Indications are that they survive because a large proportion of the population, especially early middleagers and upward of that are still traditional buyers. They are attracted by new, large outlets, but not necessarily to buy from them.

Younger shoppers tend to prefer internet forays. That is probably the major challenge for most retailers who do not sell perishable goods. The internet can be sourced for anything, not infrequently at cheaper prices than those available in local shops.

With all the complexes and other outlets to choose from, consumers can be more picky

These factors suggest that competition will be harsher as the years go by. As today’s young turn into the staple core of the economy, they will carry with them the habit to buy off the internet. It is already having an effect on sales. That will grow.

In time, bigger suppliers will come on the market, following the trend set early on by Marks and Spencer, and the grouping of different outlets under one roof, hard on the heels of the example of the well-established Plaza in Sliema and, later, Bay Street in Paceville.

I do not know what size the shopping complex in Smart City will be. But I’d be surprised if it matches The Point. It will, however, challenge other shopping complexes located centrally, attracting custom from the villages and towns of the south.

Notwithstanding this extensive competition, market surveys suggest that Valletta, once the mecca for shopping for anything you require, is recouping some of its lost allure. It is attracting custom not just in terms of the restaurants and wine bars that now dot the city, but also in terms of sales from retail outlets.

All that is on the supply side. On the demand side, what counts is the purchasing power of consumers. That will peak in the days we’re passing through, but it has not been weak all the year round. Although unemployment is rising, wages and salaries do not appear to have fallen. In the electronic gaming and IT sectors they still remain high.

Purchasing power is considerably healthy. It probably is being wielded more astutely than ever before. With all the complexes and other outlets to choose from, consumers can be more picky. They will be looking for value for money and will not be tied to any particular retailer, whether stand-alone or in a complex.

In many regards this is a period of transition. Transiting from the individual outlet to the much larger unit and on to shopping centres. And transiting from shopping around with all the hassle that entails, especially if parking is not available, to purchasing your requirements from the comfort of your own home.

The internet will be the greatest threat. That said, there will remain many consumers who view their shopping as an opportunity to make an outing of it. This is why the shopping complexes with car parks and cafes and restaurants will increase in their attraction.

All the more reason why all suppliers, big or small, will need to offer goods and services at top quality and the most competitive prices. Perhaps the consumer can really be king, after all.