The retail market has performed satisfactorily during the summer period, despite inflationary pressures, according to the Secretary-General of the Retail Trade Association, Marios Antoniou.
It is noted that in July, the Harmonised Index of Consumer Prices (Statistical Service) rose by 4.4% compared with July 2025, and by 0.7% compared with June of this year. More specifically, in the Food and Non-Alcoholic Beverages category, the year-on-year increase reached 4.54%, Housing and Electricity rose by 6.98%, and Restaurants and Accommodation Services increased by 11.95%. At the same time, the Clothing and Footwear category recorded a decline of 5.24%.
In this environment, consumers appear to have adapted the way they shop, with Marios Antoniou, Secretary-General of the Pancyprian Retail Trade Association, and Andreas Hadjiadamou, Executive Secretary of the Pancyprian Supermarket Association, describing the consumer as more discerning in their purchases -someone who seeks out offers and avoids unnecessary spending.
In statements to CNA, Antoniou said that despite inflation and the decline in consumers' purchasing power, the retail picture remains positive. He noted that "at least in terms of footfall and turnover, we are at very, very good levels. Because when you're talking about eight months, you're getting a representative snapshot of how the whole of 2026 is shaping up."
He added that "both July and August moved very well, in terms of both footfall and turnover, across the entire retail trade." He also said that people are very well informed and have, as he put it, made "leaps as consumers" in recent years, explaining that they now make smarter choices when shopping.
According to Antoniou, the overall positive picture is also supported by the significant number of foreign nationals who now reside permanently in Cyprus and do their shopping here. He specifically referred to Israelis, Russians and Ukrainians living and working in Cyprus, noting that their consumption has a positive impact on the market.
He also said that the widening of the consumer base is one of the reasons the market continues to grow, and that there is interest both from chains wishing to operate in Cyprus and in the creation of new shopping centres.
"Substantive and comprehensive shopping"
On supermarket shopping specifically, the Executive Director of the Supermarket Association, Andreas Hadjiadamou, said that the majority of consumers now limit their purchases to what they actually need. "They do substantive and comprehensive shopping, the majority of consumers now, and they don't make unnecessary purchases," he said, attributing the change to the geopolitical developments of recent years and the economic impact they have had on prices and consumers' purchasing power.
He added that visits to supermarkets are now more frequent, although he noted that consumers are no longer buying the same large quantities to stock up at home. "There are more frequent visits to supermarkets. They don't stock up as much as they used to," Hadjiadamou said.
He also said that consumers are no longer limited to a single supermarket, but instead explore the market and seek out offers from different stores. As Hadjiadamou put it, "consumers' visits are no longer confined to one supermarket, as was the case in the past, or one or two; they take advantage of offers and can make a circuit of the supermarkets, starting from a large chain store and ending up at neighbourhood shops, making full use of the offers in front of them."
He also described a cautiousness prevailing among consumers, both because of inflation and because of developments in the region and their impact, among other things, on fuel prices. As he said, "supermarkets are making an effort to hold prices down, through interventions with suppliers and partners and by seeking agreements that will allow greater stability in prices."
More own-brand products in the basket
For his part, Antoniou said that in recent years consumers have been turning increasingly to private-label products, which offer quality and more affordable solutions and can now be found on the shelves of all supermarkets.
Asked whether there are figures, he said there are none for the Cypriot market, noting that data for the Greek market show that they reached 26% of food turnover. These products, he added, are no longer limited to certain categories but have expanded across a much wider range of products.
As for the size of the basket, Antoniou said there does not appear to be a reduction in the overall volume of purchases, as what is observed is more frequent visits with a smaller basket.
He also pointed to the data on turnover volume, which show an upward trend compared with last year. Specifically, according to the latest figures from the Statistical Service for June, there is a 4.9% increase in turnover volume in the first half of the year in the category mainly covering food, beverages or tobacco in supermarkets.
School supplies boost August shopping
During the summer period, the market is driven mainly by three factors, Antoniou noted. "One part was the summer sales, which boost footfall in the market; the second was tourism; and the third pillar is school supplies shopping." He described school supplies as one of the strongest categories of non-food products, noting that after the Christmas period they represent a particularly strong segment for retail trade.
He added that this market starts to pick up in August and peaks in early September. "It starts in August, peaks in the first week of September, with people returning from their holidays and right up to the start of school," he said. According to Antoniou, there is a wide range of prices and options for consumers in this category.
