Kempsey's small businesses stung by inflation but still putting customers first

Argus journalist Emily Walker spoke to three different small business owners to see how they're coping with the spiralling cost of living.

The Gourmet Chicken Shop owner Arvi Jassal has noticed costs rising since he started the business in late September 2019.

The shop has witnessed everything from fires and floods to a pandemic in the past four years, with basic necessities for the shop becoming more expensive to purchase.

"All the prices are up. Literally everything," Mr Jassal said.

"What we used to pay [for oil] was $45 and now it's just like $90.

What we were paying last year [for chips], we're paying an extra $10 on a tub."

After managing to keep prices down for customers for the past three years, Mr Jassal said he has had no option but to increase the cost of chicken and hot food to avoid shutting the business down.

But as a family man, Mr Jassal's concern is mostly for his customers.

"I reckon it makes it hard for the customer because we are receiving things dearer than what we used to and now we have to raise our prices as well," he said.

"At the end of the day, when you buy little bits and pieces... you're paying way more money."

It's been 14 months since Jasmine Abigall bought her retail store, Folk Road (formerly known as Harley and Rose) but the new business is already feeling the pressure.

Ms Abigall said that the rising costs have meant she needs to look a lot more closely at general expenses for the store and where cuts can be made.

As most stock for the store is ordered 12 months in advance, Ms Abigall has to predict what trends and styles will be popular in Kempsey for next year.

"You need to hope that you're going to have the space on the floor, the cash flow at the time and the need is going to be there," she said.

Ms Abigall is also aware of how inflation is affecting customers and that rising costs mean that "needs" are often prioritised over "wants".

"Filling someone's car has gone up... so for somebody who is coming here to shop, that's an extra $90 that they no longer have.

"So therefore it needs to go towards the general needs of the household and not a want that is something like a retail store."

But Ms Abigall is keeping a positive outlook and sees the added pressures as more of a learning curve.

"I guess I just have to educate myself and get a bit smarter and still keep learning ways to manage it," she said.

Even businesses that have been running for 26 years like Trudi Jeffery's Haircraft have been feeling the impact of inflation.

Hours have managed to remain the same but prices have had to increase out of necessity.

"I think my clients are very local, long time clients who do understand but on the other hand they feel the pressures as well," Ms Jeffery said.

"Things are changing a little bit... people going a little bit longer in between appointments is probably what I'm noticing."

"I think it's the world we live in at the moment."

Ms Jeffery said she doesn't have a lot of areas where she can cut costs so her focus is mainly on customer service.

"I think just continually concentrating on providing the best service that you can to ensure that your customers are extremely happy [so] they don't think twice about going somewhere else."

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