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Industry News December footfall reflects changing shopping habits

Published on January 16th, 2015 | by The GC Team


Retail footfall down 0.7% in December

Retail footfall fell 0.7% year-on-year in December but the pace of decline slowed from the 2.4% fall recorded in November.

Figures released today by the BRC and Springboard show that footfall in shopping centres was down 0.1%, while the high street recorded a decline of 1.8%.

Out-of-town reported the only rise, 1.3% higher than a year ago and has experienced positive footfall growth for every month in 2014.

BRC Director General, Helen Dickinson, said: “A decline of 1.8% in the number of high street shoppers might not at first glance look like great news for retailers but it’s heartening to see the pace of decline in High Street footfall slowing so dramatically from November to December.

“This is undoubtedly a result of the continuing changes in the way we all prefer to shop. It’s worth noting that fewer shoppers doesn’t necessarily equal poorer sales; in fact, we know that sales have been strong across the Christmas period. This tells us that retailers are getting to grips with the way people’s shopping habits are changing and using methods like click-and-collect to drive internet traffic toward physical stores while at the same time targeting discounts to encourage higher sales. What we are seeing currently is the online and physical retailing finding out how they best fit together in the new multi-channel world.”

Diane Wehrle, Retail Insights Director at Springboard, said: “Footfall across the UK in December belied the prevailing furore over the impact on bricks and mortar stores of both Black Friday and the move to online shopping, with just a modest drop of 0.7% from December 2013. Retail Parks finished the year as they began with an increase in footfall, albeit that the increase in footfall in out of town locations has been on a downward trajectory since the largest rise of 5.7% was recorded in January.

“The most positive result, however, is that footfall in both high streets and shopping centres is in an improved position compared with both November and with December last year. Indeed, the drop in high street footfall of 1.8% is half the decline recorded in December 2013, and the 0.1% drop in shopping centres is both a significant improvement on the 1.5% recorded in December last year and the most modest decrease of any month this year.

“Whilst online shopping becomes ever more mature, and shoppers are increasingly demanding in terms of choice and flexibility to buy, the improved footfall position of our retail destinations in what is our peak trading period of the year indicates that online is driving activity back into bricks and mortar stores. As yet it is inconclusive as to the relative influence of showrooming and click & collect in the omni-channel experience, but what is clear is that if retailers want shoppers to continue to visit their stores then ever more investment is required to deliver the heightened shopping experience that is now demanded.”

All regions and countries with the exception of the South East (3.4%), East (2.2%), Scotland (1.6%) and Northern Ireland (1.4%) reported declining footfall.

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