According to a recent study from Barclays called the Barclays Business Barometer, UK retailers have embraced the holiday spirit earlier than ever this year. The study, which examines the state of the UK corporate business environment across various sectors, including retail, revealed that retailers started stocking festive-themed goods as early as June. In fact, many retailers had their Christmas displays up and running by September. This shift in the start of the Christmas shopping season reflects retailers’ efforts to capture early shoppers and extend the festive period.
Despite the challenges faced by the retail sector, such as high inflation and rail strikes, the report also highlighted the industry’s “strong resilience.” Throughout the year, inflation has eased, reaching its lowest level in two years at 4.6%. As a result, retailers are expecting a rebound from last year’s falling sales and have expanded their workforces by 28% to meet the anticipated increase in demand during the Christmas period.
Interestingly, the majority of retailers, approximately 60%, are expecting footfall in their physical stores to increase this festive season. This suggests that more consumers are opting for in-person shopping experiences rather than turning to online alternatives. In response to this changing trend, retailers have made significant investments in enhancing customer experiences. For instance, around 67% of retailers have focused on improving the in-store experience, while 64% have invested in data analytics and other technologies to boost customer loyalty. Retailers have recognized the value of providing a seamless and personalized shopping experience to attract and retain customers.
However, while physical stores are still popular, online shopping remains an important channel for retailers. Recognizing the significance of the delivery experience during the festive season, 56% of retailers have invested in their own delivery infrastructure. This investment aims to minimize any supply chain disruptions and ensure a smooth shopping experience for consumers.
Overall, the Barclays Business Barometer reflects the evolving landscape of the retail industry. With Christmas displays showing up earlier than ever and investments in improving customer experiences, retailers are positioning themselves to make the most of the festive season and cater to the preferences of their customers.
Useful links:
1. The Guardian: UK supermarkets start stocking Christmas products earlier than ever
2. The Telegraph: Retailers embrace Christmas earlier than ever, Barclays says
