Footfall fell across the board in June as shoppers stayed at home to avoid the heatwave, according to the latest British Retail Consortium – Sensormatic data.
Total UK footfall decreased by 3.4%, down from -2.6% in May, high street footfall decreased by 6.2% in June (YoY), down from -1.5% in May, retail park footfall decreased by 0.3% in June (YoY), up from -0.5% in May, and shopping centre footfall decreased by 2.5% in June (YoY), down from -2.4% in May. Footfall fell throughout England, Northern Ireland and Wales, with only Scotland seeing gains – footfall rose 1.7% year-on-year – due to the cooler temperatures.
Air conditioning is becoming a must-have
The data clearly demonstrates the impact that weather can have on retail sales – and also the growing importance of air conditioning in stores, as extreme heat during UK summers becomes the new normal. As Joe Squire, marketing director at point of sale and retail management platform Epos Now, commented: “It’s telling that retail parks and shopping centres held up far better than the high street this June, air conditioning is becoming as much a sales driver as the products on the shelves.”
He pointed out that the weather strongly impacts how people choose to buy. “We’re seeing a shift in how people are choosing to shop when it’s this hot, more browsing and buying online, more click and collect, even in categories that have traditionally been dominated by in-store footfall.
He suggested that retailers need to take a proactive approach to weather events such as heatwaves. “The businesses weathering it best are the ones using their sales data in real time, tracking exactly which days and hours see the drop-off, then adjusting staffing, stock and promotions accordingly rather than waiting for the monthly report to tell them what already happened,” he said. “Retailers who can flex between channels quickly, and who can see the pattern forming as it happens rather than a month later, are the ones protecting their revenue.”
Rising costs are the other half of the problem
However, Helen Dickinson, chief executive of the British Retail Consortium, warned that retailers have more to worry about than just the weather. “The heatwave may have affected footfall, but retailers face a bigger challenge: rising costs,” she said. “Businesses are working hard to deliver value for customers, yet higher taxes and regulatory burdens are making it harder to invest, create jobs and grow.
She called on the Government to ease this burden: “Government action on business rates and energy costs would help unlock investment to revive our local communities.”
As increasing heatwaves reshape UK shopping habits and rising costs squeeze margins, retailers face a summer where staying agile may be just as important as staying cool.
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