Twitter
Facebook
Linked In
RSS
Login or Register
New to InternetRetailing?
Register Now
Internet Retailing
You are in: > Home > Themes > Industry

This is your 1 complimentary article for this month

Become a member for unlimited and immediate access.


Register
Already a member? Log in here

Retail health continues to teeter just above historic lows, KPMG/Ipsos retail think tank says

Linked InTwitterFacebookeCard
High and dry street: retail health was bleak in first quarter – but could Q2 see an improvement?
High and dry street: retail health was bleak in first quarter – but could Q2 see an improvement?

Retail health in the first quarter of 2019 deteriorated further as a result of wavering demand, increasingly squeezed margins and ever-higher costs for retailers.

 

So says the latest KPMG/Ipsos Retail Think Tank (RTT) research, which brings its latest retail health index (RHI) score to 77 – only just one point above the historic-low of 76, recorded during the double-dip recession of 2012/13.

 

Looking ahead to the second quarter, the retail think tank members were a little more optimistic, pointing to the later occurrence of Easter, brighter weather, as well as the delay of Brexit and subsequent impact on the consumer’s psyche. However, while the quarter holds more promise, the RTT predicts that health will, at best, only flat-line due to increased cost to retailers – holding the RHI score at 77.

 

Commenting on the overall health of retail currently, Dr. Tim Denison, co-chair of the RTT and head of retail intelligence at Ipsos Retail, says: “The remorseless strain on retailers continued in quarter one, culminating in yet more casualties on the high street. All three drivers – demand, margins and cost continued to put downward pressure on retail health.”

 

Paul Martin, co-chair and UK head of retail at KPMG, adds: “The Easter sunshine will surely have provided many retailers with a positive start to the second quarter of 2019. However, while some measures may suggest that this has indeed been the case, retailers cannot hide from the continuing consumer uncertainty and importantly, the ongoing structural changes within the sector which remain a key driver of instability”.

Linked InTwitterFacebookeCard
Add New Comment
You must be logged in to comment.

The InternetRetailing Newsletter

A curated update containing news analysis, reports, podcasts and opinion - completely free and delivered three times weekly

Become a Member

Create your own public-facing profile
Gain access to all Top500 research
Personalise your experience on IR.net
Internet Retailing
We are the magazine, portal and research source for European ecommerce and multichannel retail, hosting the board-level conversation for retailers, pureplays and brands across all of our platforms. Join the conversation.

© InternetRetailing Media

Latest Tweet

Internet Retailing
Tamebay
eDelivery
Twitter
Facebook
Linked In
Youtube
RSS
RSS
Youtube
Google
Linked In
Facebook
Twitter