Footfall tipped to rise almost 20 per cent as shoppers hit high streets this ‘Freedom Day’ week

Retail footfall is predicted to rise by 19.7 per cent this week, as shoppers take to high streets and towns now free of the remaining Covid-19 restrictions with face coverings and social distancing no longer mandatory in England.

In the latest from the retail analysts, Springboard, footfall is tipped to peak throughout the first weekend of ‘freedom’, with expected rises of 32.2 per cent on Friday, July 23 and 39.5 per cent on Saturday, July 24.

While the removal of restrictions in Scotland, Wales, and Northern Ireland will not be as comprehensive as in England, the fact that footfall in England accounts for around 85 per cent of all footfall in the UK will drive an uplift in overall shopper activity.

The degree of the increase in footfall is expected to differ across the three key retail destination types. The removal of remaining restrictions on the hospitality sector including restaurants, coffee shops, and pubs, will help the high street to a 25 per cent footfall increase, Springboard predicts.

This will be followed by an 18 per cent increase in footfall at Shopping Centres, while retail parks are tipped to see the lowest increases, at 10 per cent.

The anticipated uplift following Phase 3 of the government’s easing of restrictions is forecast to be significantly greater than the one per cent observed when indoor hospitality reopened in May this year.

The current good weather also has a role to play in the increases, as does Freedom Day’s coincidence with the start of the school holidays and the number of Brits choosing to summer holiday within the UK this year.

Diane Wehrle, Springboard insights director, said: “The long awaited Freedom Day on Monday will see footfall bounce back across the UK, to a more significant magnitude than when indoor hospitality reopened in May, with rises seen across all three retail destinations.

“With summer holiday commencing and many opting for a Summer Staycation in the UK, footfall will continue to rise throughout JUly and into August as many look to enjoy the good weather.”

‘Freedom Day’ hasn’t, however, been welcomed by all with many leaders in the retail space calling for public caution and consideration when shopping, including the use of facemasks in shops and taking their own measures on social distancing.

Footfall tipped to rise almost 20 per cent as shoppers hit high streets this ‘Freedom Day’ week

Retail footfall is predicted to rise by 19.7 per cent this week, as shoppers take to high streets and towns now free of the remaining Covid-19 restrictions with face coverings and social distancing no longer mandatory in England.

In the latest from the retail analysts, Springboard, footfall is tipped to peak throughout the first weekend of ‘freedom’, with expected rises of 32.2 per cent on Friday, July 23 and 39.5 per cent on Saturday, July 24.

While the removal of restrictions in Scotland, Wales, and Northern Ireland will not be as comprehensive as in England, the fact that footfall in England accounts for around 85 per cent of all footfall in the UK will drive an uplift in overall shopper activity.

The degree of the increase in footfall is expected to differ across the three key retail destination types. The removal of remaining restrictions on the hospitality sector including restaurants, coffee shops, and pubs, will help the high street to a 25 per cent footfall increase, Springboard predicts.

This will be followed by an 18 per cent increase in footfall at Shopping Centres, while retail parks are tipped to see the lowest increases, at 10 per cent.

The anticipated uplift following Phase 3 of the government’s easing of restrictions is forecast to be significantly greater than the one per cent observed when indoor hospitality reopened in May this year.

The current good weather also has a role to play in the increases, as does Freedom Day’s coincidence with the start of the school holidays and the number of Brits choosing to summer holiday within the UK this year.

Diane Wehrle, Springboard insights director, said: “The long awaited Freedom Day on Monday will see footfall bounce back across the UK, to a more significant magnitude than when indoor hospitality reopened in May, with rises seen across all three retail destinations.

“With summer holiday commencing and many opting for a Summer Staycation in the UK, footfall will continue to rise throughout JUly and into August as many look to enjoy the good weather.”

‘Freedom Day’ hasn’t, however, been welcomed by all with many leaders in the retail space calling for public caution and consideration when shopping, including the use of facemasks in shops and taking their own measures on social distancing.

UK retail enjoys best quarter on record as sales surge 13.1 per cent

Retail sales have seen a record increase over the past three months, amounting to the ‘best quarter on record’ with shoppers returning to stores in force since the easing of lockdown restrictions back in April.

According to the latest BRC-KPMG retail sales monitor, total sales in June increased 13.1 per cent against a decline of 1.3 per cent in June 2019, fuelled by stores re-opening and the continued allure of online shopping.

On a like for like basis, UK retail sales increased 17 per cent from June 2019, when they had decreased 1.6 per cent from the preceding year.

Helen Dickinson, chief executive of the British Retail Consortium, said: “The second quarter of 2021 saw exceptional growth as the gradual unlocking of the UK economy encouraged a release of pent-up demand built up over previous lockdowns.

“In June, while growth in food sales begun to slow, non food sales were bolstered by growing consumer confidence and the continued unleashing of consumer demand. With many people taking staycations, or cheaper UK-based holidays, many have found they have a little extra to spend at the shops, with strong growth in-store in June.”

The good news for retail hasn’t, however, come without its warning, and Dickinson has suggested that UK retail is still ‘facing strong headwinds’ with many retailers ‘still making up for ground lost during the previous lockdowns.’

Footfall in city centres remains low, while international tourism is still well below pre-pandemic levels.

“Consumer comfort with the next stage of the roadmap will be key to the ongoing success of retail. Many customers are looking forward to a return to a more normal shopping experience, while others may be discouraged by the change in face covering rules.

“The government will need to reassure the public on safety, while pushing forward with its hugely successful vaccination programme.

“The public will also need to be understanding of one another during the easing of restrictions; there has been a big rise in violence and abuse against retail workers during the pandemic and colleagues cannot be put in the firing line because of this change in policy.”

Paul Martin, UK head of retail at KPMG, added: “Retail sales growth continued in June, albeit at a slower rate as the re-opening of hospitality and leisure sectors led to a dilution in consumer spending. The fight for share of wallet is underway, as consumers unleash pent up demand for social activities as restrictions in the UK continue to unwind.

“While the high street saw continued growth in June, with sales up 10 per cent, online sales fell back by seven per cent compared to June 2020.  However, penetration rates for online sales remain much higher than their pre-pandemic levels, suggesting the shift to online is here to stay.

“Retailers are facing challenges on a number of fronts, particularly convincing consumers that it’s safe to shop in store as restrictions around mask wearing and social distancing come to an end. With travel now looking to be back on the agenda for summer and Government COVID-19 support packages slowly coming to an end, retailers will be hoping that the feel good factor from Euro 2020 and lifting of COVID-19 restrictions will give the high street the summer boost it needs.”

Opinion | Channel hopping: Netflix becomes latest global brand to adopt direct to consumer

With Netflix becoming the latest global brand to adopt a direct to consumer model for its portfolio of licensed merchandise, consumer products, and original series brand extensions, industry insights and intelligence expert and seasoned market analyst, Utku Tansel takes a look at the ever-strengthening trend of tapping into the consumer directly

[divider style=”solid” top=”20″ bottom=”20″]

Netflix’s announcement to unveil an online shop for show-themed licensed merchandise has definitely raised some eyebrows. The entertainment giant’s new platform will sell limited-edition show tie-in apparel, merch, and other collectables. Among the items that will make a debut this month are streetwear and action figures inspired by anime series Yasuke and Eden, as well as apparel and decorative items based on Lupin in partnership with the Musée du Louvre.

There are also other exclusive products in the pipeline which will leverage the licensing power of its popular titles such as The Witcher and Stranger Things. Furthermore, there will be a new Netflix logo-wear from Japanese fashion house BEAMS.

As the escalated streaming wars take their toll on the company, Netflix.shop, which was developed and launched with the e-commerce site Shopify, should provide a brand new revenue source, and will witness an expansion of a product line that already offers through partners like Walmart, Amazon, H&M, Sephora, Target, and others.

Now available in the US, Netflix’s new online is set to expand abroad over the coming months.                   

With its recent move, Netflix’s aims to ride on the rising popularity of Direct-to-Consumer (DTC) which has been one of the emerging retailing models in recent years. The ongoing pandemic has accelerated this considerably, prompting many companies to shift their models.

2020 saw a number of brands increase their focus and investment in developing their DTC offerings. Spending more time at home has undoubtedly encouraged more consumers to embrace DTC particularly in grocery and clothing. In the fashion space, VF Corporation (The North Face, Timberland) acquired Supreme. It was reported that over 60 per cent of the company’s revenue comes from its online operations, and VF announced a cornerstone of its strategy will be expanding the brand’s Direct-to-Consumer offering.

Meanwhile, in the toy industry, Hasbro and Mattel expanded their DTC operations in order to meet the growing demand for e-commerce.

As I investigated in my “Retail and E-commerce: The Impact of COVID-19 in the UK” Opinion piece previously, the COVID-19 pandemic has transformed shopping behaviour completely making a profound effect on the retail industry.

While COVID-19 continues to cause significant disruption to bricks and mortar retail, DTC is in a good place to be one of the headline trends for 2021. It is the preferred choice for many businesses and brands already as they increasingly become more agile, more authentic and produce more personalised products en masse.

[divider style=”solid” top=”20″ bottom=”20″]

Utku Tansel has 17 years of success in driving global thought leadership, project and content management, delivering strategic business intelligence and actionable insight to major international companies, retailers and financial institutions.

With a solid market research background, Utku regularly writes for leading industry publications including ToyNews and Licensing.biz focusing on the most recent trends and developments.

A sought-after speaker, he also presented at world-renowned industry events including Licensing International Mind Mix Executive Conference, Hong Kong Toys & Games Fair, PlayCon, World Congress of Play, and Walmart Global Toy Summit highlighting key findings from the latest global research studies.