Boxing Day Shopping Footfall Plummets Across UK
In a shocking turn of events for retailers this festive season, high street footfall on Boxing Day has plummeted by 9.4% across the UK, according to analysts at MRI Software. This significant drop comes as another blow to businesses already struggling to navigate economic challenges, including the cost-of-living crisis and the recent Chancellor’s Budget.
Impact on Retailers and Shoppers
Barclays had previously forecasted that shoppers would spend an average of £236 each on discounted items during this year’s Boxing Day sales. However, the reality has painted a starkly different picture, with footfall on UK high streets down by 10.2%, shopping centers by 10.1%, and retail parks by 6.8% compared to the previous year by noon.
Jenni Matthews, marketing and insights director at MRI Software, expressed her concern over this significant decline in footfall, describing it as a “major contrast” to previous years. She pointed out the possible influence of changing consumer behavior due to the ongoing cost-of-living crisis, which has impacted spending patterns.
Shift in Consumer Behavior
On Christmas Eve, footfall across all areas in the UK was 18% higher compared to the same period in 2023, leading to speculation about a pre-Christmas rush in spending. Matthews suggested that shoppers may have front-loaded their spending this year, potentially reaching their financial limits by Christmas Eve.
She also highlighted the growing trend of online sales starting between December 23 and Christmas Day, as shoppers opt for the convenience of finding bargains from the comfort of their homes. This shift in shopping habits could indicate a broader change in consumer behavior towards pre-Christmas bargain hunting.
Future Retail Trends
Karen Johnson, head of retail at Barclays, remains optimistic about post-Christmas sales despite the current economic challenges. She noted a potential shift towards practicality and sustainability among shoppers, with a focus on purchasing kitchen appliances and second-hand goods at discounted prices.
As retailers brace themselves for a challenging start to 2025, the impact of changing consumer behavior and economic pressures looms large over the retail sector. The future of retail sales in the UK remains uncertain, requiring businesses to adapt to evolving trends and consumer preferences to stay afloat in the competitive market landscape.
