Covering the four weeks 27 October – 23 November
2024
-
UK Total retail sales
decreased by 3.3% year on year in November, against a growth of
2.6% in November 2023. This was below the 3-month average
growth of -0.1% and the 12-month average growth of 0.5%.
-
Food sales increased 2.4% year on year over
the three months to November, against a growth of 7.6% in
November 2023. This is below the 12-month average growth of
3.7%. For the month of November, Food was in growth
year-on-year.
-
Non-Food sales decreased 2.1% year on year
over the three-months to November, against a decline of 1.6% in
November 2023. This is above the 12-month average decline of
2.2%. For the month of November, Non-Food was in decline
year-on-year.
-
In-store Non-Food sales over the three months
to November decreased 2.2% year on year, against an increase of
2.2% in November 2023. This is above the 12-month average
decline of 2.5%.
-
Online Non-Food sales decreased by -10.3% year
on year in November, against an average decline of -2.1% in
November 2023. This was below the 3-month average decrease of
1.7% and below the 12-month average decline of 1.5%.
- The online penetration rate (the proportion
of Non-Food items bought online) decreased to 40.6% in November
from 41.4% in November 2023. This was above the 12-month average
of 36.4%.
Helen Dickinson, Chief Executive at
the British Retail Consortium, said:
“While it was undoubtedly a bad start to the festive season, the
poor spending figures were primarily down to the movement of
Black Friday into the December figures this year. Even so, low
consumer confidence and rising energy bills have clearly dented
non-food spending. Spending on fashion was particularly weak as
households delayed purchases of new winter clothing, while health
spending was boosted by the season's arrival of coughs and colds.
“Retailers will be hoping that seasonal spending is delayed not
diminished and that customers get spending in the remaining weeks
running up to Christmas. If not, retailers will be feeling the
squeeze from both sides as reduced revenues are met with huge
additional costs next year. The Budget, as well as the
introduction of new packaging levies, will cost retailers over £7
billion extra next year. How effectively the government works the
industry to mitigate these costs will determine the extent of
price rises and job losses in the future.”
Linda Ellett, UK Head of Consumer, Retail & Leisure,
KPMG, said:
“Along with the cold snap at the end of the month, retail sales
also went into minus numbers for November.
“An upturn in health product buying also signalled that the
winter months had arrived and, along with food and drink, was one
of very few categories to see in-store or online sales growth.
“While the majority of November's data tells a disappointing tale
for the retail sector, this reporting didn't include Black Friday
week, so the hope for retailers is that consumers were being
savvy shoppers and that the promotional push in the last days of
the month saw held-back consumer spend materialise and mitigate
what is otherwise a disappointing month. If not, then we
may see some retailers launching Christmas sales early.”
Food & Drink sector performance | Sarah Bradbury,
CEO, IGD, said:
“Post-October Budget, shoppers have likely noticed the media
reaction from businesses, but this hasn't significantly shifted
their behaviour. November's grocery market performance shows
year-on-year growth in both value and volume. IGD's latest
research highlights signs of festive cheer, with 5% more shoppers
than last year (41% vs 36% in 2023) planning to spend what
they want this Christmas. However, despite this uplift, it's
unlikely to be a bumper Christmas for all, as many remain focused
on budgeting. The festive optimism is there, but the underlying
caution means spending will still be influenced by economic
pressures, especially on out-of-home activities.”
-ENDS-
Notes:
A note on Black Friday. The ONS calendar dates (which BRC follow)
are:
- November 2024: 27 Oct – 23 Nov, which excluded Black Friday
in 2024; compared to
- November 2023: 29 Oct – 25 Nov, which included Black Friday
in 2023.
Conversely, December 2024 (24 Nov – 28 Dec) will include Black
Friday, while its 2023 comparison did not. This will artificially
inflate next month's figures.
