BDO: Sales down 2.69% after three consecutive weeks of growth

Based on the BDO High Street Sales Tracker data, UK sales have experienced a downturn, with both in-store and online results contributing to the overall decline. The tracker, which provides a real-time view of discretionary spending, revealed a -2.69% like-for-like (LFL) drop in total sales this week, marking the first negative result after three consecutive weeks of growth.

The report highlights that the weakness was largely driven by online retail, as non-store fashion sales fell following a nine-week period of positive results. Total non-store LFL sales across all sectors slipped by -3.09%, a significant reversal. This dip in online fashion sales suggests a shift in consumer behavior, possibly influenced by the week's change in weather from overcast and stormy conditions to milder summer temperatures, which may have impacted what shoppers were looking for.

On the physical retail side, footfall decreased across all categories, with a -1.2% drop on high streets, a -0.8% decline in shopping centers, and a -0.2% dip in retail parks. This overall reduction in foot traffic directly contributed to a -1.27% fall in total store LFL sales. While homewares saw gains in both store and non-store sales, the performance of the fashion sector was a key factor in the overall negative outcome, underscoring its sensitivity to both consumer confidence and external factors like the weather.