BDO: Store sales positive across the board

Overall sales across the UK retail sector have seen a positive lift, driven by strong in-store performance, according to the latest BDO High Street Sales Tracker. Total like-for-like sales rose by 4.23% this week, building on a 1.23% increase from the same period last year and marking the third positive result in the last four weeks.

While the fashion sector contributed to this growth, its performance was a story of two channels. Total store like-for-like sales across all retail segments climbed by a robust 7.03%, a notable recovery from a negative base last year. This was supported by a 2.5% increase in overall footfall, with high streets seeing a 3.5% rise and shopping centres a 3.0% rise. This suggests that consumers are returning to physical locations, a positive trend for fashion retailers with a strong brick and mortar presence.

In contrast, the online side of the fashion industry experienced a dip this week, even as lifestyle and homewares enjoyed healthy e-commerce sales. This decline in online fashion sales contrasts with the strong performance of other sectors and indicates that consumer behaviour is currently favouring in-store experiences for apparel purchases. This could be due to a variety of factors, including the week's weather—which transitioned from stormy and wet in the north to milder, drier conditions—encouraging consumers to visit physical shops rather than staying home to browse online. The data highlights a continued shift in retail dynamics, with the physical high street regaining momentum while the online market experiences a period of fluctuation.