Home Business NewsBusiness April weather dampens footfall on high streets

April weather dampens footfall on high streets

by LLB Reporter
14th May 18 7:36 am

New figures show

April weather dampened footfall in the UK, a study by Springboard has found.

Covering the four weeks 1 April 2018 – 28 April 2018

· Year-on-year, Footfall in April decreased by 3.3 per cent, a significant decline compared to the positive rate of 1.6 per cent seen in April 2017. This is in line with the 3-month average of -3.5 and below the 12-month average of -1.8 per cent.

· There was no growth in Footfall for any UK region, now two months of consecutive decline. Most regions saw a slower rate of decline, most notable being Wales, 1.5 per cent, and Greater London, 2.4 per cent. However, Footfall in Northern Ireland fell sharply by 7.3 per cent from -1.8 per cent the previous month, the 3-month average being now -2.9 per cent.

· The national town centre vacancy rate was 9.2 per cent in April 2018, up from 8.9 per cent in January 2018. All regions saw an increase in the vacancy rate, except Greater London, where the rate dropped to 3.6 per cent from 5.6 per cent in January 2018.

Diane Wehrle, Springboard Marketing and Insights Director

“Much could be made of the adverse impact on April’s footfall of Easter shifting to March, but even looking at March and April together – so smoothing this out – still demonstrates that footfall has plummeted. A -3.3 per cent drop in April, following on from -6 per cent in March, resulted in an unprecedented drop of -4.8 per cent over the two months. Not since the depths of recession in 2009, has footfall over March and April declined to such a degree, and even then the drop was less severe at -3.8 per cent.

“Given the decline in footfall over the month, negative LFL retail sales was not unexpected. Indeed, we had an early warning sign of what was likely to come by the end of the second week, as footfall dropped by an enormous -9 per cent over the first half of the month. In the last two weeks footfall did recover, averaging +1.5 per cent, undoubtedly assisted by improved weather but it was not enough to repair the damage. Indeed, the parlous state of retail trading is highlighted by the fact that footfall post 5pm recovered in the last two weeks of the month, rising by +5.9 per cent, whilst day time footfall dropped by -0.1 per cent. Our in-store footfall trackers demonstrate that hospitality outlets lost proportionately less footfall than bricks and mortar destinations generally. So it is clear that retail trading is doubly challenged by a thrifty consumer in concert with a continuing predisposition towards leisure rather than retail spend; reflected by a rise in the vacancy rate to 9.2 per cent.

“Much could be made of the adverse impact on April’s footfall of Easter shifting to March, but even looking at March and April together – so smoothing this out – still demonstrates that footfall has plummeted. A -3.3 per cent drop in April, following on from -6 per cent in March, resulted in an unprecedented drop of -4.8 per cent over the two months. Not since the depths of recession in 2009, has footfall over March and April declined to such a degree, and even then the drop was less severe at -3.8 per cent.

“Given the decline in footfall over the month, negative LFL retail sales was not unexpected. Indeed, we had an early warning sign of what was likely to come by the end of the second week, as footfall dropped by an enormous -9 per cent over the first half of the month. In the last two weeks footfall did recover, averaging +1.5 per cent, undoubtedly assisted by improved weather but it was not enough to repair the damage. Indeed, the parlous state of retail trading is highlighted by the fact that footfall post 5pm recovered in the last two weeks of the month, rising by +5.9 per cent, whilst day time footfall dropped by -0.1 per cent. Our in-store footfall trackers demonstrate that hospitality outlets lost proportionately less footfall than bricks and mortar destinations generally. So it is clear that retail trading is doubly challenged by a thrifty consumer in concert with a continuing predisposition towards leisure rather than retail spend; reflected by a rise in the vacancy rate to 9.2 per cent”.

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