Crunch, What Crunch? Shopper Numbers Up.
Despite a good deal of gloom from other quarters, eagerly awaited full week Retail Traffic Index (RTI) figures from analysts SPSL, now part of global market research company Synovate, show an improvement for the third week of this year’s Christmas campaign. Five out of seven days had more shoppers out and about than last year.
The number of shoppers entering stores across the UK for week commencing 9th December was actually 1.3% higher than the corresponding week in 2006 and up by 9.4% on the previous week this year (w/c 2nd December). These latest figures represent a significant improvement on the previous fortnight when year-on-year levels remained static for w/c 25th November and dropped by 1.5% for w/c 2nd December. Numbers for the month to date against the same 3 week period last year are level pegging.
SPSL’s retail psychologist, Dr Tim Denison said; “Shopper numbers are stronger than we were expecting to see at this stage of the campaign, which makes us cautiously optimistic about the full month’s outcome. Nevertheless, like much of this topsy-turvy year, it is difficult to call with any surety, and for this reason we are choosing not to revise our official forecast at this stage, which was for December shopper numbers to be down 2% year on year.
“What is clear, however, is that the credit crunch has not yet denuded the high street of shoppers. People just seem set on having the sort of Christmas to which they have grown accustomed. Yes, it is all too easy to generalise, and, yes, there will be sectors that struggle more than others, but this is not the wipe-out that some had feared and others are voicing.
“There is the usual frenzied activity out there, but whether that is geared any more this year to hunting down the bargains we shall see. A big, unknown part of the jigsaw at this point is whether the boost in numbers is more a consequence of retailers’ most recent promotional initiatives or just down to the improved status of the inherent trend.
“To what extent retailers have had to subsidise the shopper’s purse will become clearer once trading figures begin to be announced after Christmas. Certainly much has been made of the rash of Sale posters that have begun to appear in some high street windows, particularly in fashion stores, but in truth their presence is pretty limited. It is more the fact that they are highly visible, more so than viral marketing campaigns, offering discounted vouchers to print out on-line or via e-mails, which probably have been the most widespread promotional tactic this year.
“With a full week left before Christmas Day, and also one additional pre-Christmas trading day compared to last year, I think many retailers will be satisfied with the way that their figures are tracking and they will only be looking forwards now. This is the week that matters the most, and it will determine the final outcome of many Christmas campaign performances and provide the final judgement on the creativity and initiatives of the marketing teams who watch every sale and analyse every success and every failure like hawks. Good, bad or indifferent this year; it’s still all to play for".
SPSL will be producing regular reports in the lead up to Christmas and in its aftermath. It is also inviting enquiries from media interested in exploring retail themes at this busy time.
All enquiries for follow up or interviews with Dr Tim Denison should be directed to Theo Chalmers at Verve PR on 01908 275271 (weekdays) or 07932 004632.
About SPSL - now part of Synovate
Established in 1989, retail research group SPSL is Europe's leading provider of proprietary tools for scientific footfall monitoring and behavioural analysis deployed by retailers. SPSL monitors more than 1.02 billion visits to over 4,600 retail premises per annum in the UK and currently operates in 14 European countries and in North America. Its customers include many of the retail industry’s most successful companies across all retail sectors except grocery, convenience and minor retail service sectors.
SPSL is trusted by retailers to provide high accuracy, mission-critical Key Performance Indicators to measure customer volume, sales opportunities, conversion rates, staff stretch, promotional activity and in-store lay-outs.
In December 2007 SPSL became part of Synovate, the market research arm of Aegis Group plc. With over 5,700 staff in 115 cities across 51 countries, Synovate provides clients with cohesive global support and a comprehensive suite of research solutions.More information on SPSL can be found at www.customercounting.com; on Synovate at www.synovate.com.
For PRODUCT information please contact:
Dominic McGuinness
SPSL
34 Walker Avenue
Wolverton Mill
MILTON KEYNES
MK12 5TW
Tel: +44( 0) 1908 682700
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MEDIA enquiries (SPSL) to:
Theo Chalmers
Verve Public Relations
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Mount Farm
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Tel: +44( 0)1908 275271
Fax: +44( 0)1908 275272
email: t.chalmers@vervepr.co.uk