THE RETAIL BULLETIN - The home of retail news
HOME
RETAIL NEWS
RETAIL EVENTS
Fashion
Department Stores
Shopping Centres & Retail Parks
Home & DIY
Electricals
Health & Beauty
General Merchandise
Entertainment
Sports & Leisure
Retail Solutions
Food & Drink
RETAIL INSIGHTS
RETAIL SOLUTIONS
ABOUT US
CONTACT US
SUBSCRIBE FOR FREE
Retail sales slide in May

UK retail sales fell by 0.4% year-on-year on a like-for-like basis in May according to new figures. On a total basis, sales rose by 0.2%.

GENERAL MERCHANDISE

Retail sales slide in May

The figures from the BRC-KPMG Retail Sales Monitor also reveal that food sales rose by 3.2% on a like-for-like basis and by 4.3% on a total basis in the three months to May. This was the strongest three-month average since February 2012, excluding Easter distortions.

The increase was mainly attributable to inflation combined with warm weather in the run-up to the late May bank holiday which helped beers, wines and spirits achieve double-digit growth.

In the same period, non-food retail sales edged down 0.3% on a like-for-like basis and rose by 0.1% on a total basis.

Helen Dickinson, chief executive of the British Retail Consortium, said: “After the pick-up in sales over Easter, consumer spending slowed again in May resulting in almost flat growth on the previous year. Underneath the headlines, there’s continued variation in the performance of food versus non-food products, as sales performance of the two become increasingly polarised.

"Food sales, albeit positively distorted by inflation, continue to see annual growth, while in non-food categories which are predominantly capturing discretionary spending, retailers find themselves having to compete even harder.”

Meanwhile, online sales of non-food products grew by 4.3% in May compared to a 13.7% rise a year earlier. This was the lowest growth since December 2012.

In the three months to May, online sales of non-food products climbed by 7% while in-store sales declined by 1.8% on a total basis and by 2.3% on a like-for-like basis.

Paul Martin, UK head of retail at KPMG, added: “With such meagre growth in online sales in May, it is vital online retailers master the art of customer-centricity and personalisation. Ensuring the right products are available at the right time, and that surplus stock is not sold at significantly reduced prices, is becoming ever more important. Success will come from an ability to target the online shoppers who spend more and return less.”

Email this article to a friend

You need to be logged in to use this feature.

Please log in here

Subscribe For Retail News

RETAIL EVENTS

Retail Human Resources Summit
Retail Human Resources Summit
Wednesday 3 October 2018
The Cavendish Conference Centre, London W1
The 10th HR Summit 2018, The Cavendish Conference Centre, London W1, 3rd October 2018
The Retail Design Summit 2018
The Retail Design Summit 2018
14 November 2018
The Cavendish Conference Centre
The Retail Design Summit 2018
Omnichannel Futures Conference 2019
Omnichannel Futures Conference 2019
6 February 2019
Cavendish Conference Centre, London WG1 9DT
A truly omnichannel offering requires an understanding of customer behaviour across all shopping channels and how this should impact your overall business strategy