Although the post-Christmas sales are underway, shoppers are expected to spend less than last year. According to research conducted for VoucherCodes, consumers are predicted to spend £3.7bn on Boxing Day, which is 2.9% less than they spent last year. However, early indications suggest that the number of shoppers visiting physical stores this Boxing Day has increased slightly since last year.
In previous years, Boxing Day sales were seen as a major event, but they no longer hold the same significance due to pre-Christmas events such as Black Friday and early discounts offered online. Not all major retailers are reopening their physical stores until 27 December this year, including M&S, Next, and John Lewis. This, together with the rise in prices over the past year, has seen shoppers become more cautious in their spending during the sales as households’ incomes are squeezed.
VoucherCodes’ report, which used research from GlobalData, predicts that this year, the amount spent on every day from Christmas Day through to New Year’s Eve will be less than last year. Overall, spending for the entire week is expected to be down 3.8% from last year, reaching £13.5bn. Retail research firm MRI Software reported a 1.4% increase in footfall so far this Boxing Day compared to last year’s levels, driven by more people visiting High Streets and retail parks. However, compared to 2019 levels, footfall is still down by approximately 30%.
Mastercard’s separate data also showed that spending between 1 November and Christmas Eve increased by 2.6% compared to last year’s levels. Despite this, PwC’s senior retail adviser, Kien Tan, informed the BBC that many retailers still hold a surplus of stock, meaning that post-Christmas discounts are expected to be greater. Overall, the Boxing Day sales’ popularity has been in decline over the last decade, with people more likely to spread their spending over the post-Christmas period. Given the increase in online shopping, it is no surprise that Boxing Day sales hold less significance than in the past
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