The British Retail Consortium’s (BRC) analysis of Sensormatic’s data has found that footfall has dropped 2.2% in 2024. This comes after a fall in 2023 and has been partly blamed on the rise of online retail, bad weather, low consumer confidence, and the cost of living pressures.
Tom Rowley, owner of Backstory Bookshop in south London, said he has been offering customers a drink as part of their shopping “experience,” which has been effective in retaining customers. “People come here, pick up a whole pile of books, but then once they’ve done their Christmas shopping, we can reward them with a large glass of wine,” he said.
Leanne Fridd, owner of Bookbugs and Dragon Tales in Norwich, has tried different methods such as a Santa’s grotto, authors, and other things to entice customers in. However, despite her best efforts, she said that the overall spend was down this year, even though the footfall was on par with last year.
The BRC has urged the government to reduce business rates, a tax on commercial buildings, as a way to help retailers invest. According to Savvy Marketing’s chief executive Catherine Shuttleworth, the lack of consumer confidence has been blamed on the government for “talking down the economy” and its tax decisions. The Treasury has noted that the retail sector is crucial to the economy and communities. It has introduced a 40% business rates relief next year and will cut rates “permanently” from 2026.
Russ Mould, investment director at AJ Bell, has said that things could improve for the retail sector in the year ahead if inflation and interest rates fall while the economy improves. “You can construct a more optimistic narrative for 2025,” he added
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