Late Shopper Rush Drives Boxing Day Sales Traffic
An evening surge in shoppers eager for Boxing Day bargains has led to a decade-high increase in footfall during the annual sales. According to data from MRI Software, foot traffic jumped by 4.4% across all UK retail destinations, including high streets and shopping centres, compared to the same day last year.
Key Highlights:
– Sustained Momentum: Footfall remained strong on the following Saturday, with expectations from MRI suggesting that the post-Christmas shopping surge may carry on into the new year.
– Spending Forecast: Despite the rise in footfall, higher visitor numbers do not always correlate with increased spending. Barclays projects that consumers will spend £1 billion less on this year’s Boxing Day deals.
– Initial Sales Reaction: By 3 PM on December 26, early data indicated a subdued reaction to the sales, with high street visits down 1.5% and shopping centre visits down 0.6% compared to 2024.
– Evening Peak: MRI counts footfall in over 660 retail locations across the UK, revealing that later in the day, shoppers flocked to stores. From 5 PM to 11 PM, visits averaged a remarkable increase of 9.6%, contrasted with a modest 3.1% from 6 AM to 5 PM.
– Impact on Other Sectors: With many stores closed until December 28, it is likely that hospitality and leisure venues capitalized on the uptick in foot traffic.
Looking Ahead
Retail analyst Jenni Matthews noted, This early indicator suggests that the retail sector may close the year on a positive note despite the challenges faced earlier. Shoppers also turned out in force on Saturday, with footfall across retail locations increasing by 1.6% compared to December 27 last year.
As family gatherings wrap up and the new year approaches, MRI anticipates continued footfall growth in the upcoming days. Matthews predicts consumers will be out shopping for sales, enjoying festive events, and stocking up on New Year’s Eve essentials, which will keep the festive retail momentum alive.
Challenges in 2025
While the latest data indicates robust activity, analysts caution that 2025 may be a tough year for consumers due to rising prices and financial strain. Barclays’ consumer spending report suggests fewer shoppers will take advantage of sales, forecasting total Boxing Day spending to drop to £3.6 billion from £4.6 billion last year.
Additionally, recent retail spending data from the Office for National Statistics shows a lackluster consumer response to November’s Black Friday sales, with sales volumes only rising by 0.1%.
In conclusion, the late shopper rush on Boxing Day has not only driven traffic to stores but also highlighted the industry’s resilience amidst economic challenges. As we transition into the new year, retailers are hopeful for sustained consumer engagement, setting the stage for potential recovery in 2025.