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Shops report ‘acceptable’ sales growth

Shops report ‘acceptable’ sales growth

Shoppers provided Scottish retailers with “acceptable but unexceptional” growth in sales last month as consumers remained cautious about Christmas spending, a report has shown.

Sales increased 1.6% compared with November last year, driven by a 2.3% boost in food sales, according to the latest installment of the Scottish Retail Consortium (SRC)-KPMG Scottish Retail Sales Monitor.

Non-food sales were up 1.1%, with clothing and footwear having their strongest performance since July as shoppers topped up their winter wardrobes.

David Martin, head of policy at the SRC, said the figures suggested a slow but steady start to festive spending.

“November’s figures strengthen the sense that many of us are still cautious and holding off on much of our seasonal spending until Christmas gets closer,” he said.

“After a subdued showing earlier in the autumn, fashion’s fortunes were reversed by growing demand for warm clothing and boots, making it the month’s best category.

“Elsewhere in non-food, much of the growth was driven by customers responding well to the deals and discounts ushered in by the Christmas countdown.

“Food had a slight slowdown compared against October, reflecting lower inflation rates and a general trend that many shoppers were focusing on making savings and buying on promotion as far as possible.”

November sales growth was lower in Scotland than in the UK where total growth was 2.3% compared with the same period last year.

Like-for-like sales, which leave out factors such as new store openings, were also down 0.6% on the previous year.

David McCorquodale, head of retail at KPMG, said the figures were a sign that this Christmas will be better than last year for the beleaguered retail sector.

Looking at December, shops at Union Square in Aberdeen have reported an increase in shopper activity.

Footfall at Union Square was up 5% for the same period last year over the weekend.

Ryan Manson, general manager, Union Square said: “We’ve had a particularly busy first weekend of Christmas trading at Union Square, with footfall up considerably in comparison with the same period last year. It’s great news and encouraging for both the retailers and the city.”