The Press and Journal (Aberdeen and Aberdeenshire)
Recovery for retail still in the balance
Good weather and the ongoing cost of living crisis has been blamed for a falling numbers of shoppers across Scotland.
The country’s shopper footfall growth has yet again been ranked the worst in the UK compared with pre-pandemic levels, according to figures released by the Scottish Retail Consortium (SRC).
However, some malls in Aberdeen and Inverness city centres have reported an uptick in trade presenting a mixed picture, although overall figures are depressed.
Ewan MacDonaldRussell, SRC head of policy and external affairs, said good weather and concern about the cost of living appear to have been factors in the decline.
Scottish footfall decreased by 16.5% in July, compared with 2019 levels, according to SRC and footfall monitor specialist Sensormatics.
The UK average decline was 14.2%.
There was some less bad news for shopping centres with footfall declining by 19.2%, an improvement on the decline of 19.9% in June.
Aberdeen-based Trinity Centre manager Linda Stewart said July was a “strong month” with footfall up 4.4% from June and reported a 14% increase year on year.
Meanwhile Eastgate Shopping Centre manager Jackie Cuddy said they had recorded a drop in numbers in July compared to June but that spend was strong and tourism had delivered some trade.
She said: “Although it should be said that conversion is still good, as is the average spend, so retailers’ sales are generally outperforming footfall.
“We are also noticing a good increase in tourists in Inverness – both UK and foreign visitors.”
Adrian Watson, chief executive of business group Aberdeen Inspired, said the Granite City was not immune from current retail challenges but “things have been busier of late”.
He said: “By and large the local position reflects the wider Scottish picture, and it is still a challenging operating environment for many of our retailers.
“However, several report that things have been busier of late and that customers are dwelling longer and spending more per visit.”
He added initiatives to support spending and local shopping continued to attract support.
“Reassuringly, the Aberdeen Gift Card continues to out-sell on the previous year and is a great example of where we can all play our part locking in spend in support of our bricks-and-mortar businesses, at a time where it is never more needed,” he said.
He urged employers to get more people back working at the office rather than from home to help improve footfall.
“Where appropriate, we need to continue to encourage people back into the workplaces as this is clearly playing through in our day-to-day footfall figures and with that spend.
“With spiralling costs to our businesses, we also need to see a more equitable business tax system that supports the city centre and makes it a more attractive proposition to existing businesses and potential new entrants.”
Mr MacDonald-Russell said: “Retailers in the north and north-east will be even more anxious as good weather didn’t lead to a rise in retail footfall in July.
“Shoppers are stubbornly staying away from high streets and shopping centres across the region, putting more pressure on the beleaguered high streets of Aberdeen, Inverness, and others.
“This lack of footfall is a huge concern to retailers as the summer months wane and we move towards an autumn which looks like it will be dominated by consumers concerned about the cost of living crisis.”