1. The demand for more food to enjoy. An interesting trend is that although British consumers are tightening their belts, but this does not mean that their waistline is shrinking. The Christmas season sales reports from some supermarkets show the strong demand for premium products from the UK. Morrison's premium food sales have risen 25%, while Sainsbury said customers are buying more different flavors than last year because "people want to make their own food."
Tesco said sales reached a new record in the first four weeks of Christmas as Tesco's Finest line of food and premium Go Cook line of food sold well. Waitrose, meanwhile, said the 1-month inventory of Heston Citrus Sherbert Lazy Gin just sold out in just 1 day. "What's interesting is not the influx of large high-end supermarkets such as Waitrose or Marks & Spencer, but many people choose to buy more premium food from retailers," said Bryan Roberts, director of analytics at TCC Global.
2. Black Friday is the double-edged sword For Christmas, Black Friday is both a blessing and a curse to British retailers. According to American tradition, Black Friday is the second day after Thanksgiving in late November, marking the beginning of the Christmas shopping season. In some cases, it stimulates people's spending. People take this opportunity to buy gifts for their parents or buy discounted products.
However, some people criticized that Black Friday trading did not look as good as it is, especially since some retailers have many regular promotions every year. For some retailers, Black Friday has had great success, such as the Dixons Carphone and John Lewis. Instead of discounting existing products, Dixons Carphone buys products exclusively for Black Friday sales, which can not be bought if they are out of sale. The product designed for Black Friday can stimulate people's consumption. A one-off sale of a large discount product is a wise move, otherwise the seller's profit will be weakened.
3. Shoppers beware of too much discounts. Christmas has always been a key moment for retailers to increase their sales, but some retailers this year started selling discounted products a week before Christmas. "In early December, on the one hand, being affected by the Black Five, people did not want to buy the product at full price; on the other hand, the weather was too cold and people did not want to go to the store to buy the product. Therefore, a week before Christmas, retailers started selling discounts "
Some retailers did not attend Black Friday and did not offer any discounts until Christmas. This approach gives Next benefits, but does not bring any benefit to M & S's Christmas performance. For the 13 weeks ending December 30, M & S sales dropped 1.4% YoY. However, analysts believe that non-participation in Black Friday sales may benefit M & S in the long run as its annual clearance has shrunk from nine to four times. "Consumers are getting smarter and they take a cautious and guarded approach to discounted products," said Jeremy Schwartz, former chairman and chief executive officer of The Body Shop. "Retailers who bring in new products – good and innovative – and insist on price are always winners."
4. Amazon is still the leader of e-commerce. It is noteworthy that more and more British people began to choose Amazon or other e-commerce retailers for Christmas shopping.
Logistics distribution methods are improving every year, online shopping has become an important part of people's lives, and more and more convenient. Amazon considers it as their duty to make Black Friday a permanent, fixed holiday on the British calendar, and retail analysts are recognizing it.
Not everyone wants to shop online, but so many everyday items are easily purchased on the same platform , Which led to a downturn in the performance of physical retailers such as Mothercare, which saw Mothercare's sales fall 7.2% in the 12 weeks ending Dec. 30. "
Online shopping has gained more market share and Christmas shopping season has expanded it, "said retail analyst Richard Hyman.
5. British consumers are increasingly enjoying online shopping. Sales figures show that retailers with good e-commerce businesses continued to perform well during Christmas, such as Next, with online sales up 13.6% in 54 days as of December 24; From Sep to December, Boohoo, the fast-fashion e-commerce retailer, has doubled its revenue to 228 million pounds. "Retailers who have a solid e-commerce strategy and offer fast logistic services are the ones that have benefited most from the Christmas shopping season," said Natalie Berg, global head of Planet Retail.