Uncertainty and Discretionary Spending Impacting Retailers
- Worst February in-store sales for retailers since 2009
- Lifestyle retailers hit hardest with worst monthly result since November 2008
- Valentine’s Day fails to boost sales
- 13th consecutive month of negative in-store like-for-like sales
High street retailers faced the worst February for in-store sales since 2009, according to BDO’s High Street Sales Tracker. In-store like-for-like sales dropped -3.7% from a poor base of -1.6% last year. Despite Valentine’s Day, half-term holidays, and warm weather, retailers continued to struggle. Lifestyle retailers experienced the worst monthly result since November 2008. In-store category sales fell by 4.9%. Sophie Michael, head of retail and wholesale at BDO, said consumer confidence is low, and shoppers are cautious with spending. Brexit uncertainty affects discretionary spending, causing nervousness among retailers.
Factuality Level: 9
Factuality Justification: The article provides accurate and objective information about the decline in high street retail sales, citing a reputable source (BDO’s High Street Sales Tracker) and includes relevant quotes from an expert in the field. It does not include any irrelevant or sensational details, nor does it present personal opinions as facts.
Noise Level: 3
Noise Justification: The article provides relevant information about the decline in high street retail sales and offers insights from an expert on the potential impact of Brexit uncertainty on consumer behavior. However, it could benefit from more analysis or context on the broader economic trends affecting retailers and potential solutions to address these challenges.
Financial Relevance: Yes
Financial Markets Impacted: High street retailers
Financial Rating Justification: The article discusses the poor performance of high street retailers and its impact on their sales, which can affect the financial performance of these companies and potentially influence related stocks in the market.
Presence Of Extreme Event: No
Nature Of Extreme Event: No
Impact Rating Of The Extreme Event: Minor
Extreme Rating Justification: There is no extreme event mentioned in the text, only a decline in high street retail sales due to various factors including Brexit uncertainty and consumer caution.
www.retailsector.co.uk