UK retail sector displaying new confidence
When consumers have to spend their money on other necessary commodities, such as food and gas, retailers tend to suffer as a result. For the past few years, shoppers worldwide have been cost-conscious and as a result, merchants have had difficulties growing their businesses.
However, things are beginning to look up in the United Kingdom. According to a new report from the Confederation of British Industry (CBI), a large number of domestic retailers are showing renewed confidence as Britons begin spending more money at retail locations. However, the organization was quick to note that it isn't all clear sailing from here – some challenges do exist.
"It's encouraging to see high street sales up compared to a year ago, and that business sentiment about the next three months has improved," Judith McKenna, chair of the CBI distributive trades panel and chief operating officer of ASDA, told Brookson. "However, sales are still below the average for the time of year."
While consumers are always looking for a good deal, it's crucial that retailers don't offer too many promotions. This will train shoppers to only buy when there is a deal, rather than becoming regular customers.
