Your browser is no longer supported. For the best experience of this website, please upgrade to a newer version or another browser.

Your browser appears to have cookies disabled. For the best experience of this website, please enable cookies in your browser

We'll assume we have your consent to use cookies, for example so you won't need to log in each time you visit our site.
Learn more

Fall in clothing sales volumes predicted as prices rise

The volume of clothing and footwear retail sales is likely to fall by 0.6% year on year in the final quarter of 2017 as shop prices rise, according to new research.

Sales volumes across non-food categories in general are expected to fall by 0.1%, retail analyst Global Data predicted. However, as a result of the price inflation, the amount spent by consumers on non-food is set to increase by 1.2% year on year in the fourth quarter

Global Data warned that Christmas is likely to disappoint many clothing and footwear retailers.

“After a poor third quarter, clothing and footwear retailers will be hoping for some respite in the fourth quarter, and an opportunity to end the year on a more positive note,” it said.

“However, Christmas will disappoint many in the sector with another quarter of declining volumes forecast, down 0.6% on Q4 2016, despite retailers’ attempts to ignite spending via newness and discounts.

”Retailers that have traded well throughout the year such as Primark, ASOS, JD Sports, Zara, Very, Kurt Geiger and Selfridges will continue to prosper in Q4 given their compelling and differentiated propositions. Meanwhile, we do not expect to see a reversal in fortunes among those that have suffered in 2017, with the likes of Debenhams, Next, Arcadia and New Look forecast to lose out.”

The report concluded that online pureplays such as Asos and Amazon will be the winners this Christmas, thanks to their “vast product offer, market-leading, fast and low-cost delivery propositions”.

Readers' comments (1)

  • Interesting forecast from Globaldata, when the BRC reported last week that 'shop price deflation remains at four year low', with deflation of non food products 1.5%. This implies the consumer is suddenly going to accept inflation, unlikely given the aggressive nature of the high street pricing and promotions running at present.

    Unsuitable or offensive? Report this comment

Have your say

You must sign in to make a comment

Please remember that the submission of any material is governed by our Terms and Conditions and by submitting material you confirm your agreement to these Terms and Conditions. Links may be included in your comments but HTML is not permitted.