Retailers will slash prices by an average of 48% over Christmas, setting a new record Deloitte reports.
The average discount is currently sitting at 43.6%, and Deloitte predicted that retailers would cut prices even further following a challenging November.
Jason Gordon, lead consumer analytics partner at Deloitte, said: “Christmas falling on a Tuesday, shorter Sunday opening hours and many choosing the weekend prior to Christmas to travel to family will complicate the last few crucial days’ trading. This is why we expect retailers to ramp up their discounting earlier than normal in an attempt to clear stock.”
He added: “Against a backdrop of considerable business uncertainty across the sector, many retailers will extend their Christmas Sales deep into January, with some having little option but to run through early February and even beyond. While this is unprecedented, it will not be a surprise.”
Deloitte said it expects luxury fashion retailers to slash prices by up to 50% on two-fifths of products from Boxing Day onwards, up from one-fifth last year.