If you’re looking to stay informed about the latest retail stats in the UK, you need look no further than the Retail ONS report. It’s published on a monthly basis and has a 6-8 week lag time, meaning you can take stock of in-depth analysis and prepare for any predictions just a few weeks after the time has passed.
The one thing that lets the report down is that it can be lengthy, and let’s face it, a bit of a bore to read! That’s why we’ve decided to start writing up on the monthly reports for retailers and brands, so you can get the low-down quickly and get some free advice from us as a bonus.
Here’s a quick recap on May 2024’s performance:
UK retailers had something to smile about in May, with retail sales volumes surging by 2.9%. This impressive rebound followed a challenging April, which saw a revised decline of 1.8%. The turnaround is a welcome relief, signalling a revitalisation across most retail sectors. Particularly notable are the recoveries in clothing and furniture / homeware stores, which had previously suffered due to inclement weather in April.
Clothing & furniture stores lead the recovery
The positive shift in May's retail landscape in the UK is largely attributed to clothing and furniture stores. After enduring a sluggish April, these sectors bounced back as the weather improved. Shoppers flocked to clothing stores, eager to refresh their wardrobes for the warmer months, while furniture stores saw increased activity as people ventured out to enhance their living spaces. Improved footfall, promotions, and the warmest May on record, according to the Met Office, contributed to this significant rise.
Over the three months leading up to May 2024, retail sales volumes rose by 1.0% compared to the preceding three months. However, when we look at the year-over-year data, there is a slight dip of 0.2% compared to the same period in 2023. This minor decline highlights the ongoing challenges and fluctuations in the retail sector, even amidst periods of recovery.
Additionally, prices of furniture and household goods fell by 1.8% in the year to May 2024, marking the lowest annual rate since December 2000, which also likely contributed to consumer spending in these categories.
Online retail's dominance continues
One of the most intriguing developments in May 2024 was the performance of online retail - which is good news for the us and the rest of the ecommerce sector! Ecommerce experienced the largest monthly change, with a remarkable increase of 5.9%. This surge underscores the growing dominance of online shopping, even as brick-and-mortar stores see a revival. The contrast between the overall 2.9% average increase across all retail sectors and the significant 5.9% jump in online retail highlights the shifting consumer preferences towards convenient and personalised online shopping experiences.
Seasonal impact on online clothing stores
Delving deeper into online retail, clothing sales experienced a massive 9.8% increase compared to the previous period. This surge is a testament to the impact of seasonality. As summer approaches, consumers are keen to update their wardrobes with lighter, trendier attire suitable for warm weather and upcoming holidays. The convenience of online shopping allows them to do so with ease, further boosting sales in this segment.
Understanding the data
The data presented in this analysis comes from the Office for National Statistics (ONS) and covers the period from April 28, 2024, to May 25, 2024. It’s important to note that the additional bank holiday on May 8, 2023, for the coronation of King Charles III, remains in the seasonally adjusted estimates. This could impact year-over-year comparisons, so caution is advised when interpreting these figures.
A quick glance at the numbers
Monthly Sales Rebound: May 2024 saw a 2.9% increase in sales volumes, following a 1.8% decline in April 2024.
Three-Month Growth: Sales volumes rose by 1.0% in the three months to May 2024 compared to the previous three months.
Yearly Comparison: Sales volumes were down 0.2% compared to the same three-month period in 2023.
Pre-Pandemic Levels: Sales volumes remain 0.5% below their pre-COVID-19 pandemic levels in February 2020.
Online retail surge: Ecommerce sales experienced the largest monthly change, with a remarkable increase of 5.9%
Online clothing seasonality surge: Clothing sales experienced a massive 9.8% increase compared to the previous period in April.
Unified’s top tip of the month
Well, we may be biased, but based on the 9.8% surge for online clothing retailers, we’re advising that fashion brands in particular to consider conversion rate optimisation quick fixes in order to make the most out of this increased online footfall, which looks likely to continue through the summer period. You can read more about our CRO audits here.
For more detailed data and insights, you can explore the Retail Sales Index and related datasets provided by the ONS.
