Shops in Northern Ireland have been packing them in faster than at any time in history, a new retail survey shows.
Footfall – that’s the measure of people visiting shops over a period of time and is seen as an important barometer of how well they’re performing – has soared to its highest level since recent records were kept by the Northern Ireland Retail Consortium (NIRC).
During April, which included the key Easter holiday period, footfall in the north grew by 12.8 per cent compared to an actual drop in the same month the previous year.
It made Northern Ireland far and away the best–performing UK region, as only Scotland (up 5.2 per cent) and London (up 3.2 per cent) came anywhere close to its double digit growth.
But on the flip side the shop unit’s vacancy rate in Northern Ireland was 17.2 per cent over the last quarter, and while marginally improved from the previous three months, it was still well above the 10.6 per cent UK average.
“The footfall numbers are a significant indicator of the rise of consumer confidence as well as a more buoyant economy, and demonstrate the fantastic work being done by retailers to tempt shoppers into their stores,” according to NIRC director Aodhan Connolly.
“These stats are not only the most spectacular increase since our new series began in 2012 but they also are far and away the greatest rise in footfall across the UK year on year.”
But footfall is simply a numbers game, and has to be converted into sales, because in the past retailers have struggled to turn high footfall into money in their tills.
Mr Connolly added: “There may be questions as to why there has been this substantial rise in footfall in Northern Ireland.
“We believe the fall of unemployment for 15 consecutive months and a feel–good factor across business are a sign of a growing economy.
“There has also been good news on vacancy rates, which although they are higher than the UK average, are continuing to drop quarter on quarter.
“However, we still need to give an air of caution. These are two great monthly results and there are really positive signs, but until we have a full quarter which reflects the economic buoyany then we cannot assume that retail in Northern Ireland is on the rise.
“There is still work to be done by retailers and all levels of government to ensure a sector that employs one in 10 in Northern Ireland is a bedrock of our economic recovery.”
Diane Wehrle, retail insights director at Springboard, who conducted the study for NIRC, said: “The increase needs to be put into context, as it is at least in part a bounce back from a poor result last year when Northern Ireland was only one of two areas of the UK to record a decline in footfall.
“Indeed, footfall has declined here in nine of the last 12 months, averaging –2.2 per cent compared with a –0.9 per cent UK average.
“That poor performance is in part influenced by the significant public sector employment in Northern Ireland, and a symptom of the fear of job losses resulting from the impending reform of local government.
“But the latest figures suggest retailers are starting to take space in anticipation of a continuation in the upturn in consumer demand.”
Source – The Irish News Website (Gary McDonald Business Editor)
