UK store openings driven by coffee shops as many chains close – PWC

And although the 9,138 new openings last year was the highest figure since 2019, it was almost entirely driven by new hospitality sites, representing something of a bounce-back after the sector’s high closure rate during the pandemic.The rise in new outlets was led by coffee drive-throughs, bubble tea shops and fast food restaurants, mostly located outside city centres. But their arrivals failed to outweigh the closures, noted PwC, whose findings were based on research compiled by the Local Data Company.

It said the findings underline “a long-term trend for both retail and services shifting to online”. That might surprise some online retailers that have really been struggling in the last year. Chains closed 11,530 stores in 2023, driven by “one-off” restructurings and failures at big retailers, some of which had been struggling for years, PwC said.Most damaging to the retail landscape were the high-profile failures of chain stores Wilko, Lloyds pharmacy and cards/gifts retailer Paperchase, it noted. But one piece of good news was the continuing success of out-of-town retail parks. Although new additions here were again boosted by hospitality outlets, footfall to the sites have improved helped by ease of access to major retail brands.Lucy Stainton, commercial director at the Local Data Company, said the rise in store openings was a positive sign for the coming year, but added that 2023’s increased “churn” reflected larger operators “repositioning and consolidating their portfolios” as well as more flexibility in the rental market, including shorter lease lengths.Kien Tan, senior retail adviser at PwC, added that several sectors had seen high numbers of closures in 2023 due to “one-off” failures that also included fashion chain M&Co.Tan said that meant 2024 could see a quite different picture as there has already been “a bit of a clearout” now in underperforming chains.However, this year has already seen The Body Shop becoming the most high-profile retailer to downsize so far after running into difficulties. 

Related Posts

Clothing brands must help ensure Asia’s garment workers get a living wage

Asia accounts for more than 60 percent of the world’s garment production, with the industry employing more than 15 million people directly, most of them women.Workers deserve a…

80% of young consumers discover products via mobile while on the go

Artificial intelligence company ViSenze asked over 1,000 British and American Gen Z and millennial consumers about their preferences when it comes to shopping in-store and online, and found…

Hair therapy boosts Istanbul’s receding tourism

But he has one more, less conventional purpose — to have 1,500 strands of hair implanted one by one, in an increasingly popular anti-hair loss treatment in the…

Plastic hangers one of fashion’s biggest eco issues – report

While 82% of those surveyed for the report said sustainability was decisive in the purchase of commodities, only a “staggering” 15% of those cited recyclability as a consideration…

Fashion giants rally round to raise funds for healthcare amidst coronavirus outbreak

The fashion and lifestyle behemoth has pledged a donation of €2 million to support health-care institutions across the Italian regions of Lombardy, Veneto, Tuscany and Lazio, WWD reports….

UK retail sales slide stops in November, but clothing still falls — CBI report

The release came from the Confederation of British Industry (CBI), with its monthly report showing that UK stores reported “broadly unchanged” sales volumes in November after six consecutive…