Christmas retail to reach 12 billion pounds.Tuesday, 27 November 2007
It is estimated sales of all Christmas will reach £1.07 billion, 4% more than in 2006. This year, each person will spend an average of £435 on Christmas gifts, 12% more than last year. The most popular gifts will be clothes, books, films and music, with cosmetics, fragrances and gift vouchers also big sellers.
Kevin Hawkins, Director General, BRC comments "The retail sector has experienced challenging trading conditions this year and, with even tougher times ahead, these figures will be encouraging for many retailers. However, with the recent slump in consumer confidence and falling spending power, growth this year is likely to be driven by discounting. If retailers do see a boom this Christmas, it will be followed by a slump in spending, as consumers really start to feel the pinch and tighten their belts."
Mike Watkins, Senior Manager, Retailer Services, Nielsen comments "This year shoppers are going to be spoilt for choice when indulging over Christmas. With sales of premium foods still growing in double digits and many exciting ranges of gifts, fragrances and seasonal treats now in store, having some festive fun has never been more affordable."
Image: Christmas cart