changing high street...
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CHANGING HIGH STREET TRENDS
JON BURNETTHIGH STREET ACCOUNT MANAGER
What we do
Springboard Footfall Locations
East Greater London Yorkshire South West Northern
Bedford Bank Uxbridge & Humberside Bournemouth Ireland
Cambridge Holborn Wimbledon Hull Southbourne Belfast
Bury St Edmunds Charing Cross Brixton Sheffield Westbourne Antrim
Great Yarmouth Clapham Brompton Road York Boscome Armagh
Luton Piccadilly Edgware Road South Grimsby Cheltenham Banbridge
Ipswich Victoria Haymarket Scarborough Gloucester Coleraine
Norwich Bond Street Leyton Scunthorpe Plymouth Ballymena
Sleaford Covent Garden Walthamstow Leeds Poole Lurgan
Kensington Woolwich Rotherham Swindon Portadown
East Midlands Leicester Square Balham Cleethorpes Taunton
Derby Oxford Street Barking Bristol Scotland
Mansfield Regent Street Barnet South East Newquay Irvine
Northampton The Strand Edgware Ashford Yate Perth
Nottingham Tottenham Court Rd Camden Town Dartford St Helier Stirling
Market Harborough Bexleyheath Clapham Junction Milton Keynes Dartmouth Glasgow
Beeston Bromley Hammersmith Cosham Salisbury Edinburgh
Loughborough Croydon Shepherd's Bush Chichester Weymouth Saltcoats
Wellingborough Ealing Soho Guildford Aberdeen
Sutton St James's Hastings North West Ayr
West Midlands Savile Row Swiss Cottage Gravesend Chester
Stoke on Trent Holloway Brentford Maidenhead Oldham Wales
Royal Leamington Spa Harrow Oxford Southport Swansea
Stafford North Portsmouth Liverpool Bridgend
Stratford-Upon-Avon Redcar Worthing Manchester Newport
Birmingham Sunderland Southsea Douglas (IOM) Rhyl
Rugby Newcastle-Upon-Tyne Maidstone Blackpool Cardiff
Kenilworth Guisborough Watford Altrincham Pontypridd
Birmingham Durham Basingstoke Porthcawl
Saltburn
Footfall Benchmarks
Historic towns Coastal towns Region/Nation Major City Centre
Day
Part
THE CONTEXTAN ERA OF COMPLEXITY AND CHANGE
Rent
Rates
Dominance of retail
Redundant retail space
Vacancies
Parking charges
Out of Town
Trading hours
Internet
Online order
fulfilment
Lease expiries
Issues for Town Centres in 2015
Average Growth
2009-2015
Total sales +1.6%
Online sales +13.1%Internet sales account for 12%
of all retail sales in 2015
Online sales trends
Travel agents
Estate agents
Post office
Banks
The impact on town centres?
Retailers
Footfall
Consumers still shop in store
Online
Visit a Store
Mail Order
87%
11%
11%
60%
12%
PC
Smartphone
Tablet
Source: “How Consumers Shop 2014”, CBRE
2014
2013
48%
45%
2012 40%
Click and Collect – Xmas Trading Period
2009 1 in 9 people visit coffee shops daily
2013 1 in 5 people visit coffee shops daily
Forecast to 2018
Number of outlets (UK) +24.2%
Total turnover (UK) +40.3%
The rise of the coffee shop
CURRENT UK AND REGIONAL TRENDS
Change in UK footfall 2009 to 2014
High Streets -13.6%
Shopping Centres -8.4%
Retail Parks +4.6%
-6.0%
-4.0%
-2.0%
0.0%
2.0%
4.0%
6.0%
2009 2010 2011 2012 2013 2014 2015
Annual % Change in Footfall – 2009-2015
Shopping Centres Retail Parks High Streets
2009-2015
Shopping Centres -10.4%
Retail Parks 6.5%
High Streets -15.5%
UK Footfall Trends 2009 to 2015
High Street Footfall 2015 across the UK…..The Story So Far!
January – September 2015
0.6%
-0.7% -0.8%-1.0%
-1.6%
-2.3% -2.4% -2.4%
-2.7%-2.9%
-3.3%
-4.0%
-3.5%
-3.0%
-2.5%
-2.0%
-1.5%
-1.0%
-0.5%
0.0%
0.5%
1.0%
High Street Footfall Annual % Change By Month –January to September 2015 UK Vs South East Region
UK South East
Jan - Sep 2015 -1.6% -2.4%
-8.0%
-6.0%
-4.0%
-2.0%
0.0%
2.0%
4.0%
6.0%
Jan-15 Feb-15 Mar-15 Apr-15 May-15 Jun-15 Jul-15 Aug-15 Sep-15
UK South East
High Street Footfall By Week – January to September 2015Annual % Change By Week UK vs South East
-12.0%
-10.0%
-8.0%
-6.0%
-4.0%
-2.0%
0.0%
2.0%
4.0%
6.0%
8.0%
10.0%W
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UK South East
Comparing Retail Sales and Footfall – January to August 2015
-1.6%
0.4%
-0.8%
-2.0%
-1.5%
-1.0%
-0.5%
0.0%
0.5%
1.0%
High Street Footfall BRC - Retail Sales BDO - Retail Sales
BRC Retail Sales:
represents
approximately 60% of UK
retail sales value. This is
then re-weighted
according to the Office of
National Statistics to
cover the entire
industry.
BDO Retail Sales:
outlines the weekly sales
changes of more than 70
mid market retailers with
some 10,000 individual
stores. These are mainly
located on high streets
throughout the UK.
Night Time Economy Index UK – September 2015 (18:00 - 03:59)
Footfall by Format type – January to September 2015
-1.6%
-2.0%
2.2%
-2.5% -2.0% -1.5% -1.0% -0.5% 0.0% 0.5% 1.0% 1.5% 2.0% 2.5%
High Streets
Shopping Centres
Retail Parks
Footfall by Format type – January to September 2015UK vs South East
-1.6%
-2.0%
2.2%
-2.4%
0.2%
1.5%
-3.0%
-2.0%
-1.0%
0.0%
1.0%
2.0%
3.0%
High Streets Shopping Centres Retail Parks
UK South East
VACANCY RATES
UK Vacancy Rate – July 2015
6.8%
8.2%
8.4%
9.3%
9.8%
9.8%
9.8%
10.1%
10.6%
11.9%
17.3%
0.0% 2.0% 4.0% 6.0% 8.0% 10.0% 12.0% 14.0% 16.0% 18.0% 20.0%
Greater London
South West
East
East Midlands
South East
UK
Wales
West Midlands
Scotland
North & Yorkshire
Northern Ireland
Vacancy Rate at July 2015
Vacancy Rate Trend –
South East Region compared with the UK
11.3%
8.2%
9.8%
0.0%
2.0%
4.0%
6.0%
8.0%
10.0%
12.0%
14.0%
UK South East
Retail lease expiries to end 2015 – 37% in the high street
• 43% of shopping centres
• 37% of high streets
• 13% take up on lease expiry
• 46% of shops remain vacant for 3+
months
• No evident impact on vacancy rate -
due to increased flexibility of
landlords?
Source: IPD/Strutt & Parker
10
.5%
10
.2%
10
.3%
10
.9%
10
.9%
11
.3%
10
.9%
11
.9%
11
.1%
11
.1%
11
.0%
10
.6%
10
.1%
10
.3%
10
.4%
10
.2%
9.8
%
UK VACANCY RATE
TOWN CENTRES ARE EVOLVING TO REFLECT THESE CHANGES
THE CRITICAL ROLE OF FOOTFALL IN TOWN CENTRE SUCCESS
Amount of
influence high
street has over
factor
Amount of influence
has over vitality and
viability
High Street 2020 project - MMU
• Bring evidence to UK high streets, to improve local
decision making that will improve vitality and viability
• Identified 201 factors that influence town centre
performance
• Identified how much influence a high street may have
over a factor
• Identified the top 25 priorities for action
201 factors that influence town centre performance
Amount of
influence high
street has over
factor
Amount of influence
has over vitality and
viability
Amount of
influence high
street has over
factor
Amount of influence
has over vitality and
viability
201 factors that influence town centre performance
DIFFERENT TYPES OF TOWN
� Wide range of retail choice
� Strong retail anchor(s)
� Large catchment area
� Accessible by choice of means of
transport
� Organise itself to compete with
other comparison towns and
channels
Comparison Shopping town
Speciality Town
� Offer something unique and special
including retail, events, heritage, etc
� Anchor(s) not retail
� Attract visitors but serve local
population
� Have longer dwell time
� Organise itself to protect and promote
identity and positioning
Convenience/Community Town
� Focused on local community (offer,
opening times, events etc.)
� Convenience anchor – work, public
transport, food shopping, markets
� Offers convenient mix of goods and
services
� Accessible and locally connected
� Organises itself to manage accessibility,
concentration, reliability, and customer
service……and identify additions to
augment offer (click & collect etc.)
� Facilitating/strengthening networks and
connections, active on social media,
inclusive, passionate and active
Jon Burnett
High Street Account Manager
M 0044 7712 394111
Springboard Research Ltd
@springboard_
Questions