Getting prepared for Spring…August Retail Results
In the first positive turnaround since April this year, YOY retail sales were up
2.06% in August…still below CPI and 2010, but a sign spring is on its way.
Food did particularly well this month, seeing grocery up at 4.06% YOY, with liquor
and specialized food the notable favorites while we tucked ourselves in this winter
at 7.59% and 12.91% YOY respectively.
The first signs of the spring uplift was also seen in the major home improvement
sector of houseware and hardware, as we prepare for the entertaining months ahead
with new cushions, fixing up that BBQ area or getting ready to plant our vegie patch.
Furniture, floor coverings, houseware and textile goods were up at 6.82% and Hardware,
building and garden supplies were up at nearly double last months YOY growth 8.74%.
So, although electrical continues to bring down this category (-6.13%), overall
household goods experienced the second best result it has had all year.
The losers to spring however were clothing and department stores. While the consumer
is thriftier, retailers need to work harder to excite in this most discretionary
of categories…with clothing and footwear at -7.12% YOY and department stores at
-3.71% YOY…following what has been a dismal year of results.
Recreational goods and dinning out also took a hit (-3.76% and -2.66% respectively),
while left over discretionary income continued to go to health and beauty (6.92%
YOY) or other retail, such as the toy sales (5.04%)
So although this months YOY result is still over a point below last August (3.58%
YOY Aug 2010), it is hopefully the first sign of the market warming up after a dismal
last few months.
If you would like to understand your category in more detail, your relative performance,
or how to better engage your consumer, RetailOasis has extensive retail experience
and can assist you with future business development based on rigorous quantitative
analysis and insights. Contact Steve Kulmar or Nerida Jenkins at RetailOasis on
+612 9976 6222 or follow the link below to order a report
Click here to order custom report.