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UK Sale Stall

Retail sales in the UK fell in August, with the reopening of restaurants and bars increasing the weight of food purchases, while clothing sales were encouraged by the mild summer weather. In addition, retailers are having difficulty delivering as the main Christmas season approaches. Retail sales fell 0.9% in August to 2.8% in July (revised figure) within a month, but before the full impact of the epidemic, it was 4.6% higher than in February 2020, the National Statistics Office said Friday. Food sales fell 1.2% in August and non-food sales were almost identical, particularly by department stores, hardware and computer stores. Clothing purchases in particular were affected by the rains. On the other hand, petrol purchases increased by 1.5% in August, with the British taking more vacations within the UK due to international travel restrictions, but slightly lower (1.2%) than before the epidemic. The share of online sales rose slightly to 27.7% in August, perpetually higher than before the epidemic (19.7%).

Fear of a shortage for Christmas

According to Oliver Vernon-Harcourt, director of Delight Distribution, consumer behavior has been relatively stable since the reopening of the economy and “the new nature we see”. These new issues include brands that are launching zero waste programs or social and environmental obligations to “attract consumers who are more focused on the impact of their purchases”. “Fast-fashion” Associates and Primark signs have been making announcements in this direction in recent days. Moreover, facing supply chain problems across the distribution sector, Vernon-Harcourt warns of problems at Christmas: “Often there will be shortages in some segments, which will force consumers to cut. Different choices”. “Retailers, especially grocers, need to decide which products to put on their shelves and prioritize higher prices” To manage “cost overruns and inventory shortages” a significant share (6.5%) of retailers have not been able to deliver the goods they need in the last two weeks. ONS indicates that. Nearly 9% of businesses had to switch suppliers in order to get the desired products at the head of food stores.

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As the holiday season approaches, the John Louis Department Store Group, the parent company of high-end waitros supermarkets, acknowledges that there is “a high degree of uncertainty” between “labor shortages and supply chain problems” and “inflationary pressures.” “Delivery Drivers, Competitive Salary, A Successful Campaign to Hire 7,000 Seasonal Workers” and is at the forefront of a series of efforts to prevent various risks by increasing its cargo capacity, especially offshore. Christmas is just around the corner “

(With AFP)