UK retailers are building up to Black Friday. Bets on Health and beauty Products when they are ready for the prime selling period.
This year’s pre-Christmas saleAnalysts say that, which comes on Nov. 29, could encourage shoppers to raise more than last year, as wages will pick up sooner and taxes on shoppers have not increased. One forecast suggests sales of £9bn on Friday and next weekend.
At the same timehigh street shops will be looking to make the most of the festive period before taxes are unveiled in last month’s budget.
said retail analyst Maureen Hinton Retailer As John Lewis is focusing on health technology that includes gadgets such as the £349 Aura Ring, a piece of jewelery that can collect sleep, stress and fitness data.
Meanwhile, high-end fragrance brands like Dior have launched specialty perfume lines that undercut the high prices high-street stores are banking on for better margins, he said.
“The budget is really going to be hit next year. My view is from the consumer’s point of view, they see they’re going to get higher wages,” he said. Black Friday And Christmas will be quite good for retailers,” Ms Hinton said.
The minimum wage for a 21-year-old has risen by 6.7 per cent to £12.21 since April, while the government has kept income tax and other personal tax levels unchanged, which could boost shopper confidence.
The cost of living has also eased, with inflation at 2.3 percent from 4.6 percent a year ago and 11.1 percent in 2022. Prices are still rising and consumers still feel the squeeze, but things don’t appear to be getting any worse. .
But businesses face tax increases, especially retailers and other businesses that employ many people. Before that happens, they aim for healthy sales.
From next year, those businesses will pay £2.33bn more in national insurance contributions, according to the British Retail Consortium.
Richard Lim of Retail Economics is a bit more cautious, as he points out that wages have grown more slowly than spending in recent years.
For stores, “It’s still tough conditions, but it’s improved significantly over the last couple of years. So people are feeling more confident. We think they’ll spend, but they’re looking for value.” .
“Christmas can be make or break for some retailers and depending on the product category, for example, for toys, 80 per cent of annual sales of some types of toys occur in the last three months of the year. is a very important part of the retail calendar for retailers.”
He thinks a big topic will be second-hand goods as more shoppers turn to marketplaces like vintage for music, books and clothes.
“There is a lot of momentum behind second-hand products for a variety of reasons. The stigma associated with buying second-hand is non-existent.
High street fares depend on how savvy they have been in stocking the goods people want at deep prices, he said, while also avoiding any storage problems. which have deteriorated over the past years after the closure of the Covid factory.
In the US, Black Friday started as a time to buy gifts after Thanksgiving before Christmas.
What began as a pejorative label for the shopping chaos surrounding the festive season has been seized upon by retailers as a time to offer discounts and entice shoppers. It arrived in the UK around 2010 and became mainstream three years later.
Earlier, the shops were closed for sales until the New Year. In recent years, it has spread throughout November.