Scottish sales rebound in March

Scottish retail sales decreased by 0.2 per cent on a like-for-like basis last month compared with March 2018, when they had decreased by 0.2 per cent.

Scottish sales rebound in March

This is below the three-month average of 0.3 per cent. 
 
Total sales in Scotland increased by 0.3 per cent compared with March 2018, when they had increased by 0.8 per cent, below the three-month and twelve-month averages of 0.8 per cent and 0.4 per cent respectively.

Adjusted for inflation measured at 0.9 per cent by the BRC-Nielsen Shop Price Index (SPI), March sales decreased 0.6 per cent.
 
Total Food sales decreased 0.2 per cent versus March 2018, when they had increased by 6.8 per cent. This is below both the 3-month and the 12-month averages of 2.2 per cent and 2.9 per cent respectively.



The 3-month and 12-month averages are above the UK’s levels of 1.3 per cent and 2.0 per cent respectively.
 
Total Non-Food sales increased by 0.7 per cent in March compared to March 2018, when they had decreased by 4.0 per cent. This is higher than both the 3-month and 12-month averages of -0.4 per cent and -1.6 per cent respectively.
 
Adjusted for the estimated effect of Online sales, Total Non-Food sales increased by 1.3 per cent in March versus March 2018, when they had decreased by 2.0 per cent. On a three-month basis, the Online-adjusted Total Non-Food sales increased 0.9 per cent, above the UK Non-Food average of 0.1 per cent.

David Lonsdale, SRC director | Scottish Retail Consortium, said: “Scottish retail sales were resilient in March despite Easter falling in April this year. Although there was a real-terms fall of 0.6 percent, high street retailers saw some positive growth and there is cause for cautious optimism looking ahead with Easter and school holidays to be factored in to April.

“Food sales were essentially flat, due to a combination of Easter falling in April and continued food price inflation. In essence volumes were down but that was offset by the higher value of sales as retailers have to pass on a portion of their increased costs to consumers.

“Non-food sales were up by 1.3 percent, despite consumer uncertainty continuing to impact on large discretionary purchases.  Nonetheless smaller home purchases did well in the month, with DIY and gardening products selling well as Scots looked to improve their homes. Mother’s Day was more mixed, with good sales of jewellery and watches being offset by weaker performance in beauty products.

“Overall retailers will be relieved trading was better than last year, and there was no repeat of the ‘Beast from the East’. April will now be an important month, with Easter sales providing an opportunity to encourage consumers to spend on both food and non-food goods.”

Paul Martin, UK head of retail | KPMG, said: “Total sales in Scotland grew by 0.3 per cent in March compared to the same period last year, and while this is below the three and twelve-month averages, it reflects a much brighter picture than the UK as a whole, where total sales fell by 0.5 per cent.

“The month started strongly compared to last year, when shoppers were forced to stay indoors by the Beast from the East, but sales quickly dropped as the weeks passed.

“Nevertheless, March bucked the usual trends. Non-food items performed much better than recent months, increasing by 1.3 per cent when adjusted for online purchases, whereas food sales declined by 0.2 percent as a result of Easter 2018 distorting last year’s figures.

“March may have provided breathing space for retailers but the path to success is not smooth and businesses will need to remain agile in a changing landscape.”

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