Buoyed By Heatwave, Irish Retail Sector Grew By 3.4% In Q2
Published on Aug 13 2018 8:30 AM
Buoyed by a long spell of fine weather, sales in the Irish retail sector grew by 3.4% in the second quarter of 2018, according to a new report from Retail Ireland.
In its latest Retail Monitor, published today (13 August) by the Ibec group that represents the sector said sales in the first half of the year have grown steadily with some categories such as grocery, DIY and hardware, and fuel benefiting strongly from the sustained spell of warm weather during June.
“Following disruptions to trade and loses which ran into the tens of millions arising from Storm Emma earlier this year, this boost will be welcomed by the sector,” the group said in a statement.
“From the prolonged cold snap and heavy snow of March, to the drought conditions of June, weather has had a huge impact on Irish retailers in the first half of this year,” said Thomas Burke, director, Retail Ireland.
“With the recent fine spell of weather, our members have reported strong demand for seasonal products such as fans, ice cream, BBQs and patio furniture, amongst other things. This spike in demand pushed retailers supply chains to the limit during June particularly.”
World Cup Football
Burke noted that other once-off events such as the football World Cup and the royal wedding in the UK provided a welcome boost to trade for retailers in the period, with sales of soft drinks, alcohol, and magazines benefiting most.
Retail Ireland outlined that the strong figures in June for supermarkets and convenience stores shows that retail sales in this area are finally establishing a sustained pattern of growth. Volume and value are moving together in recent months and the positive impact of June’s good weather on treats and ‘little and often’ shopping is also coming through.
“Off-trade alcohol sales and soft drinks consumption grew as a result of the good weather and the keen interest in the World Cup," Burke added.
“While many retail categories have been boosted by the long dry spell, other sectors such as department stores, fashion and footwear and hairdressing have reported lower than normal footfall and declining sales in the period, with consumers opting for a trip to the beach or park rather than a day’s shopping or pampering in the warm weather.”
Retail Ireland said that the fine weather was not good news for all sectors of retail, with some reporting declining footfall and falling sales in the period.
“This trend reflects a broader move towards event led retail in recent years as retailers seek to leverage such events to help promote consumer spend,” Burke said.
Retail Ireland noted however that the fine weather was not good news for all sectors of retail, with some reporting declining footfall and falling sales in the period.
© 2018 Checkout – your source for the latest Irish retail news. Article by Donna Ahern. Click subscribe to sign up for the Checkout print edition.