The Goods UK – 21 February 2025
Welcome back to The Goods UK. This week, we’re chatting Valentine’s gifting, the travel trends shaping 2025, and why high street stores are selling four-figure coats.
Stats of the week
- 240,000: the number of perfume bottles sold by The Perfume Shop between 1 February and 14 February. (Retail Gazette).
- 88%: the surge in searches for holidays to Koh Samui, Thailand, ahead of the return of White Lotus, with UK travellers representing 9% of all searches. (Globetrender)
- 533 million: the number of people who have made a purchase on TikTok Shop. (Lidl)
What’s in: this week’s trends
- Not just paying lip service: Forget flowers – only 10% of people planned to treat their partner to a bunch on Cupid’s busiest day – according to the British Retail Consortium. Instead, cosmetics proved a popular gift, with businesses such as The Perfume Shop noting a 34% increase in retail sales and a 50% rise in gift set sales compared to the same period in 2024. ( Retail Times) Separately, data from Shopify revealed that lip balm sales increased 418% from January, while lipstick also saw growth in demand, increasing 161%. (Retail Week)
- The Budget bites: Expected redundancies have reached the highest level since 2014, excluding the pandemic, as UK employers fear the impact of the Budget tax increases which come into force in April 2025. (The Guardian) Recent data from the Chartered Institute of Personnel and Development (CIPD) has revealed that a quarter of UK employers plan to make redundancies this year. This compounds the already declining employment rates in the retail sector which have decreased by 36,376 in the year to 31 January 2025. ( The Telegraph)
- Better late than never: Have you booked your summer holiday yet? If the answer’s no, it seems that you’re not alone! In recent Trading Updates, tour operators Jet2 and TUI announced that they are continuing to see customers choosing to make bookings closer to their travel date and securing last-minute trips. ( The Standard) Continued pressure on household costs is not only manifesting in later bookings; holidaymakers are also choosing more long-haul breaks which are seen as a more cost-effective option versus their European alternatives. (Travel Weekly)
Cash or card: shopper behaviour
This week, it’s all about how TV shows influence the way we travel, the decline of veganism, and how loyalty schemes need to win over shoppers…
- As seen on screen: Social media inspired trips, the desire for literacy escapism, and set-jetting are top of the bucket list this year according to British Airways Holidays 2025 Travel Trends Report. ( British Airways) Findings show that 41% of Brits craft their trip around must-try viral dishes and 90% read more on holiday that at home – with over half of holidaymakers grabbing a last-minute read at the airport. Koh Samui in Thailand, saw a 38% rise in interest versus last year, thanks to the return of White Lotus, a trend also reported by Agoda, Opodo and Hotels.com. (Agoda, Globetrender, BBC)
- Anti-vegan backlash: With reports noting that Veganuary felt noticeably “subdued” and “muted” this year, more Brits are looking to increase their animal-product consumption. ( The Grocer, The Standard) From crisps made from actual chicken to egg-based protein power, the shift shows how people’s attitudes to health are changing, with many aware of the downsides of ultra-processed vegan options. ( Financial Times) This is why Chef Neil Rankin, once head of a popular barbecue restaurant, has launched a vegan food company to innovate how products are made using locally sourced ingredients and fermentation. (MCA)
- Customers checking out on loyalty: With a growing number of retailers offering members’ pricing within their loyalty schemes, research by the Retail Technology Show (RTS) found that shoppers have come to expect this as the ‘norm’ and no longer a true loyalty perk. (The Retail Bulletin) The comment comes as Co-op extends its membership pricing to Deliveroo and Selfridges expands its loyalty scheme to reward shoppers for time spent at the retailer’s destinations and events. ( Retail Week, Retail Gazette) To win customers over, retailers need to use data to level up the shopping experience and fine-tune personalisation, according to RTS – something that Selfridges is clearly making a top priority.
Making moves: industry changes & innovation
ICYMI, even industry icons need to reinvigorate their brand presence through unique and creative ways. Here are some movers and shakers that you should know about:
- A Lidl different: Lidl has become the first supermarket to sell directly to shoppers on TikTok shop, joining retailers Boots and Asos on the app. ( The Grocer) The German discounter will sell high-protein product bundles, tapping into the existing popularity of these products on socials whereby customers share their hauls. In true Lidl style, the launch would not be complete without limited edition merchandise, showing how brands can connect with their audience to create hype, beyond just sales.
- Rising tide of crime: Retail crime is at its highest level on record, with 20m incidents of shoplifting reported in the UK last year, responsible for a record £2.2bn in business losses, according to the British Retail Consortium. (The Guardian) This is despite retailers spending millions on crime prevention. One supermarket going the extra mile is Tesco, which has launched a high-tech security hub monitoring the feeds of thousands of store CCTV cameras, 24 hours a day, 365 days a year. While policymakers have pledged to scrap the £200 low-level theft threshold, retailers are taking it upon themselves to protect their staff, goods and, ultimately, their bottom line. (The Grocer)
- Wrapping up the high street: High-street shops such as Cos, Mango, John Lewis and Whistles are selling coats for over four figures, putting them in the price range of mid-tier designer goods. (Vogue UK) Selling items with more expensive price tags creates an air of luxury and works to elevate their wider offering, according to Drapers, signaling a change in how brands want to be perceived. (The Guardian)
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