The Goods UK – 31 July 2024
Welcome back to The Goods UK. This week, we’re chatting the cost of having a sweet tooth, the return of corporate travel and why you might start getting your Crocs from Boohoo.
Amidst a summer of back-to-back sport, Sky’s first Attention Index reveals its customers have watched over 2.1 billion hours of TV in the past six months. That’s almost 240,000 years of viewing… far longer than the entire span of recorded human history.
What’s in: this week’s trends
- Dairy me!: In a double whammy for dairy lovers, the cost of ice cream and chocolate is climbing faster than a sugar rush. The price of Cadbury’s Dairy Milk bars have shot up by 12% due to poor cocoa harvests in West Africa, whilst popular ice cream brands have put their prices up by as much as 38%. Whether it’s a Solero or a Caramac (yep… they’re back), your sweet tooth will cost you more this summer.
- Voucher ouch-er: Sainsbury’s had a bit of a kerfuffle last week when a technical glitch allowed £3.49 vouchers to be scanned over and over again. The supermarket scrambled to retract their unintentional generosity, but not before some savvy shoppers took to social media with instructions on how to take advantage of the error.
- Flying high: Corporate travel is reaching new heights this year, with spending expected to reach a record $1.2 trillion. That’s a whopping 17% increase on last year. As businesses embrace face-to-face meetings again, the focus has been on attending seminars and training.
Cash or card: shopper behaviour
- Penny for your thoughts: The number of people using cash for everyday spending has hit a four year high, according to UK Finance. It’s been said the revival is due to physical cash being an easier way to manage budgets in a cost of living crisis. However, the data also showed most 18 to 24-year olds regularly use digital wallets to make contactless payments.
- Hungry for more: After kicking off the 2020s with social distancing, face masks and quarantining, Brits now want memorable social experiences. One category thriving off this trend is food halls. Often breathing new life into old warehouses, factories and other neglected properties, experts say food halls will gain further popularity not only in Britain but across Europe.
- Out for delivery: The number of parcels being delivered across the UK is now higher than it was during the pandemic, according to Evri. Driven by online shopping at high street retailers, fast-growing new businesses and second-hand platforms, the delivery company has said it plans to hire 9,000 more staff to keep up with our online shopping addiction. Speaking of which, The Perfume Shop has partnered with Deliveroo to deliver fragrances to people’s doors in as little as 25 minutes. The service will launch “in the coming months” and will initially be available from 21 stores.
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:
- Carb or couture?: Did you know 150 million tonnes of potato waste is pulverised or incinerated each year? Well, the smart people at British start-up Fibe have found how to turn this waste into a new material – Patacel. The company claims the new textile could help meet 70% of the world’s non-synthetic clothing demand.
- One stop shop: “Boohoo brands”, the new online marketplace from Boohoo, launches today. Over 200 fashion, lifestyle and beauty brands including Alexander McQueen, Garnier and Michael Kors are expected to be included. The brand will be aiming to capitalise on the popularity of online marketplaces as people opt for the convenience of shopping across multiple brands all at once.
- Baby come back: Dunelm has partnered with The Salvation Army to launch an online textile takeback scheme. Shoppers can visit the company’s website to create a free shipping label and then drop off throws, cushions and bedspreads from any brand at local drop-off points. The news comes hot on the heels of JoJo Maman Bebe, which is inviting shoppers to drop off good quality, pre-loved clothes from any children’s brand in August and receive a £5 thank-you voucher. All donations from the ‘JoJo Reloved’ scheme will be sent to family community centres and baby banks across the UK. These initiatives are one way retailers can reduce their environmental impact, while encouraging customers to pop into stores.
- Just popping out: Renters in Bromley won’t need to travel far for a pint of milk soon as John Lewis has secured a “milestone” approval for its first assay into house building. The development will include 320 rental flats and 30 affordable homes built above an existing Waitrose store. It’s not just John Lewis that wants to branch out into housing: Asda has recently agreed to develop 1,500 homes near Acton. While building on “brownfield” sites will help the housing crisis, some retail analysts have warned such property ambitions are a distraction for UK retailers.
For more information about FTI Strategic Communications Retail & Consumer Products sector service offerings and expertise, please contact [email protected] and [email protected]
The views expressed in this article are those of the author(s) and not necessarily the views of FTI Consulting, its management, its subsidiaries, its affiliates, or its other professionals.
©2024 FTI Consulting, Inc. All rights reserved. www.fticonsulting.com
