payments - Retail Systems

RS
04 RS June - July 2012
comment editor’s letter
As discounts deepen
and the quarterly
rent bill looms, can
the upcoming
Olympic Games
provide retailers
with a much needed
sales uplift? Let’s
hope so!
Karen Moss is Editor of Retail Systems. Her
blog on all things retail tech-related can be
found at: www.retail-systems.com/blog.
She can be contacted at: karen.moss@
retail-systems.com
Olympic boost
Will the Olympic Games give the retail industry a much talked
about – and needed – boost this summer?
With the news that retailers are having
to start their summer sales early
to draw in customers, the Olympics
may seem like a much needed opportunity to
make a healthy bit of revenue during this rather
damp summer.
Some 73 per cent of stores advertised
special offers in June, up from 40 per cent
three years ago, while discounts were deeper
than a year ago. And all this while retailers
are awaiting a dreaded quarterly rent bill. The
average price discounts being advertised were
47 per cent, up slightly from 45 per cent in
2011 and 2010, according to the survey of
100 retailers on UK High Streets by PwC.
The sector certainly gained a boost from
the Queen’s Diamond Jubilee and perhaps the
London Games can do the same for retail in
July. However PwC warned that consumers will
continue to be cautious as the eurozone crisis
dents confidence.
Their chief retail adviser, Christine Cross, said:
“UK consumers are good at celebrating jubilees,
football prowess or potential Olympic glory, but
they are proving less willing to part with their
cash except when the sun comes out or goods
go on sale. Clothing purchases are weather-related
and canny consumers also know mid-June
means worried retailers who need to clear stock
to leave room for new lines.”
I think the Olympic Games can only be a good
thing for retail in the UK – with millions of extra
people out and about on the streets of London,
some of that cash is bound to be spent on our
High Streets.
Last week I spoke with Jackie Ballinger,
Griffin’s PR Manager. The world’s leading Apple
accessory maker opened their very first bricks
and mortar retail store on 19 June. And despite
the fact that the company is American and
based in Nashville, Tennessee – where did they
decide to open up shop for the very first time?
At the new Westfield Stratford centre, directly
opposite the Olympic Park.
Jackie told me that the London 2012 Games
played a big part in their decision and she felt
Griffin had picked ‘the perfect place’ for their
first ever store. It just goes to show that there
is a good deal of confidence out there in the
rumoured Olympic boost.
One of the less glamorous impacts that the
Olympic Games may have on the retail sector
is on delivery and stock management. Retail
Systems plans to explore this further in the
August/September issue, which will include a
supply chain supplement.
And it’s not just store deliveries from
distribution centres that will be affected
(many will have to happen at night due to
road closures), it’s also home deliveries to
consumers. Even if you don’t live in London
there’s a strong possibility consumers could
be facing delays on shipments.
Norbert Dentressangle has launched a ‘hot
spot’ planning tool that they believe will helpscustomers
avoid potential issues.
The online tool identifies if a customer’s delivery
location might be affected by an event, if
it is on the Olympic Route Network (ORN), which
comes into force two days before the Games
start, or if any restrictions apply. It then provides
a proposed alternative date that is clear.
Of course we shouldn’t forget that other
parts of the UK will play host to the Games, not
just London. Weymouth in Dorset will host the
sailing events and is expected to attract over
50,000 visitors a day.
As well as the excitement of the Olympic
Games this summer, Retail Systems is hosting an
equally competitive event! Yes, it’s that time of
year again - the Retail Systems Awards are upon
us. Last year we had a record number of entries
and around 500 retailers and technology
vendors turned out for the fabulous gala
dinner at the Lancaster Hotel in London. This
year I hope we can outdo ourselves once again.
The deadline for entries is 27 July.
And, as if that weren’t enough, we also have
the annual Multi-channel Summit coming up
on 20 September. Now in it’s fifth year, the
conference has a host of exciting speakers
from across the retail industry taking part.
Check out www.retail-systems.com for more
information on our events.