The British Independent Retailers Association (Bira) predicts that 2024 will be a challenging period for retailers over the coming months, urging businesses to prioritise resilience and adaptability.
“While optimism usually accompanies a new year, we anticipate 2024 to be another challenging period given the prevailing pessimism in economic growth,” states Bira’s ceo Andrew Goodacre. “We expect inflation to stabilise, and interest rates to remain where they are, with economic stability crucial for us to focus on economic recovery that will foster a climate conducive to business growth.”
He adds that consumer confidence also remains key. “Consumers will still lack confidence and will be looking for value and strong brands. We will obviously have a General Election, and while many may welcome a change of government, it will lead to a period of instability.”
Contrary to the digital trend, the Association has noticed a surprising shift, with Andrew highlighting: “The penetration of internet shopping declined in 2023, and we do not expect it to increase in 2024. “Most people will want to buy in shops.This insight underscores the enduring importance of brick-and-mortar stores in the retail landscape.”
Bira is also urging shops to not overlook other important opportunities. “The older generation represents a real business opportunity – higher levels of wealth and disposable income. Retailers need to recognise the potential of this demographic and not to ignore the often-retired generation’s significant purchasing power,” Andrew emphasised.
He highlights that there are many opportunities in community collaboration too. “Other opportunities will still be local shopping and business communities working together to create a vibrant, diverse high street that people want to visit and where they want to spend time and money.”
Top: Consumer confidence will remain key in 2024 says the British Independent Retailers Association (Bira).
