Report Summary

Period covered: 27 October – 23 November 2024

3 minute read

Note: This report summary is one or two months behind the current month as standard reporting practice. The content is indicative only and incomplete with certain data undisclosed. Become a member to access this data or take out a free 30 day membership trial now.

Homewares sales

The Homewares sector experienced a sharp decline of -xx% YoY in November, reversing the +xx% growth seen in October.

This decline reflects broader struggles in the retail sector, where overall retail sales dropped by xx% YoY (Retail Economics Retail Sales Index).

Multiple external challenges, including delayed consumer spending events, early promotions that failed to ignite demand, and severe weather conditions, weighed heavily on sector performance.

Later Black Friday and volatile weather delays spend

The delayed timing of Black Friday, which fell outside of November’s reporting period, directly impacted consumer behaviour and retail sales. With Black Friday taking place in December this year, many consumers held off on major purchases until then, dampening November’s sales figures.

Underwhelming Promotional Efforts

Early promotions in the Homewares sector had limited success, as retailers struggled to attract significant consumer attention, particularly for non-essential items.

While smaller household goods were discounted, many consumers delayed purchases, waiting for bigger savings during the delayed Black Friday in December.

Inflationary pressure and waning consumer Confidence

Inflation remained a key concern for consumers, with the headline rate rising to 2.6% in November (ONS), marking an eight-month high.

Consumer confidence also remained low, with the GfK Consumer Confidence Index at -18 in November, reflecting the cautious sentiment that contributed to weaker spending on homewares and other non-essentials.

Rising Housing and Rental costs

According to the ONS, private sector rents in England increased by 9.3% YoY in November, the highest annual rise on record.

This surge, particularly in areas like London (up xx% YoY), has further strained household budgets. With more income dedicated to rent, discretionary spending on homewares is being constrained.

December spending intentions

Looking ahead to December, consumer spending is expected to shift as shoppers gear up for the Black Friday sales and the holiday season.

Brits are planning to spend an average of £xx each in the Boxing Day sales, contributing to a total spend of £xx. Although this figure is slightly lower than the £xx spent in 2023, it is still £xx more than the £xx spent in 2019, reflecting the post-pandemic recovery (Barclays).

While November’s sales were impacted by the delayed Black Friday event, the seasonal sales in December are expected to see increased activity, especially with consumers targeting practical and essential purchases.

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Brits are planning to spend an average of £236 each in the Boxing Day sales