Have retailers been benefiting from Wimbledon and World Cup fever?
It’s been a disappointing summer so far for British sport, with England crashing out of the World Cup at the first hurdle and reigning champion Andy Murray suffering a disappointing defeat in the Wimbledon quarter finals.
However, with plenty of sport still left to played, including the final stages of the World Cup in Brazil, the Wimbledon finals and the Tour de France (once again starting in the UK this year), have UK retailers been feeling the benefit of the summer of sport?
Prior to the World Cup it was expected that supermarkets would benefit from gains in food and drink as people stocked up to cheer on England in Brazil. Electrical companies too were thought to see sales rise, with people purchasing brand new TV’s to watch the competition. Of course, sports shops were expected to profit as well, due to the furore around the upcoming football, cycling and tennis competitions.
It seems though, that June did not provide the retail boost that was expected in all sectors. While supermarkets did see an overall 12% rise in the sale of beer, lager and cider, overall money spent was down 0.6% on the previous year. Some media outlets have even been reporting that England’s World Cup exit would cost the economy around £1.2 billion due to the lost opportunity for betting shops, pubs and football promotions.
Despite these figures, it’s not all doom a gloom, for sports stores especially. The Office for National Statistics reported that sales at sport shops was up 3.9% in May, with people preparing for the upcoming World Cup.
Research by shopping website Voucher Codes also backed this up, by revealing that shoppers were responsible for a 100% increase in searches for tennis discounts, as well as a 53% increase in sport based discounts and similar increases in cycling equipment discount purchases.
Elsewhere, electrical outlet Dixons placed emphasis on the World Cup as a reason for increased TV sales in the lead up to the football in Brazil, with Argos also reporting a similar trend.
We will never know whether the lack of overall retail boost in June was down to England’s defeat to Uruguay alone, but with plenty of sporting competition still to look forward to, perhaps there is a chance that July and August could prove positive for the retail sector.
However, it seems that in June, much like England’s display in Brazil, retailers showed positive signs in the early stages of the competition, but ultimately failed to live up to the nations expectations.
How did your business fare in June? Did you benefit from the World Cup, or was it no different to any other month? Please let us know by leaving a comment below!
Interested in more news and comment from NovaLoca? Why not read our blog on the advantages of hosting a global sporting event or our look at the possible revival that’s underway on the British high street.
