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Strong retail figures for year so far lead to predictions of best Christmas for retailers since 2008

Christmas lights across the country are being switched on and it's becoming increasingly difficul...
Newstalk
Newstalk

08.47 9 Nov 2015


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Strong retail figures for year...

Strong retail figures for year so far lead to predictions of best Christmas for retailers since 2008

Newstalk
Newstalk

08.47 9 Nov 2015


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Christmas lights across the country are being switched on and it's becoming increasingly difficult to avoid the annual onslaught of festive ads. Yes, it's clear the Christmas retail season is very much getting underway - and it looks like it's going to be a good one for Irish retailers.

Retail Ireland, the Ibec group that represents the sector, has published its Retail Ireland Monitor which shows sales values in the year to the end of September were up 2.4% compared to last year.

The strong numbers have led to Irish retailers predicting their best Christmas since 2008.

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The positive mood is being put down to the January tax cuts which are helping to raise consumer mood and boost spending.

The report suggests that half of shoppers plan to do most of their Christmas shopping this month, although households are expected to spend €600 or more extra in December than in other months. 

(If you can't see the poll, please refresh the page)

Core retail sales for next month are expected to be around €4.05 billion, an increase of 3.5% over 2014.

However Retail Ireland also indicates that the numbers are still expected to be around 12.2% - €550 million - down compared to 2007 levels.

Director of Retail Ireland, Thomas Burke, said that while increased consumer confidence and the improving economy here are benefiting the market, "external influences are also playing a role in retail’s resurgence. Currency fluctuations have benefitted us to a large degree as Ireland emerged as a much more attractive tourist destination.

"The relative cost of holidaying in Ireland has fallen by up to a quarter for tourists from the UK and US and visitor numbers have surged by 15% this year alone – with an undeniable effect on retail sales. The weak Euro is a double-edged sword however, as exchange rate volatility has the longer term potential to significantly impact prices," he added.

Mr Burke also notes that Dublin, Cork and other cities continue to drive retail growth, and the "picture is much less positive for provincial and rural retailers".

The group has previously highlighted that furniture and home accessories outlets (+9.6% value growth) and computers and electronics operators (+5.8%) dominate the continued retail recovery.

Separately, Retail Excellence Ireland has launched a new multi-store gift card ahead of the Christmas shopping season.

FromMe2You gift cards can be used at hundreds of retail outlets around the country, including the likes of Carphone Warehouse, Brown Thomas and Harvey Norman.

Available online and at Topaz stations across the country, the FromMe2You card will be looking to compete with the existing One4All brand, which is operated by An Post subsidiary the Gift Voucher Shop.


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