Christmas shopping is now cheaper than three years ago, that's according to new research findings published by the British Retail Consortium.
Overall shop prices fell by 1.7 per cent in November, driven by a sharp drop in food prices to 0.8 per cent in November from the 1.2 per cent fall in October.
The findings show that consumers are yet to see any real impact from the weaker pound on shop prices, but a gradual slowing of the rate of deflation is expected.
Commenting on the report, Mike Watkins, Head of Retailer and Business Insight at global information, data and measurement company Nielsen, said:
"Shop prices are still falling and deflation will continue to at least the end of the year, as the result of the battle for the wallet of Christmas shoppers. Looking ahead, we can expect a slow return to shop price inflation during 2017 with fresh foods, some of which are also seasonal and weather dependent, likely to be impacted sooner when increased supply chain costs finally begin to filter through to retail prices. However, retailers will keep running promotions and campaigns to encourage retail spend and this will continue to help shoppers to save money next year."
At Beavis Morgan, our specialist advisers to the retail sector understand that, in this competitive environment, retail business owners must work hard to win customer loyalty, increase productivity and strengthen their market position. We work with a number of retail businesses, helping them with strategic planning, business turnaround and improving business performance for the future.
For further information about how we can help you and your business, contact Steve Govey or your usual Beavis Morgan Partner.