subject: Retail Performance - Quite Encouraging [print this page] Retail analysts were proved wrong as Boxing Day brought in shoppers in droves to retail shops and post Christmas sales got off to a great start. Some of these analysts were predicting a rather dismal outlook as they went by the rather disastrous pattern over the previous months. But the six day period leading up to Christmas and New Year has seen shoppers' returning enthusiastically to the stores, and that is a sign of good times to come.
It was a great turnaround that happened in December when one considers that the eleven months of 2005 had been a great let down and consumer spending had been pretty poor. This had prompted many analysts to predict a continuing downturn into the New Year. However, the fact that there was a drop of just 0.1% this month is great news for the retail industry and provides them the opportunity to offload inventory that has piled up. That will also enable them to pile up fresh stock for the coming year and consumers will no doubt welcome this. This period is such a critical one for retailers as it sets the tone for the coming year and a sluggish start is something that no retailer enjoys.
Many retailers, spread across different niches including clothing, footwear, electrical, entertainment, beauty, health and food and drink, have come out with rather optimistic updates. This is a significant input as retail performance is often considered as the barometer for the economic health of the country.
It would therefore appear from initial reports and estimates that we are in for a strong consumer-led economic revival for the coming year - and that should provide a lot of cheer to those in charge of economic policies in the government.
JD Sports Fashion PLC has long been established as the leading UK specialist multiple retailer of fashionable branded and own brand sports and casual wear, principally through the growth of its main retail fascia, JD Sports.
