THE value of retail sales in Scotland in October was down on the same month of 2013, in contrast to a solid year-on-year rise in the UK as a whole, an industry survey shows.
Ongoing weakness in the food category drove the continuing year-on-year decline in Scottish retail sales value in October.
The survey, published today by the Scottish Retail Consortium, shows that sales value north of the Border in October was down 1.2 per cent on the same month of last year.
This contrasted with a 1.4 per cent year-on-year rise in sales value in the UK as a whole in October, unveiled in a survey published last week by the British Retail Consortium.
And the poor sales performance in Scotland occurred even though retail footfall north of the Border in October was, according to a separate survey published by the SRC and sector intelligence provider Springboard on Monday, up by 0.5 per cent on the same month of last year. In the UK as a whole, retail footfall in October was down about 0.8 per cent year-on-year.
However, the SRC took some heart from the fact that the year-on-year decline in Scottish retail sales value in October was not as sharp as in September. Retail sales value north of the Border in September had been down by 2.9 per cent on the same month of last year.
Over the three months to October, retail sales value in Scotland was down 1.6 per cent year-on-year. In the UK as a whole, retail sales value in the three months to October was up by one per cent.
The SRC survey shows that the value of food sales in Scotland in October was down by 2.7 per cent on the same month of last year. The value of non-food sales north of the Border last month was unchanged from that in October 2013.
Gaming and home accessory retailers enjoyed relatively strong trading in October, according to the SRC survey. There was strong early demand for Christmas-themed home accessories, according to retailers.
However, the continuation of unseasonably warm weather into October hit sales of heavier items of clothing, such as winter coats.
David McCorquodale, head of accountancy firm and SRC survey sponsor KPMG's retail sector practice, said: "October was a difficult month for Scottish high street retailers, particularly for those selling heavy coats and boots.
"Wet and wild at the start, the month ended with a hot Halloween - neither the best conditions for a positive consumer reaction to the promotions on offer."
He added: "The winners were the games sellers and home accessory retailers, where weather plays less of a role. Fashion and footwear retailers, who started the year so well, will be concerned with the higher stock levels they are holding now but will do their best to hold their nerve to drive volumes and margins in the six-week lead-up to Christmas."
Mr McCorquodale flagged the continuation of negative trends in the food retailing sector in Scotland.
And he highlighted the fact that food sales were even weaker in Scotland than in the UK as a whole.
In the three months to October, the value of food sales in Scotland was down by 2.3 per cent on the same period of last year. In the UK as a whole, food sales value in the three months to October was down by 1.4 per cent on the corresponding period of 2013.
SRC director David Lonsdale said of the latest monthly figures: "The total value of retail sales in Scotland edged down once again in October, but at far more modest rate than in the previous month.
"The bright spots were solid demand for gaming and beauty products, as well as the overall positive contribution of online sales."
He noted that the flat year-on-year sales performance in the non-food category was the second-best in the last six months. In August, the SRC had recorded a 0.9 per cent year-on-year rise in the value of non-food sales.
Looking ahead to the key trading period in the run-up to Christmas, Mr McCorquodale said: "With six weeks to go and festive adverts on our screens, the annual dance between retailer and consumer has begun."
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