Retailers not likely to benefit from King’s Coronation, GlobalData finds
According to the data and analytics company, consumers are opting for cost-effective options, such as watching the event on TV rather than going out
Retailers may not reap significant benefits from the King’s Coronation as consumers are more likely to use it as a time to rest and relax than shop, says leading data and analytics company GlobalData.
According to its recent survey conducted on 2,000 consumers, 38.9% stated that they plan to celebrate the King’s Coronation in some way or another but only few are planning events which would involve additional spending opportunities.
Tash Van Boxel, retail analyst at GlobalData, said: “Consumers are opting for cost-effective options, with a vast majority planning to watch the event on TV rather than attending events that would offer additional spending opportunities.”
GlobalData’s survey shows that indeed consumers are opting for cost-effective options, with 76.2% of people planning to watch the event on TV, leaving retailers disappointed as the occasion is forecast to have limited impact on sales.
Van Boxel added: “Persistent high inflation in the UK has also put a dampener on events for consumers, with 52.8% of consumers agreeing that the cost-of-living crisis is likely to impact their spending when celebrating the King’s Coronation.”
While retail spend is likely to be limited during the event, retailers may be able to entice some spend through the promotion of food and drink items, which will enhance consumers’ celebrations of the King’s Coronation in their homes.
Van Boxel concluded: “Retailers must ensure that discounts and offers are in place in the lead up to, and throughout the event, allowing consumers to trade down from more expensive leisure options, such as dining out, to the cheaper option of having a special meal at home.”
