Fewer consumers have made the journey to high streets and shopping centres in search of Boxing Day discounts.
Footfall across UK retailers was down 9.4% as of midday, compared with Boxing Day in 2023, according to data from the retail tech experts MRI Software.
“The decline in Boxing Day activity may reflect a shift in consumer behaviour, influenced by the ongoing cost of living crisis,” said MRI Software’s marketing and insights director, Jenni Matthews.
As footfall levels jumped 18% on Christmas Eve this year, many shoppers may have also front-loaded their spending in a pre-gifting rush, Matthews said.
There has been a gradual decline in spending on high streets on 26 December over recent years, particularly since many big retailers such as John Lewis and Marks & Spencer choose to keep most stores closed to give their staff a break.
The shift to online shopping is giving people the opportunity to grab early bargains from the comfort of their own home. MRI Software’s consumer pulse report showed that 53% of shoppers planned to complete at least half of their Christmas shopping online – a trend that may well continue into the period between Christmas and new year.
Overall, shoppers are expected to spend £3.7bn this Boxing Day.
“The key thing about footfall numbers is that they don’t tell the whole story,” said Kien Tan, a senior retail adviser at PwC. “Lots of shops are now closed on Boxing Day. It used to be just John Lewis, but now Next, M&S and most big supermarkets close.”
Many people went abroad or are on holiday this Christmas, which will affect the pool of people on the high streets, Tan added.
There is also an impact from more complex families, which may involve several celebrations and meals in different locations. Difficulties with transport also hold up trade on the traditional start to the January sale season.
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“So I would not be surprised if footfall was disappointing. However, I think many retailers have had a decent Christmas – for all the wider economic challenges, disposable income is about 10% better than last year because of higher wages, lower inflation, lower NI [national insurance]. So it might be a last hurrah for shoppers and retailers. The challenge will come in 2025.”
But Katie Wyle, the head of shopping centre management UK at Unibail-Rodamco-Westfield, the owner of the Westfield shopping centres in London, said shoppers are still making their way to its physical shops, including one of the only John Lewis stores open on Boxing Day.
“With almost 10 million shoppers through the doors at Westfield London and Westfield Stratford City throughout the festive shopping season so far, Boxing Day will take us well over 10 million, as hundreds of thousands of visitors come to shop the sales and enjoy a day out to dine, skate or watch a movie,” Wyle said.