Amid concerns sales would be significantly impacted by the cost-of-living crisis and the recent tax-grab in the Autumn Statement, it seems Black Friday was relatively successful for UK shops judging by anecdotal evidence gathered together by Shares.

Industry magazine Retail Gazette described Black Friday sales as having gone ‘gangbusters’ with cash-strapped UK shoppers ‘splurging on deals’ to beat the previous record.

Figures on consumer spending from Barclaycard suggested that by lunchtime on 25 November sales were already marginally ahead of last year and almost 5% ahead of 2019.

Meanwhile, Nationwide building society said its customers carried out 10% more transactions than last year and 36% more transactions than in 2019, making it the firm’s busiest day ever for payments processing.

‘This year’s Black Friday was our busiest day on record as people started their Christmas shopping earlier,’ said director of payment strategy Mark Nalder.

‘While cost of living pressures will have inevitably meant some people have cut back on luxury purchases, others will have used the day to buy essential items at a lower cost.’

Clive Black, head of research at Shore Capital, said early indications showed shopping centres and high streets had attracted more traffic than a year ago as consumers were no longer as fearful of the pandemic.

While footfall in general is still down some 15% to 20% on pre-Covid levels, according to early data from retail consultancy Springboard, this change in customer behaviour ‘is encouraging for retailers and landlords alike’ says Black.

The question retailers and investors in the sector will be asking themselves is does this bode well for the key Christmas selling period or have shoppers simply brought forward their spending on gifts?

Department store owner John Lewis recently warned of ‘a bumpy ride’ for retailers this Christmas, while Marks & Spencer (MKS) has reportedly postponed orders from some suppliers in order to avoid building up unneeded inventory.

According to Retail Gazette, shorter lead times from suppliers in East Asia ‘has left retailers receiving new stock earlier than expected while many are still clearing last year’s delayed stock following supply chain snarl-ups.’

The situation has hit ‘a number of fashion chains’ just as consumers are reining in their spending, says the magazine.

‘Our overall feeling around peak-2022 shopping is that many if not most folks will be more careful, disciplined and precise in their decisions,’ says Shore Capital’s Black, describing the trend as  ‘precision shopping’.

‘Many gifts will, of course, still be bought albeit lots of households and families may concentrate on their children and pets rather than the grown-ups.’

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