Retail sales boosted by World Cup

World Cup fever led to better than expected retail sales in May, according to the latest figures from The Office of National Statistics.

Sales at household stores rose 1.7% as consumers invested in new televisions and home entertainment systems ahead of the World Cup in South Africa.

The ONS says volume sales excluding fuel rose 3.4% compared with May last year and were up 0.5% on the previous month.

In terms of value, sales rose 3.9% compared with last year and were up 0.2% on April.

Monthly sales volume for food stores was 0.5% down on a year ago, while non-food store sales were up 5.4% on a year ago.

The non-store retailing sector, which includes internet, catalogue and phone sales, was 11.8% up than a year ago.

The British Retail Consortium says the figures are broadly in line with the figures it revealed last week, but it expects the figures to be revised downwards as they have been in previous months this year.

British Retail Consortium Director General Stephen Robertson, says: “The World Cup helped sales of televisions, though this was largely discount-driven. With the tournament in full swing, there should be further gains for other football merchandise, such as flags and replica kits, which will show up in the June figures.”

Richard Lowe, head of retail at Barclays Corporate, says: “Trading during May was better than expected, partly due to the revision of April’s figures.

“Year-on-year the picture may appear more robust due to a comparatively tougher trading period in the first half of 2009. The sector is now entering a more demanding trading period with further headwinds anticipated in the second half of the year from a potential rise in VAT, inflation the Far East and commodity prices”.

Latest from Marketing Week

PLEASE SIGN IN OR REGISTER. IT'S FREE, QUICK AND EASY!

Access Marketing Week’s wealth of insight, analysis and inspiration that will help you develop as a marketer and leader.

Register and receive the best content from the only title 100% dedicated to serving marketers' needs.

We’ll ask you just a few questions about what you do and where you work, so we can make Marketing Week more relevant to you.

Register now

THE BEST CONTENT

Our award winning editorial team and columnists will ask the biggest questions about the biggest issues on everything from strategy through to execution to help you navigate the fast moving modern marketing landscape.

THE BIGGEST ISSUES

From the opportunities and challenges of emerging technology to the need for greater effectiveness, from the challenge of measurement to building a marketing team fit for the future, we will be your guide.

PERSONAL AND PROFESSIONAL DEVELOPMENT

Information, inspiration and advice from the marketing world and beyond that will help you develop as a marketer and as a leader.

Dedicated to developing your skills and helping you achieve marketing excellence. Find guidance on leadership, professional development and the latest industry jobs.

Having problems?

Contact us on +44 (0)20 7292 3711 or email subscriptions@marketingweek.com

If you are looking for our Jobs site, please click here