Physical retail stores in the United Kingdom experienced a continued decline in shopper footfall in 2024, reflecting an ongoing shift in consumer behavior. Economic challenges, evolving shopping preferences, and the increasing appeal of online platforms have significantly influenced retail dynamics. Retail parks, offering free parking and larger store options, emerged as relatively stable spots amid the overall downward trend.
Why did foot traffic drop during the holidays?
Recent data from the British Retail Consortium (BRC) and Sensormatic revealed that footfall during the three months ending December 28 fell by 2.5% compared to the same period in 2023. On an annual basis, traffic declined by 2.2%. These figures mark the second consecutive year of decreasing in-store visits within the UK, with the holiday season—traditionally a peak shopping period—offering little reprieve.
Shopping centers and high streets bore the brunt, with footfall dropping by 3.3% and 2.7%, respectively, during the five weeks ending December 28. Retail parks saw no year-over-year change, underlining their relative resilience. BRC Chief Executive Helen Dickinson commented, “High streets and shopping [centers] were hit particularly hard throughout the year as people veered toward retail parks to take advantage of free parking and the variety of larger stores. Even the Golden Quarter, typically the peak of shopping activity, provided little relief, with footfall down over the period.”
How could retailers address declining foot traffic?
Retailers are being urged to innovate as they face these challenges. Andy Sumpter, retail consultant EMEA for Sensormatic, noted,
“Retailers will now need to look afresh to 2025 and chart a course to adopt innovative strategies to reverse this trend or [maximize] the sales potential of fewer visitors, finding new ways to make each store visit count.”
Declining foot traffic poses a challenge, but it also provides an opportunity for retailers to refine in-store experiences and better integrate their physical and digital sales channels.
This trend aligns with broader consumer sentiment reported throughout the year. Factors such as higher energy bills, low consumer confidence, and shifts to online shopping due to convenience and cost-efficiency have all contributed to declines. Data from MRI Software revealed that Boxing Day footfall in 2024 dropped 10.1% on high streets and 6.1% in shopping centers compared to the prior year, further solidifying this trend.
Compared to pre-COVID levels, the shift is even more striking, with in-store visits down by 22.7%. The pandemic appears to have accelerated the adoption of eCommerce, leaving lasting impacts on traditional retail patterns.
Reports from earlier years had already highlighted the growing preference for online platforms and retail parks. The 2023 holiday season also saw minimal improvement, indicating that the challenges for high streets and shopping centers are persistent rather than temporary. This continuation of declining footfall underscores an urgent need for strategic reinvention among retailers.
The latest data emphasizes that retailers must adapt to shifting consumer behaviors if they want to remain competitive. Strategies such as improving the in-store experience, leveraging data analytics to personalize customer interactions, and enhancing the alignment between physical and online retail could help address these challenges. Retailers who successfully navigate these shifts may find new opportunities despite fewer in-person visitors.
