The resurgence of in-person shopping is set to continue into 2025, a new survey has revealed, as a generation of savvy, younger shoppers is breathing new life into brick-and-mortar retail stores.
According to the latest research by Lightspeed Commerce Inc., the one-stop commerce platform empowering merchants to provide the best omnichannel experiences, nearly eight in 10 Brits (79%) currently shop in physical stores, with four in 10 planning to increase their shopping on the high-street in the coming year.
The research has identified four key shopper trends that could impact the British high streets in 2025.
Gen Z
Gen Z are the most optimistic age group of the nation, with almost a quarter (24%) of Gen Zers spending more money now than they did 12 months ago, and with 28 per cent saying they make more impulsive purchases, thanks to social media.
#TikTokmademebuyit reigns true as it is the platform with the biggest influence in social purchases amongst this age group (59%), followed by Instagram (53%), and Facebook (24%). Nearly one in three (31%) of Gen Z respondents will be influenced by what they see on social media and subsequently head to the high street to find the item they’ve seen on social media.
AI-enhanced experiences
The research reveals a growing appetite for AI-powered shopping solutions among British shoppers, with 35 per cent identifying as a ‘Personal Shopper’. These consumers look for curated, brand-driven shopping experiences, and 32 per cent are comfortable with AI being integrated into their shopping experience.
Looking ahead to shopping in 2025, AI-powered personalised discounts top the list of what excites shoppers, with 39 per cent looking specifically for tailored promotions. Other in-store innovations, such as self-checkouts (41%), and virtual fitting rooms (26%) are also seen as a pull for tech savvy shoppers.
Preloved items
There’s a surge in secondhand goods, with those under-45 being the most likely group to shop for pre-loved or reconditioned items, primarily driven by cost-effectiveness (61%) followed by environmental concerns (35%). With recurring fashion trends and growing opposition to fast fashion, nearly a quarter (24%) of shoppers are now buying second-hand or refurbished goods, which is set to continue into 2025.
‘Deals Shopper’
70 per cent of consumers surveyed identify themselves as 'Deals Shoppers' meaning they actively seek out discounts, offers, and promotions, such as taking advantage of 2-for-1 deals (51%), switching retailers for better prices (39%), and waiting for sales (24%) before hitting the high street.
“It’s encouraging for retail businesses to hear that people are looking to shop in store next year, and even more exciting to know that they can make strides in converting business by taking steps to look at what ‘makes’ the shopper experience,” Liam Crooks, managing director of EMEA at Lightspeed, commented.
“From simple and easier AI powered tech, to personalised deals and offers to show they really know their customer, and understanding the motivations around ethical purchases, retail in the UK can once again thrive in 2025.”
A convenience store owner in Warwickshire has been sentenced for supplying and intent to supply nitrous oxide.
Vijayaratnam Kugathasan who runs All in One, a convenience store on Blackwood Avenue in Rugby has been sentenced for two offences of supplying nitrous oxide and one offence of possession with intent to supply nitrous oxide.
Warwickshire County Council Trading Standards launched an investigation after Rugby Borough Council’s community safety wardens reported local community concerns that the store was selling nitrous oxide (often known as laughing gas) for recreational use as a psychoactive drug.
Undercover trading standards officers (TSOs) confirmed this by purchasing nitrous oxide cannisters from the shop, together with balloons (used to inhale the gas) and cracker devices (used to open the cannisters) on two occasions.
TSOs and Warwickshire Police then carried out a shop inspection and seized 384 small cannisters of nitrous oxide, seven large fast gas nitrous oxide cannisters (and nozzles), 20 cracker devices and multiple packets of balloons.
At Warwick Crown Court on Nov 27, Kugathasan was sentenced to an 18-month term of imprisonment, suspended for 12 months, and ordered to complete 240 hours of unpaid work. He was also required to pay £2,000 towards prosecution costs and pay a victim surcharge.
Kugathasan had pleaded guilty to two offences of supplying a psychoactive substance and one offence of possession with intent to supply a psychoactive substance under the Psychoactive Substances Act 2016 at a previous hearing.
On sentencing, HHJ Campbell, presiding, said Kugathasan had hidden the drugs under the shop counter and in bin bags and had no doubt he knew he was selling nitrous oxide illegally to the public. She further stated that nitrous oxide is illegal to sell to the public because it is dangerous and particularly to those with respiratory issues and its use had contributed to a fatality.
Warwickshire County Councillor Andy Crump, Portfolio Holder for Community Safety said, “I’m delighted that our Trading Standards Service acted quickly and decisively after concerns were raised by the local community that this Rugby store was selling nitrous oxide.
"This prosecution will help protect the health of Rugby people and sends a warning that the sale of nitrous oxide for recreational use will not be tolerated.”
In mitigation, Mr Halepas, representing the defendant said that his client had both pleaded guilty and co-operated with Trading Standards by providing business records and invoices. He further stated that Mr Kugathasan had now lost his good character.
The Judge ordered forfeiture and destruction of the psychoactive substances and paraphernalia seized by Trading Standards.
Representatives of leading wholesalers on Tuesday (3) met more than 50 MPs, introducing them to the wholesale sector and setting out some of the most pressing challenges facing members.
Set against the backdrop of the Chancellor’s recent budget, the parliamentary “drop-in” event brought together the senior political figures from across the spectrum to meet with representatives from the Federation of Wholesale Distributors (FWD) membership and their suppliers.
With 335 MPs elected for the first time during July’s election, the event provided an invaluable opportunity to discuss wholesale’s central role in driving growth as the sector continues to add £3bn of gross value to the UK economy annually.
Those in attendance included Chair of the Energy Security and Net Zero Committee Bill Esterson MP, former Chief Whip Wendy Morton MP, and Deputy Speaker Caroline Nokes MP, meeting senior wholesalers from Bidfood and Brakes, and suppliers Diageo, Suntory and PepsiCo.
Commenting on the event, FWD Chief Executive James Bielby said, “With many new faces returned to Parliament in July, our parliamentary drop-in event was a fantastic opportunity to showcase the essential role our members are playing in driving economic growth.
"The incredible interest and support we received on the day from MPs is a testament to the work of our members and a recognition of the critical role they play in serving the public sector.
“With 60,000 people directly employed in our industry, every day, our members serve the nation in often difficult economic circumstances. Yesterday was therefore an excellent opportunity to talk through several pertinent policy areas, including business rates, wider Budget implications, and wholesale crime.”
“Over the coming months, I look forward to expanding our network through wider engagement in Parliament to champion the issues that matter most to members so they can continue to supply high-quality food and drink across our country.”
East of England Co-op has extended its relationship with NCR Atleos Corporation to provide ATMs through the Cashzone Network across its stores.
With over 200 branches, the independent co-operative operates food, travel, funeral, security and property businesses across five counties in the region.
NCR Atleos and East of England Co-op have built a successful relationship over the last 11 years. By deepening this relationship to utilise Atleos’ Cashzone ATM Network, the retailer expects to enhance its ability to provide surcharge-free, reliable, secure, and convenient cash access across its stores.
NCR Atleos operates more than 16,000 ATMs through the Cashzone Network across the UK.
“Atleos has helped to provide our members and customers with easy access to cash,” said Andy Rigby, chief operating officer at East of England Co-op. “Not only does this expanded collaboration provide another great reason for local people to visit our stores, but it also reinforces our commitment to inclusion and community support across our region.”
Diego Navarrete, executive vice president, global sales for Atleos, added: “We’re proud to continue working with East of England Co-op as they extend their ATM services through our Cashzone Network. Our ATMs not only provide critical access to cash but also help retailers strengthen brand loyalty and their connection with local communities.”
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Scottish finance secretary Shona Robison presents the government's budget at Scottish Parliament building on December 4, 2024 in Edinburgh.
Scottish finance secretary Shona Robison announced business rates relief for pubs and restaurants in the budget presented on Wednesday, passing over the retail sector.
Terming this a ‘damaging blow’, the Scottish Grocers Federation (SGF) has urged the government to extend the business rates support to retail as well, replicating the 40 per cent relief announced for retail, hospitality, and leisure businesses south of the border, in the UK Budget.
SGF also welcomed a direct, although minor, uplift in police resource to target retail crime.
Robison told members in the Scottish Parliament that support available through the Small Business Bonus Scheme would be protected in 2025. Poundage will also be frozen for another year and 40 per cent rates relief announced in the UK budget will be passed on to the Scottish hospitality only, leaving key local retailers without the same level of additional support this year.
On retail crime, announcements in the budget were only a partial win for Scottish retailers, SGF noted, while welcoming the direct additional funding of £3 million for Police Scotland to tackle the growing issue of retail crime. The trade body said much more will be needed to have a meaningful long-term impact.
“We are very disappointed that the Scottish government has failed to recognise the need to support local retail and small businesses across Scotland,” SGF chief executive Pete Cheema said.
“Convenience stores provide an essential local service for their communities, and they have a great potential to drive growth across the Scottish economy. For those reasons, while we welcome the freeze on the basic rate, we are calling on the finance secretary to extend the same support on business rates to include retail. To match what is being delivered to both retail and hospitality in England but only hospitality in Scotland.
“While we welcome the additional direct support for Police Scotland, to get to grips with the devastating impact of retail crime, £3 million will only go so far. Crime is the biggest issue facing our sector. Many stores are facing endemic levels of crime. Not just theft, but violence and abuse on a regular basis. Much more will be needed if we hope to reverse that trend before matters get even worse for staff and businesses. The announcement today may be too little too late and will only go so far to alleviate the pressure on businesses and the Scottish justice system.”
The UK government is banning daytime TV adverts for sugary foods like granola and muffins in its battle against child obesity, branding such popular items as junk food.
Under measures unveiled on Tuesday, ads showing "less healthy" food and drinks will only be allowed to be aired after the 9:00 pm watershed from October next year.
According to the NHS, obesity is rising among British kids with one in 10 four-year-olds now considered to be obese. And one in five five-year-olds suffers from tooth decay from eating too much sugar.
Also included on the government's list - which uses a scoring system based on each item's sugar, fat and salt content - are pre-packaged popular sugary breakfast foods such as croissants, pancakes and waffles.
"Breakfast cereals including ready-to-eat cereals, granola, muesli, porridge oats and other oat-based cereals" are included, the government said.
Also on the banned list are products such as chickpea or lentil-based crisps, seaweed-based snacks and Bombay mix as well as energy drinks, hamburgers and chicken nuggets.
But the new restrictions will not apply to healthier options such as natural porridge oats and unsweetened yoghurt.
The government hopes the new measures could help prevent some 20,000 cases of childhood obesity a year.
"Obesity robs our kids of the best possible start in life, sets them up for a lifetime of health problems, and costs the NHS billions," Health secretary Wes Streeting said.
"This government is taking action now to end the targeting of junk food ads at kids, across both TV and online."