Discounters move into UK shopping malls

According to The Guardian, pound shops, discount fashion chains and fast-food outlets are moving into shopping centres in increasing numbers, changing the face of Britain’s malls.

Budget brands Poundland, Peacocks, Card Factory and Greggs are among those showing the fastest growth in tenancies since 2008, according to a report which monitors 500 shopping centres, showing that a host of discount retailers are spreading from the high streets into shopping malls. They are benefiting from the collapse of Woolworths in 2008, with Poundland – now the fastest-growing retailer in malls – taking over many of its shop units. A report last year showed pound shops had snapped up the biggest tranche of the Woolworths estate.

“The public like their offer,” said one of the researchers. “Because of changes in the market in the last few years, opportunities presented themselves and [budget chains] grabbed them with both hands. A few years ago, it would have been more difficult to find a shop. If Woolworths was still around, would all these variety stores have risen so much?”

There’s also a handy link to Top 10 risers in UK’s shopping centres (have a quick guess before you go to check out the link).

I’m interested in trying to do some further research into some of the economic reasons that are supporting this trend, and the article goes on to identify at least one: it has also emerged that high petrol prices are prompting people to shop less often and more locally. Research from IGD’s ShopperTrack shows that more than half (52%) of shoppers said they would shop less frequently if petrol prices continued to rise, to save on the number of trips they need to make. A similar proportion (50%) plan to use shops nearer to them, and more than two-fifths (41%) said they will do more shopping in supermarkets with petrol stations, as they tend to offer cheaper petrol. Nearly a third (31%) would also consider doing more shopping online to save on motoring costs. Shoppers with young children and those living in the north of England are most likely to be affected by high fuel prices.