SCOTLAND'S high streets saw a jump in sales last month as shoppers took advantage of bargains and discounts following a slow run-up to Christmas.
Like-for-like sales in January were 3.5 per cent up on the same month last year, partly boosted by demand for fruit, vegetables and fresh food as consumers went on a new-year health kick.
But experts said this year would still be tough for retail
ers as shoppers cut their outgoings.
Fiona Moriarty, director of the Scottish Retail Consortium, said: "Consumers tightened their belts physically as well as metaphorically. They were spending, but often on items in the sales.
"It was a case of new year, new regime for customers. Tougher conditions for personal finances meant customers reigned in spending. The apparent upturn in Scottish sales only came as a result of a lot of price cutting, especially for clothing, footwear and furniture.
"Many Scots also started a new personal regime after Christmas, boosting sales of healthy-eating ranges and superfoods such as blueberries and bio yoghurts.
"It's clear that value will be the watchword for customers and retailers in 2008."
January's like-for-like sales were the best since April 2007, when warm weather and Easter boosted sales, according to the SRC. It said demand for fresh fruit, games consoles and flat-screen televisions drove up sales – but items such as furniture and homewares fared badly. Scotland's performance in January rose just above that of the UK as a whole, which saw 2.6 per cent like-for-like growth.
"It was an increase driven more by volume than value," said Andrew Murphy, managing director of John Lewis in Edinburgh and Aberdeen. "It doesn't indicate the underlying trend. A lot of retailers held sales for the first three weeks of the year and customers will have spent less on items than they might have if they bought in December.
"It is not that shoppers have less money in their pocket than before, but they feel like they have less money because of the wider uncertainty."
In its monthly commentary, the SRC said: "Clearance sales were disappointing for some, and for others were driven by heavy discounting, especially for fitted kitchens and bathrooms and upholstery.
"Food sales picked up after a poor December. Despite some heavy discounting, clothing and footwear remained marginally down on a year ago. Homewares improved but the growth was largely driven by heavy markdowns in clearance sales." The SRC also said the January data was given a boost by the inclusion of an additional shopping day between Christmas and New Year.
Professor John Dawson, from the University of Edinburgh, said: "A strong bounce-back in sales is evident on the surface. But its scale in reality is tempered by a quirk in the timing of data collection, with an additional major day of shopping between Christmas and New Year included in the figures.
"The underlying trend remains a weakening one."
The SRC commentary added: "Food and drink sales picked up strongly. However, part of January's gain reflected higher prices for some cereal-based products which inflated sales in value terms. Fresh meat, fruit and vegetables all sold well.
"Healthy-eating ranges and 'superfoods' such as blueberries and bio yoghurts were popular after the festivities.
"In electricals, flat-panel TVs, laptops and games consoles continued to sell well. Digital imaging, satnav and portable audio were mixed. White goods continued to struggle and smaller appliances were slow."
The full article contains 587 words and appears in The Scotsman newspaper.
