Clothing and Footwear sales rise during November.

According to official data, during November the clothing and footwear sales rose 1.5%. However, total retail sales fell by volume and value during this month. The sales had fallen by 0.2% by value month-on-month, and 0.3% by volume. However, having said this, the sales had gone up 2.7% by value year-on-year and were ahead 3.1% by volume.

At non-food stores, mainly at non-food shops the value had risen 1.1%. Non-specialized stores were ahead by 3.1%. However, other types of stores were down 1.9%. Also, non-store retailing, including online sales, were up by 9.9%.

Deloitte head of retail consulting said that, whilst consumer spending has been resilient in 2009, confidence remains fragile and with the VAT increase starting on January 1, consumers realize that 2010 will bring difficulties to their finances. So, therefore, while there is an increase in financial issues, there will be an increase in the influence of purchasing habits and a larger affect on the consumers spending.

Some were surprised by these figures, as there was expected to be an increase in sales over the Christmas period and with the new ideas of retailers over this period.

The change in depressing weather throughout November seemed to dampen demand for winter clothing, but retailers of household goods continued to benefit from a growing appetite for the big-ticket items, before the increase in VAT.  

However, new results seem to show that sales have increased during December, but it is predicted that the VAT rise will displace the demands for big-ticket items from the future. However, the future seems unsure and challenging for retailers after the rise in VAT on January 1.