Quarterly Market Analysis Report

Latest Quarterly Market Analysis report shows charity retail sector resilient to “Beast from the East”

In the latest Quarterly Market Analysis Report published by the Charity Retail Association today (1 June 2018) saw a small year-on-year rise in like-for-like income (including Gift Aid tax reclaims) for the period for January to March 2018.

This was achieved despite extremely poor weather conditions experienced in the quarter, which included the “Beast from the East” and “Storm Emma”. Both storms discouraged shoppers from making store visits and caused disruption to traders, including temporary closures, reduced trading hours and fewer donations.

The growth of income (excluding Gift Aid) of 0.2 per cent, rose slightly on the corresponding quarter in 2017 (-0.01 per cent). However, breaking down the chain size within this small rise, very small and medium outlets (+3.4 per cent) outperformed large (-2.2 per cent) and very large chains (-1.6 per cent).

Like-for-like customer sales fell 0.5 per cent. This like-for-like sector figure outpaced in-store non-food retail sales across the UK, with a published comparison of -4.0 per cent for the quarter.

Donated goods sales fell by 1.0 per cent on a like-for-like basis, down from 0.9 per cent increase seen 12 months prior.

Other highlights from the report include income from recyclers to charity shops again showed healthy growth, with a 17.2 per cent year-on-year increase.

More than 5,000 charity shops are represented in the latest survey, with 48 per cent of respondents reporting positive growth, down by seven percentage points from the corresponding quarter 12 months ago.

Charity Retail Association CEO, Robin Osterley, said: “During the first quarter of this year poor weather conditions in most of the UK made trading difficult but the sector responded well.

“Income from recyclers is also healthy but this revenue stream is inherently more volatile, so we are pleased that core retail activities are more than holding their own.

Our members can download the full report and RAG price survey in the members’ section of this website.