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Retailers are set to score a spending boost as Euro 2024 kicks off on Friday with Scotland taking on host nation Germany.
Following weak retail sales growth in May of just 0.7%, a new British Retail Consortium poll of 2,000 UK shoppers suggested the nations’ love of football would translate into additional purchases.
Groceries and electronics were the big winners, as more than one in eight planned to spend more on drinks and snacks, while in excess of one in 20 were eyeing new television screens to watch the games.
The polling also found that 13% of respondents planned to spend more on groceries, beer, wine & spirits, and takeaways to enjoy while watching the Euros.
And 9% planned to host or attend gatherings with family and friends to watch matches.
Younger generations are the most likely to drive up spend, with 24% of the 18-24 year olds saying they planned to spend more on groceries, while only 4% of those aged 55+ planned to do likewise.
The results are part of the British Retail Consortium’s Consumer Sentiment Monitor, supported by Opinium.
Kris Hamer, BRC director of insight, said: “British retailers could score a hat-trick, with boosts to groceries, electronics and official merchandise.
“After sluggish spring sales, shoppers are expected to kick off their summer spending at the Euros. Here’s hoping England and Scotland can make it all the way to the final.”
Morning update
Annual losses have widened at Distil despite double-digit sales growth as cost pressures squeezed margins at the premium spirits supplier.
The owner of the RedLeg, Blackwoods and Blavod brands reported a 15% rise in turnover to £1.5m in the year ended 31 March 2024, with volumes up 8%.
However, margins slipped by four percentage points to 48%, pushing up operating losses from £804k to £1.1m.
Executive chairman Don Goulding said the largest duty increase in 50 years in August 2023 resulted in consumers cutting back on spirits purchases across the industry.
“Against this difficult backdrop, we have seen a continued expansion of our brands in the UK on-trade with our partners,” he added.
“As we look towards the coming year, we are encouraged to see that the market is showing early signs of recovery. We are working closely with our distribution partners in the UK and export markets to ensure that we are well positioned and have increased our marketing activity at a consumer level to stimulate further growth.”
The FTSE 100 opened back up 0.6% to 8197.11pts.
Early risers included Glanbia, up 5% to €19.14, Nichols, up 2.8% to 1,027.6p, and PZ Cussons, up 1.7% to 106.2p.
McBride led the fallers, down 2.5% to 115.5p, while Virgin Wines is also down 1.6% to 46.3p.
Yesterday in the City
The FTSE 100 tumbled 1% to 8,147.81pts on the day the Tories released their election manifesto.
Cake Box shares were flat at 175p as the business revealed a rise in full-year sales and profits.
Risers yesterday included Glanbia, up 8.5% to €18.93, PayPoint, up 1.4% to 566p, and Hilton Food Group, up 1.2% to 861p.
M&S and Just Eat Takeaway were among the fallers, down 3.9% to 297.5p and 3.2% to 1,020p respectively.
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