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Looking into 2022 The start of 2022 does look as if it will be starting with a degree of uncertainty due to the Omicron variant. By now, all retailers are used to implementing Covid-19 regulations in their business, and hopefully the government actions on vaccine boosters will avoid further restrictions, alongside the dreaded lockdown scenario which we know all too well. Even without a new variant to deal with we were looking at the new year Inset: Bira’s Andrew with a degree of trepidation due to the Goodacre with Bira members cumulative negative impact of business David and Ione Crossley of Salamander Cookshop costs increasing – wages, energy, supply chain and rates (even with (see pages 18-21) at a 50% discount!). The Excellence in Housewares Awards 2021. Bira is in constant communication with BEIS (the Department for Business, Energy and Industrial Strategy, which essentially is the government's department for business) about the rising cost of being in business. We want to see more done to protect the high street from these external factors that are beyond the retailer’s control. Despite the nervousness about the rising business costs, we believe there is room for optimism in 2022. Last year we asked for more investment in infrastructure and the budget contained commitments to significant investment in public transport and high street infrastructure. We have also asked for more investment in skills for retail and the funds for improving both management and technology skills are still available. The final positive news from the budget was the retail discount, which was set at 50% for 2022/23. While this is an increase in real terms (see “Mixed reaction’ news), it is still very welcome and the new eligibility criteria will allow many more independent businesses to claim this discount. I believe that these government measures will enable businesses to take advantage of the continued resurgence in local shopping in 2022. This has been one of the positive trends from the pandemic, and all the research suggests it is set to continue into 2022. However, local shops cannot take this demand or their customers for granted, and so the retailer needs to re-double their social media activities and deliver great service to customers to really stand out. There is no doubt that 2022 will be a period of change for retailers, and whatever changes businesses are considering need to be done ‘through the lens of sustainability’. Being a sustainable retailer is really important, and local retailers are in a good position to achieve that with short, local supply chains. I see the drive towards zero carbon as an opportunity, not just a cost. The shoppers, especially the younger ones, are very aware of the environment and want to shop sustainably. These retailers who improve their green Inset: ‘Shop local’ balloons in credentials (with no green washing) will benefit.
Andrew Goodacre, ceo, Bira
Stoke Newington (home to Bira member Prep Cookshop, see page 17).
(British Independent Retailers' Association)
Below: More indies boycotted Black Friday 2021.
Indies boycotted Black Friday While some prominent independent cookshops and housewares stockists promoted Black Friday deals at the end of November, according to Bira, overall participation in the sales event dropped for 2021. Having conducted a survey of its members across retail sectors, including cookshops and housewares stockists, Andrew Goodacre, ceo of Bira reported prior to the event: “From our research, around 85% of independent retailers are not participating in Black Friday, which is higher than ever before. We have always known that independents don’t see much value in this event.” He elaborated:“The main reasons for them not wanting to take part in this, is because they either don’t agree with this idea, there are higher prices, and there is also insufficient volume to make the large discounting work. They also need to preserve their margins. Coupled with many of our independents experiencing supply chain issues, this has proved to be a real challenge.”
Mixed reaction
Covering up
Bira’s reaction to the recent Autumn Statement was mixed, with ceo Andrew Goodacre highlighting that “more could have been done” to help independent retailers, especially when “considering all the other inflation-busting increases.” He also pointed out that the 50% rates reduction is an increase in payments, explaining:“The rates bill for this year was reduced to 25% (of normal levels) in response to Covid. Therefore, reducing rates by 50% next year is in fact a 100% increase on what businesses are actually paying.” Meanwhile, Bira welcomed “the use of rates relief to encourage investment in properties and the shorter time periods between rates reviews.”
Bira welcomed the government’s decision to re-introduce face coverings inside shops from November 30. Bira’s ceo Andrew Goodacre stated:“We support the wearing of face coverings in shops in England and we are pleased that a decision has been made to keep everyone safe and stop the spread of the new variant.” He pointed out that Bira members were “well used to these measures,” and that, “Fortunately, indie retailers followed our advice and left measures such as Perspex screens in place.” Andrew also expressed the hope that members of the general public will act responsibly and wear face coverings “without any objections.”
Inset: Christmas shoppers needed to wear face coverings from the end of November. Photo by Pavel Danilyuk.
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HOUSEWARES
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