Without wishing to add to the 'Blue Monday' effect this week, it appears as though the retail sector has reached that dreaded slump for 2012 already. At only part way through January, we're sad to report that this year has already seen many a high street retailer go into administration.
Yesterday saw female fashion chain and big retail player Peacocks fold putting 9,600 jobs at risk with the closure of its 611 stores. Affiliated company Bonmarché also filed an intention to appoint administrators on Monday but is in the process of seeking a buyer. Meanwhile last week, lingerie chain La Senza collapsed triggering 1,300 redundancies, gifts retailer Past Times entered administration and outdoor supplier Blacks announced the same at the beginning of the month.
Whilst the gloomy news continues further, in that even Britain's No2 retailer, Next, has cautioned modest sales and profit growth for 2012 and electronics chain Dixons reported a 5% sales drop over the past few months, we can't deny the depressing truth that overall things are not looking bright for the UK highstreet.
So how do we get to the bottom of this? Theories span the weird and the wonderful but the one we're backing is the boom of online. With reports that online sales leapt by more than 18% over the festive period, online-only retailers going from strength to strength with less overheads, more convenience and the new market at their fingertips. It appears the preferred shopping experience is shifting; instead of trawling around shopping centres and getting caught in the blustery English weather, many consumers are showing preference for shopping from the comfort of their armchair in front of the telly. And what does this tell us about today's society and it's overly lazy tendencies? Well that's a whole other topic all together.