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Mixed fortunes in Aberdeen and Inverness as cost of living crisis hits shopper footfall count

Footfall continues to slide across Scotland. Picture by Kenny Elrick
Footfall continues to slide across Scotland. Picture by Kenny Elrick

Good weather and the on-going cost of living crisis has been blamed for falling numbers of shoppers across Scotland.

The country’s shopper footfall growth has yet again been ranked the worst in the UK compared with pre-pandemic levels, according to figures released by the Scottish Retail Consortium (SRC).

However some malls in Aberdeen and Inverness city centres have reported an uptick in trade presenting a mixed picture, although overall figures are depressed.

Ewan MacDonald-Russell, SRC head of policy and external affairs, said good weather and concern about the cost of living appear to have been factors in the decline of shoppers.

Scottish footfall decreased by 16.5% in July, compared with 2019 levels, according to SRC and footfall monitor specialist Sensormatics.

The UK average decline was 14.2%.

There was some less bad news for shopping centres with footfall declining by 19.2%, an improvement on the decline of 19.9% in June.

Linda Stewart general manager of the Trinity Centre who reported increased footfall. Pic by Kami Thomson

Aberdeen-based Trinity Centre manager Linda Stewart said July was a “strong month” with footfall up 4.4% from June and reported a 14% increase year on year.

Meanwhile Eastgate Shopping Centre manager Jackie Cuddy said they had recorded a drop in numbers in July compared to June but that spend was strong and tourism had delivered some trade.

She said: “Although it should be said that conversion is still good as is the average spend so retailers’ sales are generally outperforming footfall.

Jackie Cuddy, Eastgate Centre manager in Inverness

“We are also noticing a good increase in tourists in Inverness both UK and foreign visitors.”

Bring back office workers and cut taxes

Adrian Watson, chief executive of business group Aberdeen Inspired, said the Granite City was not immune from current retail challenges but “things have been busier of late”.

He said: “By and large the local position reflects the wider Scottish picture, and it is still a challenging operating environment for many of our retailers.

“However, several report that things have been busier of late and that customers are dwelling longer and spending more per visit.

“With a retail, hospitality and cultural offering second to none in the north, Aberdeen city centre has much to offer, and we encourage the north-east public to continue to get behind these businesses where they can.

Adrian Watson of Aberdeen Inspired

He added initiatives to support spending and local shopping continued to attract support.

“Reassuringly, the Aberdeen Gift Card continues to out-sell on the previous year and is a great example of where we can all play our part locking in spend in support of our bricks and mortar businesses, at a time where it is never more needed,” he said.

He urged employers to get more people back working at the office rather than from home to help improve footfall.

“Where appropriate, we need to continue to encourage people back into the workplaces as this is clearly playing through in our day-to-day footfall figures and with that spend.

“With spiralling costs to our businesses, we also need to see a more equitable business tax system that supports the city centre and makes it a more attractive proposition to existing businesses and potential new entrants.”

Pressure on high streets

Mr MacDonald-Russell said: “Retailers in the north and north east will be even more anxious as good weather didn’t lead to a rise in retail footfall in July.

“Shoppers are stubbornly staying away from high streets and shopping centres across the region, putting more pressure on the beleaguered high streets of Aberdeen, Inverness, and others.

Ewan MacDonald-Russell, head of policy, Scottish Retail Consortium

“This lack of footfall is a huge concern to retailers as the summer months wane and we move towards an autumn which looks like it will be dominated by consumers concerned about the cost of living crisis.

“Retailers will do what they can to help with that, but especially for those in Scotland’s northern, and therefore coldest and darkest winder regions.

“However, both the UK and Scottish Government need to take action in their upcoming budgets to keep down the cost of living and the cost of business.”

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