In a challenging retail landscape, French specialist chains faced stagnant growth in November. Despite hopes for a year-end recovery, Procos, the retail association, reported a minimal 0.3% increase in sales across sectors such as fashion, home decoration, and sportswear compared to the previous year. This marginal growth was overshadowed by a 3% rise in retail prices, leading to a decline in volumes sold.
Even during the highly anticipated Black Friday sales, specialist retailers saw only a modest 0.4% increase in sales compared to the previous year.
In November, the beauty and wellness sector emerged as a bright spot, experiencing a robust 7.5% growth in physical sales. Specialized food stores followed with a 3.5% increase, while fashion retailers and sportswear chains navigated modest growth and downturns. Home decoration and footwear chains faced more significant challenges, witnessing declines of 4.2% and 4.8%, respectively.
While overall in-store revenue for French specialist retailers increased by 1.7% between January and November 2023 compared to the same period in 2022, volumes sold declined by approximately 1.5%, according to Procos. Notably, the beauty and wellness sector outperformed others, showing a 10.7% revenue increase, while fashion, footwear, culture-gift-toys, and home decoration faced varying degrees of decline.
Online sales for specialist chains in France displayed limited growth, with e-tail revenue increasing by only 0.6% in the first 11 months of the year.
As the year concludes, Procos acknowledges the challenging business environment and urges retailers to prioritize minimizing operating costs. The association emphasizes the importance of landlords understanding the circumstances of their retail tenants during these trying times.
