“Online transactions account for 40% of nursery’s total market value…”

As 2020 gets underway, GfK’s client insight manager Marco Salerno takes takes a look back at the past year in nursery.

“In 2019, the total babycare market in Great Britain was down by 4% compared to 2018. In the face of Brexit and pre-election uncertainty, consumers were clearly in a ‘wait-and-see’ mode.

In November 2019, the Consumer Confidence Index flatlined at -14 points. At this point we have not seen a positive headline since January 2016, nearly four years ago. Uncertainty is nobody’s friend and we’ve seen this dynamic reflected across most of the durable markets this year, despite a strong Black Friday week when sales were up by 16% compared to 2018, with online sales growing by over 33%.

In fact, online transactions have outperformed in-store sales across all babycare markets and now account for 40% of the total market value, compared to 37% last year. This growth in online sales amounts to a £10m increase, while in-store sales have declined by £35m, a harsh sign of a struggling retail landscape.

For the nursery sector, the stroller category is worth 40% of the total babycare market. In the period across January to November 2019, sales in the category were down by 3.7% in volume (a 3.6% drop for travel systems and 3% for buggies).

Within travel systems, the higher end of the market is struggling, showing a double digit decline on models costing between £400 and £800. The average selling price for travel systems is now £369 – compared to £380 last year.

According to recent news, the retailer landscape is likely to evolve in the near future and both specialists and non-specialist babycare shops will need to focus on catching the consumers’ demand.

Today’s customers have more choices, and also more power over the brands they interact with, than even before. It is no longer enough to simply provide a high-quality product – you’ll also need to be competitive and to be able to deliver an excellent customer experience.”

MORE NEWS
TrendsUKPatAvenue500x500
 
The collaboration combines their strengths and expertise to create a significant presence in the UK market....
MoriNottingHill500x500
 
The sustainable babywear brand has set its sights on high street expansion with the opening of a pop-up shop in London’s Notting Hill this October and a new permanent store in Westfield London this November....
JaneVistaPPSA500x500
 
Jane Pavia-Davies, md of Vista Public Relations, explains why the company supports the Progressive Preschool Awards....
Eloide500x500
 
Featuring woodland animals and plant prints in soft muted colours, the latest collection from design-driven baby and children’s brand Elodie is inspired by ‘The Fairytale Forest’....
GlennMoorePPSA500x500
 
Comedian, actor, Edinburgh Comedy Award nominee and one of the best and most prolific joke writers in the country, Glenn will be taking charge of proceedings at the Royal Lancaster London on Tuesday 12 November....
SmythsHeroToys500x500
 
Smyths Toys Superstores has named a number of preschool brands among its Hero Toys for Christmas 2024....
Get the latest news sent to your inbox
Subscribe to our daily newsletter

The list doesn't exist! Make sure you have imported the list on the 'Manage List Forms' page.