The Changing Face of the UK High Street: Forecasting the future for 2020 Professor Cathy Parker @placemanagement #HSUK2020 Our partner HSUK2020 towns: Alsager, Altrincham, Ballymena, Barnsley, Bristol (St George), Congleton, Holmfirth, Market Rasen, Morley and Wrexham 100,000 ! An academic study. Why bother? People do not want to go into six different shops for six different articles; they prefer to buy the lot in one shop. The American Grocer, 1892 For better or worse this distributive revolution is carrying us away from shopkeeping to mass distribution McNair, 1931 Change in retailer location 2000-11 Out of town up 50 million square feet Town centre down 46 million square feet Department for Transport 2011 Online share of home retailing 2014 Poland France Europe av Germany UK 0.00% 2.00% 4.00% 6.00% 8.00% 10.00% 12.00% 14.00% 16.00% Centre for Retail Research 2013 Online retailing 16% pa £52 bn in 2015 M-retailing 62% this year £7.92 bn Centre for Retail Research 2013 Town centre share of retail spend 2000 49.4% 2011 42.2% 2014 39.8% Parliament 2014 The response • • • • • • • Vital & Viable Town Centres Planning Policy Guidance/Statements Business Improvement Districts High Street Britain 2015 The Portas Review Understanding High Street Performance Future High Streets Forum Place management Nature of place management schemes IPM 2009 What causes High Street Change? What influence do individual locations have? 10000 studies found 2345 after clean up 923 ‘retail’ highlighted 253 town centre/high st 173 studies reviewed Mostly from UK and Europe Focus of data City Centre Town Centre High Street Neighbourhood Centre District Centre Suburban Centre Out of town Centre 166 factors influence performance And if 166 factors were not enough….. • Partner towns identified 50 additional factors that influence the High Street • 33 additional studies reviewed • 201 factors finally identified, but: – how much influence does each one have? – what should towns be focussing on? The Delphi Technique The Delphi method is unique in its method of eliciting and refining group judgement as it is based on the notion that a group of experts is better than one expert when exact knowledge is not available. (Paliwoda, 1983). 22 Experts participated Practitioner Academic Major retailer Manchester Metropolitan University Shopping centres owner University of Leicester Urban consultant University of Dundee Retail letting agency University of Ulster Urban policy group Oxford University Trade association University of Manchester Professional body University of Liverpool University of Portsmouth University of Loughborough Consensus reached on 1. How much influence each factor has on the vitality and viability of the High Street 2. How much control a location has over the factor 4 Amount of influence location has over factor Child-minding centre Opening hours 3.5 Deliveries Leadership 3 2.5 2 Political climate Methods of classification 1.5 Spatial structure Location 1 2 2.5 3 3.5 4 4.5 Amount of influence factor has over vitality and viability 5 Amount of influence location has over factor 4 Child-minding centre 3.5 Opening hours Not worth it! Get on with it! Deliveries Leadership 3 2.5 2 Political climate Methods of classification 1.5 Forget it! Live with it! Spatial structure Location 1 2 2.5 3 3.5 4 4.5 5 Amount of influence factor has over vitality and viability Top 25 priorities 3.900 APPEARANCE How much town can influence factor 3.700 3.500 3.300 NECESSITIES PLACE MARKETING EXPERIENCE PLACE ASSURANCE NETWORKS & ACTIVITY HOURS ENTERTAINMENT AND PARTNERSHIPS MANAGEMENT LEISURE WITH COUNCIL RECREATIONAL MERCHANDISE Anchor stores SPACE VISION&STRATEGY RETAILERS WALKING DIVERSITY ADAPTABILITY Chain vs independent Safety/crime 3.100 LIVEABLE ATTRACTIVENESS Comparison/convenience Barriers to Entry 2.900 ACCESSIBLE 2.700 3.300 3.500 3.700 3.900 4.100 4.300 How much factor influences vitality and viability 4.500 4.700 Forecasting the future for your High Street The HSUK2020 Model of High Street Change Spatial Macro Meso Micro Data • • • • Footfall supplied by Springboard 62 UK towns and cities 30 months of footfall (2012-2014) 563,828,709 people counted! Spatial factors Location Distance to centre Size/Type of town Spatial structure Towns can’t do anything about these factors! Towns in NW & NE have 10% less footfall than expected Macro factors Economy Consumer trends Business rates Ageing population Technology Retail planning policy Towns can’t change these on their own 25% decline in footfall in last 3 years (internet shopping and recession) We predict 21% decline by 2020 Meso factors Barriers to entry Competition (other towns) Comparison/Convenience Out of town shopping Tenant variety Vacancy rates Towns interact with these/have some Influence A stronger or OOT centre within 10 miles account for 30% less footfall Micro factors Cleanliness Visual appearance Networking Opening Hours Attractions Centre Marketing Amenities Car-parking Entertainment Leadership Our model predicts that micro factors explain up to 37% of variation in footfall 4.50 4.00 3.50 3.00 2.50 2.00 1.50 1.00 0.50 0.00 Delphi Average RESULTS from #HSUK2020 towns Spatial Macro Meso Micro Partnerships have 64 % of potential influence they could have (losing 13.3% footfall) “..lively, diverse, intense cities contain the seeds of their own regeneration…”