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    Store Prices Rose In June

    2011/7/8 10:49:00 31

    Shop Price

    The British Retail Association announces the June 2011 Nielsen Shop Price Index (Nelson Price).


    Stephen Robertson, director general of the British Retail Association, said: "family budgets are under pressure." Stephen Robertson said.

    The actual disposable income declined by 34 years, but the increase in gasoline and energy costs, coupled with low wages, was the main reason for the decline in real disposable income.


    "

    Shop

    The rate of increase in prices has lagged behind the broad consumer price index.

    Overall, the rise in store prices is driven by soaring world commodity prices, and the impact of sterling weakness on import costs and higher VAT is beyond the control of retailers. "


    "The latest round of competition in retail management shows that consumer spending is very weak," he said.

    Retailers use discounts and sacrifice profits to stimulate sales.

    Sales started earlier this year, especially clothing and footwear, which is cheaper than last year. "


      

    Retailer

    They are fighting for shrinking household income. In 2010, household real incomes fell for the first time in 30 years. Retailers compete for family income through promotions and discounts.

    In clothing, footwear and electrical appliances sales, this practice is very obvious. From the beginning of the year, the prices of these two commodities decreased by 2.5% and 3.3% respectively.


    In May, the annual shrinkage rate of clothing and footwear commodities accelerated to 2.5% and 2%, the highest deflation rate since August 2010.

    Clothing accessories and baby clothing have the highest inflation rate.

    But the deflation rate of men's and women's clothing and footwear has accelerated.

    Clothing Accessories

    And infant clothing inflation.


    Input cost pressure slowed, cotton prices fell 25% in the past 4 months, though still high.

    The acceleration of deflation in June was mainly due to the fact that sales promotion started earlier this year and retailers were trying to stimulate consumer demand.

    According to the recent PwC report, 70% of the stores sell through window displays, compared with 60% last year.


    From a month to year basis, the price in June increased by 0.1%, while in the first three months it continued to decline.

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