UK. Network Rail’s retail sales climbed by +6.16% year-on-year in the 12 months to March 2015, outstripping UK High Street retail growth of +0.61% in the period (as measured by the British Retail Consortium).
Network Rail’s sales have increased for 12 successive quarters, with like-for-like figures showing growth in the period from January to March of +6.26% year-on-year, compared to a rise of +1.3% by those on the high street.
Network Rail said that its 18 stations across the UK are “benefiting from changing consumer habits” with 64.5 million station users visiting a retail unit in the last quarter. This is a 500,000 increase on last year and means more than 30% of station visitors are choosing to visit a retailer, claimed Network Rail.
London stations were the best performing for the quarter with Cannon Street (+19.7%), Waterloo (+16.6%) and Euston (+13.1%) recording the highest growth across Network Rail’s estate. Outside London, Birmingham (+12.5%), Leeds (+8.5%) and Liverpool Lime Street (+7.7%) all recorded above-average growth.
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More than 30% of station visitors visited a retailer in the last quarter, with sales up sharply year-on-year |
From a retail category perspective, gifting, books and bread achieved the highest gains in London, while specialist food, bread and coffee recorded the largest sales growth outside the capital.
Network Rail Director of Retail Hamish Kiernan said: “Our retail strategy is enabling us to respond to changing consumer needs and these figures are further proof that it is delivering the retail experience that passengers and station users want.
“We’ve also seen great success where external factors have played a part. The Paddington Bear shop at Paddington station has doubled its sales for the quarter thanks to the success of the terrific Paddington movie.”
He added: “Our stations are such an intrinsic part of British life. If we can build upon any association with trends of the day like Paddington or Harry Potter, we see that success reflected in our results. We can then return any profits back into the running of the railway to make things even better for the future.”
Network Rail plans to increase retail space across its estate by over 300,000sq ft in the next five years.
Kiernan continued: “We’ve just opened new food & beverage units Itsu and Mi Casa Burritos as part of the Euston Station Balcony Development Scheme with more brands including Junction Urban Street Food to open in the coming weeks.
“At the same time we’re working on stage two of a major new development at Birmingham New Street, which is set to finalise the transformation of this vital transport hub.
“We’re also planning further investments at Paddington and Liverpool Street. All of these projects are aimed at making journeys safer and more efficient for passengers, while providing great places to meet, eat, shop and travel.”
