According to Svensk Handel's latest Style Index, clothing sales increased by 6.7 percent in July compared to the same month last year. Shoe sales experienced more moderate growth, reporting a 1.9 percent increase.
During high summer, many retailers are working intensively on their seasonal campaigns to make room in their inventories, and at the same time, trade in cities has benefited from an increased flow of foreign visitors.
It is pleasing that fashion retail continues to develop positively. July is a sale month and many consumers take the opportunity to shop during the summer sales. Our member companies also report more tourists than usual in the stores, which may also have contributed to the strong sales, says Sofia Larsen, CEO of Svensk Handel.
Online Sales Outpace Brick-and-Mortar for Clothing
When breaking down sales channels, the differences between product categories become clear. For clothing retail, e-commerce accounted for the highest growth with an increase of 16.2 percent, compared to the 4.9 percent increase in physical stores.
For shoes, the pattern was reversed. Consumers more often chose the physical store, which increased by 2.7 percent, while online shoe sales decreased by 6.4 percent.
More Expensive Goods Attract the Most Buyers
Regarding price levels, it was the more expensive goods that attracted buyers in July. The premium segment reported a sales increase of 8.7 percent. This was followed by the low-price segment with 6.1 percent and the mid-range segment with 5.4 percent.
Premium is the category that has seen the highest increase from the beginning of the year, with a total increase of 6.3 percent. The sector is now looking ahead and assessing the conditions for the upcoming autumn trade.
After several tough years, we are now seeing more and more signs that the Swedish economy is moving in the right direction. When households have more room in their wallets, it creates better conditions for consumption and for the recovery of trade. The July figures are a welcome sign of strength and we now hope that the positive development will continue into the autumn, because if there is one thing we have learned, it is that the situation can change quickly, says Sofia Larsen.