High Streets hit low point

Loyalty to the High Street is waning

In spite of government attempts to encourage consumers to shop in town centres, only a third of shoppers remain loyal to the High Street, with greater numbers favouring out-of-town stores.

Since the mid 1990's, governments have been trying to curb the expansion of out-of-town shopping centres - through measures such as planning permission reforms - but to no avail.

Shopping villages are now booming, especially as they are often the host to many fashion chains, rather than just the DIY shops which used to be predominant.

"The popularity of out-of-town is not diminishing at all," says Richard Hyman, chairman of Verdict Research, which has recently published a report on the sector.

"It is taking a growing share of UK retail sales and it is gaining in popularity."

Out-of-town retail parks are taking a growing share of trade

But others argue that town centre shopping may be about to undergo something of a rebirth.

They point to places such as West Quay shopping centre, which opened recently in Southampton, as evidence that the government's defence of city centres may be beginning to work.

Also, the supermarket chains Tesco and Sainsbury are expanding their High Street brands, partly to cope with people who need to shop near work.

"I see that in some of the major centre the high street is experiencing a real renaissance," says commercial property expert Chris Goddard.

"Smaller towns are tending to struggle and what we are seeing is a pattern of polarisation of activity towards fewer larger centres," he said.

"But in largest centres, like Southampton, I think the prognosis is very good."

However, a new report by Verdict Research suggests increasing disenchantment with the High Street.

Last year, 46% of those questioned said they preferred town centre shopping to travelling out of town.

In 2001, that figure has fallen to 32%.

Research showed that price is the most important factor in deciding where to shop, suggesting that consumers are more willing to travel to seek out the best prices.

Another very significant factor when deciding where to shop is car parking.

Many shoppers find town centre multi-storey car parks off-putting, as they are both expensive and feel unsafe.

Despite government policy and planning restraints, this is one reason why retail parks are thriving, and why shoppers are finding loyalty to the High Street even more difficult to maintain.