This morning’s numbers from John Lewis department stores are very positive. After weeks of weak numbers, Black Friday seems to have been good for the Partnership. And the 2017 comps were very demanding too. But no one should start extrapolating to the wider market and thinking Black Friday (BF) was a raging success. Across the retail market for now, beware claims of apparent trading success. They are likely to be a form of virtual reality.
Analysing Black Friday independent of Christmas is a luxury only non-retailers can indulge in. The two are inextricably bound together. Christmas trading patterns in UK retail have changed materially since this most crazy of all US imports has kicked in. Sucking business out of December and into mid-November will obviously impact fundamentally trade over the Festive Season.
Then there are returns. A significant proportion of BF sales will be returned. This is only starting to happen this week, and it will continue. I do not believe any sensible evaluation of BF trading can be made until Christmas returns have fed through too, and the whole period can be seen. And then we into the season of Christmas Trading Statements, and we all know how imaginative they can be!
So while we can say well done to John Lewis for this week’s number, they should be treated with huge caution and not over thought. Across the retail market for now, beware claims of apparent trading success. They are likely to be a form of virtual reality.
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