Insight: tourists profit from plummeting pound
With the sharp fall in the value of the pound, new figures have shown that UK retailers are benefiting from a post-Brexit climate where international consumers flock to bag a British bargain.
According to latest figures from Worldpay, growth in foreign card spend increased by 5.8% in the ten weeks following the EU referendum compared to the previous 10 week period. Whilst 6% of the growth increase was witnessed by traditional bricks and mortar retailers, online sales also jumped by 2% over the same period.
The data also reveals an increase in average value transaction on foreign cards. Online retailers had the biggest boost, with average basket values rising by 15.7% to £132.91. Meanwhile, foreign visitors to UK high street retailers spent an average of £45.61 per transaction, a rise of 14.7% compared to pre-Brexit spending.
Dave Hobday, UK managing director of Worldpay, said: “There are clear opportunities for businesses to thrive in the post-referendum environment – the time is ripe to export, but it is vital that business owners take action.
“By continually investing to make their businesses more attractive to global customers, UK retailers could make serious gains from the pound’s performance. Careful, strategic thinking and a multi-channel approach will enable businesses to capitalise on the current demand for British products, and make their mark overseas.”
