Markets prove their valuePresentation to Nabma Conference September 21st 2015

Shoreditch Stables, Studio 13138 Kingsland RoadLondon E2 8DW

info@roiteam.co.ukwww.roiteam.co.uk

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Research Tools for retail managers

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Investment into Research for Retail

The UK Markets sector invests less than 1% of overall retail sector spend on research

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Research to support Mission for Markets

1 Next Generation – Who are they ? Where are they ?CustomersTraders and Retail Entrepreneurs

2 New Skills for Market TradersBusiness PlanningProduct Selection

3 New Skills for ManagersOptimising stall selection and offer to customer basePerformance MetricsLocal economic importance

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Research to support Mission for Markets

4 Change in Local GovernmentComparing performance of management models

5 Markets and High StreetsCustomer and visitor habits and wishesWhere customers spendWhat else do customers want ?

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Economic Contribution of Markets

ROI Team commissioned by Nabma and DCLG for research of markets performance to feed into Mission for Markets

Three work strands :

Local economic contribution of 6 UK Markets

Economic contribution of Christmas Markets

Templates to support self-evaluation

Fieldwork during February/March 2015

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1 Markets and Town Centre Economies

How Standing Markets are contributing to healthy town centre economies

Mix of primary research and evaluation from existing data, focusing on 6 markets in a spread of UK locations :

Poulton le Fylde Ashton under Lyne Keswick Plymouth City Centre Market Harborough Kingston on Thames

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Markets and Town Centre Economies

Mix of primary research and analysis of existing data :

Face to face survey of current market customers – including questioning of spending by stall type

Target sample 600 (achieved sample 850)

Survey of Traders – including asessment of per day turnover

Target sample 100 (achieved sample 120 +)

Projection of market turnover based on number of buying customers

[2 x automated counts, 2 x original counts, 2 x modelled estimates]

Audit of local economic contribution

Depth interview and questionnaire with Market Manager or Markets Executive

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Economic Contribution of Christmas Markets

Christmas Markets large and small are boosting the winter economy in towns and cities across the UK

Approach based on analysis and comparison of 5 existing evaluations of Christmas Markets :

Stratford on Avon Exeter Manchester Lincoln Bury St Edmunds

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Templates for evaluation of market turnover

Objective : enable any market to evaluate their economic performance via their own resources – either with or without professional assistance

Templates to short-circuit work and enable consistent output :

Questionnaire template for Customers Survey Topics Guides for work with Traders Structure to support calculation of spend by stall type Standardised approach for manual footfall counting

Factors for converting gross footfall to buying customers

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Economics of Six UK Markets

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Markets and Town Centres : Spread of Market Types

Indoor General MarketAshton under LynePlymouth Market

Open Town Square MarketPoulton le Fylde

Tourist Oriented MarketKeswick

Hot Food DominatedKingston on Thames

Mixed Indoor MarketMarket Harborough

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Six UK Markets – relative economic performance

Type of market Number of

stalls Trading days

per month

Per month customer spend

Market Turnover

Potential customers per

day

Ashton under Lyne 221 26 £2,492,936 £29.9m 5,545

Plymouth 150 26 £480,251 £5.76m + 1,287

Poulton 30 4 £163,971 £1.97m n/a

Keswick 73 9 £232,344 £2.8m n/a

Kingston 35 26 £272,549 £3.27m 1,025

Market Harborough 60 26 £1,695,364 £20.3m 2,801

Standing markets are making a substantial contribution to their town centre economiesIn many towns they are the biggest retail game in town

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Markets – lots of retail energy in a small space

Limited data from just 6 markets suggests strong economic delivery

Kingston Ancient Market :

30 stalls in an area comparable to a large supermarket.

30 stalls = 6,300 sf of sales generating retail space

Turnover of £3.27m per year, equating to £519 psf

Compare average psf retail turnover in London of £650 psf

Kingston Ancient Market .....

• Supports more than 30 embryonic retail businesses

• Generates psf sales within 20% of the London average

• Additional amenity on an open town centre space

sources : Klipfolio 2013ROI Team research 2015

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Markets and Town Centres – Revenue per stall type

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Revenue generated per day varies substantially between stall types.

Traditional stalls, such as Fruit&Veg and Fish&Meat, still seem to be the backbone of a market.

All markets surveyed by us would improve their economic performance by simply reconfiguring their mix of stalls.

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Equation for Market Management : Rent and Vacancy Levels

Plymouth Market

Keswick Market Market Harborough MarketAshton under Lyne Market

Poulton le Fylde Market Kingston Market

Traders want pitches at well managed markets. In these award-winning markets occupancy levels are stronger than on many High Streets

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Equation for Markets Management :Market Turnover / Rental Take / Investment

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Ashton under Lyne Market HarboroughKeswick

Plymouth KingstonPoulton le Fylde

Some of these award winning markets seem to be seriously under-invested.

Only in Kingston has investment exceeded rental take in the last year – resulting in a very positive outcome for town and market

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Encouraging markets to follow up

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How can markets support ?

Quest : Robust basis for economic performance of markets

From 6 markets to 50, covering all substantial market types

Performance assessment of your market using the Templates developed by ROI Team Four Templates free to download from Mission 4 Markets website Research approach designed for self-completion – just add people and organisation ! ROI Team available to provide professional service if wanted ROI Team will aggregate your data (anonymously) into a series of national Markets performance benchmarks

Don’t miss our free workshop today at 16.4519

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Mission for Markets Templates

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Economic Contribution of Christmas Markets

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Economic Contribution of Christmas Markets

Christmas Markets are boosting the winter economy in towns and cities across the UK

Approach based on analysis and comparison of 5 existing evaluations of Christmas Markets : Stratford on Avon (70 stalls / 4 Thursdays late November to

Christmas) Exeter (90 stalls / 31 days across 5 weeks) Manchester (300+ stalls / 6 weeks) Lincoln (250 stalls / 4 days) Bury St Edmunds (300 stalls / 4 days)

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Wide contribution of Christmas Markets

Far from being a drain on the towns where they operate, Christmas Markets are seen to boost the local economy across the board :

Spend in the Market Spend by market visitors in the town Tourist Spend Meals & refreshments Entertainment Overnight accommodation Travel and parking fees

Not to mention a raft of soft benefits23

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Christmas Markets : Wide economic contribution

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Exeter Manchester Lincoln Stratford-upon-Avon

Bury St Edmunds

Size & Duration of Market 9031 days

300 plus6 weeks

2504 days

 705 days

3004 days

Footfall 270,000 1.85m 300,000 30,000 * 120,000

Average Spend per Visit £25.15 £49.14 £21.00 £11.45 £50.00

Aggregate spend per market day

£616k £2.16m £650k  £68,700 £1.75m

Turnover per stall per market day

£2,115 £3,485 £1,800  £981 £2,750

Spend in Market £5.9m £41.82m £1.8m £343,500 * £3.3m

Spend in Town Centre £9.6m £80.80 £2.5m £838,599 £614,000

Aggregate spend £19.1m £90.9m £2.6m  £1.18m £7.0m

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Christmas Markets : national picture in 2014

Nabma data indicates more than 100 Christmas Markets in the UK in 2014 season : [10 or more stalls operating for at least one day]

Aggregate more than 500 trading days across 100+ Christmas Markets

20 biggest markets generating 95% of the economic activity produced by UK Christmas Markets

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Projected total spend in UK Christmas Markets in 2014 : £63.4m

Aggregate spend generated by Christmas Markets:£175.2m

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Christmas Markets : Recommendations

Town organisations – Councils, TCM’s, BIDs, Town Teams etc - none should fear a Christmas Market in their town !

Central body to manage growth of Christmas Markets and maintain standards

Register of approved operators – again to maintain standards

Central register to prevent excessive proliferation and overlap

Operators must demonstrate to landlords how their markets are contributing

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Markets prove their valuePresentation to Nabma Conference September 21st 2015

Shoreditch Stables, Studio 13138 Kingsland RoadLondon E2 8DW

info@roiteam.co.ukwww.roiteam.co.uk