Page 28 - Swansea Skills Report 2024

2023 data suggests that Swansea retail is bouncing
back effectively from the restrictions imposed
during the pandemic with 6% more jobs in this
sector than the national average. In fact, data
suggests that since 2009 jobs in this sector have
been relatively stable.
Swansea has a thriving market culture boasting
several indoor markets and a healthy mix of local
independent and chain stores present on the high
street.
A recent study compiled by Savoo (highlighted in
Swansea bay news1), indicates that Swansea high
street retail is ranked as the 5th strongest
performing in the UK with high levels of footfall
within the city centre. Interestingly all top 5 best
performing high streets cited within the report
were coastal locations.
This however does not tell the full picture of the
sector in the county. Job increases are being seen
in food retail, (Tesco & ASDA being very active in
job postings) and more warehousing & van driving
skills are being asked for in job postings, most likely
because of more online shopping habits.
However, job reductions are present in household,
recreational and specialist stores. Highlighting that
traditional high street retail is struggling with
consumer shopping habits moving further towards
an online experience.
Furthermore, larger retailers are increasingly
adopting AI (Amazon retail outlets are a strong
example of this) to digitalise and personalise the
instore shopping experience, such as cashier-less
payment, automated stock level replenishment,
smart shelf pricing tags and touch screen ordering
systems with integrated chatbots becoming the
norm.
Therefore, traditional customer focussed roles
within retail will be changing to become one of
systems management.
This information points to a few areas for
consideration.
Wholesale & Retail
1: Swansea has one of the strongest high streets in the UK in 2023, new
report finds - Swansea Bay News
2: Robot grocery delivery service to expand in Northamptonshire - BBC News
A shared strategic vision for the retail sector [HTML] | GOV.WALES
Lightcast™
. 2023
High street retail
Independents & SME’s will need assistance to
compete with the convenience offer that is being
utilised by larger chains and their adoption to
digital in store experience solutions. However
independent retailers do have more flexibility to
react quickly to changing consumer behaviours and
benefit from the strong footfall that Swansea's
geographical location offers them. Potentially
tapping into a market where shoppers are
becoming more environmentally aware of product
carbon footprint and specialise in sustainable local
goods, whilst offering a more personal touch
traditional service model if the technology jump is
too great or does not fit their operational model.
SME’s will need to consider which approaches will
fit their model most effectively.
Digital shopping experiences
As more digital systems are implemented within
high street stores, displacement of jobs may
become a factor. A system to ensure retailers who
are adapting this technology do so with a clear
investment in people, to retrain, reskill and upskill
their current workforce whilst providing new jobs
that manage these digitalised systems should be
considered.
Warehousing and distribution, (although currently
has a strong demand) may also be at risk from
automated warehouse picking and packing
systems, coupled with drone delivery systems 2. So,
although many employers are advertising for van
drivers and warehouse roles currently, these jobs
may not have longevity and job security attached
to them.
Store closures
Even larger chains are closing stores most recent
examples being of Debenhams and Wilko and
there is a strong risk more will follow. There are
also many vacant premises within the town
specifically within Oxford street.
Identifying other key sectors that have skill
shortages that the retail positions could be reskilled
into is a key consideration.
Every effort should be made to help draw people
into town centres and help businesses reposition
themselves for the next stages of economic
recovery. Repurposing currently empty premises is
worthy of consideration, studies suggest a move
towards arts, leisure, entertainment and
community, will attract more people to the city
centre, helping the current high street retailers.
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