A new report conducted by telecoms giant EE has revealed that short-term retail is the fastest growing sector in the UK.
Pop-up shops are set to contribute £2.1bn to the UK economy in 2014, with more than 9,400 stores across the UK now qualifying for the pop-up designation, employing up to 23,400 staff.
The study predicts that the pop-up sector is due to grow by 8.4 per cent in the next 12 months – more than double the 3.4 per cent predicted for traditional High Street retail.
Mike Tomlinson, director of small business at EE, believes empty shops and a changing consumer culture have encouraged this entrepreneurial pop-up retail economy.
“Pop-up shops truly embody the entrepreneurial nature of the UK by combining these two factors to disrupt the retail market and bring a breath of fresh air into the High Street,” said Mr Tomlinson.
The advent of pop-up stores is also set to coincide with an increase in average spending by consumers, rising from £110 to £120 per shopper.
Nevertheless, despite the encouraging figures, the report’s authors suggest short-term retail growth could be greater still if it wasn’t for the lack of flexible short-term contracts, unit space and the high business rates which act as barriers to double-digit growth.
Richard Lim, head of business information at the British Retail Consortium (BRC), said: “These figures demonstrate the important role pop-up retail is playing in the UK economy, but we’re only at the beginning of this pop-up revolution.
“The novel use of these temporary spaces showcases the innovative nature of UK retail which continues to adapt to consumer demands and structural changes occurring throughout the industry.
“This campaign is seeking to do the much-needed job of removing the barriers that are holding pop-ups back from their true potential.”