A new report has revealed that shoppers who would normally fall into the middle class bracket, are being forced to consider a range of cut price retailers and goods, as a means of managing financially.
Discount clothing provider, Primark, has said that it has seen a sharp increase in the number of middle class shoppers compared to previous months.
Primark has been one of the few retailers to continue to perform well, despite the ongoing economic downturn. The rock bottom prices offered mean that it has seen a 3% increase in its figures, despite many other shops struggling.
The finance director for the chain, John Bason, said that the appeal of the store was slowly spreading to a wider audience, as an increasing number of people search for ways to reduce their outgoings. He added that Primark was enjoying seeing more and more shoppers who had never previously set foot in the store.
Consumers unable to afford to continue to splash out as they may have done in the past, but unwilling to completely relinquish a spot of retail therapy, are turning towards budget brands over their more expensive rivals. This is pushing the profits of stores such as Primark higher, whilst other retailers are increasingly finding it a struggle.
An analyst from broker, Shore Capital, described the brand as being one of the most ‘potent’ not just in the UK, but increasingly over Europe too.
Primark is part of Associated British Foods, which includes a number of other well-known British brands, such as Kingsmill, Silver Spoon and Ryvita. However, not all parts of the business are performing as well as Primark, which is leading the way for the group, due to its niche position in the market and helping to drive profits overall.