The fall of the high street

2 mins. reading time

As briefly mentioned in previous blogs, technology is advancing rapidly which has left our high street neglected. After the closure of Toys R Us, Woolworths and BHS to name a few, it is clear that the UK just aren’t using the high street like they used to.

The decline of the high street has happened due to a number of reasons, including the major shift to online shopping, lower incomes and changing tastes. The financial crisis of 2008 saw numerous brands go into administration due to their large debts and growing overheads. This, combined with the rise of e-commerce, inevitably sent the UK’s high street into a downwards spiral. The convenience of online shopping has encouraged so many consumers to ditch the high street, especially with the growth of Amazon and their next day delivery service, Amazon Prime. The increase in individuals working longer hours at work also means that they may not have the time to go to a shopping centre during the week after work, and therefore more people are turning to the ease of online sales and therefore accelerating the decline of the high street.

The fall of the high street clearly has a profound impact on shareholders, CEOs and senior management within these businesses, however it is an extremely difficult time for employees working on the shop floor who have lost their income and job security. In an ideal situation, these employees would be re-deployed in other areas of the organization such as fulfilling online sales or in customer service (more so now due to the rise in omni channel distribution). Leadership in these businesses who have suffered is crucial due to the need to adapt to the situation in order to minimize the impact of their store closures for as many stakeholders as possible.