The latest Virgin Media O2 Business Movers Index sheds light on how Britons are navigating the ongoing cost-of-living crisis. The quarterly report combines anonymised UK movement data from O2 Motion with national polling to offer insights into consumer and business behaviour.
The data for Q3 2023 reveals that Brits are becoming increasingly resourceful. As the cost-of-living crisis hits its two-year mark, people are leveraging office perks like free heating and making greater use of public transport to cut costs.
Retailers Optimistic About Upcoming Sales Season
As the winter sales season looms, retailers are optimistic, with 88% expecting Black Friday to impact sales positively. This is closely followed by ‘Panic Saturday’—the last Saturday before Christmas—with 85% of retailers expecting a sales boost. The data indicates that 55% of consumers are likely to participate in Black Friday shopping. Interestingly, while shopping centre visits remained constant compared to Q2, high street visits declined by 6% during the summer. However, a 6% uptick in September suggests a revival, likely driven by back-to-school shopping.
Changing Shopping Habits Amid Economic Strain
The Index also notes a rise in second-hand shopping, with 47% of respondents indicating they’ve shopped second-hand in the past month, a three-point increase from the previous quarter. Additionally, 35% have altered their shopping habits to find better prices, and 40% claim to be more budget-conscious.
Return to the Office for Comfort and Company
O2 Motion data indicates a 6% drop in commuting during July and August, followed by an 18% surge in September, coinciding with schools reopening. Currently, 56% of Brits are commuting four or more days a week. Businesses have also noticed this trend, with 64% reporting an increase in workers returning to the office compared to 55% in the previous quarter.
Jo Bertram, Managing Director of Virgin Media O2 Business, commented, “Despite a tough second year of the cost-of-living crisis, British resilience shines through in the third edition of our Virgin Media O2 Business Movers Index. Retailers have reason to be optimistic about the upcoming sales season, with savvy shoppers planning ahead to get the best deals before, during and after the festive period. Meanwhile, our data shows increasing numbers of UK workers heading into the office—with free heating and the promise of stronger working relationships deemed more valuable as businesses continue to shape a balanced hybrid future of work. Brits are also increasingly looking to make the most of cheaper transport options with many turning to public transport and walking to save costs.”
Public Transport as a Cost-Saving and Sustainable Option
Despite ongoing disruptions like strikes and delays, public transport usage has not waned. About 19% of respondents have increased their use of public transport for non-work-related travel in the past three months. Cost savings were cited as the primary reason by 44% of those surveyed, while 33% pointed to environmental concerns.
The focus on sustainability aligns with the UK’s broader efforts to combat climate change, as seen in various government initiatives aimed at reducing carbon emissions.
