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Indie Street Supporting the Independent Retail Sector in Leeds Indie Street Supporting the independent retail sector in Leeds Working with Supporting Independent Retail in Leeds Final Report Supporting Independent Retail in Leeds Leeds City Council, working with Leeds Metropolitan University (Leeds Met) and other key stakeholders is seeking to support the growth of the independent retail sector. Drawing together its work with landlords and business support providers, the Council is seeking to deliver a real step change in the local economy in one of the key sectors identified in Leeds’ economic growth strategy. The project has been undertaken utilising Leeds Met’s Business Enhancement Scheme, which enables businesses to make use of the resources available at the University. Leeds Met source a recent graduate who, for a specific period of time and whilst employed by the University, will work full-time in the company. In addition, the company and graduate will be given support from academics with expertise in chosen fields. The work described in this report was undertaken by Jess Nichols of Leeds Met, supported by Prof Cathy Barnes, Katie Rigarlsford and Janet Mulcrone, during a 6 month placement with the economic development department of Leeds City Council. For the purposes of this study we have used a definition of independent retail as those retailers who have 5 outlets or less. This focuses our work on small local retail businesses. Other definitions of independent range from one outlet only, through to any retailer which is not a publicly listed company. In Leeds City Centre, the largest concentration of independent retailers is in Kirkgate Market, where the 285 retail businesses in the indoor market are, with a handful of exceptions, independent by this definition. We have chosen to put the main focus of our work on independents outside of Kirkgate Market but within the central shopping area of the city centre. This report sets out the findings of research undertaken between November 2012 March 2013 into independent retail in Leeds and the business support that is available to new shopkeepers. Our recommendations are aimed at identifying ways to develop and to support the independent retail sector within the city and, in particular, start-up companies. Our vision is that independent retailers would then work in tandem with the large shopping centres to help create a unique retail personality for the city, with a distinctive and diverse offer, attracting visitors and benefiting all concerned. Leeds City Council i April 2013 Supporting Independent Retail in Leeds Final Report CONTENTS 1 Executive Summary..........................................................................................1 2 Introduction.......................................................................................................3 3 Business Incubation and Retail.....................................................................10 4 Independent Retail and Local Authorities ....................................................22 5 Independent Retail in Leeds ..........................................................................26 6 Business Support for Independent Retail Start-Ups ...................................34 7 Conclusions ....................................................................................................43 8 Recommendations..........................................................................................44 Leeds City Council ii April 2013 Supporting Independent Retail in Leeds Final Report 1 Executive summary The findings outlined in this report are based on primary and secondary research undertaken as follows: - extensive desk-top research into models of retail support in Europe and the US, the retail scene in Leeds and the existing support programmes for retail that are available in Leeds - a survey of independent retailers to enable us to better understand the perceived needs of retail businesses in the city - thoughts and opinions of experts and others experienced in this field gathered through meetings and interviews We have found independent retail in Leeds to be in relatively good health. Beyond the 250 or so independent retail businesses in Kirkgate Market, there are 200 or so independent outlets in Leeds city centre and many hundreds of independent stores in the town and district centres across the wider metropolitan area. While there are challenges for the independent retailer in Leeds, not least the cost of city centre premises, the city continues to attract many shoppers and is strengthening its position as the regional retail destination of choice. The recent opening of Trinity Leeds will, we believe, provide significant opportunities for city centre independents to thrive and grow. There is a limited business support offer for retailers. National retail organisations such as the British Independent Retail Association (BIRA), the Retail Trust, and the National Market Traders Association provide use assistance to their members. There are a handful of specialist support providers in the private sector. Local universities, in particular Leeds Met, are keen to work more closely with the sector. As a council we know we can do more to link retailers with this support, and that our influence on property development and place making can also help independents to start and grow. Leeds has a strong business incubation offer, led by the universities and colleges. Facilities such as QU2 at Leeds Met and Inc Enterprise at Leeds City College provide incubation space to office-based businesses backed with top class support and advice. This support and advice has also been accessed by retail businesses and there is scope to expand the availability of the offer. Leeds Markets provide many opportunities for new retailers to test their products and skills, backed with tiered rents to help in the early stages. Private and third sector specialist retail incubation is a growing part of the city centre offer with stores such as Fabrication and The Stalls utilising pop-up space when it is available, and a new private sector venture – Handpicked Hall – due to launch in summer 2013. We have identified a range of further actions and steps which might help: Provide an easily accessible and up-to-date source of information on business support available to independent retailers through the Council website. Continue to support the city’s independent retail incubators, strengthening links with public sector incubation: Leeds City Council 1 April 2013 Supporting Independent Retail in Leeds Final Report - Assist with recruitment of tenants to existing incubators and work in a more co-ordinated fashion with other relevant stakeholders and organisations which may offer opportunities that are mutually beneficial. - Continue to support co-working with Leeds Met through student placements and potential Business Enhancement Schemes within retail. - Strengthen links with the National Retail Skills Academy hosted by Leeds City College at its Horsforth campus. Keep track of the changing retail climate in the city centre and seek opportunities to help independent retailers Continue to develop the city centre shopping environment to reflect the customer experience being offered by the large shopping centres. o The research has demonstrated the importance of the shopping environment to successful retailing and thus, more should be done to the city centre retail areas, with the aim to make them both more visually appealing and consumer engaging. o This might also include using vacant shop windows and similar for community projects, such as the previous Art in Usual Spaces or Playful Leeds. Strengthen existing work with Landlords and raise awareness of the advantage of pop-up shops and their place in the modern high-street Continue our work with retailers, centre managers, agents, landlords and Tourism, including specific strands of activity promoting the independent retail offer of the city Consider the commissioning of a second study which would look into the independent retail within neighbourhood shopping locations and/or town and district centres in Leeds. o In developing the Leeds economy, our work applies across the whole metropolitan district of Leeds. We will need to adapt our approach to the local circumstances found across the diverse communities that make up Leeds. Supporting independent retail in areas as varied as Armley, Otley, Wetherby and Hunslet is likely to require a range of approaches and a further study would underpin the development of retail support across the whole of Leeds. Leeds City Council 2 April 2013 Supporting Independent Retail in Leeds Final Report 2 Introduction Leeds City Council and Leeds Metropolitan University have been engaged in a research project to better understand the independent retail sector and its business support needs, especially within the city centre of Leeds. The project also reviewed models for the incubation of retail businesses and considered the potential for establishing such a facility in the city. Extensive desk-top research has been undertaken into models of retail support in Europe and the US, the retail scene in Leeds and the existing support programmes for retail that are available in Leeds. Mapping of the distribution of independent retail in Leeds city centre has been supplemented with an online survey of independent retailers to enable us to better understand their perceived business support needs. A series of interviews have been held with key stakeholders, including retail support organisations, independent retailers,
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