Cities like Birmingham, Liverpool and Leeds are a better choice than London when attempting to set up a retail start-up business, according to a new report from Online British Marketplace OnBuy.com.
The firm found that while London retailers hire the most workers and pays retail managers the most money, regional cities offer the cheapest premises and have the highest retail spend per consumer.
OnBuy.com sought to determine how much individuals spend per year, in the city they live in. It found that larger cities, such as Birmingham, Newcastle and Leeds feature in the top three, with London surprisingly ranking fifth.
The average consumer spends £313 per year in Birmingham and £303 in Newcastle, but the average spend in London is £262.
According to job search engine, Monster, the overall average wage in London is £35,053, compared to northern cities, such as Birmingham, who earn £26,752 on average – £8,301 less.
OnBuy, therefore, assessed the average salary for a retail store manager per city listed, utilising the data found from the OPUS Energy tool, and job search site Indeed.
It concluded that the best place to be employed as a retail store manager is in London, with an average annual salary of £26,858. This was followed by the city of Glasgow, where earnings amount to £25,685 per annum.
OnBuy.com also investigated the city that hires the most retail workers. Unsurprisingly, London came out on top, hiring almost half a million workers (400,000), while Birmingham hires just 70,000 and Leeds 54,000.
The cost of retail premises in London is the highest in the UK, costing a staggering £127.14 per square foot. On the other hand, Liverpool has the cheapest at just £55.31 per square foot – £71.83 less.
Onebuy.com conducted the research after a campaign powered by NatWest Bank, named StartUp Britain, claimed that in the 31 days of January 2018 alone, 46,291 start-ups were already created – the equivalent of around 1,500 per day.
Cas Paton, managing director of OnBuy.com, commented: “The number of start-ups are constantly increasing – and it’s showing no sign of stopping.
“However, the sad truth is, not all of these businesses will succeed. It is important to find your niche, take your time, plan it out and keep evolving. When your plan inspires you, take it with two hands and run with it.”