Station shopping at New Street and 18 other major stations forecast to hit £1.5bn a year by 2036
Network Rail expects 870 million retail visits a year across its big stations, with wellness one of the fastest-growing areas.
Birmingham New Street is one of 19 major railway stations expected to share a retail boom over the next decade, with annual spending at the stations forecast to reach almost £1.5 billion by 2036, according to a new report from Network Rail.
The Future of Stations 2036 report, published on 10 November, predicts that visits to shops, cafés and other retail venues at the stations Network Rail manages will pass 870 million a year by 2036, and that annual sales will rise 45% on today's figures to £1.49 billion.
From passing through to staying a while
The report says stations are evolving "from places people simply pass through into destinations where customers increasingly shop, eat, socialise and spend time". It points to rising passenger numbers, growing leisure travel and changing habits, noting that today's weekday commuter is often also a weekend leisure traveller, and that local residents increasingly use stations too.
New Street, which handles huge numbers of passengers every day and is linked to the Grand Central shopping centre above it, is among the stations named in the report, alongside London Waterloo, London King's Cross, Manchester Piccadilly and Glasgow Central.
The wellness boom
Food and drink will remain the anchor of station retail, the report says, but wellness is one of the biggest growth opportunities. Health and wellness sales currently make up £95.4 million, or 8.9% of station sales, and are forecast to grow 30% to £123.6 million by 2036.
The report says passengers are increasingly looking for healthier food, personalised nutrition, beauty and wellbeing products, and spaces that support their physical and mental wellbeing while travelling. Almost half of health and beauty shoppers in stations are aged between 18 and 34.
Harriet Hepburn, Corporate Finance, Partnerships and Retail Director at Network Rail, said: "For our brands, the opportunity is significant. Success will depend on understanding a range of customer needs, creating offers that complement dwell time, removing friction for customers and delivering engaging experiences that cannot be replicated online."
Six forces shaping stations
Among the trends the report identifies are faster visitor growth, food and drink staying at the heart of spending, a sharper battle over quality and value in food-to-go, and technology making station shopping more personalised and convenient.
The report also looks ahead to Great British Railways, which will bring track and train together. Its future estate is expected to include around 2,500 stations, which Network Rail describes as an unprecedented opportunity to reimagine the role stations play in communities.
What it means for Birmingham
For a city whose main station is also one of its main shopping destinations, a growing station economy means more jobs in shops and cafés and more reasons for people to linger in the city centre. With HS2's Curzon Street station also on the way, the role of Birmingham's stations as places to spend time, not just catch a train, looks set to keep growing.
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