High streets featuring lots of charity shops are often considered by many to be the evidence of a failing high street.

With many town and city centres suffering the effects of closures, caused by the country’s economy, the COVID-19 pandemic, and the continuing rise in online shopping, it’s thought retail is dead.

Many areas of the country are scrambling to gather the funds to regenerate their centres – amidst continued cuts and growing public anguish.

Perhaps, it isn’t the landscape that needs changing, but rather the perception.

What if charity stores along the high street don’t represent a failing strategy? What if they symbolise a successful one?

As the pre-loved market booms, with an ever-expanding emphasis on ethical, sustainable and bargain-friendly goods, consumers are now looking to charity stores as the way forward.
With charity shops already equipped to serve the accelerating demand, the previous perception of such stores is being spun on its head.

That’s why St Luke’s – Sheffield’s Hospice saw an opportunity a year ago.

It’s, unfortunately, true that since the pandemic generating income for St Luke’s has been a challenge.

And, as St Luke’s were looking to open their newest store, St Luke’s The Moor, in a 13-
strong retail chain, they knew they needed to adapt and think differently.

If they were really going to refashion their traditional retail offer and capitalise on industry predictions that the preloved market is set to grow 127% by 2026 , the development of the new store had to be done right.

So, how did St Luke’s The Moor become one of the UK’s coolest charity shops? And what can you do to make sure your next charity shop is also adapting to meet consumer needs?

Modernise

Innovation is key for charities looking to futureproof their retail chains.
This means thinking about the bigger picture, observing what mainstream brands are doing, adapting to your audience, and updating your fit-out to modernise your overall look and feel.

Think about your target audience

St Luke’s figured the best way to capitalise on the pre-loved boom was to target the audience most captured by it – Generation Z.

And, with those aged 18 and over with the most disposable income, such as students, it made financial sense that the charity’s new store would direct its attention towards attracting their custom.

Therefore, it’s important to make sure you’re where your audience is and capitalise on where they spend most of their time e.g. online. Increase your social media presence and make the most of TikTok and Instagram trends.

Next, pick the right location

St Luke’s The Moor opened their shop right in Sheffield’s city centre.

This means it’s not far from both local universities and it’s on the way to the train station.
Strategic positioning of the store means it’s exactly where their target audience is, where the students are, and where the footfall is.

Then invest in fit out

Thinking long-term also means spending upfront – investing now to encourage growth later.
St Luke’s The Moor was never going to become one of the UK’s coolest stores by doing the same thing and expecting different results.

So, it invested in fit-out, first and foremost.

Using donated, recycled, and upcycled fixtures and fittings, the charity was keen to make St Luke’s The Moor look visually different from its other stores – and at home next to fashion retail brands like H&M and Urban Outfitters.

After, concentrate on stock

Now your store is different, but what about your stock?

Long before St Luke’s The Moor was opened, staff and volunteers were at the charity’s donation centre collating collections of specific brands and items to go into store.

With these collections, styled outfits, popular brands and hand-picked stock, customers can find the best-quality products without the hard work.

Less work, plus more clothes customers like, equals more sales for St Luke’s.

Create an experience

St Luke’s The Moor started with a better fit-out.

Then curated hand-picked collections and popped them in-store.

That’s because customer experience matters, and St Luke’s The Moor aims to make shopping as easy as possible.

Lastly, practise what you preach

Sustainability is a hot topic at the moment particularly for charity shops, but make sure that you can back up any claims you make in reference to this.

For example, at St Luke’s The Moor, we upcycled fixtures and fittings from local suppliers for fit out as well as opting to significantly reduce paper waste in store through the use of digital screens and other recycled materials.

What were the results?

St Luke’s The Moor’s opening was a huge success, breaking all St Luke’s retail records, with over £7,500 in sales in the first day – against a weekly target set at £6,000. In the first eight months, the store exceeded its trading budget by 21%.

In the last year, the store has seen over 32,000 customer transactions, with an average spend of over £10 each.

Pre-loved shoppers have snapped up more than 12,000 tops, over 2,500 shoes and more than 2,000 bags.

One year on, St Luke’s The Moor continues to captivate younger generations and bring in significant funds for the patients, and their families, they support.

The innovative concept demonstrates what’s possible when it comes to charity shop retail – offering a great blueprint for how other shops can look to diversify and meet consumers’ ever-evolving retail habits.

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