In a few days, the tumult of Christmas trading will be over. The short time before the January Sales kick off – in-store at least – brings a chance to reflect on the retail year gone by.

It was a tumultuous 12 months as the industry was convulsed by change, and fortunes sometimes turned on a sixpence.

2019 was a year when some of the mighty were humbled. Arcadia tycoon Sir Philip Green was forced to put his Topshop-to-Dotty-P fashion empire through an acrimonious CVA.

Ocado van

Ocado and M&S signed a landmark £750m partnership

The same fate befell Monsoon entrepreneur Peter Simon while Ted Baker, which had previously barely put a foot wrong, suffered an annus horribilis that brought not just the departure of founder Ray Kelvin but a string of profit warnings.

It was a year when retailers sought to transform their operations to adapt to new realities, but regulators refused to accept that the pace of change should allow new thinking. Sainsbury’s hopes of taking over Asda were dashed, leaving the grocer facing questions about where it could go next.

Ironically, attempts by Amazon, whose growth prompted Sainsbury’s interest in an Asda deal, also face scrutiny from the competition authorities over its proposed tie-up with Deliveroo – a sign that as the new generation of businesses grows, their ambitions too could be reined in.

And it was a year in which retailers continued their quest for the grail that is the right business model. That was seen most dramatically at John Lewis Partnership, which unveiled a radical restructure to run its department stores and Waitrose supermarkets as a single business. Over at Marks & Spencer, a landmark deal with Ocado brings new possibilities as, at last, the famous high street name begins to sell food online.

Spirit of the age

But while 2019 was a year of challenge and even disaster for some, there were much brighter moments that showed the industry at its best.

Entrepreneur Julian Richer, whose unique approach to retail won him the AlixPartners Outstanding Contribution to Retail Award at this year’s Retail Week Awards sponsored by Salesforce, made headlines when he handed over control of his business to employees through a trust. It was a great example of enlightened leadership – not one that all could, or should, follow, but the sort of imaginative thinking that has typified retail.

Greggs caught the spirit of the age with its vegan sausage roll, a shining instance of reading the market and anticipating shoppers’ wants and needs.

“The skilful players in 2020 and beyond will be the ones that to go on to celebrate centenaries”

Primark powered on, setting new store standards in its Birmingham branch, which has been drawing shoppers by the coach-load from all over the country. A reminder that great stores can still be a powerful advantage.

JD Sports’ strong supplier relationships and in-store excellence meant it continued to score with shoppers – it is the Ronaldo of retail.

Many of these stories – good, bad, indifferent – will continue to play out in 2020.

With the new year comes a new government, and perhaps renewed consumer confidence and business policy as a result. That is the hope, and most retailers will have cheered on Mike Ashley of Sports Direct – now Frasers Group – when he called this week for action on business rates as decisive as that on Brexit.

The long game

As retailers confront a pincer movement of costs on one side and ever-more-demanding, ever-changing consumers on the other, those that are succeeding and likely to continue to thrive are typically putting the customer first.

That’s the oldest cliché in retail, but its longevity is a testament to its truth. It’s also far easier said than done but should permeate retail at every level.

Timpson provides a great example of customer-centricity, and chief executive James Timpson told a great anecdote about its refusal to countenance any dilution of that during a recent roadshow.

Obviously, no retailer wants complaints but, when its customers were dissatisfied, Timpson store managers were authorised to spend up to £500 without head office approval to resolve the problem.

James Timpson 2019

James Timpson gave stores permission to spend up to £1,000 to fix customers’ problems

In one region, shops were told by a manager that they should only spend a much lower sum. James Timpson’s response was to tell the entire business that stores could now spend up to £1,000 to sort out problems. It sent a powerful message that the customer comes first and staff are there to help the customer.

As with Richer Sounds, it’s not something every retailer would replicate. But it’s a reminder of how important it is never to lose sight of a company’s fundamental purpose, which should inform decision making whether on costs or investment.

This year, Sainsbury’s celebrated its 150th birthday and Tesco – which saviour Dave Lewis will leave next year – marked its 100th birthday. Their centuries in business epitomise long-term delivery of their corporate purpose, no matter what upsets come along the way.

Retailers are often judged on quarterly trading performance, but the long game is ultimately what matters. The skilful players in 2020 and beyond will be the ones that to go on to celebrate centenaries.

Happy Christmas from all of us at Retail Week, and best wishes for a happy and successful new year.