Airport retailers could see a boost in sales if global IT outage continues

Many airlines, rail services, NHS services and retailers have reported issues due to a global IT outage said to originate from global cybersecurity firm CrowdStrike.

While many retailers have reported payment issues at checkouts, Retail Week understands that WHSmith and Boots have reported no issues so far, despite both having a heavy presence at airports.

It is not yet known how long the outage will continue, but GlobalData retail analyst Tash Van Boxel said she doubts the impact of more travellers will be “substantial”.

“I think that WHSmith is likely to benefit, especially if consumers have to wait for long periods in airports/train stations for their journey,” she said.

“The longer the period of passengers waiting, the more benefit WHSmith will see.”

Retail analyst Nick Bubb told Retail Week that “anything that increases dwell time in airports and railway stations is always good news for travel retailers in the short term”.

“And, more generally, brick-and-mortar retailers benefit when customers lose faith in the internet and online transactions.”

While GlobalData managing director Neil Saunders agreed that there will be a benefit to retailers as stranded travellers have nothing to do but shop.

“It basically gives WHSmith a captive audience,” he said.

He warned that, while the longer waiting periods will benefit airport retailers, if the outage lasts for days it could run the risk of “deterring people from setting out on journeys”.

Meanwhile, retailers such as Morrisons and Co-op both reported payment issues earlier today, but this has now been resolved.

Lidl, Asda and Iceland all said they were “unaffected” or faced “no issues” today.

CrowdStrike chief executive George Kurtz told NBC that it could be “some time” before systems recover but the issue has been “resolved”.