It’s not been the most stable year in terms of economic climate, yet for the second year in a row, there has been a record number of new businesses started in Sheffield and the surrounding area. According to data from the Office for National Statistics and Companies House, 4,228 businesses were formed in Sheffield, out of 10,450 in the whole county. It’s certainly not all steel and glass either – the way that people’s shopping habits have changed over the past couple of years, meaning that the retail sector in Sheffield is thriving. Many of the new businesses are looking to cash in on providing customers with home goods, efficiently and quickly. And while the hospitality and catering industries in Sheffield have still been struggling, there are glimpses of normality on the horizon, and this is extremely positive for the city.
Rise in Retail
Many of the new company formations in Sheffield are within the retail sector. The majority of businesses aren’t setting up on the high street however, but in e-Commerce. The way that the public shop has changed enormously since March 2020, and now, according to bigcommerce.co.uk, 75% of people shop online at least once a month. Bigger retail operations are setting up in warehouses so that they can process goods and have them ready for the customer quickly. Using automated belt conveyor systems means that products can be moved and sorted efficiently, so that businesses can keep up with demand. They are being used in a variety of different industries, helping retailers keep up with supply.
Shopping local in Sheffield
The “Shop Local” movement has also been a big boost for new businesses in Sheffield. People have fallen out of love with big, anonymous, online merchants, favouring instead to purchase products with local retailers. It has taken time to change people’s shopping habits, but now there is a big focus on keeping product manufacturing within the local areas, and this is giving customers more choice when buying their goods. An increasing number of people would also rather buy a product from a local company, rather than have it shipped across the world.
Hospitality and Catering
It has been a difficult year for the hospitality and catering industries. Financial support has come in the form of a £6,000 grant to help existing businesses weather the storm. The tricky economic climate hasn’t stopped new businesses from setting up in the hospitality and catering industry however. Sheffield has welcomed plenty of new eateries, including Sheffield Plate, Neon Fish, Whirlow Farm Hall,
Wazwan, Alto, The Furnace, Marmadukes and Raffina Caffè Bar & Ristorante to name but a few. This is proof that new business owners are optimistic about the future.
For the second year running, Sheffield is leading the way when it comes to new businesses. The way customers shop has changed, but this has presented new opportunities and an exciting future in Sheffield.
