Already being tipped as a billion pound worth baby, the birth of Princess ‘Charlotte Elizabeth Diana’ is likely to benefit the British economy by around £ 150 million a year and in the future she could be worth a staggering £ 1 billion by the time she is just seven, reveal retail experts. With the arrival of Kate and William’s new baby, the British retailers are rejoicing as much as them as it will provide marketing opportunities to baby boutiques, clothing stores and fashion designers. Every trend the newest royal sets will prove to be a fodder for girls seeking to emulate the Princess.
According to the Center for Retail Research in Nottingham, Prince George provided £ 243 million (US $ 368 million) boost to the British economy in the nine weeks after his birth in 2013. But George was the royal couple’s first child, the heir to the throne. The Center predicts that the immediate impact of a second child will be smaller, about £ 80 million (US $ 121 million) but the fact that it is a girl, opens up a host of longterm opportunities. The royals have always been trendsetters. From Queen Victoria to Princess Diana and the very recent Duchess of Cambridge, who is copied so much that everything she touches, is dotted with the ‘Kate Effect’.
From the princess’s first public appearance in a knitted cream bonnet to everyday wear for the rest of her life, she will be followed as much as the Duchess and the Prince. Retailers such as Mothercare, Asda, Made. com and many more are cashing in on the baby’s birth by launching a wave of products such as pink babygrows, nursery furniture, bibs and rocking chairs.
This midas touch has followed Prince George since his birth and even his first public appearance, when he emerged from the hospital snuggled in the swaddle, it became a topic of discussion for many mothers, fashionistas and the world in general. Within four hours of his appearance, the website of swaddle maker aden+anais had crashed and within nine days the New York company had received 7,000 orders for that particular item, a 600 per cent increase. More recently, he appeared in a blue Cath Kidston sweater featuring soldiers in red tunics and bearskin hats, which sold out and then popped up on eBay, at twice the price. Patricia Davidson, Author and Fashion Consultant with The Daily Mirror reveals, “When Kate buys dresses for her daughter, other people will follow suit, just as they copy what Kate wears. She won’t just be affecting the sale of her clothes but also of children’s clothes. With the new arrival, people are very happy so they will go out and spend money.”
From the princess’s first public appearance in a knitted cream bonnet to everyday wear for the rest of her life she will be followed as much as the Duchess and the Prince. Retailers such as Mothercare, Asda, Made.com and many more are cashing in on the baby’s birth by launching a wave of products such as pink babygrows, nursery furniture, bibs and rocking chairs. Further, Royal Collection Trust has unveiled its new range of royal baby memorabilia, which includes coffee mugs, tankards, cradle Christmas decoration made with white velvet and embroidered with pearl beads, decorations in the shape of a lion and a toy rocking horse. All of the products feature lion and unicorn motifs taken from the Royal Arms of the United Kingdom as well as oak leaves from the Middleton family crest, topped with the Cambridge ducal coronet. Also, Marks & Spencer released a range of commemorative biscuits, when the name of the royal baby was announced. Only 2,500 biscuits were produced, each etched with a limited edition number. Moreover, Shropshire-based soft toy maker Merrythought has had 200 limited edition Teddy Bears made to celebrate the Princess’s arrival, out of which 196 were sold out within 2 days.
The Office of National Statistics reveals that in March 2015, the amount spent on the retail industry in Britain increased by 0.7 per cent in comparison to the previous year. This slight rise is a result of continuous growth of year-over-year estimates of the quantity bought in the retail industry, rising by 4.2 per cent in March from the previous year. With the birth of the royal baby the momentum will increase.
However, the retail surge is also expected to come from an influx of tourists, similar to the birth of Prince George in July 2013, which caused a 6 per cent likefor-like sales increase. According to the New West End Company, business management consultants, the birth of the princess on bank holiday weekend is likely to bring economic boost for the capital. As Jace Tyrell, Deputy Chief Executive points out, “2013 saw London welcome 17 million international visitors and forecast shows that 2015 will see even more drawn to our capital. A royal birth always signals great pomp and pageantry and it is when tourists see the UK at its very best. For the businesses and attractions, which help shape the experience of visitors, it is a real privilege to be part of such a special event.” The year 2013 was a record breaking year for tourism and 2015 is also expected to bring higher number of tourists to London.
Meanwhile, retailers across London’s West End also expect a boost in business as was evident in 2013, which saw a 3.7 per cent increase in footfall across the West End, with sales climbing 6 per cent compared to same month in 2012. Industry experts have predicted that the retail sector will continue to improve this year with rise in real earnings, improving labour market and strengthening of consumer confidence. Supporting this fact are the City analysts who believe that the Royal Baby is likely to have a positive effect on the UK’s growth in general. While the retailers were preparing months in advance for the big day, hoping the royal baby’s birth will give business a lift at a time when consumer confidence is stagnant due to economic pressures but with the birth of the Princess, the retailers are rejoicing and moving from ‘Prince George effect’ to the ‘Billion Dollar Royal’ as Royal watchers rush to buy similar babywear brands.
