Despite declining sales over the past few years, the Irish retail sector is slowly beginning to turn itself around, according to a new report from Retail Excellence Ireland.

Sales in January were down 5 percent year-over-year and overall sales per square foot in the first quarter also declined significantly compared with the same time in 2011. However, encouraging signs were observed in March, when sales climbed by 0.7 percent, suggesting Ireland's retail sector may be bouncing back from the recession.

''March 2012 returned to like for like growth helped by a spell of good weather. The big ticket discretionary sectors remain in greatest distress,'' Retail Excellence Ireland's chief executive David Fitzsimons told RTE News.

Hot beverages and pharmacies proved to be the best-performing retail categories, while furniture and flooring were among the bottom of the list, both down by 10 percent.

If merchants are having difficulty meeting sales numbers, they may want to consider revising store operations and diversifying their product lineup. This could help them reach new shoppers and further buoy sales.