Hard discounters will continue to disrupt the British grocery market, write Hughes and Flavián in their latest blog post looking at Sainsbury’s, Asda and Tescos’ efforts to stave off the advance of Aldi, Lidl and others.
They say incremental innovation and evolutionary change seems to be accelerating in the UK retail scene as a result, with a ‘star burst’ of activities expected to continually disrupt the retail scene:
- Hard discounters taking more market share
- A rationalising pound store sector expanding grocery offers
- Non-grocery retailers, such as BHS, edging into convenience grocery
- Food retail and foodservice converging
- Artisan food producers getting better at on-line and direct communication with consumers
- A discount gourmet chain like Trader Joe’s setting up in the UK
- On-line grocery continuing to erode big box shopping volumes
- Convenience formats doing well
- Booker emerging as a bona-fide convenience retailer with its purchase of Londis and Budgens.
The The Supermarkets in Your Pocket blog is a ‘quick and witty review of grocery world developments, with a special focus on the UK’, according to its co-authors Professor David Hughes, emeritus professor of food marketing for Imperial College London, and Spaniard Miguel Flavián. The latter works for several Spanish companies and organisations to help them learn from the developments of the British grocery market.