There seems little doubt that the UK economy is heading for recession, and a major one at that. Shoppers are already reigning in their spending, buying more own-label lines and turning to discounters such as Aldi in ever-increasing numbers. But what does this mean for independent convenience store retailers?
There’s some suggestion that they might actually benefit. Recent IGD research found that 22% of consumers have bought more local food at independent stores over the past six months. One-in-five said they walk more to local stores.
This has been partly due to the cost of petrol making shoppers less inclined to drive to out-of-town hypermarkets or retail parks.
Perhaps small independent stores – primarily used for top-up shopping – are better-placed to weather the storm than the supermarkets used for the weekly grocery shop?
The only certainty, however, is uncertainty. The lay of the land is changing day by day and patterns can change swiftly in line with the twists and turns of the economy.
Independent retailers will need to take a leaf from their multiple rivals and make sure they keep a beady eye on the behaviour of their customers and move swiftly to adapt to their needs.
David Shrimpton
Managing editor
TalkingRetail.com
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