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UK retailers have a severe lack of confidence in the future of the industry following Brexit vote

Laura  Barnes
UK retailers have a severe lack of confidence in the future of the industry following Brexit vote

A mere 4% of retailers say they have no confidence in British retail following the result of the EU referendum, according to new research from VoucherCodes.

After surveying 100 senior executives at major UK retailers, the result shows a severe lack of confidence in the future of British retail.

VoucherCodes also found that one-third of British retailers fully anticipate Britain’s exit from the European Union will have a negative impact on business.

Also amongst retailers’ growing concerns is increased competition from overseas retailers – a direct implication of the Brexit vote.
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“Over half of retailers predict competition from overseas retailers will increase within the next 12 months, particularly from online-only players nimble enough to strip market share whilst the pound is low, and see this as a major challenge their businesses will need to face head on,” said VoucherCodes.

Political uncertainty in this capricious industry has encouraged retailers to focus on investment and adaptability in order to future-proof their businesses.

Mobile commerce remains one of the few areas retailers are confident will remain stable, with 100% of all retailers surveyed believing the UK’s mobile retail presence will be even stronger by 2022.

In order to prepare, more than a quarter of UK retailers will be investing heavily in their mobile presence over the next 12 months, revealed VoucherCodes, whilst almost one-third plan to redesign their online presence, including mobile eCommerce sites and social channels.

“The watchword for the next 12 months or so is ‘uncertainty’. Retailers will obviously continue to keep one wary eye on the ongoing Brexit negotiations in Brussels, and another on the fluctuating pound. However, the UK retail market has strong foundations as one of the largest eCommerce markets in Europe so, whilst the future is indeed uncertain, it is important for businesses not to get caught up in this,” commented Paul Lewis, senior director of marketing at VoucherCodes.

“No one can predict the direction the industry is heading post-Brexit, so retailers must future-proof their businesses by focusing on areas of investment and adaptability where customer demand is high.

“Smart retailers will be mindful of the changing industry whilst simultaneously focusing on the opportunities they can see on the horizon in order to keep up with customer demand – investing in new technology to revamp online platforms, as well as technology to invigorate physical stores, turning them into powerful brand differentiators in their own right.”

You can take a look at VoucherCodes’ full data report here.

Tags: Retail , eu , ecommerce , brexit , vouchercodes , british retail

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