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Changing lifestyles are changing the way in which we are shopping for food.
While the out-of-town superstores still flourish, changing lifestyles are somewhat ironically changing the way many shop. The increase in the number of single households with little need to shop in bulk, increased pressure on leisure time, families eating different foods at different times, and the increasing trend towards snacking have all contributed to a return to top-up shopping.
(PRWEB) September 21, 2003 --Research and Markets have announced the addition of the "Trends in Food Shopping Market Assessment 2003" report to their offering.
The origin of modern supermarkets in the UK can be traced back to the beginnings of the Co-operative movement in the 19th century, begun by a group of independent local retailers who joined forces to sell food at affordable prices. The abolition of Resale Price Maintenance in the 1960s set the stage for supermarkets to proliferate and for consumers to benefit from the lower prices encouraged by competition and the timesaving and convenience associated with a 'one-stop' shop.
This growth was, of course, at the expense of smaller independent operators and led to the demise of many high-street shops which were unable to compete on price or extent of choice. Corner shops, which traditionally had an advantage of longer opening hours, suffered too as supermarkets extended their opening times, sometimes opening for 24 hours a day. The days of trudging round a succession of local shops just to buy the ingredients for that day's meal are all but gone, as are the personal service and community feeling associated with shopping in this way.
The principal supermarket chains in the UK are now immensely powerful, so much so that they were the subject of an inquiry by the Competition Commission. The inquiry found that cost increases fell disproportionately on producers and that supermarket buying practices operated to the detriment of suppliers. Supermarkets ostensibly provide the cheap food that UK consumers have come to expect, frequently through the use of 'loss leaders'. Selling goods for less than the price retailers pay their suppliers is illegal in France, Germany, the Republic of Ireland, and Spain, while the practice in the UK has put many UK producers under pressure.
Four chains dominate the marketplace with each one increasing sales largely at the expense of another, but this 'big four' may soon become a `big three' as Tesco, Wal-Mart/ASDA and Sainsbury's stalk an ailing Safeway. The Competition Commission is expected to report its findings of the probable effect of each of the bids by August 2003. Should the smaller Morrisons chain be successful in its bid, it will result in a fourth chain of reasonable size, but, in advance of the result of the Competition Commission's inquiry, it appears Wal-Mart/ASDA, with its deep pockets, is the most likely contender. Any acquisition may well lead to less competition and less choice, to the detriment of the UK shopper.
While the out-of-town superstores still flourish, changing lifestyles are somewhat ironically changing the way many shop. The increase in the number of single households with little need to shop in bulk, increased pressure on leisure time, families eating different foods at different times, and the increasing trend towards snacking have all contributed to a return to top-up shopping.
The grocery multiples have been quick to stake their claim on this market increasing the number of their town- and city-centre shops. Tesco has added the T&S chain to its stable, while the Co-op has just bought the Alldays convenience chain. Even ASDA, traditionally associated with huge out-of-town formats, is planning to open up to 300 small high-street stores selling just fresh produce following successful trials in Bodmin and Walthamstow.
Another major change in shopping habits is the advent of Internet shopping. Although some people will always want to select produce themselves and others may have no idea what they intend buying as they enter a shop, to its converts, online shopping is quick and convenient. Tesco.com claims it is the world's largest Internet grocery retailer with sales of 10m per week at December 2002. However, it is not just the big grocery retailers that are involved as e-commerce offers producers an invaluable route to their customers, knocking out the middleman.
Research commissioned for this report to ascertain which factors people thought influenced their choice of where to shop found that a wide choice of produce was important to more people than were low prices, in a reversal of a similar survey's findings in 1998. Certainly, the UK consumer is not short of choice and there now exist few seasonal limitations thanks to the amount of imported food. Some people, however, object on environmental grounds to the number of 'food miles' travelled by imports and on humanitarian grounds to the fact that many overseas workers are exploited in the production of food, while UK producers and suppliers are bypassed. Such shoppers are encouraged to buy locally and seasonally and the number of farmers' markets has increased dramatically.
In a snapshot of what food is being bought, 99.3% of respondents to a BMRB TGI survey ate bread and 93.1% baked beans. Pot Noodle, meanwhile, pioneer of the instant hot snack, claims double-digit volume growth year-on-year. Manufacturers have introduced countless new snack products to satiate consumers' apparent desire to snack throughout the day, and preferably while doing something else. Pot Noodle has even found its way onto the Retail Price Index shopping list, updated by the Office for National Statistics yearly, which is a list of the 650 items (not confined to food) most frequently found on the nation's shopping list. Other new appearances in 2003 include takeaway burgers and kebabs. Some would think this a sad reflection of the UK's eating habits.
For a complete index of this report click on http://www.researchandmarkets.com/reports/36349
REPORT DATA SUMMARY:
Trends in Food Shopping Market Assessment 2003
Category: Food & Beverage
URL: www.researchandmarkets.com/reports/36349
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