The UK’s food and grocery industry has never been more alive, but for it to sustain itself, it needs to adopt measures to remain competitive. That includes using reliable technologies such as barcode scanning.
The Growth of the Sector
How fast did the industry grow over a couple of years? According to Kantar World Panel, the grocery market grew for the second straight year in 2018. During this time, it went up by 2.1% compared to the previous 12 months. Except for a slowdown in June 2016, it continuously went up for more than 24 periods.
For IGD, this streak will continue within the next few years. Between 2018 and 2023, the market will grow by nearly 15%. By the end of the forecast period, it should already reach a market value of £218.5 billion.
There are at least 6 different segments that comprise the market, and all of them will experience growth ranging from 52% to 1.4%. The only area that may shrink is other retailers. These consist of shops that focus on niches such as tobacco and confectionery.
The supermarkets will still have the largest market value in 2023 at £95.9 billion while hypermarkets will post the lowest at no more than £17 billion. The supermarket, though, isn’t the fastest-growing channel. In fact, within the period, it will increase by only 7.7%. The physical expansion will drive the growth of discounters, making it the biggest contributor to cash growth among the segments.
For the online market, the experts foresee the scaling-up of smaller players. They will also benefit from analytics, which allows them to personalize their products and services for their target markets. In the process, they can offer products with premium prices.
Asking for Loyalty with Barcode Scanning
For the industry players, these figures offer a lot of hope for survival, especially in light with the pending Brexit. But what the data fail to mention is the tough competition among the brands.
For businesses to thrive and survive, they need to increase their loyalty, and for those who want a share of the UK consumers, it means one thing: reliability. This is where barcode scanners and related services such as Trimble repair parts come in.
According to the data from Stratistics Market Research Consulting, the global market for barcode scanners will go up from less than $2.5 million in 2016 to over $3 million by 2023. Within this period, it will achieve a compound annual growth rate of 5.9%.
Although it will expand its purpose to include scanning park admission tickets or monitoring healthcare supplies, it will be of greatest use in retail. Groceries, for example, can use them for more efficient inventory management. Software solutions can already organize hundreds of products inside the store into different categories. They might also contain information on the supply chain processes these items have already gone through.
They can also help speed up the fulfillment process, which is critical for UK consumers. In a survey by MetaPack, British buyers prefer the click-and-collect method. It means they purchase products online and collect them in a selected or agreed-upon location, such as the store. Barcode scanning can assist employees to find the right order and hasten the release of the goods, as well as the documentation.
If you’re an upcoming player in the UK’s retail industry, especially in groceries, you’re in luck. You have a golden opportunity to grow. But to play well, you need to be smart with the tools you have, including barcode scanners.