UK consumers drifting to cheaper products amid brexit uncertainty

CNC
Added On March 13, 2019

 British consumers are opting to shop in cheaper supermarkets and look for cheaper products, thanks to continuing Brexit uncertainties.

The head of a consumer research organization at Kantar made the remarks in an exclusive interview with CNC.
 
Released by the organization, Retail and Consumer Insight at Kantar, a report has showed year-on-year supermarket sales growth of 1.9 percent during the 12 weeks to February 24th and a change in consumer attitude.
 
SOUNDBITE(ENGLISH): FRASER MCKEVITT, Head of Retail and Consumer Insight at Kantar
 
"We're not in recession in the UK, but the economy is certainly slow and consumer confidence is not particularly high. Retailers, they will be wanting to offer, not only make sure that the availability is right, but also make sure that they have the right range there. They will want to offer and promote the products at the prices that the consumer wants to buy."
 
According to Kantar research, 80 percent of British shoppers are worried about the price of supermarket food and drink in the event of a no-deal Brexit.
 
SOUNDBITE(ENGLISH): FRASER MCKEVITT, Head of Retail and Consumer Insight at Kantar
"There is a potential indirect link to Brexit. Now I'm not saying that Brexit would bring about a recession, that is one possibility. But we certainly see a slowdown at the moment. There is a slight evidence in how people are behaving in that they are doing those pre-recession behaviors. Looking for the cheap, and shopping at cheaper places too."
 
According to the Kantar report, one in 10 shoppers said that they had started stockpiling groceries, and a further 26% said they are considering doing so.
 
SOUNDBITE (ENGLISH): FRASER MCKEVITT, Head of Retail and Consumer Insight at Kantar
"It's dependent upon the politics here. It's fairly clear to many people working in the industry that the government doesn't know what is going to happen, parliament doesn't know what is going to happen. "
 
With just over two weeks to go until the UK is scheduled to leave the European Union, many major retailers are still concerned about the impact a badly dealt Brexit could have on business.
 
Alongside this, many consumers are worried about the effects they could feel in their shopping basket.