Most shoppers more likely to shop with grocers who have good product availability, a recent report has stated, adding that while grocery retailers are facing multifaceted supply chain challenges, consumer expectations around product availability are rising.
According to research by Pricer, 74 per cent of customers expect products to be available when they go into store, an increase of 5 percentage points year-on-year. And while 67 per cent would make do with an alternative if an item was out-of-stock, 43 per cent would abandon their entire basket.
Consumers typically now find almost a fifth (18 per cent) of the items in their weekly food shop unavailable on-shelf, a recent report has stated, adding that instances of out-of-stocks are higher online, with over a quarter (28 per cent) reporting food shop items were out-of-stock, prompting them to be missing or substituted in their orders.
Brexit was the top reason UK shoppers believed was contributing to the shelf gaps they were experiencing in-store, with 40 per cent of respondents citing complications with border checks and additional paperwork making it harder to import food goods into the UK.
While the UK government announced it would delay planned post-Brexit checks on fruit and veg for a third time earlier this month, 52 per cent of UK consumers believe more products are unavailable due to the UK’s decision to leave the EU. Meanwhile, despite only a small proportion of UK food trade relying on Red Sea routes, 39 per cent of UK shoppers felt that the supply chain disruption from the Red Sea Crisis had led to more stock being missing from shelves in-store.
Over a third (38 per cent) of UK consumers blamed increased shelf gaps on inflationary pressures on food suppliers’ production and manufacturing, impacting their ability to meet demand, and a further 37 per cent felt rising out-of-stocks were due to food producers going out of business because of rising cost pressures.
Peter Ward, UK country manager at Pricer, commented: “Our research shows a direct correlation between on-shelf availability (OSA) and customer loyalty, with 72 per cent of shoppers more likely to shop with grocers who have good product availability.
“We know out-of-stocks cause losses in so many areas – lost sales, lower customer satisfaction, reduced market share – as well as higher labour costs resulting from trying to fix poor OSA with outdated systems and processes. By fostering collaboration among retail managers, staff, and technology companies, supermarkets can significantly improve their inventory management and customer service.”
