P3- Explain how developments in the consumer market have impacted on food retailing.
Developments in the consumer markets have impacted on food retailing whether it is regarding the changes in technology or changes in customer expectations or environmental issues.
These changes can affect many different food retailing operations such as; superstores, limited range, discount food stores, petrol stations, home essential stores, city stores, mail order, online stores, farmer’s markets, home delivery.
Radical changes are largely to do with technology and how it’s evolved over time and the impact it has had upon food retailing. Radical changes have affected superstores in terms of the 4 large super markets, which are Tesco, Asda, Morrisons and Sainsbury’s. The food retailers have adapted to meet developments by installing self-scan checkouts to reduce queues in stores, this new type of technology that supermarkets have invested in to keep their customers happy, by reducing the time standing in queues. They also have websites where their customers can view the products and services they require to make it easier for their customers and more convenient. Also stock management to ensure supermarkets do not run out of the goods consumers want because % of customer like stores that have products that are in stock.
Limited range retailers such as Aldi and Lidl have also been influenced. This is because there are a number of people that use technology. Aldi have produced a website where potential customers can visit in order to see what is available in store and whether the products they require are available for them to purchase. Lidl have also produced a website for their customers to view products which are sold at the stores along with other information about where their produce originates from. They do this in order to make it easier for their customers and to adapt to the changes in the developments in consumer market. Unfortunately they do not have self-scan services or in terms of their technology as they are limited range retailers and only have a limited range of products that customers may require regularly, for example, products such as milk, bread, water etc.
Customer markets have also influenced on petrol stations due to technology; it has become more advanced and within the 21st Century things can be purchased from consumer’s mobile phones, computer, tablet etc. Therefore petrol stations have now installed tills which are computerized in which the petrol owner can quickly swipe all food products within seconds instead of having to put in the price in of all the products by pressing numbers. The products are all loaded into a system so the products just need to be swiped, which reduces time for people in queues as it takes less time than typing the prices in on the old tills.
Top up/ home essential stores are also influenced by customer market. Because technology have become advanced which means that people are able to find cheap broadband for their technological items, which makes it more simple as they can receive their product in store. It has also impacted on food city stores.
Customer market has also influenced mail order as they have allowed customers to order online and get the mail posted to their house. People use mail order to get goods, specialist goods as well as ordering from food specialist such as organic foods, and small producers who are direct to consumers.
There has been a massive impact on online stores as People in the UK are now often purchasing product online because every has internet access, people are easily accessible to technology. People are busy at work so they do not have the time to go shopping therefore shopping from online stores is convenient and easier for them, as they can have it delivered to wherever they require online store. They have adapted to this by producing an on-going service where employees at the warehouse fill individual trolleys for each order that needs to be sent out the correct person.