>>it’s time to celebrate independents again, writes Mike Taylor, managing director, Musgrave Budgens-Londis
June 1 this year sees the second National Independents Day, created to highlight and celebrate the vital role that independent retailers play in communities throughout the country.
As part of the ongoing My Shop Is Your Shop campaign, co-ordinated by the Federation of Wholesale Distributors, the day has the simple objective of reminding government, suppliers and consumers of the value and diversity that a thriving independent sector can bring.
Last year’s campaign generated a huge amount of media interest set against a backdrop of the apparently inexorable rise of multiple-owned c-stores and the decline of independents. Given the increasing awareness of this subject, this year promises to be even more high profile, and there is an extensive programme of activity.
The key myth that needs exploding is that the process of multiple domination in this sector is both inevitable and irreversible.
There have been numerous examples highlighted in The Grocer where progressive independent retailers faced with multiple competition have invested in their business, focused on the elements of local service, range and personalisation - and prospered.
A recurring theme in these features is the degree to which the retailers were surprised at how resilient their business proved to be. Our customers really do value choice and diversity in their community.
While there is still much we as a sector need to do to improve the retail experience, this resilience is even more notable when set against the competitive legislation and commercial environment that discriminate against smaller retailers. There is no special pleading here, the sector is simply asking for a level playing field on which to compete.
As a nation, we tend to look enviously at, and frequently choose to holiday in, European Countries that successfully blend out-of-town superstores with thriving town centres packed with excellent small stores.
There seems to be an assumption this has evolved as part of the cultural DNA of these countries rather than as result of the reality - namely, balanced and far-sighted planning in the areas of price and location controls.
In this country, there have been many examples of how huge but undifferentiated retail sectors have declined in numbers but then reinvented themselves and bounced back. The past two years have seen net
increases in the numbers of independent bakers, butchers and delis after years of decline. The key differences are now range, service and localisation and the new generation is unrecognisable from the old.
This can and is happening in our sector. Along with other FWD members, Musgrave exists to support independents, hence our divestment of corporately owned Budgens stores to local entrepreneurs.
Good community retailers will always be able to create a blend of range and services that meet local needs, underpinned by a level of personal service that the best supermarkets will find hard to match. Retailers know that customer support can never be taken for granted and that loyalty must be earned every day.
To those who believe the recent decline of independents is irreversible, I would point to the experience of Northern Ireland, possibly the most competitive retail environment in the UK.
Musgrave entered this market in 1998 and now has 8% market share through supporting 115 independent retailers, while the multiples have seen limited growth in Northern Ireland despite huge investment and additional square footage.
The message is simple - don’t believe the doomsayers. Local stores have a great future if properly supported and allowed to compete on fair terms.
National Independents Day allows retailers, suppliers and consumers to come together and recognise the unique contribution made to the local community by these independent retailers.
June 1 this year sees the second National Independents Day, created to highlight and celebrate the vital role that independent retailers play in communities throughout the country.
As part of the ongoing My Shop Is Your Shop campaign, co-ordinated by the Federation of Wholesale Distributors, the day has the simple objective of reminding government, suppliers and consumers of the value and diversity that a thriving independent sector can bring.
Last year’s campaign generated a huge amount of media interest set against a backdrop of the apparently inexorable rise of multiple-owned c-stores and the decline of independents. Given the increasing awareness of this subject, this year promises to be even more high profile, and there is an extensive programme of activity.
The key myth that needs exploding is that the process of multiple domination in this sector is both inevitable and irreversible.
There have been numerous examples highlighted in The Grocer where progressive independent retailers faced with multiple competition have invested in their business, focused on the elements of local service, range and personalisation - and prospered.
A recurring theme in these features is the degree to which the retailers were surprised at how resilient their business proved to be. Our customers really do value choice and diversity in their community.
While there is still much we as a sector need to do to improve the retail experience, this resilience is even more notable when set against the competitive legislation and commercial environment that discriminate against smaller retailers. There is no special pleading here, the sector is simply asking for a level playing field on which to compete.
As a nation, we tend to look enviously at, and frequently choose to holiday in, European Countries that successfully blend out-of-town superstores with thriving town centres packed with excellent small stores.
There seems to be an assumption this has evolved as part of the cultural DNA of these countries rather than as result of the reality - namely, balanced and far-sighted planning in the areas of price and location controls.
In this country, there have been many examples of how huge but undifferentiated retail sectors have declined in numbers but then reinvented themselves and bounced back. The past two years have seen net
increases in the numbers of independent bakers, butchers and delis after years of decline. The key differences are now range, service and localisation and the new generation is unrecognisable from the old.
This can and is happening in our sector. Along with other FWD members, Musgrave exists to support independents, hence our divestment of corporately owned Budgens stores to local entrepreneurs.
Good community retailers will always be able to create a blend of range and services that meet local needs, underpinned by a level of personal service that the best supermarkets will find hard to match. Retailers know that customer support can never be taken for granted and that loyalty must be earned every day.
To those who believe the recent decline of independents is irreversible, I would point to the experience of Northern Ireland, possibly the most competitive retail environment in the UK.
Musgrave entered this market in 1998 and now has 8% market share through supporting 115 independent retailers, while the multiples have seen limited growth in Northern Ireland despite huge investment and additional square footage.
The message is simple - don’t believe the doomsayers. Local stores have a great future if properly supported and allowed to compete on fair terms.
National Independents Day allows retailers, suppliers and consumers to come together and recognise the unique contribution made to the local community by these independent retailers.
No comments yet