United Kingdom (UK) Value, Discount, Variety Stores and General Merchandise Retail - Market Size, Trends, Categories, Consumer Attitudes, Major Players and Forecast to 2027

United Kingdom (UK) Value, Discount, Variety Stores and General Merchandise Retail - Market Size, Trends, Categories, Consumer Attitudes, Major Players and Forecast to 2027

Summary

The UK Value, Discount, Variety Stores and General Merchandise Retail report offers comprehensive insight and analysis of the value channel in the UK, the main trends and hot issues, major players and consumer shopping behaviour. It also provides forecasts to 2027 across key retail sectors.

The UK Value, Discount, Variety Stores and General Merchandise Retail channel is set to grow close to 5% per year over the next five years as more shoppers turn to value-focused retailers to make their budgets stretch further during the cost-of-living crisis. This demand is being met with major investments from operators to make their retail propositions more compelling with improvements to pricing, promotions, ranging and the in-store customer experience. Store network expansion will also play a vital role in supporting the forecast growth as operators broaden their geographic reach and develop new formats to boost their presence in urban areas.

Food & Grocery will be the driving force in the channel over the forecast period, with Aldi and Lidl set to grow their combined sales over the next five years as they deliver on their expansion programmes and more shoppers turn to them to economise on their weekly grocery shop. After food & grocery, the home sector is set to achieve the biggest cash gain in sales of over the next five years as shoppers turn to discounters to make affordable improvements to their living space. With discretionary purchases limited by the failure of incomes to keep pace with inflation and steep rises in mortgage repayments impacting homeowners, value retailers are well placed to capitalize on demand for competitively priced items for the home.

The fastest non-food growth will however come from the clothing & footwear and health & beauty categories as discounters develop these categories to fulfill more customer needs. While the challenging outlook for consumers supports demand for discounters in the short term, longer-term prospects will depend on their underlying competitiveness. Key here will be a relentless focus on operational efficiency to enable low prices and compelling promotions.

Scope

• Food & grocery to drive channel growth as shoppers look to save money on essential spend
• Home sector to benefit from need for value but strongest non-food growth will come from apparel and health & beauty
• Efficiency and customer focus are key for long term competitiveness

Reasons to Buy

• Use our in-depth consumer and market insight to learn about the growth of the value, discount, variety stores and general merchandise retail in the UK
• Find out which sectors are growing fastest in the UK Value, Discount, Variety Stores and General Merchandise market
• Discover which retailers have the greatest market share, and the outlook for named retailers