AIB recently commissioned Amárach Consulting to carry out a survey of independent convenience store retailers. The full report available here (pdf) provides an interesting insight into how local Irish retail stores are fighting back the recession in Ireland. The survey found that many retailers are now looking to new ways of engaging with consumer through channels such as social media.
The survey shows that price is the number one factor when deciding where to shop, with as many as 2 of 5 shoppers shop around. Retailers have responded to the frugal consumer behaviour by cutting costs, discounting and reducing their range of products offered. The report cites the reduction of product range as the number one risk to retailers since it may undermine the shopping experience so much so that the shopper doesn’t return!
It’s encouraging to see from the report that 60% of retailers are looking to invest in staff but only 30% of retailers have invested in the internet as a priority. Is there an opportunity for Independent Irish Retailers to pool their resources to create an online marketplace where they can promote and sell more together online? Minto.ie tried it for fashion stores and was successful brand but it eventually ran out of capital investment.