Retail loyalty a thing of the past

By Laurence Gibbons

- Last updated on GMT

Related tags Igd chief executive Retailing Supermarket

Shoppers are now visiting four different retailers a month
Shoppers are now visiting four different retailers a month
Store loyalty is diminishing as more shoppers are using four different retailers on average each month, according to grocery think-thank IGD.

IGD’s ShopperVista research showed that nearly half of shoppers (47%) now use several grocery stores on the same trip, up from four out of 10 (42%) who said the same last year. 

It is part of the trend of shoppers being prepared to put in more effort when buying their food and groceries to help them get the best quality, at the best value, IGD said.

‘Savvy shoppers’

Joanne Denney-Finch, IGD chief executive, said savvy shopping techniques picked up during the recession had become mainstream.

“In spite of improving economic conditions it continues to make sense to put in extra time and effort to help us get the best quality, at the best value when buying our groceries,” ​she added.

“On average shoppers are using around four different grocery formats each month, and the most popular combination is supermarkets, convenience stores as well as food and high street discounters.”

Using two or more retailers on the same trip is an increasingly popular budgeting technique used by shoppers regardless of their demographics, she added.

Stigma around savings and deals has diminished, as more than half (56%) of consumers surveyed by IGD admitted to using coupons when food and grocery shopping.

Shoppers are proud to talk about the savings they are achieving by researching and shopping around more, Denney-Finch claimed.

“Using coupons is also proving popular with shoppers,” ​she added. “There’s now less stigma associated with using them and retailers have been making them more targeted and easier to use, to help people plan.” 

Almost half (46%) of respondents said they are planning more before they shop and 44% said they shopped at a specific time in order to make the most of the ‘reduced to clear’ items.

Technological advances

Technological advances mean that people have more comparative information available to them at a swipe of a smartphone or tablet, said Denney-Finch.

“There are also more grocery choices available whether it’s additional convenience and discount stores, or extra online shopping options such as home delivery subscription services,”​ she added. “So it’s never been a better time to be a savvy shopper.”

Meanwhile, another survey found that poor customer service was “eroding”​ customer loyalty to retail brands.

The survey by customer service firm Kana Software found a third of UK consumers had become less loyal to retail brands in the past five years.

One major issue for customers was the number of times they had to repeat their complaint to different people within the same company. Almost half of respondents (48%) said they had to repeat information during their last communication with a retailer.

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