Cash In On Supermarket Distrust

18 June 2014, 09:23 AM
  • With the local food market worth £5.7 billion to the British economy – more details here – we speak to Anthony Davison at Big Barn – a local food website which promotes the differentiation between independents and multiples
Cash In On Supermarket Distrust

“When we started going to supermarkets we were really impressed by the huge range they had – whatever we wanted was there. Over the years we’ve seen scandals like horsegate, the huge profits that supermarkets make, and BOGOF offers. The other day I saw an offer in a supermarket which said, ‘1 for £1 or 2 for £2’ and I tore it down, went up to a staff member and asked if they were calling me an idiot! A lot of people have spotted offers whereby it’s actually more expensive to buy bigger quantities.”

Farmer/supermarket relationships are deteriorating, leading to an increase in consumers looking for food they can trust from local producers and retailers. “We’ve heard about supermarkets bullying farmers – ultimately, consumers have lost trust. We’ve always said that people can trust someone local, as if they get negative feedback it will travel fast and local retailers appreciate their local community of customers.”

One way that independent retailers can make the most of this consumer distrust of supermarkets is by differentiating as much as they can from them. Anthony said, “A common misconception is that supermarkets are a lot cheaper than independent retailers, but that’s not the case.” Telling the stories behind the products sold will also help.

Big Barn suggests retailers take a proactive approach to displaying their differences to multiples. “We send out a supermarket price list every month and compare prices – if a retailer’s products are cheaper they can put a ‘£’ icon alongside their listing to show they’re cheaper than the supermarkets. We suggest that retailers put up a white board which displays their prices next to supermarket prices.

“Businesses who have done this have told us that they’ve seen an almost instant increase in customers’ spending, as well as returning customers. Independent retailers need to adapt consumer attitudes – do they really need 50 different types of baked beans to choose from, or to pick up the DVD they don’t particularly want?”

Big Barn’s Crop for the Shop scheme allows local people to grow produce and sell it in an independent shop. Anthony said, “This is another way to build trust with your customers – it’s a great way to get people involved and coming back regularly.”

For more information visit www.bigbarn.co.uk

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