Supply chain specialist Fowler Welch is calling on retail manufacturers and suppliers to adapt their supply chains or risk losing market share in its latest white paper.
The Operating in a Changing Retail Environment report focuses on the continuing changes in the way consumers shop for groceries and calls on SMEs to recognise changing demands or be left behind by larger competitors with greater supply chain agility.
Leading supply chain expert at Fowler Welch has launched the report to warn suppliers that in a stagnant grocery market, competitors will be looking to steal market share rather than driving overall market growth – this means that those not adapting to changing shopper habits and the associated changes in retailer offerings, will struggle to remain competitive.
Nick Hay, managing director at Fowler Welch, said: “We’re seeing more and more that consumers are favouring multi-channel, multi-visit shopping as they look for the most convenient option possible. Not adapting supply chains to help retailers meet these changes could have a significant impact on manufacturers and suppliers.”
The company is calling for greater collaboration across the supply chain to help smaller businesses meet these changing needs – such as offering more frequent, smaller deliveries and varied pack sizes for different channels.
Hay continued: “By working with an experienced consolidator, suppliers can have access to much more agile supply chains that can meet the constantly changing needs of shoppers and retailers. It’s essential that manufacturers recognise that supplier routes are more fragmented than ever and that to remain competitive they must move on from full-load deliveries to RDCs and embrace simplified supply chains and greater collaboration.”