Faire survey: Independent retailers have a bright future if they embrace digital innovation strategies

New research commissioned by online wholesale marketplace, Faire, has found that, despite wanting to support the sector, 20% of British consumers have cut back on shopping at independent retailers as a result of the cost-of-living crisis. But there are significant opportunities if independent retailers adopt digital innovation.

The research is based on a survey of 2,000 consumers and 100 independent UK retail leaders conducted by Opinium.

Other key takeaways include: 48% of British consumers think independent shops are too expensive when compared to larger chains and online marketplaces

59% predict poor growth on the local high street. 73% think being open to change is key to the survival of independent retailers

92% of the retail leaders, meanwhile, agreed offering consumers the ability to browse goods online would enhance the shopping experience. 73% of consumers said that integrating some form of digital retail service would encourage them to shop at their local retailers more.

Among independent retailers, 66% felt their businesses were thriving thanks to digital transformation and 48% said that embracing technology has increased revenues.

61% of the small-to-medium-sized independent retailers surveyed who operate both in-store and digitally report that their business is thriving.

Within Faire’s own global customer base of 700,000 retailers, less than 20% had an online presence before the pandemic. By 2021, more than 70% took their businesses online through new websites, social media marketing, or live shopping on FaceTime.

An independent retailer and Faire customer, Helena Chow, owner, and co-founder of AIDA Shoreditch, says: “The cost-of-living crisis has made us all rethink the way we shop, but my hope is for people to see that buying cheaper products isn't the way forward and that independent shops like ours can help them slow down their consumption by buying better quality goods.”

“Through Faire, we discover and connect with like-minded businesses producing unique and beautiful products without the need to attend expensive trade shows. It has helped us to stay agile as we continue to navigate the huge challenges currently facing independent retail and has helped us feel more confident about our future.”

Olivier Buffon, Head of International at Faire, comments: “Small and independent businesses are the backbone of our economy and our local communities. What this report shows is that consumers turn to them to provide products that are quality, which reflect their values, and which are thoughtfully curated..”

“Combine this with  the promise of digital innovation, both in how retailers source goods but also in offering digital e-commerce options to consumers, and it’s clear that despite some challenges, independent retail has a bright future.”