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Today’s consumers seek more than just a product – they want trust in return for loyalty. From production and labour standards to provenance and environmental impact, customers are making more complex purchasing decisions
GS1 UK’s latest report has canvassed the views of more than 500 UK-based leaders of retail businesses and found that this demand is here to stay.
Nearly all of those surveyed (96%) agree that major change is on the horizon with 42% saying their industry is changing more rapidly today than they have ever witnessed in their careers.
Ninety-two percent say trusted data that informs and protects consumers will be at the heart of this transformation and over one-third (34%) say that consumer access to such information will be one of the biggest areas of change in retail between now and 2030.
Rebuilding trust with data
UK consumers have much to gain from this evolution. They will be more empowered, more informed and better protected with easy access to vital product data, so much more than they can currently find.
With 42% [of retail leaders] saying their industry is changing more rapidly today than they have ever witnessed in their careers
By simply scanning a QR code with a smartphone, consumers can access tailored information to meet their specific needs.
Climate-conscious consumers can learn about a product’s environmental impact, including its carbon footprint and sustainable sourcing practices.
Ethical consumers can delve into details about fair labour practices, animal welfare and social responsibility initiatives.
Curious consumers can explore the brand’s story, discover unique product features and access tips for optimal use.
Cautious consumers can quickly identify allergens, nutritional information and safety warnings to make informed choices.
A new loyalty battleground
A crisis of consumer trust in brands is a major catalyst behind this change, according to consumer expert and retail strategist Kate Hardcastle MBE.
“Consumers’ constant demand for more information and a better experience will create a survival-of-the-fittest dynamic in retail, even among the sector’s biggest brands. Those which provide greater transparency by giving consumers open and honest easily accessed information will have an undeniable competitive advantage,” she said.
UK retail leaders agree, with 89% saying consumers are less loyal to brands than they were 10 years ago.
QR steps up
Technology that can communicate data to consumers has emerged as essential to stemming the decline in consumer trust; with QR codes powered by GS1 UK being recognised as a key enabler.
These smarter QR codes have a dual purpose – giving every product the ability to provide consumers instant access to comprehensive online information while also going being scannable at the till.
The potential of this technology is so great that nearly half (46%) of the companies surveyed said they have already begun building QR capabilities, 52% will start doing so within the next two years. This will create huge changes for businesses and the way consumers shop – not just in the UK, but worldwide.
To find out more about this research, download GS1 UK and FT Longitude’s new report.
