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UK Insights

Kantar Worldpanel UK 2016 in review

Tim Kidd

Managing Director UK, Ireland & USA

Shoppers 20.12.2016 / 14:20

And looking ahead to 2017 and beyond

The team at Kantar Worldpanel UK have put together this video to review the key trends and developments in 2016, and to look ahead to 2017.

Grocery prices have been falling through most of 2016 and the growth we have seen in online and the discounters has been slowing. Retailers will need to find different ways to grow in the future. In 2017, we expect to see a sustained reduction in level of multi-buy deals and as a result the level of loyalty driven initiatives will increase. 

In the toiletries and health sector, prices have fallen in toiletries, whereas healthcare manufacturers have looked for more value through higher margin, lower volume goods. A key driver of growth in the past, male toiletries, has been hampered by the continuing trend for beards.



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Out of home in the UK is worth £47 billion and it is really exciting because it is changing the way we behave with food and drink. A great example of this is coffee, which is experiencing double digit growth at the moment, and all those complimentary categories that you might consume alongside a coffee are also growing fast.

Import heavy markets will be hit by currency fluctuations and that might result in a lot more buy British campaigns. On top of that people’s behaviour will change, they might start eating in more, driving a recovery in certain take home markets. They might start trading down and cutting back on discretionary items. We expect that some manufacturers will play around their products and pack sizes to cope with increased costs, rather than absorbing them or passing them all onto the consumer.

In 2016, we have seen the biggest change in the fashion market in seven years, with the market moving into decline. Retailers are no longer able to rely on discounting to drive growth and people are becoming increasingly less loyal. There has also been a move towards the ‘casualization’ of the market with the move towards athleisure. The value retailers will become even more important in 2017.

The growing number of digital entertainment providers and the improvement in device compatibility has really accelerated the uptake of digital services in 2016, with 18 million of us paying to access digital content. But this explosion of digital, doesn’t signal the end of physical, particularly at the premium end, where we’ve seen vinyl and blu-ray out performing the rest of the market.

Finally, another interesting trend we've seen in 2016 is the growth in vegetarians, from 4 to 5%; over 30% of evening meals now don’t contain any meat.

Source : Kantar Worldpanel

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