The world is a reducing retail onion

UK Economy and Website DesignI wrote this article exactly 10 years ago.
Evolution is a disturbing factor in our modern society; the faster technology grows, the faster technology grows! It is essential that we take notice of what is happening around us today and make moves now to safeguard our future. Tomorrow will be too late.

The world is a reducing onion when it comes to retailing. Manufacturers sell to distributors, who sell to wholesalers, who sell to retailers who serve more discerning and educated consumers.

Retailing will change dramatically over the next ten years and all retailers will have to change to survive. Ever larger “sheds” will grow along with a myriad of micro entrepreneurial independents.

As Walmart rolls out mass-merchandising, other retailers will have to follow suit to survive them.
The Walmart way works and the consumer is voting with their feet and their money.

As more disposable income is spent in larger Walmart like stores – there will be less money to spend in the specialty mass merchandisers/retailers and they will perish.

As the specialty mass-merchandisers fall, manufacturers will have fewer retailers to sell to and therefore the competition between manufacturers will get hotter and the traditional distributor and wholesaler will struggle and begin to fall.

At the same time the department store concept will struggle and possibly fail leaving fewer retailers for the manufacturers to sell to and the competition between manufacturers get hotter still and the distributor and wholesaler will begin to fail faster.

Independent retailers will be unable to compete and they will fall faster than a house of cards in the wind, leaving still fewer retailers to sell to and the competition between manufacturers will get even hotter and the distributor and wholesaler will begin to disappear completely leaving the manufacturer to sell direct to the retail giants.

As competition between manufacturers grows, which manufacturers will survive?
The cheapest? or the most recognized, desired brands?

As the giant retailers become more dominant they will no longer need the distributor and wholesaler.
They will either buy direct from the manufacturer or they will manufacture themselves.

There will be a void where traditional high cost-of-sales distributors and wholesalers used to be and this void will be filled by entrepreneurial micro businesses who take advantage of merging internet technology.

This is why ten years ago I began to restructure my knowledge. To supply the new micro and small business market with the technology they need to compete online, with website design and online marketing services.


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About Mick Say

Mick Say is an Online Business Development Consultant. Mick's goal is to help UK businesses to develop meaningful online marketing strategies via the development websites and digital marketing resources engineered to inform and sell.

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  1. […] I wrote this article exactly 10 years ago.Evolution is a disturbing factor in our modern society; the faster technology grows, the faster technology grows! It is essential that we take notice of what is happening around us today and make moves now to safeguard our future. Tomorrow will be too late.  […]