Understanding consumer behaviour is an essential element of retail marketing. Thorough research on change in consumer behaviour assists in acquiring and accumulating detailed and organised data on behavioural alteration of customers and taking action accordingly. Using this business-related information, individuals can measure the profitability endeavour and loss possibility of a business. The background of the study includes pieces of information about the rationale and context for the retail market in the UK. Analysing the role of innovation and acceptance of new technologies in depicting consumer behaviour investigates the impact of technological advancements on customer interaction in retail marketing. The background of the study provides a clear contextual concept and foundation of consumer preferences. Research on consumer behaviour comes up with assistance that provides an overview of the retail market fluctuation with the change in consumer taste and preferences.

1.2. Research problems

Changes in consumer behaviour in the retail market unfold several research problems. The main problems arise from the influence of E-commerce in retail marketing. The growing acceptance and expansion of E-commerce businesses and online marketing affect the traditional behaviour of consumers leading to affect the primitive retail sector in the UK such as Brick and Mortar retail stores. Ethical and sustainable consideration is crucial in organising consumer choice deviations to examine the changing nature of the UK retail sector marketing. There is vast varied enriched literature, reports, journals and data covering the UK retail marketing movements. The aspects of income generation, employment creation, the standard of living, other prospects of livelihood and various other measures that affected consumer preference have been addressed in several market research disciplines. However, it is difficult to get accurate information on the actual retail market movements.

1.3. Research aims

The research aims to identify the elementary factors that influence the tastes and preferences of customers and the influence of E-commerce on consumer preference in the UK retail market.

1.4. Research questions

The thorough inquiry into change in consumer behaviour in the UK retail market through some relevant research questions addresses the research objectives and aims. The aim of the research questions are as follows:

How advanced technologies and emerging recommendations are driven by AI’s influence in shaping consumer preferences?
What is the crucial factor that is responsible for the change in consumer behaviour in the UK retail sector?
What is the role of E-commerce and online shopping in changing the consumer’s habits and expectations?
What are significant demographic key indicators such as income, gender, and age affecting the customer’s preferences?

Examination and elicitation of those questions assist the retail market businessmen and policymakers to check how these factors affect consumer behaviour and lead to influence in UK retail marketing.

1.5. Research objectives

The main research objectives are as follows:

To identify the significant drivers of change in consumer behaviour.
To assess the influence of advanced technology and innovation.
To analyse the impact of online shopping and E-commerce.
To Evaluate the techniques and strategies for attracting customers.

1.6. Conceptual framework

Behavioural change of customers

Customer satisfaction

Social influence
Effort
Income

Customer relationship with technology

consumer theory

theory of reasoned action

Success of retail business

Acceptance

Service
Product features
price

The UK retails

BEHAVIOURAL ALTERATION OF THE CONSUMERS IN THE UK RETAIL SECTOR

Figure 1.6.1: Conceptual framework

(Source: Self-developed)

1.7. Scope of the research

The scope of this research varies depending on the objectives and available data. The scope comprises various indicators. The geographical scope determines the actual geographic coverage of the UK retail sector. It will focus on the specific retail sectors in a certain geographical area as it is impossible to cover all the areas at a time. Time frame specification is necessary for this study. Collecting both the cross-sectional and time series data will provide a significant result on the trends in behavioural alteration of the purchasers in the UK retail sector. Both the retail sector and the consumers have to be segmented according to demographic and geographical differentiation to ensure the clarity of the research.

1.8. Significance of the research

The research on the impact of change on consumers’ tastes and preferences holds an important significance for the businessmen, stakeholders, customers and investors of the UK retail sector. Retailers can take insights from this research on the changing behaviour of the market movements according to the consumer’s preference and adapt their marketing strategies accordingly. Insights on technological upgradation and innovation help to guide the retailers to adopt the relevant technology and innovative products for their business.

1.9. Limitations of the study

It is necessary to keenly focus on the limitations of any study to take accurate actions accordingly. The main limitations of this study include the biases in sampling. The size of the UK retail market is too large to examine fully. The retail market of the UK comprises shops, internal retailing, supermarkets, departmental stores and door-to-door sales. This research paper focuses on specific geographical areas in the context of the retail market and examines samples of some of the demographic indicators in the context of consumer behaviour. This will lead to a potential sample bias. Collecting accurate data from different kinds of consumers is a great challenge as most people are reluctant to provide accurate information about their demographic factors such as income level.

1.10. Definition of key terms

The definitions of the key terms will supplement the research paper and provide an overview of the research paper. The main two key terms of this study are Consumer behaviour and the UK retail sector. Consumer behaviour refers to the decisions and actions that an individual makes while purchasing goods and services. Consumer behaviour can change according to changes in demographic factors such as age, gender, standard of living, income level, habits, taste and preferences. The retail sector basically deals with selling goods and services to consumers in contrast to wholesaling. The UK retail sector comprises some petty businesses such as shops, supermarkets, departmental stores, internal retailing and door-to-door sales. According to the estimation of 2020, the size of the retail sector in the UK economy is about GBP386. 3 billion comprising 5.2% of the UK’s Gross Domestic Product (GDP) (Upadhyay et al.,2021).

1.11. Report structure

Behavioral changes in UK retail consumers

Figure 1.11.1: Structure of the study

(Source: Self-developed)

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CHAPTER 2: LITERATURE REVIEW

2.1. Introduction

This study is enriched with vast varied literature that exuberant this study to some extent and provides an overview of some of the works in the context of the impact of change in consumer behaviour in the UK retail sector. Analysing this literature, significant insights will be provided to the retailers and the policymakers to increase their market analysing power according to the behavioural change of the consumer.

2.2. Impact of E-commerce and COVID-19 Pandemic on the UK retail sector marketing

The impacts of E-commerce significantly alter consumer behaviour as per the need (Nash, 2019). Several internal and external motivators influence the taste and preference of the consumer and influence their decision-making ability. E-commerce captures the maximum market coverage as it provides advantages to the customers to order online and receive their desired product. Online retailer provides a wide range of varieties of products which attract more consumers as they have access to a large variety of products without searching for it (Gauri et al.2021). The international trade and the global economy face significant changes in the marketing area. The uncertainty in business will pave the way for the alteration of consumer demands as their demographic indicators such as income levels was also change. Downfall in income level restricts their expenses to some extent that they cannot purchase any costly products. They were more attracted to the petty products that are inexpensive in nature. The COVID-19 pandemic affects the lifestyle and preferences of consumers (Gu et al.2021). Considering the changes, the market structure also alters. People have become more attracted to online shopping for mainly two main reasons. Firstly, online platforms provide numerous varieties of products and also claim a reasonable price for those products. Secondly, in the quarantine situation, it is not possible for people to go outside and buy necessary products. Online marketing helps to mitigate this problem and provides marketing accessibility to the doorstep of consumers. During the COVID-19 pandemic, most consumers depend on E-commerce businesses and online shopping that provide accessibility to a variety of products. Even after normalisation, the adaptability increases rapidly over time. The inclusion of online shopping facilities in the retail sector will increase the possibility of widespread expansion of the UK retail sector in various areas such as supermarkets, departmental stores and many more.

2.3. Influence of technological Advancements, Brand Loyalty and change in Consumer Behaviour in the UK Retail Sector

Technological advancements and brand loyalty are the key indicators in UK retail marketing in the context of capturing more consumers. Brand loyalty expresses the strong and favourable sides of any business sector that provide consumers with their required satisfaction (Lina, 2022). Brand loyalty comprises the goodwill and reputation of the company that helps it expand its businesses. The role of technology in retailing provides a technological innovation to transform the consumer experience and provide them with an effective consumption process. Technological advancements altered the traditional way of marketing and introduced innovative products. The touch of innovation in the product of the retailing sector attracts maximum consumers towards the retail sector (Shankar et al.2021). Retailers rapidly need innovation to synthesize physical retailing and mobile opportunities. Retailers of the UK market integrated and accumulated the technologies in their stores and introduced innovative methods to provide efficient service processes. Adoption of modern payment solutions in retail marketing will increase their market acceptance to consumers as they are always more attracted to taste new products. For instance, the fashion retailer adapts the VR (Virtual reality) application to provide innovative and memorable experiences to consumers in both stores and at home. VR opens a new path for online furniture retailers which is one of those industries that lagging behind due to the E-commencing. However, this rapid growth of technology in the retail sector and technological innovation transformed and influenced the retail sector in various ways. Small businessmen have limited access to innovative products as they cannot bear the cost of adopting new technologies. Technological advancements such as machine learning, augmented reality and virtual reality provide adequate support to analyse consumer behaviour according to the change in marketing strategies. Analysing customer preferences and making alterations accordingly will help the retailers make real decisions about pricing, inventory management, cost-benefit analysis, budget allocation and other various areas.

2.4. The changing behaviour of consumers within the UK retail sector

The UK retail sector had been undergone massive changes in the consumer behavior within the recent period. At this time, there are prevailing trends in the physical channel, which further indicate that there are approx. 61 per cent of customers seek offline shopping (Sisca et al. 2022). On the other hand, 40 per cent of consumers seek to complete their shopping from an online store. However, in some cases, there are some demographic factors that provide a crucial role in changing the overall customer preference such as location, income and age. After the pandemic, there is systematic changes have been observed in consumer behavior. In this case, social media significantly influences the purchasing decisions of consumers in the UK’s retail sector (Sayyida et al. 2021). Social media has become a vital marketing mechanism for the retail industry in the UK. In the present case scenario, the majority of consumers prefer to buy products from the online platform instead of purchasing through the offline retail sector. Hence, it could be asserted that, in this present time, the consumer’s purchasing decisions have systematically changed.

2.5. Key demographic factors that affect consumer choices and preferences

Nguyen et al. (2019) opined that age does not affect delivery processes; however, time, price, convenience, and value for money are effective in developing customers’ choices. In the UK, almost all consumers focus on the value for their money; they are accustomed to both online and offline business processes for retail marketing. However, people who are less accustomed to online technologies and business processes prefer offline marketing. The youth of the UK support online marketing as it delivers ordered products directly at home. This article assessed that males are more attracted to online retail marketing than females, and people with high incomes support online marketing more than people with lower incomes. Hence, it can be said that the retail market needs to focus on the demographic features of the customers.

Wang et al. (2020) focused on the food retailing market and customers’ consumption behaviour based on their age, gender, income level and education. Aged and sick people tend to consume products with high protein and vitamins, while young people consume fast food to balance their fast schedules. Furthermore, women customers are more in number in fashion retailing than men; hence, it can be said that age and gender are important demographic concerns for the retail industry. In addition, health concerns people use retail products which are beneficial for health, and they try to avoid doctors and medicines.

2.6. Theoretical underpinning

This study significantly meets the factors and elements of consumer theory which is properly elaborated on below:

2.6.1. Consumers theory

The consumer theory primarily indicates and underpins how individual’s purchasing decisions change according to their budget constraints and personal preferences. It further represents how the customer’s decision significantly influences their overall purchasing decision regarding their personal preference. The theory primarily assumes that customers are rational and it focuses on significantly maximizing their overall utility that is the satisfaction of their consuming service and goods (Tanrikulu, 2021). Consumers theory makes a few basic assumptions which are decreasing marginal utility, non-sensation and utility maximization.

2.6.2. Theory of Reasoned Action

According to Khan and Idris (2019), the theory of reasoned action (TRA) highlights the relationship between attitudes and behaviours in human action. This theory is useful to understand customers’ choices, preferences, and supports in the UK retail industry. This is necessary for the development of business activities based on the prediction of customer behaviour. This theory is compelling enough to understand the condition of customers, their behaviour and the reason for behaviour alteration among customers.

2.7. Literature gap

The literature of this study mainly indicates the consumer behaviour alteration in the UK’s retail sector. The study has effectively shown the rapid changes in consumer behaviour in the retail sector of the UK and various factors that affect their purchasing decision. Those factors mainly involve the demographic factors, personal preferences and impact of the E-commerce sector. However, this study has not been able to underpin the impact of consumer behaviours within the overall UK market. Therefore, this gap urges us to investigate the impact of consumer behaviour in the overall UK market.

2.8. Chapter summary

The impacts of E-commerce have significantly altered overall consumer behaviour as per the requirements of consumers purchasing decisions. There are multiple internal and external motivators that effectively encourages the preference and taste of the consumer and influence their decision-making ability. In recent times, E-commerce has captured a significant number of market coverage as it gives multiple advantages to customers for purchasing products through online platforms. Besides, after the pandemic, there were numerous changes have been made in consumer decisions and especially in the UK retail sector there was an alteration of consumer behaviours. The study represents that, brand loyalty and technological advancements are the key indicators in UK retail marketing in the context of capturing more consumers.

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CHAPTER 3: METHODOLOGY

3.1. Type of Research

Research methodology as a chapter assists in defining the most relevant approach that needs to be implemented for detailed results and complete procedure. The application of research methodology aids in understanding the whole process adopted in properly analysing the consumer’s decision-making process in the UK’s retail sector. There are two types of research methodology which are qualitative and quantitative data techniques (Mehrad and Zangeneh, 2019). Quantitative data is helpful when data is numerically analysed. The data collection methods in this methodology involve interviews and surveys with close-ended questions. The qualitative data are helpful in taking a narrative form of data which can add a better description towards the research topic. Hence, this study has opted for qualitative methods for completing this study.

3.2. Research design

Research design significantly assists in elaborating the framework regarding the research paper which further helps in selecting of analysis and collection pattern. During the whole procedure of data collection, a specific kind of research approach has been applied which helps to provide a better description of the research design. However, for the research design, this research study has included different developmental studies such as trend studies and growth studies. This study used a descriptive research design for this research process; this design allowed this research process to link the social and business processes. This study focuses on behavioural changes of UK customers in the retail sector; this connects social, cultural, economic, and business perspectives in the overall study. The descriptive research design is a descriptive method; it describes the relationship of dependent and independent variables through easy words (Siedlecki, 2020). As a result, a study can describe individuals and social affairs adequately, based on research variables, through a descriptive research process. Hence, it can be said that the selection of this research process is effective and justified to meet research objectives and answer research questions.

3.3. Data Gathering Procedure

This research process used the secondary sources of data for this research process; this allows a study to avoid human participation, followed by harm to participants. For this reason, it also requires less time, cost and effort for overall research process (Sileyew, 2019). Here, it gathered information from newspaper articles, such as Forbes and The Economic times, and governmental websites, such as “.UK”, “.org”. “.gov”, and “. gov.uk”. All these sites provided authentic information in this research process to increase its reliability. Furthermore, it also gathered information from peer-reviewed articles and scholarly journals; these sources are also reliable due to their valid information. In addition, this research process also maintained a time limit of last five years, that is 2019 to 2023, to gather the most recent data on behavioural changes of consumers of the UK retail. Moreover, this gathered information only from those sources which were written in English, not in any other language. As English is the global language, all researchers and higher education students will understand this language.

3.3.1. Inclusion and exclusion criteria

*Criteria*	*Inclusion*	*Exclusion*
Language	English only	Other than English
Time frame	Last five years; that is, from 2019 to 2023	Before than 2019
Publication type	Peer-reviewed articles and scholarly journals Governmental websites	Other than these
Keywords	The UK, retail sector, customers, customer behaviour, changes in behaviour, factors of changes	Other than these

Table 3.3.1: Inclusion and exclusion criteria

(Source: Self-developed)

3.3.2. Search strategy

Keyword-based search

(customer behaviour OR customer attitude) AND (purchase behaviour OR buying decision)

(factors of changes OR influence for changes) AND (behaviour alteration OR changes in behaviour)

Alteration in (customers’ needs OR purchasing demand) AND changes in management of (retail sector OR retail products)

Table 3.3.2: Boolean table for keyword-based search

(Source: Self-developed)

3.4. Data Analysis Procedure

This research process used a qualitative thematic data analysis process for the gathered data; qualitative analysis process allowed this study to conduct in-depth research on the changes of consumer behaviour in the UK retail. This allowed this study to answer some complex questions such as “how”, “what”, and “why”. Furthermore, this study used a thematic analysis to make the overall analysis process systematic and easy; hence, it used six steps of thematic analysis (Vaismoradi and Snelgrove, 2019). At the first step, it familiarised all data; then, it generated initial codes at the second step and searched for themes at the third step. After reviewing the potential themes at the fourth step, this study defined and named the themes at the fifth step. At the final step, it produced the report and presented overall analysis of gathered data.

3.5. Ethical consideration

This research process gathered all authentic data to maintain research reliability and validity; while using necessary information, this research process authentically mentioned the name of the authors and the publication dates. In addition, this study will be beneficial for future researchers to gain knowledge about the behavioural changes of the UK retail consumers. Moreover, this research process is used only for academic purpose and not for any commercial or personal usages.

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CHAPTER 4: FINDINGS AND DISCUSSION

4.1. Introduction

The discussion section is one of the final parts of a research project in which the researchers depict their analysis, interpret their findings and describe their results of the research. The discussion section is a crucial part of the research project that contextualizes and interprets the drawn conclusions and findings and discusses their affective implications. Findings basically refer to the final outcomes of the research project that what the project indicated, suggested and revealed. The findings represent the association or link between the variables which are interrogated by the researchers and the derived conclusion of the research project. The main objective of the findings is to evaluate the extension so that the research objective can align with the achieved result.

4.2. Findings

Theme 1: Family and social class is a significant driver for customers’ behaviour

Social class and attitude change consumer behaviour in retail sectors; the UK is enriched with all types of retailing, such as food, fashion, and grocery. People from a higher class of society focus on their daily habits and their health; their consumption is based on their health orientation (Zhang et al. 2021). This changes attitudes toward food consumption. Furthermore, aged people in the UK have a positive attitude toward sustainability, which is adequate enough for the focus on sustainable products in all retail products. They tend to avoid fast fashion products as those are unsustainable and increase waste materials. In addition, they also tend to reduce issues in their consumption processes to foster further waste-free consumption. On the other hand, customer citizenship behaviour and corporate social responsibility (CSR) are closely related to each other. The UK people look after consumer citizenship behaviour through their lifestyle; with due respect, business processes need to support the consumers with adequate products to help consumer citizenship (Abdelmoety et al. 2021). Again, this is also necessary for increased focus on ethical consumer behaviour. Ethics in products’ quality and price are the most essential factors for altering consumer behaviour. UK people value money; hence, value for money is the most ethical concern for this retail industry.

Theme 2: Advanced technology in the retail section alters customers’ behaviour in the UK retail industry

Technology is reshaping online business processes in the retail industry; currently, almost 20% of the total UK population is indulged in online shopping. Moreover, the retail industry is the largest private sector in the UK; in this concern, the development of technology allows this retail industry to manage its customers efficiently. Retailers use advanced technology to assess the needs and necessities of their customers; on the other side, customers also come to know about different companies and the latest products (Balchandani et al. 2020). In addition, the technological development ensured the technical security of customers’ private information within the overall business process to influence their purchasing behaviour and buying decisions. Online payment is also secured through technological development; hence, companies can conduct appropriate consumer value propositions for their customers to customers’ preferences. As a result, effective communication is developed between customers and companies; through such communication, customers are introduced to their target or dream products. In online business processes, AI secures customers’ search history and suggests similar products (Retail Economics, 2023a). This increases consumer awareness about recommended products; sophisticated personalisation through technologies lets the retail companies assess customer journeys and improve the supply chain. Efficient use of circular economy and reverse logistics increases customers’ confidence to purchase retail products.

Theme 3: Promotion of e-commerce and digitalised retail changes customers’ behaviour from offline to online

The retail industry faced changes in the shopping behaviour of UK customers; this change occurred from physical stores to online stores. The COVID-19 pandemic increased the development of online business processes; many offline stores expanded their business in online platforms due to the global lockdown (Schulze, 2021). Due to the temporary closure of the physical stores, retail companies introduced their products to target customers through online and social media applications. In this way, the retailers used online platforms for promotional strategies and increased their business processes. Customers also become habituated to net surfing and online activities. In overall e-commerce marketing processes, companies use the tools and technologies of the fourth industrial revolution. AI, IoT, big data, and blockchain were essential technologies to secure customer engagement in overall business processes and systemise market customers. AI and IoT allow retailers to store customers’ information digitally; in addition, big data and blockchain secure customers’ information from third-party intrusion (Murdiana and Hajaoui, 2020). All these sections increase customers’ involvement in and confidence in the online retail process. This increased choices and preferences among the youths in the UK as this made online logistics reliable for customers.

Theme 4: Customer insight is the most helpful technique to attract customers

Consumer insight is one of the most essential marketing tools for the development of business processes. Hence, it is adequate to have a 360-degree view of customers’ background and their choices; in other words, customer insights allow one to delve deep into customers’ cultural, social, and economic drivers for purchasing any particular product (Michon, 2021). In this concern, business organisations use this to look into customers’ preferences; they can predict the changes in customers’ needs and demands. Customers’ needs are changing based on changing lifestyles and criteria; understanding this concern, UK retailers are also changing their products to serve their target customers properly. For example, the UK people are increasingly becoming conscious of their health. Hence, they are interested in purchasing healthy food products and organic products. Food retailers are developing their products to be sustainable and healthy and maintain good quality.

4.3. Discussion

Social groups and social status often focus on purchasing branded products; their attitude is developed based on customers’ focus on the development of brand images to decide their purchase. The family background and social status of a customer allow them to look for all the branded products and think less about the price (Hur, 2020). Furthermore, people with lower and middle incomes look for products which have lower prices. In addition, people with high incomes have positive attitudes toward the development of sustainable business processes and sustainable products. In that case, ethics and CSR values are prime drivers for product manufacturing. In other words, products with recycling features allow businesspersons to reduce the quantity of new raw materials and lessen overall product price. This attracts more customers to use refurbished as well as second-hand products; all these are positive enough to manage ecological, social, hedonic and economic value in overall business activities. Furthermore, the social value of second-hand products increases the economic value for the consumer groups and the retailing strategy (Fernandes and Castro, 2020). Moreover, social media applications and their use in business processes also involve more customers in overall business activities. This also influences consumers’ behaviour; families with social media access come in contact with different brands and companies, which influences their purchasing behaviour. Online retailing processes allow retail companies to communicate with their target customers and influence their purchasing decisions based on needs and requirements.

The retail industry in the UK focuses on making offline and online commerce close; improvement and advancement in technology allow UK retailers to predict customers’ choices and demands at a particular time. The involvement of the technologies of the fourth industrial revolution enhances transparency in overall business processes. This makes customers aware of all the details of the products; they can track the location while their ordered product is on the way (Knox, 2022). Furthermore, personalisation is another essential strategy of retailers to influence consumers to purchase their products. Search history in an online application increases the efficient use of personalisation techniques for retail companies. This is effective for the development of the business processes and the management of the customers. Again, consistent services from the retail companies also allow them to communicate with customers and solve their queries quickly. This also affects customers’ purchasing behaviour; in this concern, it can be said that technology is increasing ethical values and sustainable purchasing behaviour for the development of business processes. The UK people are growing their concern for moral and eco-friendly products; technological development increases recycling activities in manufacturing retail products (Retail Economics, 2023b). Furthermore, managing waste is another concern, which is promoted through this recycling process; this enhanced the use of a circular economy. This increases the value for customers and their money; again, AI-based protection on the personal details of customers alters their behaviours as they become confident about a company.

Online business, e-commerce, and digitalisation have come into direct contact with the worldwide population during the pandemic era. Retail organisations expanded their operational activities on digital platforms; they started communicating with their target customers on digital media as a rapid promotional tool. Online transactions are effective enough for the development of online operations; customers can visit online stores and assess the availability of products and services that are mentioned on the website. It reduces the time, cost, and effort of customers to be involved in overall business activities; they do not need to visit their target brand stores physically. In addition, they order quickly on the company websites, as well as on the online shopping platforms (Zhao, 2023). As a result, even in the post-pandemic era, growing support for online business processes is still present. Online business processes also support online payment activities; retailers provide customers with pictures of QR codes, UPI options, and card payment services. This comforts customers for payment activities; as a result, people focus on the development of paid promotions. However, retailers also provide customers with offline or “cash on delivery” opportunities to support their payment preferences, ease and comfort. This also makes customers confident in both online and offline business activities. E-commerce and digital tools allow retailers to personalise customers’ choices and suggest the best products to their customers. This also attracts most of the customers to make their choices; again, price-based personalisation reshaped customers’ preferences and comfort for dealing with online applications and e-commerce platforms (Liu and Lin, 2023). Hence, this is necessary for the development of new business relationships with customers regarding product choices, quality, and costs.

Customer insight is one of the most effective tools for the development of business processes through valuable information about customers. In other words, this provides companies with an enormous opportunity to know their target customers properly, along with their needs and demands. In this case, retail companies are changing their product qualities and qualities to attract their target audiences. As a result, customers are getting their required products, which eases their livelihood and also allows them to maintain social and economic status (Maza, 2023). On the other hand, companies are creating efficient shopping situations in both online and offline business stores. Here, they provide customers with both staff-based service and self-service; they guide customers in searching for their required products. Good behaviour from staff in offline stores and from customer services in online stores influence customers to purchase products. Furthermore, ethical consumption is a growing concern of the UK government, as well as among the UK people. This is one major factor for behaviour alteration among the UK retail customers; they look at the sources of products. In this case, the ethical and sustainable use of raw materials is their focus; this attracts more customers and the government. Furthermore, customer insight also ensures the retailers that customers prefer reverse logistics and circular economy to value their money (Pei et al. 2020). In addition, smart customers also support ease in managing online platforms; here, online markets are attracted by the use of search engines (Roy et al. 2022). Word-of-mouth services also co-create value for customers in both managerial and customer implications and increase brand equity to alter customer behaviour.

4.4. Chapter Summary

This chapter highlights the way customers’ age, gender, social status, and other aspects allow consumers to change their purchasing behaviour in the UK retail. In addition, e-commerce and easy purchasing processes assist customers in conducting their purchases within this industry.

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CHAPTER 5: CONCLUSION

5.1. Conclusion

This study highlights the way customers are changing their insight for their purchasing in the UK retail industry. Social status and family background are the most influential drivers to change consumers’ preferences. These are related to the age, gender, educational qualification, and income of the family members. These vary customers’ awareness regarding a product and change their consumption behaviour; improved social and economic conditions allow customers to purchase a better product. In addition, technological development increases business activities and helps businesses communicate efficiently with all customers. Such advancement is promoted through the efficient involvement of the technologies of the fourth industrial revolution, for example, AI, IoT, blockchain, and big data. These technologies secure online purchasing to maintain customers’ confidence regarding the overall business processes. This secures customers’ data, history, and payment options for the customers; as a result, customers’ confidence is increased to purchase any product. In this way, their behaviour is changed. The worldwide pandemic has changed business activities; social distancing and lockdowns have increased the rate of online involvement in the retail sector. As a result, people also visited online platforms to purchase their required retail products; here, technological ease, comfort and security played a crucial role in influencing customers to alter their offline purchasing behaviour to online purchasing. Another important factor that this research highlighted is the analysis of consumer insight, which became an efficient tool for retailers to assess the changes in customers’ lifestyles. Consumer journey maps and customer persona are adequate enough to forecast the changing needs of customers. Here, retail companies manufacture as well as promote those new products to their target customers; hence, customer changes their purchasing behaviour from old products to advanced or latest products.

5.2. Research limitation and future scope

This study followed a secondary qualitative approach to conduct an overall research process; it did not use primary data sources for this study. This gathered information only from books, journals, articles, newspapers, and governmental websites. Hence, this is the limit of this research process; in addition, this is a scope for future research; this study could use interviews and surveys to gather accurate and current data. In this case, an interview with the retail managers would provide valuable information regarding the way they are facing changes in consumer behaviour. Furthermore, another research can be conducted based on a survey of retail customers; they can be sent Google forms to put their valuable responses. In interview-based information from the managers will assist in conducting qualitative research, survey-based information from customers will assist in conducting a quantitative research process. Furthermore, this research process assessed customer behaviour in the UK only, which represented a developed country; this is another limitation. Research can be conducted on such behaviour alteration of customers in developing countries for the same industry.

5.3. Recommendation

The retail industry is one of the largest industries in the UK; hence, this experiences the highest changes in customer behaviour. In this case, the industry can use customer insight as the most effective tool to assess changes in customers’ lifestyles to predict their concerns. This will allow the retail sector to manage changes in their production processes; moreover, this increases competitive edges for each company. Again, customers are growing their dependence on technology and digital business activities; in this case, the retail company can update all information on the latest technologies to increase the safety and security of customers’ data. Thereafter, the retail industry can promote the latest digital platforms for e-commerce to reach the growing number of customers.

References

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Balchandani, A., Hancock, B., Phillips, S., and Wachinger, T., 2020. Rebooting retail: How technology will shape the future of retail. Available at: https://www.mckinsey.com/industries/retail/our-insights/rebooting-retail-how-technology-will-shape-the-future-of-retail [accessed on 02/11/2023]

Fernandes, T. and Castro, A., 2020. Understanding drivers and outcomes of lurking vs. posting engagement behaviours in social media-based brand communities. Journal of Marketing Management, 36(7-8), pp.660-681.

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