The UK retail industry is the toughest in the world according to new research from, with the highest concentration of competition and rising discounter pressure.
According to new research from trade credit insurer Euler Hermes, UK retailers are under the greatest pressure to transform business models compared to the 11 other retail markets in the study.
It found that British retailers faced the highest level of discounter market share at 10 per cent, twice the European average of purchases made online, and the highest concentration of competition.
However, it also found that the UK was well-positioned to incorporate these changes, rated the highest in logistical efficiency and awareness of digital challenges.
“It’s clear the UK’s retail sector has reached a pivotal moment,” Euler Hermes chief economist Ludovic Subran said.
“The increasing consumer demand for seamless, omni-channel shopping experiences, the growing cost of a digital presence and the need to continually reinvent the mobile customer journey means that traditional retailers must urgently rethink their business models.
“Many will soon face a stark choice between evolution and closing their doors.
“Although British businesses are aware of these challenges and have a greater potential to change compared with their global counterparts, an uncertain economic outlook is expected to weigh down on retail sales.”