Brexit was one of the most talked about event of recent years—aside from the pandemic of course—cutting the UK off from the rest of Europe, therefore creating issues for stock going in and out, under new regulations. Now, over a year later, we’re left looking at the impacts that Brexit has had on retail and ecommerce in the UK. Cross-border delivery processes have become more complicated, and in turn this has had a knock on effect on retailers in the UK.
The shipping issues that have arisen as the result of Brexit include hold ups in the supply chain, such as delays from the warehouse to retailer, and retailer to customer. Getting goods from companies outside of the EU has been disrupted, whilst it’s taken some time for retailers to adjust to the new rules and changes.
Even before Brexit, UK consumers were often hesitant about ordering from abroad, preferring the retailer to manage this part of the process for them, then buy directly from a store within their own country. We asked 1,000 consumers in the UK what stops them from buying from abroad. We can see that the most common reason has always been concerns about returns, and the delivery. Payment options, higher costs, and language barriers are lesser concerns for the average buyer.
What do you feel are the biggest barriers to buying goods from a non UK retailer?
(Source: Maru, nShift and IMRG Home Delivery Report)
Brexit is not likely to have reassured consumers, or created further faith in their choices when buying from abroad. UK retailers are now faced with issues such as understanding new import taxes and customs, which will potentially continue to hike the prices of goods, especially bought from abroad. In 2021, 73% of UK consumers surveyed, in our sample of 1,000, said that they wouldn’t consider buying from a non-UK website in the next 12 months.
Would you consider buying from a non-UK retailer in the next 12 months? (2021)
(Source: Maru, nShift and IMRG Home Delivery Report)
Brexit has hugely impacted consumer trust, and buying cross-border now seems more daunting than before. Our 2021 survey results show that almost three quarters of UK consumers don’t want to buy from non-UK retailers in the next 12 months, and that delivery and returns have consistently been a worry when buying internationally.
In order to build trust with customers, retailers must use quality delivery management solutions providers, in order to maintain excellent service, which keeps up with changing regulations.