Brexit becomes a reality - Implications for retailers and FMCGs
28 Jun 2016
Reports & Presentations
Updated: 04/07/2016: The unexpected outcome of the UK referendum on EU membership – with the UK voting to leave the European Union after a transition period of around two years – sent immediate shockwaves across the financial, stock and currency markets on both sides of the channel.
After the hefty immediate shock reactions, what will follow for retailers is a period of sustained insecurity about whether or not the UK will remain in a free trade area with the EU after the Brexit. Retailers will also hit by supply chain challenges coming from a weak pound and prolonged weakness of consumer confidence as worries about a recession translate into fear of job losses.
Planet Retail takes a look at the short, medium and long-term implications of the Brexit for both retailers and suppliers. The report also lists several business risks along with opportunities to look forward, of which there are surprisingly many for businesses reacting fast and appropriately.
Table of contents
1. The Brexit Roadmap
2. Risks to the UK Economy and Retail
3. Implications for Retailers
4. Implications for FMCG
5. The Long-term Risks
6. Action to Take for FMCG
Reasons to buy
- Start preparing for the post-Brexit period;
- Understand the mixture of opportunities and challenges arising from the Brexit;
- Review the risk of a UK demand recession from financial turmoil, a weak pound and a risk of interest rate hikes;
- See short, mid and long-term implications for both retailers and suppliers; and
- Consider risks to supply chains from further European disintegration.
About the analyst
Chief Economist & General Manager, Germany
Boris Planer is the Chief Economist based in Frankfurt. Boris specialises in macroeconomics and market trends, and is a regular speaker at retail events, usually with a focus on retail modernisation and investment opportunities in emerging markets. Before he became a Research Director, prior to his appointment as Chief Economist, Boris analysed Central & Eastern European markets for six years. Today, his research focus has broadened to include Sub-Saharan Africa, the Middle East, Emerging Asia and Latin America. He began building Planet Retail's macroeconomic database in 2002 and has expanded its coverage ever since. Boris has worked as a Retail Analyst since 1999.