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6,300 pubs, bars and restaurants to close by 2015

Published:  15 October, 2010

A new report has predicted that 6,300 pubs, bars and restaurants will close by 2015.

A new report has predicted that 6,300 pubs, bars and restaurants will close by 2015.

The research, carried out on behalf of accountancy and business advisory firm BDO, says a "new breed of consumer" is threatening the UK high street.

The failure figures were obtained using analysis of the Centre for Economics and Business Research's (cebr) industry watch business forecasting models, the Office for National Statistics (ONS) annual business inquiry and the VAT-registered business start-ups and closures from the Department for Business, Enterprise and Regulatory Reform (BERR) in 2009.

The report, Transitions to the New Consumer, urges retailers to adapt to the changing mindset of consumers in order to avoid failure. It says they should take steps to build brand loyalty in order to survive.

The report advises businesses to:

  • Rethink who your customers are and who you want them to be
  • Revisit what great service looks, feels and sounds like
  • Continuously review customer spending data to provide a "bespoke personal experience"
  • Focus on what customers want and need rather than product range variety

Don Williams, BDO's head of retail, said: "One size no longer fits all. Businesses will not survive and thrive if they do not take steps to understand the psychology of the new consumer.

"The recession has been a catalyst for change and people are becoming much more demanding - they want a personalised experience without paying a premium for it. That means consumers want to buy from retailers who target and treat them as individuals."