The report below gives a good overview of the Winter 2023 M&A activity in the Consumer Retail Industry Sector. The global consumer retail market was valued at $71.5 trillion in 2022, and is expected to reach $91.9 trillion by 2026, growing at a CAGR of 6.5%, during the period 2022-26, as per report published by The Business Research Company. In 2022, the Russia-Ukraine conflict and soaring inflation led to higher product prices and reduced demand among the consumers in the retail industry. Inflation is predicted to remain high in 2023, which will further reduce consumer demand. Additionally, consumer spending in discretionary categories such as consumer electronics and home furnishings is likely to decline further due to adverse macroeconomic conditions. However, retailers are expected to modify their strategies by making their products available offline as bulk of all US retail sales are predicted to be driven by offline stores in 2023. An offline presence could be advantageous for online-only firms, as omnichannel culture is predicted to peak in 2023. Furthermore, chatbots and automated checkouts are expected to increase the efficiency of the companies and improve customer engagement in this industry. Moreover, innovative advertisements and customer retention strategies would also enable retail firms to increase their market share in this highly competitive retail industry.
Posted by Joseph P. Sands.