Despite initial signs that price rises are slowing, retailers globally are still worried about inflation dampening consumer spending, according to a survey of retail decision-makers conducted by Boston Consulting Group
In Europe retailers are contending with slowing sales as consumers, squeezed by high energy bills, spend less on clothes and buy cheaper food.
"This limits the options retailers have to recover and combat high input costs, and it creates new difficulties that retailers must combat, such as shifting consumer behaviour towards specific products and customer segments," BCG said in the report. The authors of the report said retailers should invest in artificial intelligence to hone their pricing and marketing strategies using algorithms and machine learning.
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