They say imitation is the sincerest form of flattery. But when it comes to supermarkets adopting farm shop aesthetics, it’s doing more harm than good.
Morrisons’ recent refresh of its Market Street range reflects a growing trend of supermarkets borrowing the look and feel of rural businesses to win over ethically conscious consumers seeking fresher, more sustainable food.
Rustic signage, wooden displays and ‘local’ branding may suggest a local experience, but they mask a fundamental difference. Unlike farm shops, which often source directly and locally, many supermarkets still rely on centralised buying and global supply chains.
Meanwhile, the small businesses they are imitating – that are truly rooted in local communities – are under real pressure from rising costs, tightening margins, and competitive superstore prices.
Our farm shops need us now more than ever, and here’s why.
Under pressure
Farm shops are the cornerstones of rural communities up and down the country, supplying great-quality local food and consumer experiences while significantly contributing to regional economies. In fact, every pound spent in a farm shop contributes 75p back into the local economy: the sector adds £1.4bn to UK GDP every year.
Despite their influence, farm retailers are under unprecedented pressure in the current tax environment. Many are caught in the crossfire of rising National Insurance contributions, and the impact of the uncertain global trade environment on the price of farming equipment.
On top of rising business costs, inherited farms worth more than £1m will be taxed at a rate of 20%, having been shielded from the levies for decades. As a result, around 700 farm shops out of a total of 1,580 in the UK (around 44%) are at risk of closing, diminishing access to fresh food for local economies and communities.
Informed choices
It’s no wonder supermarkets are after the charm and aesthetic of farm shops, when 20% of UK consumers are willing to pay more for sustainable, locally grown products.
Today’s consumers are more conscious about what they eat, as well as the impact food has on the environment. Many want to support British producers, and 87% of people say they would like to see the UK produce more of its own food. But there’s a mismatch between that intention and what’s often available.
Recent research found that only a few supermarkets – Morrisons, Waitrose, Co-op and Ocado – exclude imported ingredients when labelling a product as ‘British’. Others allow food processed in the UK using ingredients from overseas to carry the ‘British’ label. So ‘local food’ doesn’t always mean local in bigger retailers.
Growing against the odds
This is perhaps one of the reasons why, despite wider retail challenges, farm shops have continued to grow. In 2024, the sector grew by 6.6%, well ahead of the 1.4% growth seen across UK retail more broadly. As well as being trusted sources of British food, these businesses are successfully adapting to the challenging landscape, finding new ways to serve their customers and manage their operations.
Technology is a big part of the answer. Integrated modern touchscreen tills, stock management tools and online ordering platforms are now common features in modern farm shops. New features like electronic labelling, customer analytics and booking systems are also helping farm shops innovate and generate new revenue streams, reaching new customers.
In fact, over 70% of UK farm businesses have diversified in some way to expand their offerings – opening restaurants, cafés, ‘pick your own’ services and on-site experiences. By leveraging the latest retail technology and farm shops’ unique access to rural, community-based experiences, farm shops across the country are finding new ways to adapt and grow.
Keeping it real
The reality is supermarkets cannot truly replicate the authenticity and community connection that define farm shops across the UK. These small, often family-run, businesses are pillars of communities, connecting people with locally grown food and the people who produce it.
At a time of economic uncertainty and shifting consumer values, farm shops stand out not only for their authenticity but for their ability to adapt – embracing technology and innovation to meet the demand for quality and sustainability.
The fact that supermarkets want to borrow the farm shop image tells us that customers are already on board, but buying something that feels local is not the same as buying authentically local, fresh food.
To preserve and grow a vital part of the food system and regional economies, farm shops need our support as well as the tools, investment and policy reforms to continue to deliver a more sustainable food future.
Alistair Wright, product director of The EPOS Bureau, part of ClearCourse
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