Convenience Stores - UK - April 2014
“For convenience retailers, those consumers incorporating c-stores within their regular grocery shopping repertoire are most important. On this basis, young shoppers – most importantly, the 25-34 age group – should be the focus for retailers.”
– John Mercer, European Retail Analyst
Some questions answered in this report include:
- Which age groups are worth focusing on?
- What locations should retailers be targeting?
- Are there opportunities in petrol forecourts?
- What are the opportunities in food-to-go and food-service?
- Is convenience a panacea for major grocers?
Convenience is one of the higher-growth segments in grocery retailing. Its near 5% growth rates are comfortably in excess of the growth for all grocery retailing.
The encroachment of the grocery multiples such as Tesco and Sainsbury’s is changing convenience shopping from a distress or emergency top-up shop to a regular part of consumers’ grocery shopping repertoire. As a consequence, these retailers are helping to grow the sector.
At the same time, the boom in online grocery shopping is contributing demand for top-up shops between occasional internet shops.
These factors mean fresh foods, meal solutions and food-to-go are increasingly important. They also mean that not all convenience retailers will benefit equally from a rising market.
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