Convenience Stores - China - July 2019
Covered in this report
According to the National Standard Retail Business Category ( 零售业态分类) (GB/T18106-2004), convenience stores (CVS) are defined as a small-store grocery-focused retail format which offers convenience services for people needing to undertake topup shopping or make distress purchases. The sector has also become increasingly prominent in consumers’ last-minute meal shopping.
In practice, convenience stores should:
- Be open seven days a week and have 16-24 hours of operational store opening times;
- Sell an extended range of goods including a range of knownvalue items such as food, drinks, basic household groceries and newspapers;
- Provide a range of services, including, but not limited to, mobile phone top-up, utility bills payment, credit card repayment, and parcel delivery;
- Serve a local community within easy reach by foot or by bicycle;
- Usually trade from a unit around 100 sq. metres in size
“The convenience store sector has maintained vibrant double-digit growth, even at a challenging time for brick-and-mortar retail, thanks to consumers’ continuous pursuit of time efficiency, availability, and instant fulfilment. Ready meals and freshly made beverages in c-stores are winning over Chinese consumers as they provide a quick and economical option for proper meals and afternoon tea. C-store brands should explore the possibility of positioning themselves as relaxing third spaces in cities to better serve local communities and busy office workers.”
– Scarlett Zhao, Associate Research Analyst
This report will look at the following areas:
- A new leisure venue and community space for city dwellers
- Better understand and reward loyal customers
- Introduce themed/pop-up stores to differentiate from competitors
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