Convenience is going through an unprecedented level of change and competition is tougher than perhaps ever before. This really does go to show just how important and relevant convenience has become and will continue to be in all of our lives.
Keeping up to speed with this ever-changing market is no easy feat. At Jellybean our food and drink clients rely on us to help them understand, interpret and navigate this complex market so that together we can fully maximise their trade marketing and sales potential.
So what better time and place to share some convenience retail truths that give us and our food and drink clients reasons to be cheerful and further confidence to continue to focus and invest in this highly entrepreneurial, buoyant and people-centric channel.
Here are our top 10 Convenience Retail Truths (inspired by the ACS Local Shop Report 2017):
1. Sales in convenience have risen by £500m in the past year alone to £38bn – which makes this sector of the economy comparable in scale to other large UK sectors like recruitment, defence, oil and gas
2. Convenience sales make up over one fifth of the total grocery market
3. By the end of 2017, sales in convenience are predicted to reach £40bn
4. Convenience store retailers have invested over £858m in the last year on improving their stores, extending their range of services available to customers and making their businesses more efficient
5. Independent convenience retailers run 74% of convenience stores in the UK. Not only are they putting their hand in their pocket to invest in their stores they are also putting in long hours, with 20% working more than 70 hours a week and 19% not taking any holiday
6. The average sales of an unaffiliated independent store is £339,685 per year and they rely on working in partnership with food and drink brands to survive and thrive
7. The average shopper visits their convenience store 3.47 times per week and their average spend is £6.28. Proximity of store, friendly & helpful staff, supporting local and long opening hours are the top four key drivers for visiting local stores
8. Food and drink products are essential to convenience shopper missions – top-up (32%), food to go (15%) and meal occasions (8%) are key reasons to visit convenience and retailers want help from suppliers to get them right
9. Chilled Foods (17.2%), Alcohol (14.3%), Canned & Packaged Grocery (7.3%) are three of the biggest categories driving sales in Symbol and Multiple convenience stores – but other categories are also critically important to ensure shopper needs are met. These include: Fruit & Veg (6.4%), Soft Drinks (5.9%), Savoury Snacks (3%) and Frozen Food (2.1%)
10. Convenience stores are offering a greater number of services which gives shoppers more reasons to shop – mobile phone top-up (83%), Lottery (79%), Post Office (21%) and even local grocery delivery (16%) show how stores are changing with the times and listening to what shoppers want
To discuss how Jellybean can help you maximise the potential of your trade marketing and grow sales in convenience then please get in touch with our Group Account Director Neil Brenson on 01372 220 814 or email firstname.lastname@example.org
You can download a full copy of the ACS Local Shop Report 2017 here.