New SGF report highlights the growth and community role of convenience retailing in Scotland

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The growth and resilience of convenience retailing – and its role at the heart of local communities – have been highlighted in a new report from the Scottish Grocers’ Federation (SGF).

It shows that the number of convenience stores in Scotland has increased slightly to 5,025 and 47,000 people are now employed in retailing – an increase of 3,000 compared with 2019.

The new Scottish Local Shop Report – produced in partnership with the Association of Convenience Stores (ACS) – features a comprehensive breakdown of facts and figures outlining the scale and scope of retailing.

SGF chief executive Pete Cheema said: “The report gives us the hard numbers we need to show clearly how important the convenience sector is to the national economy, the local economy and to our communities.

“Retailers continue to invest massively in their  businesses and this shows how determined they are to drive up standards.

“The effort retailers have put into expanding home deliveries is a tribute to their willingness to support vulnerable customers and to adapt to the impact of the pandemic.”

Of the 5,000-plus convenience outlets, 40% are unaffiliated independents, 32% belong to symbol groups and 28% are part of multiple chains and together they generate annual business of £44.7bn.

The report reveals how retailers in Scotland have been hit by the Covid-19 virus. Some 26% say sales have fallen by a “large extent” due to the virus, with 40% saying there has been a big drop in footfall.

Supporting communities continues to be at the heart of convenience trading. Retailers are now providing 600,000 home deliveries a week to  their communities and 85% of independent c-store operators in Scotland have engaged in community activities in the past year.

The majority of these retailers raise money for local and national charities, 27% fund a community event, 25% donate to a local food bank and 19% sponsor a sports team. Some 33% of stores offer “card not present” transactions helping volunteers shop for vulnerable people locally.

The report points out that in 2020 retailers in Scotland have invested £62m in their businesses, with in-store chilling the biggest area of improvement, followed by interior building maintenance, in-store lighting and shelving.

It also reveals that 70% of convenience outlets have an EPoS system, 42% operate a website, 30% feature digital advertising screens, 26% offer in-store wi-fi and 7% have self-service checkouts.

The report also highlights that retailers continue to put in the hours for their business with 14% working 70 hours a week and 18% taking no holidays.

The Scottish Local Shop Report, which is being distributed to MSPs and all Scottish MPs, can now be downloaded from the SGF website.