Almost half of consumers will continue to shop more locally, finds research

Lumina Intelligence’s Future of Convenience Report 2021 shows that 42% of respondents will continue to shop locally in the future and  78% say it’s either ‘important’ or ‘very important’ to support local suppliers and retailers.

In addition, 74% of respondents say it’s either ‘important’ or ‘very important’ to support businesses that give back to the community.

Alice Dolling, senior insight manager at Lumina Intelligence, said: “Convenience store retailers are perfectly positioned to capitalise on the demand for shopping locally. Community involvement is pivotal in building loyalty and awareness. In fact, positive community involvement directly correlates with likelihood to recommend a store.”

The research reveals that 38% of consumers were not aware of convenience store delivery, but 48% would use it. In addition, 27% of respondents said they would replace a takeaway with delivery from a convenience store.

Dolling added: “2020 saw an acceleration in online shopping that we could never have predicted. Nearly one-in-five shoppers changed their primary method of grocery shopping to online, highlighting the opportunity available. As demand increases, convenience stores have a great opportunity to drive greater basket spend and expand the potential catchment area of their store by offering delivery. Not only that, delivery provides another avenue to compete with foodservice operators in the ‘takeaway’ market.”

The report also finds that 46% of consumers are trying to reduce their food and drink spend, 66% are more careful with what they spend money on than before lockdown began, and 28% of shoppers purchase own label.

In addition, the research reveals 61% of respondents are ‘very’ or ‘extremely’ aware of product prices in convenience stores.

Dolling said: “In April 2020, 37% of consumers said they were visiting their local convenience store more often, driven by government advice to ‘stay local’. The big challenge for retailers in 2021 will be to retain these shoppers. With the UK entering its first recession in 11 years, consumers will be more aware of their spending and will be engaging in price comparisons. Retailers and suppliers will inevitably have to be reactive with promotions, but also offer loyalty schemes to gain and retain shopper custom.”