The Comeback of British C-Stores

Changing demographics and economics influence the rise of smaller stores.

December 04, 2014

LONDON – A recent article in The Economist tracks the changes in British retail and shopping trends, particularly the rise of the convenience store model. While supermarkets were the industry leaders starting in the 1960s, in recent years they’ve been investing in smaller stores — a trend seen in the United States as well. According to the report, Britain’s Sainsbury’s supermarket chain has reduced its average store size from around 2,000 square meters (about 6,500 square feet) in 2008 to just 1,750 square meters (or 5,700 square feet) today.

This change is partly the result of the recent global financial crisis. In an effort to reduce the amount of food they are throwing away, shoppers are now buying what they need more frequently at smaller shops or shopping online, rather than doing bigger and more speculative weekly shops at hypermarkets.

But according to The Economist, economic forces alone cannot explain the evolution. Convenience-store openings have accelerated since the end of the recession in Britain and America, rather than slowing down as the economy recovered. Changing lifestyles have also made a contribution, particularly the increasing proportion of single and elderly people, who tend to prefer smaller shops to huge hypermarkets. Busy shoppers who work full time also say they prefer to use convenience stores because they are much easier to navigate in hurry. And as the proportion of people under 40 who drive continues to fall, youngsters are increasingly depending on local stores they can visit on foot.

Advertisement
Advertisement
Advertisement