AREA, DEHLI -- More spending, more income and greater consumer choice will fuel the growth of Europe’s convenience store industry, according to a new study by market research firm RNCOS.
The report, “European Convenience Stores--Market Report (2006-2008),” suggests that the European convenience store industry “is estimated to be evaluated at around 240 [billion] Euros, with the current revenue expected to climb up to 4.5 [billion] Euros,” notes a press release. By 2009, the study predicts there will be 51,950 convenience stores operating in the U.K.
“It's nothing short of a technological revolution that has enabled ordinary customers to seize ever-greater control of how, when and where they should spend,” notes RNCOS, adding, “The convenience retail stores have indeed changed consumer behaviors by catering to all the demands of the customer. The rapid growth in the convenience store industry is driven by the growing consumerism and market liberalization worldwide.
The study suggests that to remain profitable, U.K. convenience retailers “will have to keep in mind the consumer requirements, their shopping choices, a well-organized retail plan and a team of skilled, experienced and dedicated staff to run the store.”
Taking a look at consumer behavior, the report found that nearly 93 percent of consumers go shopping alone, and that half of those who frequent a convenience store to fill up their vehicle “never feel the necessity or urge to enter these stores.”
The report found that other factors, such as commuting distance to and from the home and work and store accessibility, dictate how consumers choose which store they want to shop. Other considerations influencing the convenience store industry include demographic changes such as the population age, growth of the workforce, growth in single-person homes and increasing commuter time.
For more information about the RNCOS report, click here.