The opportunity in Convenience is larger than ever before – in fact a shift in consumer behaviour during the pandemic led to a significant spike in Convenience shopping. In the last quarter of 2021, the Convenience market was reportedly worth £38bn with a total of approximately 40,000 stores, according to Statista. This has opened the door to more FMCG brands, who continue to identify new opportunities within this growing sector.
Our data shows that most brands have an opportunity for double digit growth in this channel. With the right insight could you transform your performance in Convenience?
With that in mind, we introduce Pinpoint - a game-changing EPOS data and analytics modular platform designed to suit the needs of any brand. With access to transactional EPOS data from circa 10,000 stores, it can help you emerge as a winner in your category in Convenience.
Pinpoint data can be tailored to any category, and over the next 5 weeks we’ll dive into just 5 of them to showcase the power and granularity of this data – stay with us throughout July while we explore Soft Drinks, Confectionery, Beer, Spirits and Wine categories in Convenience…
The Soft Drinks category has always been a firm favourite in the Convenience sector with these products being a primarily grab-on-the-go purchase. The pandemic saw product sales soar further as sales of soft drinks grew by almost 16% in 2020 and 15% in 2021. There was also a change to shopper behaviour in 2020 as larger pack formats were chosen ahead of ‘on the go’ formats. This was driven by the trend for shopping local which saw a shift from consumers buying packs from the supermarket. The Sports and energy drinks market has also experienced significant growth and now makes up the biggest proportion of any soft drinks sub category in Convenience. Red Bull holds the number one spot but who came in second and third? We have the insight you need.
Similar to Soft Drinks, Confectionery is a classic Convenience category with many consumers adopting that ‘treat yourself’ mentality. Picking up a sweet treat from the local store is a concept that has been around for decades but was again accelerated in the last few years because of the increased appetite for Convenience during the pandemic. Average store sales grew by 10.8% in 2020 and continue to rise at a rapid rate. In 2021, Confectionery accounted for 4.5% of all convenience store sales. Our data shows that Mondelez sold 3 of the 5 top selling products in UK convenience last year and we can share exactly what those products are and what your brand needs to do to overtake them.
Alcohol sales spiked during the pandemic with more people staying at home. This coupled with the new demand for shopping local means the Convenience store became ‘the’ place to go to pick up a carry out.
In 2021, beer accounted for 5.9% of all convenience store sales in 2021 and average store sales grew by 46.1% in 2020 as a result of pub and bars closing during lockdown. Seven months in to 2022, do people still have a thirst for beer? Stella Artois and Budweiser still remain the favourites but by what percentage? Our Pinpoint data has the answers and can help your brand become a top performer in the beer category too.
With more people investing in bottles of spirits for the home and the trend for flavoured gins over the last few years, this key category has been steady in the Convenience sector. In 2021, spirits accounted for 4.4% of all Convenience store sales in 2021. The category continued to grow in 2021 driven by strong performances from liqueurs (+14%) and Rum (+8%), not to mention whisky which holds a 19% share today. But who are winners and losers when it comes to specific brands? When it comes to rum, Bacardi is second place but how can they use data to rise to the top of the category?
Wine has always been a staple purchase in the overall alcohol category, accounting for 4% of alcohol sales in Convenience. Interestingly, both red & white wine have declined in 2021 compared to 2020, but sparkling wine has grown – possibly due to a rise in celebrations and events post lockdown. Consumers are back toasting with a glass of fizz as opposed to enjoying a glass of wine on the sofa. The need to shop local is still there and there is potential for wine brands to knock the current leaders Echo Falls and Blossom Hill off the top spot in the sector.
Today, the opportunity in the Convenience sector is still huge, particularly in our top 5 key categories. By managing data correctly and incorporating it into their Convenience strategy, brands can start seeing results.
Do you know the winners and losers in your category in Convenience? We do. Talk to us to get an insight in to our data and how it can help you conquer the Convenience sector: drive through starbucks - Google Search (weareavidity.com)