Latest Intelligence on Convenience Stores and Traditional Grocers

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Type Product title / description Pub Price
Expert View
Expert View

Italian supermarkets may be allowed to sell petrol

In a bid to promote price competition in its fuel retail sector, the Italian government has proposed to make it easier for retailers to open petrol stations and to allow supermarkets to enter the market. Italy already has a high number of petrol stations and network expansion is undesirable. However, assuming only supermarkets exploit this legislative change, lower prices should be achieved.

Published By Datamonitor
23 Jan 2007
CommentWire
CommentWire

Londis: gaining membership loyalty is crucial

Londis' decision to raise the minimum stock order level by 50% has potential risks for the business. It will undoubtedly improve buying efficiencies, but at the risk of losing disgruntled members. Londis may find it more efficient to gain scale economies through the recruitment and expansion of its franchise network.

Published By Datamonitor
26 Jan 2007
Expert View
Expert View

Forecourt shops boost revenue, but fuel-only customers must be kept in mind

Fuel retailers' drive into convenience retailing is reaping rewards in many European markets. However, for around 50% of visits to European forecourt sites with shops, motorists leave with fuel but no extra purchases, suggesting that there may now be too many forecourt stores. Investment in shops should thus be made prudently, and convenient payment channels for 'fuel only' shoppers encouraged.

Published By Datamonitor
08 Jun 2007
CommentWire
CommentWire

ExxonMobil: introducing pay at the pump technology

ExxonMobil hopes to install automatic payment technology at the pumps of all of its Esso-branded 'On the Run' petrol stations in the UK by the end of 2007. Given that over a third of forecourt shop visitors in the UK solely buy fuel, it is wise to encourage speedier transactions and visits, especially at the company's busiest sites.

Published By Datamonitor
13 Aug 2007
CommentWire
CommentWire

UK forecourts: increasingly attractive to convenience retailers

In the UK, petrol stations are becoming increasingly attractive to convenience retailers that wish to operate outlets in locations with a high customer throughput. Given the purported financial rewards of combining convenience and fuel retail, convenience retailers without the option of partnering with a fuel retailer may choose to open own-branded service stations at new convenience locations.

Published By Datamonitor
29 Aug 2007
CommentWire
CommentWire

The Co-operative Group: standardization raises the competitive bar

The Co-operative Group is upping the ante in the UK grocery market by investing GBP200 million next year in accelerating its store refit and rebranding program. With the convenience market still a source of activity, addressing inconsistencies in the Co-op's brand - a major failing for the group - will be crucial in developing customer loyalty and raising the competitive bar.

Published By Datamonitor
15 Oct 2007
CommentWire
CommentWire

Edeka: strong prospects

Against a slowly recovering German market, helped by shop opening hour liberalization driving consumers to its neighborhood outlets, Edeka delivered 4.5% growth to reach E31 billion in sales in 2007. Looking ahead, the group plans further expansion and the integration of the recently acquired Plus operation into its outperforming discount concept.

Published By Datamonitor
19 Feb 2008
Expert View
Expert View

Budget 2008: tax rises will hit retailers

Faced with the need to raise revenues, the chancellor took the politically less risky option of raising taxes on alcohol (in a bid to be seen as tough on binge drinking) and car owners (to boost his green credentials). These measures, combined with the impact of previously announced tax changes, will make 2008 especially challenging for retailers.

Published By Datamonitor
13 Mar 2008
CommentWire
CommentWire

Musgrave: continues to improve UK performance

The Musgrave group has grown operating profit by 4.1% to E109.2m and nearly halved its net debt to E96m. Going forward, it plans to continue its growth in the UK by investing in IT, logistics and store environments, making stores more consistent and navigable. This is an indication that it plans to supply more fresh goods, but the group will need a strong logistical system if it is to succeed.

Published By Datamonitor
18 Apr 2008
Expert View
Expert View

The Co-operative Group agrees acquisition of Somerfield

The Co-operative Group has reached an agreement to acquire Somerfield, the UK's sixth largest grocer, for GBP1.6 billion. The acquisition will make the Co-operative Group a much stronger force in UK grocery retailing, and although the deal will have little impact on the UK's 'Big Four' major grocers, it will prompt further consolidation in the still fragmented convenience store market.

Published By Datamonitor
17 Jul 2008

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