Changes in Behaviour & the Implications on Convenience Retail - Top Line Marketing
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Changes in Behaviour & the Implications on Convenience Retail
Changes in Behaviour & Implications on Convenience Retail
Contents
03 Introduction
04 Consumer Trends
21 Shopper Trends
36 Retailer Trends
59 Implications for Convenience Retail
68 Final Thoughts
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Changes in Behaviour & the Implications on Convenience Retail
3
The following perspective has been This is intended to provide business
shaped from a broad and experienced leaders with a perspective as they begin
mix of executives from Top Line to plan for, and reimagine a
Marketing spanning Europe, Middle East ‘new normal’. We recognize that
and the U.S. It comes after watching and events around the pandemic have
assessing the changes to consumer, evolved very quickly and businesses
shopper & retailer behaviour during the have had to contend with many pressing
COVID19 global pandemic and Includes issues to react swiftly in
reading reports from a broad base of order to protect their employees,
consultancy and media agencies such customers, supply chains and
as McKinsey survey of Consumer financial results. Consequently, planning
Introduction
Sentiment & B2B, Nielson, WSJ, WARC, is more dynamic to
Global Webindex, IGD, Horizon, Metrics cement the interim resilience of
that Matter Stiglitz, BCG, Retailer Gazette, the business.
The Drum. This document seeks to provide thinking
We have then considered what these on the stage after the immediate
changes may mean for Convenience urgency by providing
Retail going forward in practical terms. some examples from around
the world.
Jeannine Ferguson
COMMERCIAL & RETAIL, LONDON
www.toplinemarketing.net
Changes in Behaviour & Implications on Convenience Retail
CONSUMER
TRENDS
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Changes in Behaviour & the Implications on Convenience Retail
CONSUMER TRENDS 5
Wellbeing &
Health
Self-protection and a rising interest in products
that are good for me and my family.
▪ Growth in healthy eating and in fresh food
▪ Wellbeing topics & solutions around: Anxiety, yoga, pilates,
movement & breathing, mental health
▪ A growing love for exercising & fresh air
▪ Concerns around hygiene and risks to myself
▪ What is good for me, my family, my community
www.toplinemarketing.net
Changes in Behaviour & the Implications on Convenience Retail CONSUMER TRENDS 6
Reactive Health
Management
To ensure everyone’s safety, the City
of Paris and advertising company Source: Ville de paris
JCDecaux have deployed free
sanitizer dispensers in public areas.
Source: Ville de paris
www.toplinemarketing.net
Changes in Behaviour & the Implications on Convenience Retail CONSUMER TRENDS 7
Dettol & Tik Tok
#HandWashChallenge
Earlier this year, Dettol’s #HandWashChallenge
took TikTok by storm generating over 100 billion
views from over 75 million unique TikTok videos. Source: Secret sofa
The globally-recognized health and hygiene
brand partnered with TikTok for a marketing Source: Airbnb
campaign inviting participants to create their
own dance moves around washing their hands
on a bespoke soundtrack (TikTok, 2020).
Source: Afaqs.com
Source: #haagindoors
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Changes in Behaviour & the Implications on Convenience Retail
CONSUMER TRENDS 8
Proactive Health
Management
Wellness and Mental Health apps
provide resources specifically for
coping with anxiety and stress.
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www.toplinemarketing.net
Changes in Behaviour & the Implications on Convenience Retail
CONSUMER TRENDS 9
IN is the new OUT
Capturing relevance for the new ‘IN-DOORS’
moment
▪ New at home occasions
▪ Family cooking, fresh food
▪ Fitness & wellbeing
▪ Working from home
Increased screen time –entertainment, social connections,
information sourcing, shopping.
www.toplinemarketing.net
Changes in Behaviour & the Implications on Convenience Retail CONSUMER TRENDS 10
new ‘IN-DOORS’ moment
#haagindoors
Ice cream brand Häagen-Dazs has teamed up
with Secret Cinema, the pioneers of immersive
storytelling, to launch Secret Sofa –a weekly
home entertainment series where audiences
Source: Secret sofa
can create their own unique immersive
cinema experiences –to tie in with the its new
“Häag-Indoors” initiative (Newsroom.2020).
Source: HaagenDazs
Source: #haagindoors
www.toplinemarketing.netChanges in Behaviour & the Implications on Convenience Retail
CONSUMER TRENDS 11
Sentiment change
on a grand scale
Towards empathy, caring for core values,
authenticity
• Value focus is being adjusted to Core Values, essentials
• Shift in Sentiment to caring, empathy, genuine, contemplation
& reflection
• From Selfishness and irresponsible behaviour to a Collective
and Individual Responsibility
• A shift to safety, trusted, tried and tested institutions and
brands. Actions not words
www.toplinemarketing.netChanges in Behaviour & the Implications on Convenience Retail CONSUMER TRENDS 12
Towards empathy, caring
for core values, authenticity
#FrontlineStays
Leveraging the power of engagement
of its community, Airbnb launched
#FrontlineStays, an initiative to provide
free or reduced housing options for
Source: Secret sofa
COVID-19 responders.
Source: Airbnb
Source: #haagindoors
www.toplinemarketing.netChanges in Behaviour & the Implications on Convenience Retail
CONSUMER TRENDS 13
Doing Social
Good
Purpose with action, caring for the world we live in
▪ A growing interesting and commitment to sustainability
▪ Passionate pursuit of what is good for my community and for
the earth
www.toplinemarketing.netChanges in Behaviour & the Implications on Convenience Retail CONSUMER TRENDS 14
Purpose with action, caring
for the world we live in
#socialiseresponsibly
Heineken launched a through the line
campaign titled ‘Back to the Bars’ as part of
its global initiative, #socialiseresponsibly.
The global campaign was aimed at Source: Secret sofa
supporting the HoReCa around the world, by
celebrating their re-opening whilst reminding
Source: Airbnb
consumers to behave responsibly. In fact, only
by respecting safety regulations in the “new
normal”, consumers will help bars remain
open and therefore continue to enjoy nights
out with friends. The engaging call to action is
'socialise responsibly to keep bars open’
(The Drum 2020).
Source: #haagindoors
Source: Heineken
www.toplinemarketing.netChanges in Behaviour & the Implications on Convenience Retail CONSUMER TRENDS 15
Information
Sourcing
New ways of connecting via live video
transforming the meaning of real and authentic
▪ A renewed and growing interest in news content
▪ Video on demand & audio subscription streaming is up (e.g. Netflix,
Spotify, podcasts)
▪ Video and live streaming formats consumption explodes
▪ A massive appetite for content about DIY & Tutorials, Chef programs,
How –To’s etc.
▪ Enormous viewing of documentaries and H&W programs with key
topics of interest being rediscovering nature, back to earth-land &
sea, healthy and fresh food origins, sustainability, kindness
economy, people together, fun
www.toplinemarketing.netChanges in Behaviour & the Implications on Convenience Retail CONSUMER TRENDS 16
New ways of being inspired
and educated via live video
BBC Good Food is one of the UK's top
food media brands. It manages a
market leading magazine, live events,
and an online destination that attracts
Source: Secret sofa
in excess of 90 million page views a
Source: Airbnb
month.
Source: #haagindoors
Source: bbcgoodfood
www.toplinemarketing.netChanges in Behaviour & the Implications on Convenience Retail 17
CONSUMER TRENDS
Over-consumption
is out
Considered purchase behaviour, what matters
most
▪ A considered purchase behaviour is what matters most
▪ Conspicuous consumption is down but higher quality food and
certified products at home are on the rise.
▪ This is in response to an aspiration for health & admissible
indulgence
www.toplinemarketing.netChanges in Behaviour & the Implications on Convenience Retail CONSUMER TRENDS 18
Customizable Beauty
Function of Beauty is a vegan, cruelty
free personalized formulas for Hair, Skin
and Body care. Their customers are
Source: functionofbeauty
asked to take an online survey based
Source: Secret sofa
on their beauty goals and the website’s
Source: Airbnb
algorithm determines the optimal
products for each customer.
Function of Beauty has created over 87
trillion formulas.
Source: #haagindoors
Source: functionofbeauty
www.toplinemarketing.netChanges in Behaviour & the Implications on Convenience Retail CONSUMER TRENDS 19
Relevancy towards wellbeing and sustainability will be a task
brands need to take on and show their progress. Brands will
have to show how they are providing meaningful and
transparent value if they are to build trust with increasingly
critical consumers
At Home is where we will congregate. Make the ordinary
extraordinary. Signal or create new occasions with your brand
Consumer Trends at the centre of the experience
Summary & Imperatives
Brand Purpose with action. About ACTS not adverts
New forms of communication & channels –documentary style
story telling, entertainment, video & live streaming, podcasts,
influencers
Aim to drive togetherness even when we are apart
Define and articulate your role in LOCAL, and have a robust
omnichannel strategy
www.toplinemarketing.netSHOPPER TRENDS Reprioritised Values.
Purchasing habits are changing fast and will change for good.
Life moments and global life events change purchasing habits.
Old solutions for new problems will not work.Changes in Behaviour & the Implications on Convenience Retail SHOPPER TRENDS 21
Quality &
Healthy Eating
Escalating rise in seeing food & beverages
as a source of health and vitality
▪ Looking for healthier and nutritious and fresh food because
F&D is becoming a source of health
▪ Top 5 claims for food & beverages: contains healthy
supplements like VitC, Omega 3, VitD or probiotics, based on
natural ingredients, keep my immune system strong, contains
vitamins, contains high quality ingredients
▪ Indulgence and Higher quality foods given more time at home
www.toplinemarketing.netChanges in Behaviour & the Implications on Convenience Retail SHOPPER TRENDS 22
Buying
Local
Greater emphasis put on local produce &
services as they are perceived as better
and more trustworthy
▪ Origin preferences: Surge to support local farmers, local shops
& businesses
▪ Rise in convenience/proximity stores trips due to staying more
local
▪ Increased shopping trips due to rise in demand for fresh
▪ Stronger preferences for certain origins based on trust
www.toplinemarketing.netChanges in Behaviour & the Implications on Convenience Retail SHOPPER TRENDS 23
Quality
Standards
A heightened focus on health and
good-for-you is driving a pursuit in
better standards
▪ Certifications and quality standards become more important
▪ There is greater education on ingredients
▪ Clear labelling and transparency on the rise
▪ Top 5 benefit claims for homecare products: Protects family
against germs & bacteria, kills germs/bacteria in effective way,
kills germs in a natural way, keeps my immune system strong,
keep my family safe from diseases
www.toplinemarketing.netChanges in Behaviour & the Implications on Convenience Retail SHOPPER TRENDS 24
Trusted
Local Experts .
Local shops and specialists become the
trusted sources of important information &
wellcare
▪ Pharmacists together with local yoga/ pilates/ fitness
instructors become more important and sought-after wellness
advisors
▪ Retail shop assistants become the local champions of wellcare
and local knowledge & information
www.toplinemarketing.netChanges in Behaviour & the Implications on Convenience Retail SHOPPER TRENDS 25
Sourcing &
Production
Growing care about our planet, our world.
The new fuel –the kindness economy.
▪ Greater importance put on production & farming methods
▪ More attention being paid to health & safety and labour
management
▪ Responsible processes and care for the communities &
environments in which operations take place become more
important
www.toplinemarketing.netChanges in Behaviour & the Implications on Convenience Retail SHOPPER TRENDS 26
Tesla
Tesla’s Model 3 became April 2020's
best-selling car in the UK.
The Electric saloon cars accounted
for around 15% of all sales, as the new
Source: Secret sofa
car market plummeted 97% due to
Source: Airbnb
the pandemic.
Source: Tesla
Source: #haagindoors
www.toplinemarketing.netChanges in Behaviour & the Implications on Convenience Retail SHOPPER TRENDS 27
Innocent Drinks
Europe’s #1 Smoothie & Coconut Water brand,
Innocent breaks £350M annual sales barrier in
Europe and achieves Bcorp status on its first Source: Secret sofa
application attempt. More than 23% of total
sales are now outside of the UK. Source: Airbnb
Source: Innocent drinks
Source: #haagindoors
www.toplinemarketing.netChanges in Behaviour & the Implications on Convenience Retail SHOPPER TRENDS 28
Your Home is
your haven
.
New occasions at home open the way for
innovations & amplifications,
and new partnerships
▪ More at-home snacking, eating, and refreshment solutions
being imagined as work from home scales
▪ Impulse buying rises as at-home needs increase
▪ Rising entertainment and leisure activities in the home (e.g.
Zoom cocktail hour)
▪ Inspiration for picnics, leisure out, cooking together solutions,
New breakfast occasions
www.toplinemarketing.netChanges in Behaviour & the Implications on Convenience Retail SHOPPER TRENDS 29
Domino’s JOMO
Domino’s Pizza celebrates JOMO, the joy of
missing out in an ad documenting bad nights
out. Source: Secret sofa
Source: Airbnb
Source: Heineken
Source: #haagindoors
Source: Domino’s pizza
www.toplinemarketing.netChanges in Behaviour & the Implications on Convenience Retail SHOPPER TRENDS 30
Omnichannel
Online & Home
Delivery
.
New sampling @home
▪ High double-digit growth in online spending across the world-
behaviours shifting online will remain.
▪ Home delivery from local foodservice or fresh food specialists
becomes the norm
▪ Innovation from brands on how to sample in home, improve
meaningful connections in home
www.toplinemarketing.netChanges in Behaviour & the Implications on Convenience Retail SHOPPER TRENDS 31
Gucci adds AR technology
to its app for fitting
sneakers
With the help of augmented reality technology,
customers can try on shoes from the comfort
of their homes. The resulting image can be Source: Secret sofa
photographed, stored, and shared on social
medias. Source: Airbnb
Source: GUCCI
Source: #haagindoors
www.toplinemarketing.netChanges in Behaviour & the Implications on Convenience Retail SHOPPER TRENDS 32
New, evolved solutions for
new realities: The Flat Bottle
London-based Garcon Wines has redesigned
the wine bottle: A flat, eco-friendly bottle made
from recycled PET that fits through mail slots. Source: Secret sofa
Source: Airbnb
Source: Garçon wines
www.toplinemarketing.netChanges in Behaviour & the Implications on Convenience Retail SHOPPER TRENDS 33
Virtually Try On Makeup
With Google's New AR
Shopping
Limited to lipsticks and eye shadows and a few
brands, such as L'Oréal, MAC Cosmetics, Black
Opal, and Charlotte Tilbury, the new feature Source: Secret sofa
also shows the products on various models.
Source: Airbnb
Source: Google
Source: #haagindoors
www.toplinemarketing.netChanges in Behaviour & the Implications on Convenience Retail SHOPPER TRENDS 34
Affordability
.
A much greater attention to price as
budgets become re-set due to
the effects of the pandemic
▪ There is a wallet adjustment due to the economic crisis, income
compression
▪ A notable rise in home stocking, bigger packs, better value
▪ Shift to private label due to value for money and availability
▪ A greater focus on the essentials –basic living is the priority
www.toplinemarketing.netChanges in Behaviour & the Implications on Convenience Retail SHOPPER TRENDS 35
The values around health, quality, freshness, ingredients, standards,
sustainable practices, and ethics have changed as the realization
that protecting the planet is truly an urgent matter
There is more eating in than eating out which will likely stay - meal
boxes, chef inspired, meal planners & solutions
Shopper Trends A much greater need for empathy & authenticity.
Summary & Imperatives Meet your customers where they are, and they will come back to you
in the good times
Understand financial constraint predicaments, and provide a
portfolio of viable options across the value spectrum to win the
evolving behaviours and need states
Drive innovation and amplify focus on at home opportunities
Immersive experiences essential for meaningful connections –
omnichannel (on & offline)
www.toplinemarketing.netRETAIL TRENDS
Retail is working fast to re-invent itself.
If retail was competitive before, going forward
only the very best and most responsive to change will survive.Changes in Behaviour & the Implications on Convenience Retail RETAIL TRENDS 37
Accelerated Online
& Home delivery
.
Food retail in huge flux. Significant activity
in the move to drive online and home
delivery capability
▪ Acceleration to online capabilities B2C and B2B –all product
areas.
▪ Growth in buy online pick up in store and home delivery.
▪ Just Eat merges with Takeaway.com and Amazon buys
Deliveroo signaling a scaling of the category and greater
investment and innovation in the near future
www.toplinemarketing.netRETAIL TRENDS 38
Wine delivery Same day
delivery (USA)
Discounter
Same day Same day
delivery (ITALY) delivery (UK)RETAIL TRENDS 39
No existing
model
Premium Food Retail
No existing
modelRETAIL TRENDS 40
Top up capacity
Grocery Retail
to existing model
Top up capacity Top up capacity
to existing model to existing modelRETAIL TRENDS 41
Ecommerce
TAKE OVER
Giant Retailers
$6 bn MERGERRETAIL TRENDS 42
Daily essentials
Convenience
Retail
Daily essentialsChanges in Behaviour & the Implications on Convenience Retail RETAIL TRENDS 43
Trusted Retailers
Renewed importance and appreciation for
large organised retailers and their role in
society and at the front line
▪ The retailer takes on a more worthy role in society where
consumers realize their importance in bringing stability to their
day to day lives
▪ The retailer becomes a conduit to human connectivity -
delivering to your home, which has become your safety haven
▪ Store switching driven by hygiene factors and availability of
ecommerce (especially in Canada and China)
www.toplinemarketing.netChanges in Behaviour & the Implications on Convenience Retail RETAIL TRENDS 44
Tesco
pop-up store for NHS staff
The 24-hour shop was set up to allow
Nightingale Hospital staff to buy food and
other essentials with ease. Source: Secret sofa
Source: Airbnb
Source: Tesco
Source: #haagindoors
www.toplinemarketing.netChanges in Behaviour & the Implications on Convenience Retail RETAIL TRENDS 45
Morrisons
safe space for domestic
abuse victims
Morrisons became the first grocery chain
to offer a safe space for domestic abuse
victims as the UK Government mulls a Source: Secret sofa
codeword scheme to help them escape
from danger. Source: Airbnb
Source: Morrisons
Source: #haagindoors
www.toplinemarketing.netChanges in Behaviour & the Implications on Convenience Retail RETAIL TRENDS 46
Sustainability
Driving brand equity through
sustainability programmes –retail as a
force for good
▪ Retail as a vehicle for consumers to support and champion
sustainability goals, notably those set by the UN sustainable
goals agenda
▪ Key topic of interest are food waste, plastics, reusable, organic
and fair trade, carbon footprint
www.toplinemarketing.netChanges in Behaviour & the Implications on Convenience Retail RETAIL TRENDS 47
Albert Heijn
Milk From Climate-Neutral
Farms from 2021
Dutch retailer Albert Heijn plans to
introduce milk from farms that have
neutralised their greenhouse gas Source: Secret sofa
emissions by 2021.
Source: Airbnb
Source: Albert Heijn
Source: #haagindoors
www.toplinemarketing.netChanges in Behaviour & the Implications on Convenience Retail RETAIL TRENDS 48
Agile business
models .
Championing fresh, quality & local
to a new level
▪ Uber Eats teams up with Carrefour in Paris to deliver grocery
▪ Tesco (33% of UK online grocery mkt) goes from 500K to 1.2M
online orders per week
▪ Supply chain innovations allowing different fulfillment solutions
favoring local
www.toplinemarketing.netChanges in Behaviour & the Implications on Convenience Retail RETAIL TRENDS 49
Successful retailers adopting
various techniques to offer
greater quality but affordable
private label brands
Tesco has created a brand of its own
with Finest and is now the single biggest
product category it sells. Source: Secret sofa
Source: Airbnb
Source: Tesco
www.toplinemarketing.netChanges in Behaviour & the Implications on Convenience Retail RETAIL TRENDS 50
Championing fresh,
quality & local to a new
level
Carrefour's Blackmarket sells fruit &
vegetables from local farmers which
helped change the EU law on local Source: Secret sofa
sourcing.
Source: Airbnb
Source: Carrefour
www.toplinemarketing.netChanges in Behaviour & the Implications on Convenience Retail RETAIL TRENDS 51
Experience &
Digital
.
Re-inspired shopper experience
▪ Omnichannel experience more critical as online shopping
becomes a more dominant part of the shopper journey
▪ Lazada provides live streaming and in-app entertainment to
add joy to the shopping experience
▪ Tesco pop up stores for experience around premium lines
www.toplinemarketing.netChanges in Behaviour & the Implications on Convenience Retail RETAIL TRENDS 52
Hear, feel, see, touch…
experience all the senses
being stimulated better than
before
The KKW brand sold out on the T-Mall
global website within minutes of the
brand owner, Kim Kardashian, doing a Source: Secret sofa
live-stream on the ecommerce site with
a Chinese KOL. Source: Airbnb
Source: Alizila
www.toplinemarketing.netChanges in Behaviour & the Implications on Convenience Retail RETAIL TRENDS 53
Old barriers to online
purchasing become eroded
with better quality digital
solutions
Shopify, which allows its merchants to
add 3-D models to their product pages,
found that conversion rates increased Source: Secret sofa
by 250 percent when consumers viewed
3-D products in AR. Source: Airbnb
Source: Shopify
www.toplinemarketing.netChanges in Behaviour & the Implications on Convenience Retail RETAIL TRENDS 54
Seeing a continuing shift
from the Point of Sale to
the Point of Experience
Gucci set up a faux luxury store at its hub
in Florence where staff could live stream
from a replica showroom, pulling items Source: Secret sofa
to bring to the camera based on
customer requests (Gartner.com, 2020). Source: Airbnb
Source: Gucci
www.toplinemarketing.netChanges in Behaviour & the Implications on Convenience Retail RETAIL TRENDS 55
shoppers will embrace brands
& retailers who seamlessly and
conveniently integrate the best
and most relevant services into
existing products or processes
Source: Secret sofa
Point & Know: Internet of things Source: Airbnb
Mowi — the world’s largest producer of
Atlantic salmon — and EVRYTHNG
launched the first end-to-end food
traceability platform to deliver full visibility
into provenance of salmon bought and
consumed by customers worldwide. Source: Everthing
(everthing, 2019).
www.toplinemarketing.netChanges in Behaviour & the Implications on Convenience Retail RETAIL TRENDS 56
Private Label
Surges
Successful retailers offering great quality that is
affordable through their private labels
▪ Growth of private label as the need to find cheaper alternatives
enables consumers to discover the great quality offered by
store brands
▪ A renewed respect for the essentials but with a nod to quality
makes private labels shine
Source: travelview - stock.adobe.com
www.toplinemarketing.netChanges in Behaviour & the Implications on Convenience Retail RETAIL TRENDS 57
Championing affordable
luxury
Supermodel Heidi Klum and German
supermarket Lidl teamed up to release a
new’ high-end, yet affordable’ fashion Source: Secret sofa
line available in Lidl locations across
Europe and the U.S. Source: Airbnb
Source: Lidl
www.toplinemarketing.netChanges in Behaviour & the Implications on Convenience Retail RETAIL TRENDS 58
Retailer brand equity growth will increasingly rely on providing excellent food
quality, superior hygiene & safety, and high standards & sustainable practices
The new retail means re-inspired instore and online experiences - considerations
Retail Trends such as grab & go cash and contactless checkouts, digital handsets for
enhanced availability systems, augmented shopping trips, live chats, and so on
Summary & Imperatives
Reconsider the role of the store footprint - showrooming & thus less stock,
experience via pop-ups, high service centers, enhanced pickup or home delivery
solutions
Affordability through investment in high quality private labels
www.toplinemarketing.netThe increased need for expediency should mean convenience stores
Implications for
grow faster than other offline channels. However, channels are blurring,
and convenience stores are no longer competing with other C-Stores. It is
Convenience Retail
the quick serve restaurants, smaller format grocery & discounters, drug
stores, and hotels who are offering fresh grab and go products so
competition is increasingly fierce. Transformed consumer expectations
for frictionless retail means technology adoption has to accelerate.Changes in Behaviour & the Implications on Convenience Retail IMPLICATIONS FOR CONVENIENCE RETAIL 60
Infographic
▪ Consumer Need for expediencyslide
raises the bar for convenience
retail in technology adoption. Will see high levels of automation
EASY
Digitisation
& unmanned services to facilitate ease of shop
▪ Frictionless Payment systems –RFID, scanner, biometrics
FOR ME
▪ & soundwave technologies (China & Korea)
▪ Tech enabled automation fuels customization
▪ Getting the right product to the right customer at the right time will win
RELEVANT
Customization Understanding and catering to critical needs at an even deeper
FOR ME
▪
level –day part, shopper mission, by shopper pain point
Service revolutionized - the traditional role of the in-store retail
Quality
▪
employee has shifted (rise of technology, rise of fresh food,
HELPFUL
Trained importance of sustainability, health & safety, products ingredients)
Redefine the role of staff & role of selling-new ways of upskilling and FOR ME
Employees
▪
enabling.Changes in Behaviour & the Implications on Convenience Retail IMPLICATIONS FOR CONVENIENCE RETAIL 61
Digitisation
EASY FOR ME
Ease of Shop/Speed.
The need for expediency solved for via new Amazon Go announces 3000 cashier-
payment systems and tech enabled less stores by 2021.
customizable ordering systems
Source: Amazon
IMPLICATION Source: Airbnb
As convenience retail becomes more
automated and unmanned, Level of
technology investment will play a critical
Customization: China aumoted
role in deciding who faces extinction and
baristas in stores allow consumers to
who will thrive in the race to provide the Source: Forbes
order and pay through we-chat to
most frictionless shop. choose coffee type, exact
temperature & taste profile.
Source: Orion
www.toplinemarketing.netChanges in Behaviour & the Implications on Convenience Retail IMPLICATIONS FOR CONVENIENCE RETAIL 62
Quality Trained Employees
HELPFUL FOR ME Diageo Whiskeys Launches ‘The Bar’
for the Amazon Echo Show to inspire
consumers to create great drinks
Highly trained employees & ambassadors at home
building your brand in the occasion
Source: Diageo
Source: Secret sofa
IMPLICATION
Digitisation doesn’t mean replacing Source: Airbnb
people, it means freeing them up to add
value. Redefining customer service to
complement digital improvements means The Real Canadian Superstore’s Click
and Collect program
re-evaluating your most powerful asset,
your people, to deliver a new kind of Source: Superstore
selling and service.
Source: Superstore
www.toplinemarketing.netChanges in Behaviour & the Implications on Convenience Retail IMPLICATIONS FOR CONVENIENCE RETAIL 63
Customization
RELEVANT FOR ME John Lewis stores offers Quality Street
pick and mix allowing customers to
create their own bespoke selection
Customization & personalization
Source: John Lewis Source: Secret sofa
Source: Airbnb
IMPLICATION
Online shopping has raised the
expectations of shopping in the real world
and shoppers expect the same standards. Alibaba has helped Mars Inc. invent a
Catering for the needs of consumers in spicy Snickers bar using shoppers’
data
how they live their life and what’s
important to them, and how they need to
shop will be essential to keep traffic.
Source: Snickers
www.toplinemarketing.netChanges in Behaviour & the Implications on Convenience Retail IMPLICATIONS FOR CONVENIENCE RETAIL 64
Infographic
▪
slide
Improved food image is essential to win - quality, freshness,
healthy ingredients, and variety all served up in a safe and
Brand Equity hygienic environment drives brand equity and store choice
GOOD FOR ME
for store
▪ Having a sustainability agenda is paramount to demonstrate
value to the communities in which you operate
& FOR WE
choice ▪ Reimagine grab & go packaging - zero waste, anti-plastic,
anti single use packaging
It will be experiences that draw shoppers into brick & mortar
locations, and convenience will get creative here
Retail ▪ Electric car chargers DELIGHTFUL
Experience ▪
▪
Seamless Merchandising
Speciality food & beverages e.g. grind to cup coffee makers
FOR ME
▪ Information & Story telling at point of sale
▪ Video gamingChanges in Behaviour & the Implications on Convenience Retail IMPLICATIONS FOR CONVENIENCE RETAIL 65
Brand Equity Source: Leon
GOOD FOR ME
Brand Equity for store choice : Improved food
image/Focus on Fresh, Quality & Variety
IMPLICATION
Source: Secret sofa
Fight for share of stomach will be fierce as
Convenience Store retailers work on Source: Airbnb
optimizing their menus to represent best
of fresh, quality and variety, to better cater
to day parts and shopping missions, and
meet the need for fast, fresh food.
Leon, the naturally fastfood brand was built around five principles: The food had
to taste incredibly good, be remarkably good for you, allow you to feel good
after you eat, be affordable and kind to the planet.
www.toplinemarketing.netChanges in Behaviour & the Implications on Convenience Retail IMPLICATIONS FOR CONVENIENCE RETAIL 66
Brand Equity
GOOD FOR WE
Trust & Sustainable Image
IMPLICATION
Source: Secret sofa
Convenience Retail, with its depth and
breadth of global footprint and consumer Source: Airbnb
penetration, will have to step up to the
new set of ethically conscious values.
Convenience retailers must demand and
drive Innovative solutions in their product
offerings. Source: Intelligentliving.co
Researchers from the University of Valle de Atemajac in Zapopan, Mexico have
created a biodegradable plastic from the juice of the Nopalcactus, a prickly pear
cactus. This new plastic starts decomposing when left in the soil for a month,
whereas in water, the breakdown process takes merely a matter of days.
Apart from being natural and biodegradable, this plastic is also completely non-
toxic; all the materials used to make it will cause no harm if ingested by humans
www.toplinemarketing.net or animals.Changes in Behaviour & the Implications on Convenience Retail IMPLICATIONS FOR CONVENIENCE RETAIL 67
Retail Experience
DELIGHTFUL FOR ME
Trust & Sustainable Image
IMPLICATION
Source: Secret sofa
Creating an Omnichannel experience that
blends physical and online channels to Source: Airbnb
engage consumers in the channel of their
choosing. Dial up presence & engagement
in, and acquisition to, digital assets. Source: knowtechie.com Source: dallasnews.com
Source: Carrefour
Ensure zero friction in digital and offline
experience Mc Donald’s self Serve Ordering Points & XBOX Desks
www.toplinemarketing.netChanges in Behaviour & the Implications on Convenience Retail IMPLICATIONS FOR CONVENIENCE RETAIL 68
The COVID19 pandemic has caused enormous disruption for the Convenience
Retail channel but has equally opened up even greater opportunities. The role of
local has soared as consumers look for trusted destinations within their
communities which the right Convenience Retail store can fulfill. In order to take
on this important new role, which is beyond just "convenience" (moving to a
Final Thoughts
location that provides security and information), Convenience Retailers must
invest heavily in all aspects of their business. Product offerings need to be a lot
more healthy, of great quality, all the while staying affordable. Business practices
need to be more sustainable and clearly demonstrate the company's intent to
add meaningful value to the communities in which they operate and to the planet
as a whole. Services need to be more modern, catering to different consumer
behaviors and shopping journeys. And employees need to be more than just
cashiers, to being local advisors. Many companies are already making in-roads in
these areas but must not rest on their laurels as consumer expectations have
truly shifted for good and their demands are high.
www.toplinemarketing.netTHANK YOU Any questions please contact Jeannine@toplinemarketing.net Add your thoughts and opinions on www.toplinemarketing.net/blog
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