The future retail landscape will be filled with an increasing
number of small-store food concepts as retailers strive to capture
the attention of busy consumers, TNS Retail Forward reports.
Recently released TNS Retail Forward ShopperScape survey results
indicate that shoppers are ready and willing to shop the new breed
of small food concepts.
"The combination of small size and a fresh, prepared foods emphasis
is a compelling offer for the time-pressed shopper," comments
Jennifer Halterman, senior consultant with TNS Retail Forward and
author of the recently published Retail Perspectives report
entitled Small Stores, Big Trend. "The small-store trend,
which more players are beginning to explore, is part of an ongoing
evolution in the retail food sector, and we expect more players to
throw their hats into the ring," she continued.
U.K.-based Tesco is establishing a small-store presence with its
Fresh & Easy rollout in the United States. Not surprisingly,
large U.S. food retailers such as Wal-Mart and Safeway are
reportedly planning to open small-scale grocery concepts of their
own in their quest to take advantage of the demand for convenience,
attract the aging Baby Boomer, search for new growth vehicles, and
round out their store portfolios.
TNS Retail Forward's ShopperScape research indicates that
two-thirds of shoppers would definitely or probably shop a small
food concept that places emphasis on convenience and fresh,
prepared foods.
The small-store food concept attracts shoppers in various shopping
modes from fill-in/quick replenishment and immediate consumption to
grab-and-go.
"The jury is still out on whether small-format food stores will
meet shopper expectations and company return on investment
objectives going forward," Halterman notes.
"Food retailers considering a small-store strategy must monitor and
analyze shopper needs, attitudes and expectations well in advance
of launch. They should also seek input from consumer goods
manufacturer partners and pay close attention to local area
demographics and cultural differences," Halterman concludes.






