PLANNING FOR 2021

HOME DELIVERY: DAVID REES

TAKING HOME DELIVERY TO A NEW LEVEL

2021 REPRESENTS A GREAT OPPORTUNITY FOR LOCAL RETAILERS TO MOVE THEIR HOME DELIVERYOPERATIONS UP A GEAR OR TWO, WRITES DAVID REES FOR KAM MEDIA.

Everything we might have thought we knew about retail at this time last year probably deserves a rethink as we head towards Christmas 2020. There are many shoppers who are no longer using the big grocery retailers at all. The level of disappointment with the supermarkets translated into shoppers calling on their local convenience store even more than usual.

But to meet safety concerns and fulfil broader shopping requirements, local independents have had to take on the challenge of home delivery to a greater extent than ever before. I would argue that this is a game-changer not just for retailers but for all those who supply them too.

Home deliveries from convenience stores are not new. Some stores already had quite structured processes in place before lockdown, but what is new is the level of demand.

Delivery customers typically spend more and shop more categories than other shoppers; this is the really significant change.

For these reasons, we can be sure that changed shopping patterns have created new business for many local stores. They are driving growth in products and product categories not normally considered key for convenience – across all three meal occasions, scratch cooking, big nights in and family dining.

Lockdowns have been devastating for the hospitality trade but have boosted the take-home market for alcohol and on top of this, we have surging grocery food sales with more meals being eaten in the home.

The question for suppliers is, are you trying to service the convenience channel with the right product range and maximum levels of availability bearing in mind all the changes that have taken place? Can you do any more to save time for retail staff? Are you maintaining good availability through wholesalers, so that store owners are spared the time of having to source alternatives elsewhere? Are pack sizes consistent and consistently priced? Are products easy for staff to pick and pack? Do you have good availability of product through the convenience supply chain for consumers who want to trade up at Christmas, but are either unable or unwilling to use the major supermarkets?

Do you also have an offer (or offers) that would ensure that consumers can get value at their local shop, both now and in the future?

Are there any other forms of support you can provide? Where retailers are needing to purchase delivery vehicles and/or new hardware is there an opportunity to assist them through brand sponsorship perhaps?

Delivery from c-stores is here to stay and store owners have had to adapt to survive. Are suppliers adapting too?

Convenience stores are no longer the last resort but the first place people turn to, and it would be a big mistake for suppliers not to see the opportunity in this.