Global convenience store market to boost by $1,1bn

Convenience formats are one of the few physical retail channels achieving impressive growth.

The global convenience stores market is forecast to rise 30% (equivalent of US$1,109bn) over the next three years to reach US$4,902bn in 2022, taking a 22% share of all global retail spend, says GlobalData.

Convenience formats are one of the few physical retail channels achieving impressive growth, but intensifying competition and innovation in online delivery propositions is forcing convenience players to introduce new concepts to secure footfall.

“Despite Russia’s Magnit and the UK’s Sainsbury’s exposure to the convenience market, their lacklustre like-for-like performances announced last week signal, among other flaws in their strategies and tough retail conditions, that even operating in a winning channel cannot safeguard footfall. Sainsbury’s has identified the need to innovate, with the trial of its new Scan and Go convenience store opening in London this week, but this is far from the level of transformation we are seeing in Asia,” said Honor Strachan, Retail Analyst at GlobalData.

GlobalData’s ‘Global Convenience Stores Retailing’ reveals that Asia Pacific is the largest and fastest growing region in the convenience market, with a forecast CAGR of 10.6% over the 2017-2022 period.

Auchan Minute, BingoBox, 7-Eleven, FamilyMart and Lawson are just a few retailers in the region investing in unmanned stores, cashier-less checkouts, smart shelves, personalization, automated payment options and home delivery.