The new age of the convenience channel


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The new convenience landscape is defined by four major factors:

SUMMARY OF KEY LEARNINGS

Brand Implications
Suppliers are expected to align with the new ‘speed first’ thinking in their packaging and merchandising solutions.
Speed-based catchment areas sees all retailers striving to be closer to the shopper, which requires flexibility and versatility.
As FMCG space in convenience outlets is under pressure from new services, brands need to turn temporary space and assortment limitations into mobile platforms despite new operational complexities.
As retailers focus on mission-driven, time-of-day merchandising, brands will proactively approach retailers to discuss more flexible product lines that are missions based.
As loyalty moves away from instant savings to a ‘benefits ecosystem’, shopper savings become more indirect and deferred, which may be detremental to brand equity.
From payment to loyalty savings, digital is essential to engage and retain shoppers. It is also an essential source of shopper data for the convenience channel.
Shifts in operational models, such as franchising, may result in failures in execution and consistency in promotional activities.


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