News and Views
Some of the supermarket trends we predict for 2020.
A decrease in the super-sized stores
Grocery retailers will focus on simplifying apps, evolving in-store dining, and expanding micro-fulfilment in the year ahead,” says Campbell Rigg.
Is Small the New Superstore?
The era of the massive superstore is fading, as retailers shift toward building smaller supermarkets. These smaller formats are more cost-effective, allowing for lower break-even levels and a more appealing, faster shopping experience for customers.
The era of the massive superstore is fading, as retailers shift toward building smaller supermarkets. These smaller formats are more cost-effective, allowing for lower break-even levels and a more appealing, faster shopping experience for customers.
An even more compact version is the rise of pop-up grocery stores, particularly in low-income urban areas. These mini-stores, which lack the footprint of a full-size supermarket, are offering fresh, healthy food to local communities that may not have had easy access before.
Retailers are also recognizing the importance of "buying local." Grocery chains are increasingly focusing on the unique tastes and preferences of local communities and are supporting local businesses by curating a selection of products tailored to specific regions. This approach allows them to rotate merchandise more frequently, keeping customers engaged and coming back regularly.
With consumer behavior changing, supermarket design must evolve as well. At Campbell Rigg, we’ve analyzed the latest trends across Europe and the Near East, and we believe that several key shifts are reshaping how people shop.
One significant shift is the rise of ready-to-eat options, driven by limited time for food preparation at home. Discounters are now competing with traditional grocers not just on price, but by offering these convenient, grab-and-go solutions. As a result, supermarket formats must innovate to create consumer-centric shopping experiences that meet the demands of the modern shopper. That's why we've designed the supermarket of 2020.
Private Labels and Their Growth
Private label products continue to expand, with stores no longer offering just cheaper alternatives to name brands. Today, private labels reflect the grocery retailer’s values and mission, with categories like organic and natural products seeing significant growth. Millennials, in particular, are driving this shift, showing less loyalty to major brands compared to previous generations.
Private label products continue to expand, with stores no longer offering just cheaper alternatives to name brands. Today, private labels reflect the grocery retailer’s values and mission, with categories like organic and natural products seeing significant growth. Millennials, in particular, are driving this shift, showing less loyalty to major brands compared to previous generations.
Four Priorities for Success in 2020
We’ve identified four key trends that will shape the future of supermarkets in 2020:
We’ve identified four key trends that will shape the future of supermarkets in 2020:
Premium and Specialty Private-Label Rollouts Will Accelerate: Expect more premium store-branded products that cater to evolving customer demands.
Grocers Will Go Big with Micro-Fulfilment: Faster, more efficient order processing and delivery through micro-fulfilment centers will become a critical investment.
In-Store Dining Will Evolve – The Grocerant: Supermarkets will continue to blur the lines between grocery shopping and dining, offering more high-quality, prepared food options.
Retailers Will Play a Deeper Role in Customer Health: With increasing focus on health and wellness, grocery retailers will play a more active role in promoting healthier lifestyles for their customers.
A recent Wall Street Journal article highlighted the increasing emphasis on the perimeter of stores—where fresh foods are found—and the flatlining sales of traditional packaged goods. This trend points to the maturation of the "grocerant" concept, where supermarkets also serve as restaurants.
We advocate for a "best at fresh" strategy and believe in redefining the quality of food consumption. Leading grocery retailers like Wegmans, Whole Foods Market, Mariano’s, and H-E-B's Central Market are excelling at bridging the gap between restaurants and supermarkets, offering fresh, high-quality prepared food.
At Campbell Rigg, our process of continuous renewal allows us to stay at the forefront of branding and design in markets around the globe. We remain dedicated to benchmarking and implementing best-in-class retail design concepts.
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