UK grocer Sainsbury’s to continue trials of new strategy

UK grocer Sainsbury's is trying out new store format options to boost sales as consumers increasingly turn to discount retailers, online options and convenience stores.

It said yesterday that it will continue trials of a new marketing strategy in six of its supermarkets across the UK in response to new and emerging shopping trends. The new strategy forms part of its efforts to win back shoppers and expand sales.

The strategy, which is aimed at making shopping quicker and easier, included a new 'mission-based' supermarket layout, new till formats and technology, more check out options and increased focus on popular own-label clothing and home-ware. It would also offer customers more choice.

In addition to Sainsbury, the UK's three big supermarkets - TESCO, Morrision and Walmart had reported a downtrend in sales and profits.

The economic slowdown had changed the overall habits of consumers, with their main focus now being to look for value and cut waste, which had worked to the advantage of discounters, online shops and convenience stores.

According to commentators, even though many people still shopped at large supermarkets, their frequency to do so at smaller shops had increased.

Sainsbury's chief executive Mike Coupe, said, "This trial is about seeing how far we can go in catering for every shopping mission, whether someone wants to pop in quickly to buy a sandwich for lunch, or whether they have more time and want inspiration for the home, or advice on tech and gadgets. No matter what customers are buying, we know that everyone wants to check out as quickly as possible and giving customers more checkout options to suit them is key to the trial," Intenational Business Times reported.

Meanwhile, though Sainsbury's had already taken over the high street with its 750 convenience stores, chief executive Mike Coupe revealed that there was more to come and the number could more than treble.

The prediction came with the unveiling of the supermarket's smallest store to date – in Holborn, central London, measuring just 1,000 sq ft – as is strives to win more of the ''food on the go'' market.

The store offers a range of just 1,000 products is designed to attract customers pressed for time, on their way home from train stations, and the lunchtime trade at busy office locations.

Coupe said, ''We can easily get to 1,500 conventional convenience stores, but with the micro stores you could have another 1,000 over time.''