Small Format Stores Show Strength in Numbers
In today’s retail environment in the Philippines, going big doesn’t guarantee big growth anymore. Similar to many markets, small store formats like smaller supermarkets and convenience stores have expanded to move closer to residential areas and high traffic areas to cater to shoppers’ busier lifestyles. Propelling the growth of small format stores is the increasing influence of four global megatrends which are supporting the growing consumer demand for faster and more convenient shopping experiences—urbanization, women joining the workforce, shrinking household size, and the rise of eating out. The flourishing business process outsourcing (BPO) segment also stimulates the growth of this retail channel.
In fact, in the last five years, small store formats of supermarket chains have grown close to 220 stores in 2013 to more than 410 stores as of Q1 2018 as these big supermarket chains are focusing on expanding their small format stores.
Convenience stores, on the other hand, also continue to proliferate. In 2013, there were only more than 1,620 convenience stores in the country versus close to 4,300 convenience stores as of Q1 2018. Nielsen – Read more…