Bestway Retail is set to open 10 stores on ‘store within a store’ concept and at least 25 stores by the end H2 2023, Asian Trader reveals.
After the completion of two ‘store within a store’ concepts at Costcutter Meopham and Costcutter Whiston, Bestway Retail has 20 projects in the pipeline that are at varying stages – some at assessment stage while some are progressing.
Costcutter Meopham opened on Jan 15, 2022 where the Bargain Booze section is doing exceptionally well and is delivering weekly sales that are on average 55 percent higher per week.
“We are very pleased with this initial performance as the 1800 sqft store trades less than 100 yards from a multiple convenience store (Tesco Express) that has been there for many years. We are confident that these results will continue to improve,” Mike Hollis, Retail Director at Bestway Retail, said.
“This is an exciting and innovative concept that will most certainly play a significant part in our business’s future. By the end of 2022 we are aiming for 10 stores and at least 25 stores by the end of H2 next year. Following the further key learnings that we will take over the next 12 months, we then expect an aggressive increase in our roll out numbers and will be targeting in excess of circa 75 stores per annum.”
Hollis further added that working with existing Costcutter retailers who want to take their beers, wines and spirits offer to the next level, as well as our Bargain Booze larger format stores –Select Convenience – which may be looking to re-brand and maximise the opportunity within convenience with a relaunched offer focused on fresh food, BWS and local products. This concept is also available to Best-one retailers that are looking to develop their offer.
“We are also targeting outside of our business estate – retailers from other groups who are planning to redevelop their own stores are enquiring about this concept, as it is positioned to be able to compete against all convenience operators. Therefore if a significant investment is being made to modernise, then a compelling shopper offer has to be delivered to support business growth and refit payback.
“We are also talking to retailers who are looking at new to industry locations for a new store. We know the concept can compete against all Convenience operators, so sites previously viewed as boarder-line due to competition, are coming back to the table for fresh consideration,” he said.
The next trial location is in the Midlands.
For this dual-store concept, Bestway Retail is looking for stores that are at least 1800 sq. ft., will have a minimum of 10m refrigeration for chilled alcohol, a minimum of 14m refrigeration for chilled and fresh foods and ideally (but not essential), space for car parking. This concept is being rolled out as part of a longer term strategic partnership with stores.
Under Bestway Retail’s dual-store strategy, focus remains on a strong fresh food offering, wines and spirits package (through the Bargain Booze store element), and a strong presence of local and regionally sourced products, to bring real variety and range relevance and to enable the store to stand out from the competitors.
“We are pleased with the response from shoppers who like the depth of range with many products that you cannot get in convenience stores and our multi-buy offers (like wines Buy 2 for £12) are proving a real hit. Shoppers also like the supporting POS and shelf edge tasting notes which give advice on what wines to buy and what they go with,” Hollis said.