In an exciting boost for the UK’s convenience store sector, investment in local shops has reached a record-breaking £1bn in 2024. That’s right – convenience retailers are going all in on future proofing their stores, ensuring they stay ahead in an ever-evolving market. According to the latest 2024 Local Shop Report from the Association of Convenience Stores (ACS), this surge marks a significant jump from the £646m spent the previous year. Let’s take a closer look at what this means and how it’s shaping the future of convenience stores across the country.
WHAT ARE CONVENIENCE STORES INVESTING IN?
Convenience stores are the backbone of local communities, and this huge financial injection reflects just how vital they are. The £1bn spent has mainly gone toward upgrading stores with:
- Energy-efficient refrigeration and lighting: With energy costs rising and sustainability becoming a major focus, retailers are making big strides in reducing their environmental impact.
- Crime detection and prevention technologies: Safety is key. New systems to prevent shoplifting and other crimes are crucial for safeguarding store operations.
- Store refits and internal maintenance: Making sure stores look fresh, modern, and welcoming to keep customers coming back.
Interestingly, most of these investments (56%) come from independent retailers’ own pockets, highlighting their commitment to innovation and growth.
THE IMPACT ON LOCAL COMMUNITIES
It’s not just about money; it’s about people. Convenience stores are deeply embedded in local communities, and the report shows that 80% of independent retailers actively engage with their communities. Whether it’s donating to charities, supporting food banks, or sponsoring local sports teams, these stores do more than just sell goods—they help build stronger, more connected neighborhoods.
The report also reveals that convenience stores provide jobs to around 445,000 people. Flexible, local employment is a lifeline for many, particularly young people. In fact, 30% of convenience stores are owned or run by individuals under 30—a positive sign for the future of the sector.
MORE THAN JUST SHOPS: THE DIVERSE SERVICES ON OFFER
The role of convenience stores is shifting. No longer just a place to grab essentials, these stores are becoming multifunctional hubs for local communities. More than half of independent retailers now offer home delivery or click-and-collect services, a clear sign of the increasing demand for convenience in every sense.
But it doesn’t stop there. Stores are expanding their service range to include:
- Cash machines
- Banking services
- Post Offices
- Prescription collections
- Dry cleaning
These services, once found separately on the high street, are now under one roof, making convenience stores true one-stop shops.
FUTURE PROOFING THROUGH TECHNOLOGY
Convenience retailers are adopting new technologies at a rapid pace to stay competitive. Over the last few years, stores have increasingly turned to self-service tills, with 17% of stores now offering this option—a significant rise from just 3% in 2019. This trend is set to continue as technology becomes an even bigger part of how customers shop.
Another tech upgrade comes in the form of Electronic Shelf Edge Labels (ESELs), which are making store management more efficient. These labels allow retailers to instantly change product prices and promotions, helping to optimize sales and reduce labor costs.
This is where MPOS solutions can come in. For convenience store owners looking to integrate advanced technology into their operations, MPOS systems provide a streamlined way to manage transactions, monitor sales, and offer faster service to customers. If you’re interested in learning more about how MPOS can help transform your store, check out the latest guides and products on the MPOS website.
WHAT DOES THIS MEAN FOR CONVENIENCE STORES?
For convenience store owners, the message is clear: investment in technology and services is crucial for staying competitive. Customers expect more than ever before, and stores need to adapt to meet these expectations. The shift towards energy-efficient appliances and modern store layouts isn’t just about aesthetics—it’s about creating a better customer experience and reducing operational costs.
And MPOS can be a game-changer. By investing in systems like MPOS’s self-service kiosks and Electronic Shelf Edge Labels, convenience stores can streamline operations and offer a faster, more efficient service to their customers. In an age where speed and convenience are king, these technologies could be the key to future success.
A BRIGHT FUTURE FOR THE SECTOR
James Lowman, CEO of ACS, sums it up well: “The convenience sector continues to demonstrate its importance to the UK economy at both a local and national level, as a vehicle for investment, a job creator, and a means of generating over £9bn in tax income for the Treasury.”
Indeed, the figures paint a promising picture. 71% of the 50,387 convenience stores across the UK are run by independent retailers, a sign that entrepreneurship is thriving. Whether they’re upgrading refrigeration systems, embracing new technology like self-service tills, or expanding service offerings, it’s clear that convenience store owners are thinking ahead and investing wisely.
FINAL THOUGHTS
Investment in the UK’s convenience store sector has reached an all-time high, and the future looks bright. With independent retailers driving this change, we’re seeing a new era of innovation and community-focused service. For store owners, the takeaway is simple: now is the time to invest in the right technology to future proof your business. Whether it’s energy-efficient refrigeration, crime prevention tech, or MPOS systems, the future is full of opportunity.
