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New apps are helping convenience retailers to offer home deliveries

Despite the impact of the pandemic and the rapid acceleration in digital adoption, fewer than one in ten UK convenience stores currently offers a home delivery service.

The UK Wholesale Market Report 2020/21, released by Lumina Intelligence, indicates that just 8% of UK convenience stores currently offer home delivery.

However, for those that do it is a significant revenue stream, equating to 7% of total sales on average.

Online grocery delivery has grown strongly throughout the pandemic, with demand for delivery from supermarkets outstripping supply during spring 2020, creating an opportunity for convenience stores.

While some retailers set up their own delivery services, many have turned to third party providers, with Snappy Shopper coming through as the most popular, ahead of Deliveroo, Uber Eats and Appy Shop.

Commenting on the findings, Alice Dolling senior insight manager at Lumina Intelligence said: “2020 saw an acceleration in online shopping that we could never have predicted. Nearly one-in-five shoppers changed their primary method of grocery shopping to online, highlighting the opportunity available. As demand increases, convenience stores have a great opportunity to drive greater basket spend and expand the potential catchment area of their store by offering delivery.”