In convenience retail, where every aisle holds a promise of its own, yet success does not come just by stocking shelves alone. A store’s fate, however, can be changed by a timely fusion of technological innovations coupled with foresight and a dare to shape the shopping experience.
A perfect example here is One Stop Packmoor, a convenience store nestled in the village of Stoke-on-Trent. It is helmed by the visionary retail maverick Dee Sedani of CTS Trading fame.
With eight stores, including three One Stops, dotting the East Midlands, CTS Trading is the beacon of retail reinvention, with Packmoor store taking the lead.
One Stop Packmoor store was taken over in May last year and reopened in June after an elaborate refit. Equipped with tech and Sedani’s vision, this renewed store showcases cutting-edge wonders like facial recognition cameras as well as a delectable yet healthy food-to-go lineup, where pizzas are made fresh, and protein shakes flow in tantalizing flavors.
Sedani explained to Asian Trader, "In our Packmoor store, we have started to develop a healthy food to go section with new innovation from fresh pizza making to new protein milkshakes.”
In fact, this store is the first in the country to have a self-serve protein shake machine.
Supplied by Protein Life Express, the machine combines whey protein with water to give shakes in five flavoursin 350ml and 450ml cup sizes. The machine was installed a few months ago and has been garnering a lot of initial interest from customers.
Boosted by the performance of healthy food, Sedani said that he is planning to go for another mini refit to develop a whole new area dedicated only to the freshly-made food to go section.
Sedani has been in the retail industry for more than two decades now while CTS has been trading since 2007.
“It all started off in Essex area with newsagents and post offices. I then moved to the East Midlands and rented out the Essex stores as the travelling was becoming too much over the years. In the East Midlands, we have three stores with One Stop and we have a few that are unbranded.”
Sedani revealed that he has a sound knowledge about IT and software so he never hesitates to take up new innovations and technical advancement when it comes to retailing.
He said, “My personal background is as a computer programmer working with IBM, but retail was always in my blood. So, I combine the two together and it does balance well.”
One Stop Packmoor Stoke store is equipped with an advanced facial recognition system. The store has a high-end camera at the entrance of the store that monitors and clicks the picture of the customers coming. The system makes it easier for the staff to identify shoplifters or aggressive abusers by marking them as a person of interest. If the suspected person visits the store again, his picture flashes on the screen behind the till area so that the team can be alerted and can act accordingly.
Since its June makeover, the store has been the talk of the town, attracting not just customers but accolades, including the prestigious’ industry awards in categories like Best Use of Technology.
Not just Packmoor store but each CTS Trading outpost boasts a symphony of innovation from headset-equipped staff to in-house monitoring system.
The stores have an internal piece of software called Retail Guardian that controls most of the day-to-day running of the business. It controls the stores’ clocking in and out system, does tasks management, maintains an electronic daily diary, helps run age verification via fingerprint and even monitors the temperature of hot food section.
Additionally, staff in each store use headsets so the team can keep in touch with each other while on the shop floor or in the store’s back room. Such a seamless communication system allows the team to ask for assistance at till points or any other location of the store instead of shouting or using internal phones. These headsets also have an in-built panic button.
Sedani’s stores also use Staff Safe wherein each team member has a personal watch like button while the till area and stock room have display panels which are monitored 24 hours a day 7 days a week by a central monitoring station. Staff Safe also plays pre-recorded messages which include warnings in reference to antisocial behaviour and shoplifting.
Sedani believes in autonomy and a little window for creativity.
He said, “Each store manager is in control of their store. They treat them like their own and have full decision making of what they want to do or not what. I have learnt over the years not to drag people but make them more involved in the final decision making. This way they learn more and also understand the costs involved in doing anything.”
Beyond the aisles and tills, CTS Trading resonates community spirit too.
Each store give £50 to local charities or support groups apart from sponsoring football kits. The community work is also controlled by each store’s manager, he said.
Sedani advices the young breed of retailers to be more vigilant and curious.
“Look around, visit other stores and go to events. Networking is always helpful and productive. Looking at the same box seven days a week can be monotonous so invest time and effort into your teams.
“Also think about your retail prices which is something I do. I like to focus more on volume but at a lower RRP which drives better sales and thus boosts overall basket-spend.
“Look at what others are doing and try and adopt the ideas and concepts. Not everything will be a winner or a game changer but you also need to take a risk and try,” he said.
In the bustling borough of West London, there exists a small but mighty store, quietly carving out a monumental presence in the convenience retail landscape.
Over a span of 36 years, Londis Harefield has emerged as a corner stone for both community as well as convenience. From Payzone and parcel collection to home delivery and hot food, this convenience store not only offers a surprisingly wide range of services and products but is also a benchmark of convenience retail.
For leading retailer and store owner Atul Sodha, the journey began almost four decades ago when his mother acquired a sleepy newsagent in a semi-rural area of West London.
Reflecting on his store’s evolution with Asian Trader, the retailer shared, “My mother took over the store in 1989 from her sister using her saving of 16 years. I was about 17 at the time, and my brother was 20.”
In a mere six months after moving to the UK, Sodha’s father had passed away, leaving his mother, only 23 at the time, to raise two small children on her own. The challenges were obviously immense.
“Before moving here, we were living in council estate in Wembley; it was a bit rough there.
"It was my mother’s side of the family who helped us during that time. They had an old-fashioned off license in Wembley, which eventually turned out to be my first foray into retail.
“The brief stint at the off license at the tender age of 13 also taught me a lifelong skill of talking and engaging with various types of customers.”
When Sodha’s mother acquired the 650-square-foot store in Uxbridge, it was a typical confectionery-tobacconist-newsagent. Within a year, the family carried out a refit to improve its layout and appeal.
Around this time, Sodha joined an insurance company and moved out. While his time at the insurance company gave him insight into finances and cash flow, his physical health issues soon brought him back to the store full-time.
Sodha told Asian Trader, “I was suddenly losing loads of weight and was really struggling physically. I was soon diagnosed with Crohn’s disease, the same illness that had claimed my father’s life.
“While I was recovering, my eyes opened up to how much struggle my mother had to face yet how much she is always on top of everything. I was amazed at her strength and positivity.”
As Sodha regained his health, his perspective towards retail shifted.
He said, “I started getting more involved in the shop to make it a success. We evolved the news agent into a proper convenience store. I started reading trade articles about what people want and began adding bits and pieces.
“Soon, we had more customers coming in and entrusting us. That, coupled with my understanding of how to talk to customers, really improved our business.”
The store soon underwent another refit, something that “really put it on the map” and boosted the turnover and footfall.
Londis Harefield
Armed with more knowledge about changing habits, Sodha got rid of non-performing lines like greeting cards, and added more ambient groceries. The store also started stocking more household and essential products.
However, it was Joining Londis in the late 1990s that proved to be the major game-changer.
“Londis allowed me to still be independent but appear more professional,” Atul explained. “We adopted their state-of-the-art ‘Genesis’ format, and the shop looked much better. Turnover improved massively.”
Over the years, Sodha has learned to adopted category management principles, focusing on the 80-20 rule to stock the best-selling lines in limited space. An upgraded EPOS system now provides real-time insights into margins and customer preferences.
“With size constraints, one should be more focused about the approach. When you don't feel like you can justify a massive investment, even then you can do lots of things around the store and keep looking at your range,” he said.
Culinary Charm
While Londis Harefield is known for its wide range and exceptional service, what makes it truly stand apart not only from its competitors but also from its nearest supermarket is its hot and fresh food line called “Curry in a Hurry”.
Sodha revealed, "We started with ice cream and went to what goes with ice cream. So we started baking family size apple pies and cutting them into small sizes.
“We started keeping a lot of bakery products like freshly made croissants. My mother soon started making samosas a few years ago which turned out to be a huge hit.
“Our store’s hot dog was already very popular in our store; we started adding more and more stuff. We now even serve hot and fresh curries.
“During Covid, we went out and sourced whatever we could and since people were getting bored from staying at home, we started offering some enticing freshly-made line like chicken wings, chicken bites and chicken burgers.”
The concept originated from his family’s love of cooking and a desire to reduce food waste. Today, the store’s aromas—from freshly baked croissants to sizzling samosas and curry—welcome customers with a sensory treat, even managing to attract passersby, and leaving them with an urge to revisit the store.
One look at the store’s online reviews shows people lauding the store’s homemade curries, vegan sausage roll, chicken’ curry with rice and fresh donuts. Some even say that the food here even beats local takeaways.
Sodha said, “With convenience at the pinnacle as it is right now, one must stand out. We try to do that through our freshly made food-to-go offering."
The food offered is not only freshly-made but it is also healthy and low in fat.
He informed, “With my Crohn’s disease, I am mindful of what I eat and thus have adapted my recipes accordingly by using the right low-fat ingredients.
“As a result, we not only offer delicious, freshly-made food but are able to attract health-conscious customers as well. Our system was in place for a long time; it has only just grown from strength to strength.”
Hot food is a good margin opportunity as well, so it is turning out to be a win-win aspect for the store.
The store’s kitchen is accessible to customers and Sodha encourages people to taste what is on offer.
“We once took ‘Curry in a Hurry’ to the village fête and we were immediately sold out. We were a hit among children and parents were very happy to see that. Such events are not just about sales, it's about creating memorable connections in the community,” he says.
Industry Champion
Sodha being an advocate of British Food Fortnight, the store is deeply entwined with local suppliers.
Today, Londis Harefield is not only shoppers’ go-to solution, but it is also a brand-favourite destination. The place is almost always buzzing with some or the other brand activation, thanks to Sodha’s heavy involvement with suppliers.
“There's always something going on in the store that keeps a sense of excitement and curiosity among shoppers. It’s about building partnerships and bridging the gap between what brands think we need and what actually works for retailers and customers.
“We had the marketing manager from Heinz come into the store and work a day with us.
“I have been a KP snack ambassador for over 12 years now; I have worked massively with Cadbury's. Susan Nash gave me the honor to pick up an award for their on their behalf, which still makes me feel so much more appreciative of the relationship. I have been working with closely with Coca Cola, Budweiser and about a dozen other leading brands.”
Over the years, Sodha has been actively interacting with fellow retailers in the sector, learning, sharing ideas, and networking.
“I am part of Retailers Inner Cirkle where we are instrumental in getting the retailers together to do various initiatives like the latest Doritos’ Extra flaming hot campaign that saw a huge activation recently in stores across the country.
“I take great pride in my industry networking, which now spans across generations. I have strong relationships with seasoned veterans like Dee Sedani and Kiran Patel, as well as with the dynamic new brigade of talent, including Nishi Patel, Neil Godhania, Natalie Lightfoot, and Paul Cheema.
“There are so many more brilliant names out there who are shining light for convenience sector. For me, it's not about symbol loyalty; it's about retailer loyalty. We all help each other and rise together.
"We have got a massive network of retailers who talk to each other constantly, sharing ideas, trends and solutions, finding new ways forward. There are lots of lots of conversation going on out there, more so than there ever was. And that's what keeps me enthusiastic about our sector.”
While Sodha remains optimistic, financial and legislative challenges keep him cautious.
“I had to put everything on hold. While I have plans and I want to expand, I have held back until more financial security is there where we feel more confident.
“In terms of various legislative restrictions coming up, I am working very actively to keep ministers abreast with the problems that independent retailers go through every day. Like, I don't disagree with smoking being bad for people; I disagree with authorities forcing us to do stuff that are just not manageable.”
Despite these hurdles, Sodha continues to innovate.
“There are a hell of a lot of difficulties but we got to be thinking outside of the box as much as we possibly can. Like, I am pushing forward in online sales and through Snappy Shoppers. Online delivery expands the store’s reach to people that wouldn't normally come to your store.
“However, I also want people to visit my store so that people can see what we do here.”
Over the years, Londis Harefield has remained intertwined with the community. During Covid, the store proved to be a lifeline of Uxbridge, particularly to the elderly population.
"I have spent 36 years in convenience retail. For many years, I was doing ridiculous working hours because you're growing your business but now thankfully, we have got a lot of support.
Over the years, Londis Harefield has grown into more than just a store—it is now a vital part of the Uxbridge community.
“The local school often seeks us out for various events, and I am more than eager to get involved. We do a lot of charity work with various organisations.”
“We used to sponsor a football team of under-nines. These kids are now grown-up adults, but they all still remember me and their association with the store.”
Sodha’s commitment to his customers, community and convenience has created a store that thrives on innovation, adaptability, and personal touch.
“One of the things I learned from retail veteran and my mentor Raj Chandegra was that maintaining the quality, service and standard is the key to a successful business.
“I am also proud of my staff and their dedication and ethics. We are a small store, but we proudly punch above our weight in terms of per square footage on sales and profit,” he concludes.
Happy Chinese New Year – or should we rather say Happy Lunar New Year – or should we rather even say Happy Lunisolar New Year?
People assume that the lunar calendar goes by the timing of the full moon rather than the sun; but if that were so, the date of Chinese New Year (more accurately termed “oriental” because it is followed across Asia by people from many nations and cultures) would regress each year, as does Ramadan, which faithfully follows a lunar cycle, arriving roughly 10 days earlier each year (in 2018 Ramadan started on 16 May; this year it will commence on 28 February; and in 2031 Ramadan will overlap with the Christmas holidays).
Chinese New Year, by contrast, follows a “lunisolar” calendar, where the sun’s movement is used to fix the timing of the new year moon. As National Geographic explains it, “The new year starts on the new moon nearest the midpoint between the winter solstice and the spring equinox, sometime between January 21 and February 20.”
In 2025, the Chinese year will begin on January 29, although, as with Diwali, the celebrations surrounding it go on for longer – in fact longer than Diwali's five days, with ceremonies and observations surrounding the Year of the Snake lasting until February 12, when the new “Snow Moon,” rises above the horizon.
And what is the Snake, and why has it turned up to the party?
Photo: iStock
The Snake is the sixth of the twelve-year cycle of animals which appear in the zodiac related to the Chinese calendar. Why the sixth? In Chinese mythology, the twelve animals of the zodiac (each also has its individual story) took part in a race to cross a wide river, and although he was not the fastest competitor, Snake wound himself around Horse’s hoof and unwound as the finishing line approached, spooking Horse and beating him to the riverbank. Hence, those born in the year of the Snake are supposed to be intelligent but lacking in scruples (as a snake I endorse 50 per cent of that description).
So this is Snake’s turn (hurrah!), and they will enjoy a year “brimming with opportunities in wealth, career, and personal development”. But just because it’s the year of the Snake, that doesn’t mean that other animals cannot also be lucky. For example, Rats can expect success in career and personal growth; if you’re an Ox then stability and romantic opportunities are on the horizon; Rabbits can look forward to reaping the rewards of all the hard work they’ve put in in the past, benefiting from Snake’s supportive energy; Monkeys, who also have a bond with the Snake, can look forward to a “double dose” of luck, financially and career-wise – and Roosters similarly. It’s all good fun.
What’s in it for retailers?
World Food is a section of the c-store that has enjoyed burgeoning good fortune in recent years, and almost always at the pinnacle of “ethnic” food sales – clearly the winner on this occasion – is Chinese ingredients, sauces, condiments, staples (rice and noodles) and meals – ready and food-to-go.
In short, Chinese New Year is a massive opportunity to market specific products for one of the two or three most popular “treat-yourself” cuisines (alongside Indian/South Asian food and Mexican dishes, probably).
One of the driving forces behind the increasing popularity of Chinese New Year in the UK is the near-universal fondness for Chinese cuisine. The aromatic flavours, diverse textures and exotic ingredients of Chinese dishes have captivated the British palate, making Chinese food a staple in households across the nation.
Photo: iStock
This cultural convergence presents a golden opportunity for convenience retailers to capitalise on the culinary aspects of the Chinese New Year celebration. While supermarkets have traditionally dominated seasonal sales, convenience stores can strategically position themselves as convenient hubs for last-minute purchases, offering a wide range of Chinese ingredients, ready-to-cook meals, and festive decorations.
Here are some merchandising tips to make most of the occasion:
Create Themed Displays: Transform store aisles and end caps into visually appealing Chinese New Year displays. Incorporate traditional red and gold decorations, Chinese lanterns and Dragon-themed signage to create an immersive shopping experience.
Curate Special Chinese New Year Sections: Allocate a dedicated section in-store for Chinese New Year products. This can include a variety of traditional ingredients, pre-packaged meals, and festive snacks. Ensure clear signage and labelling to guide customers to these special sections.
Collaborate with Local Suppliers: Forge partnerships with local Chinese food suppliers to source authentic ingredients and specialty items. Highlight the origin and quality of these products to appeal to customers seeking an authentic Chinese New Year experience.
Offer Ready-to-Cook Meal Kits: Simplify the celebration for customers by providing ready-to-cook meal kits featuring popular Chinese New Year dishes. Include simple recipes and all the necessary ingredients for a hassle-free cooking experience.
Promote World Food Categories: Leverage the popularity of Chinese New Year to raise awareness and sales of the World Food category in general. Showcase a diverse range of international products, allowing customers to explore and experiment with flavors beyond Chinese cuisine.
Social Media Engagement: Utilise social media platforms to promote Chinese New Year-related products, share recipe ideas, and engage with the community. Encourage customers to share their own celebration preparations, creating a sense of inclusivity and community spirit.
In-Store Events and Demonstrations: Host in-store events or cooking demonstrations showcasing Chinese New Year recipes. This not only educates customers on the preparation of traditional dishes but also provides an interactive and enjoyable shopping experience.
It's time for retailers to embrace the cultural vibrancy and gastronomic delights of Chinese New Year, turning this annual celebration into a golden opportunity for growth and community connection, imbibing the spirit of Dragon.
Rice is nice
Unlike Indian food, Chinese cuisine does not lean towards basmati rice – long grain works brilliantly with Chinese dishes (and so do noodles, of course), and the most popular variety is Si Miao (See New in Cantonese), known as Jasmine rice.
What you may not know, though, is that outside of China, American-grown long-grain rice is a fantastic alternative.
Produced to the highest growing, milling, and quality standards, U.S.-grown rice is sustainably produced by a network of family farms across six states. The principal rice growing states are Arkansas, California, Louisiana, Mississippi, Missouri, and Texas.
Cooking with U.S.-grown rice ensures you are eating one of the world’s cleanest and highest quality rice and delivering authentic flavours with every dish. In fact, US long grain rice is especially suited to Chinese cuisine because of its fluffy, separate, beautifully white grains, and is the perfect complement to a wide variety of typical Chinese dishes.
Photo: iStock
U.S. rice is also sustainably grown, a practice that dates back generations, long before the word “sustainability” became a popular term. And today, the U.S. rice farming sector continues to make strides towards a greener future. All segments of the U.S. rice industry are invested in this because it is personal – providing for their families, serving their communities, protecting wildlife habitats, and creating jobs. Their stewardship is deliberate, ensuring a healthy, safe food supply, while improving the environment, and contributing to the local economy.
Many wildlife species rely on the wetland habitat created by American rice farmers. Working rice lands across all rice producing states provide millions of acres of life-sustaining resources for migrating water birds along with countless other animals that call the fields their home. This makes rice a unique working-lands crop. Winter-flooded rice fields improve and enhance vital wildlife habitats by providing food and foraging for migratory and wintering water birds. These water birds return the favour by helping to increase soil nutrients, straw decomposition, reducing weed and insect pressure, and providing other important agronomic advantages.
In the regions where rice is grown in the U.S., rice agriculture provides 35 per cent of the food resources available to migrating and wintering waterfowl. The cost of replacing existing rice habitat with managed natural wetlands is more than $3.5 billion.
So why not pick up some U.S. rice for Chinese New Year and enjoy the occasion, knowing that sustainable, guilt-free rice tastes better in more ways than one.
Singaporean flavours too
As we said, the new year is not only celebrated in China – it's also huge in Singapore, which is now bringing its own wonderful cuisine to UK stores.
Since its launch in February 2024, Singapulah has been a gateway to Singapore’s culinary tastes and flavours. Its menu is crafted in collaboration with Singaporean food manufacturers to showcase a plethora of flavours and ingredients from the island state, including new signature dishes such as Hokkien Mee, Rojak and Bak Kut Teh.
These dishes are supported by a stellar cast of Made in Singapore products such as noodles from Kang Kang, fish and surimi products from BoBo, speciality dough fritters from You Tiao Man, and soy sauces and flavoured oils from Tai Hua and Chee Seng Oil. Household brand Prima Taste’s complete sauce kits will also be introduced in both foodservice and retail at Singapulah.
Artisanal ice cream brand Creamier will provide Singapore-inspired vegan desserts such as Kaya Ice Cream Toast and Sea Salt Gula Melaka Affogato, while Coffee Hock will supply Asian drinks and coffee beans, roasted in the Southeast Asian tradition – with sugar and margarine.
Singapulah is supported by Enterprise Singapore, the Singapore government agency championing enterprise development, and the Singapore Brand Office, with promotional support from Singapore Tourism Board and Singapore Global Network.
Cheers!
There are several Chinese and oriental beer brands widely available in the UK, but as far as spirits are concerned, the UK remains underserved. Now, however, the makers of Chinese spirit “baijiu” are reformulating the fiery grain liquid to appeal to a wider, international client base. Perhaps it’s time to add Chinese spirits to your liquor shelf.
Baijiu, which translates as “white alcohol”, usually has between 40 per cent and 60 per cent alcohol content. It is generally distilled from sorghum, although wheat, barley, millet or glutinous rice are also used.
Its taste varies depending on the region or way it is produced. Some say it is similar to vodka, although another well-known type is likened to soy sauce.
Shede Spirits, based in China's Sichuan province, sells two baijiu brands in China and to Chinese consumers globally. (Its more exclusive brand, Shede, goes for up to £788 per bottle!)
Rival baijiu maker Sichuan Yibin Wuliangye Group, headquartered in Yibin city in Sichuan, has teamed up with Italian drinks group Campari in a partnership aimed at promoting both companies' brands in China and internationally.
As the wholesale side gears up for 2025, the collective commitment to innovation, sustainability, and support for convenience retailer is resonating across the sector, reports Asian Trader.
Tackling rising cost pressures, labor shortages, and shifting consumer demands, UK's leading wholesalers are doubling down on creative solutions to ensure their retail partners remain competitive.
At Booker, innovation seems to be the buzzword. From beer caves—temperature-controlled storage solutions for beverages—to refresh zones, the wholesaler is redefining in-store convenience.
“We’re always looking for new ways to innovate and advance the sector, alongside listening to our retailers’ needs.
"At the moment, we’re working on concepts including our beer and soft drinks caves - which are specially designed storage spaces to keep beverages at a consistently cool temperature.
"This proposition is a fantastic way for retailers to ensure drinks are stored properly, preserving freshness and taste for consumers. We also have our refresh zones – designated areas of a store where various drinks machines are situated, improving the overall shopping experience,” a Booker spokesperson shared with Asian Trader.
While Booker’s focus seems to be on beer caves and "refresh zones", wholesaler Parfetts is committed to further expanding its symbol footprint this year, with the addition of new forecourt format Shop & Go. The employee-owned wholesaler is also aiming to increase the reach of its free delivery service.
As shared by Guy Swindell, joint managing director of Parfetts, “The last quarter of 2024 saw reports of supermarkets taking a greater share due to increased discounting, which creates a challenge to convenience.
"Despite these pressures, we’ve seen disciplined stores with proactive retailers being able to maintain growth, and it is vital that we work with those customers to ensure this carries on.
“Stores must be able to offer value while maintaining margin. We have increased the frequency and scale of our promotional programme to help retailers maximize margin.
Guy Swindell
“There has also been significant investment in our own-label range, which now has over 200 lines, and is designed to provide customers with great value and retailers with industry-leading margins,” Swindell told Asian Trader.
Meanwhile, both Bestway and Nisa have already kick started 2025 by removing fuel levies on deliveries. Bestway has also pledged over £2.5 million to cut prices on more than 11,000 branded products.
Bestway’s move is designed to help the retailers drive footfall and customer loyalty by focusing on best-selling products, ensuring that the prices are competitive against the large multiple operators, and will continue to encourage shoppers to buy locally.
Nisa, meanwhile, is also doubling down on its “Mega Deals” campaign, a move aimed at ensuring its retailers remain competitive.
Emerging as a trailblazer in 2025, Sandea Wholesale has renewed focus on sustainability and innovation.
As pointed out by Sandea Wholesale Chief Operating Officer Priya Virdi, convenience stores will increasingly embrace omnichannel strategies this year, blending online ordering, delivery, and in-store shopping for tech-savvy UK consumers.
Health-conscious trends are also reshaping the convenience sector, with rising demand for fresh, plant-based, and locally sourced products, Virdi told Asian Trader.
"Ready-to-eat meals and functional foods are becoming staples in the UK convenience sector, and Sandea is at the forefront of supplying these trends," she said.
The wholesaler’s initiatives also include eco-friendly packaging solutions, waste reduction programs, and carbon emission reductions, further bolstered by tailored pricing, robust loyalty programs, and exclusive supplier partnerships.
The wholesaler is also committed to exploring underserved regional markets and securing exclusive supplier partnerships this year.
For JW Filshill, Scotland’s oldest wholesaler that is celebrating its 150th anniversary, 2025 will be marked with initiatives that go beyond business. The wholesaler aims to raise £150,000 for charities and train 150 KeyStore retailers as mental health ambassadors.
Filshill is also ramping up investments in corporate technology, leveraging AI to enhance operational efficiency and adopting innovative solutions to boost overall productivity.
Challenges Ahead
Cost pressures, supply chain uncertainties, and labor shortages remain significant hurdles for the sector as the year begins.
As pointed out by Swindell, the cost of living crisis and increased business costs due to factors such as the rise in the minimum wage and N.I. will put pressure on margins for everyone.
"That has translated to greater competition in the wholesale sector, and it’s clear that 2025 will continue to be tough for everyone."
"In this environment, retailers need partners that support them and enable them to be flexible and proactive.
"That’s why Parfetts has redoubled its efforts to protect retailer margins with a busy promotional schedule and a growing own-label range that has surpassed 200 lines and investment into its free delivery service.
“Our retailers will also have greater flexibility with the launch of the Shop & Go, a new symbol format for forecourts and transient sites, to accompany Go Local, Go Local Extra, and the off-licence focused, The Local, " Swindell tells Asian Trader.
Acknowledging the legislative impacts of the latest budget, Booker is providing multifaceted support through merchandise assistance, planograms, and sustainability guidance.
Understanding that there is increasing pressure for businesses to become more sustainable, Booker is recommending retailers to start using paper bags rather and is asking local suppliers to decrease food miles, adds the spokesperson, stating that Booker itself is also aiming to make its brands sustainable as well as competitive.
Booker points out at "staff retention" as one of the areas where retailers are struggling in.
"To combat the impacts of this, Booker offers training and development opportunities to prepare store colleagues for a future in storekeeping," stated the spokesperson.
"Booker strives to listen to as many customers as possible and use their feedback to make our brands not only sustainable in this exciting and competitive market, but also make them a real destination for consumers."
On the other hand, Sandea Wholesale identifies “supply chain uncertainties" and “labour shortages” as playing additional hurdles in the wider grocery and FMCG sector this year.
The wholesaler plans to combat the former by diversifying suppliers and utilising predictive analytics, thus ensuring reliability even in uncertain times.
Undeterred by challenges, Sandea Wholesale is already ready with an ambitious 2025 roadmap that includes "tailored pricing, robust loyalty programs, and value-added services".
The wholesaler this year will focus more on launching thousands of new SKUs, investing in advanced technologies to enhance operational efficiency and supporting local UK initiatives through sponsorships and partnerships.
Sandea Wholesale’s 2025 roadmap also includes “promoting inclusivity with employee engagement activities, including festive and cultural celebrations”.
"Sandea Wholesale Ltd.’s journey in 2025 reflects its dedication to innovation, resilience, and partnerships. As the grocery and wholesale sectors evolve, Sandea is prepared to lead with purpose.
"With a focus on sustainability, digital transformation, and community impact, Sandea Wholesale is poised to make 2025 a landmark year—redefining success in the UK wholesale industry and enriching the ecosystem it proudly serves," Virdi said.
Looking at 2025
The last quarter of 2024 saw reports of supermarkets taking a greater share due to increased discounting, posing a greater challenge for convenience. It’s clear that 2025 will continue to be tough for everyone.
Parfetts is calling on the government to listen to business, stating that loading companies with additional costs will only make things harder and collaboration is required between policymakers, retailers, and wholesalers to support the success of the sector.
Despite the pressures, disciplined stores with proactive retailers are being able to maintain growth, and it is vital that the wholesale works proactively with those customers to ensure this carries on.
“For Parfetts and Go Local, 2025 will see the expansion of the Symbol model, with the addition of Shop & Go, more investment into digital marketing channels for our customers, and we will offer more areas our free delivery service as we expand our symbol footprint.
"An aggressive marketplace in 2025 will require greater proactivity from convenience stores to compete, and Parfetts has increased resources into the retail development team to further our help retailers,” Swindell said.
Booker meanwhile is confident of its own brands, Jack’s and Euro Shopper, for providing independent retailers with value-driven options.
"Booker remains committed to supporting independent retailers throughout 2025 - retailers who continue to work incredibly hard in driving the convenience sector forward, despite challenges that the wider industry faces.
"Product value, promotions and our Booker own brands - Jack’s and Euro Shopper - will remain key drivers for retailers. With more than 800 own brand products across Euro Shopper and Jack’s, retailers can give shoppers a breadth of variety alongside offering everyday low value.
“We are proud to serve retailers right across the UK and will continue to listen and learn from them to further improve Choice, Price and Service across Booker,” said the Booker spokesperson.
Despite the challenges, the sector’s forward-thinking approach and renewed commitment to support must be encouraging and reassuring for their retail partners. Lets see how things unfold in the coming months.
2025 will do doubt be the year the drinks industry truly feels the repercussions of the global and UK economic climate, political turbulence at home and away, and the duty hikes threatened for such a long time coming into play. While inflation has seen a gradual reduction over the last 18 months, the increase in interest rates and the knock-on effect this has on household expenditure will continue to be a theme as we head into 2025. We may see some prosper, but for many, it will be a year of adaptation, change and resilience. However, as an industry, we innovate, shape tastes and trends, strive to deliver world class drinks to the on-trade and retailers, and find ways to drive pockets of growth.
2025 will not be easy, but it will be interesting and there are areas of growth shaping the industry during the year ahead.
In the Bag (In Box)
The conditions for this still-emerging format are ripe for success, with producers, brand owners and retailers investing in quality of liquid, innovative packaging and campaigns that educate the shopper on the format’s virtues. However, there is still some way to go and in 2025 we’ll see the industry invest more in communicating the quality and longer shelf life of bag in box wines, their value to cash conscious shoppers and how they meet the needs of those moderating alcohol consumption.
The industry, brands, press and influencers are waxing lyrical about bag in box wines, and slowly but surely the format is shaking off its reputation as a ‘cheap’ alternative.
Data shows that consumers are switching on to wines in this format, so we must embrace what they offer; recyclability, affordability, and longer lasting wine. New consumers to the bag-in-box category realise the benefits in terms of convenience, freshness, quality and some environmental benefits to glass, such as lower CO2 emissions.
Kingsland Drinks expanded its Campaneo range with the addition of new, convenient 2.25L Bag in Box (BiB) format recently, which extends the offering into new parts of the market. In anticipation of demand, the employee-owned drinks firm also upgraded its overall filling capacity to 180 million litres on its production lines, spanning various sizes from 187ml up to 3L, formats such as bottles, cans and boxed wines, and liquids ranging from no and low, spirits, and red, white, rosé and sparkling wines.
Go low
Volume sales of low alcohol drinks almost doubled in 2023 and IWSR expects considerable growth over the next few years (particularly driven by low-alcohol beer but across the category).
The rise in duty has ensured it’s in everyone’s best interests to bed in low and no alcohol brands for the long term. It’s good news for the industry, who have responded with a wave of innovation that excites consumers. Importantly, this segment is getting better all the time. In the last 12 months we’ve seen wine and spirits producers up their game and elevate the taste the credentials of the liquid.
In the year ahead, we’ll see this segment continue to soar, as lower and no abv wines and spirits earn their place on fixtures and consumers respond by integrating into their shop. However, quality will be key – in the year ahead it’s important style, substance and price work hard together to nurture growth in this segment and ensure it reaches its potential.
Andrew Peace has worked tirelessly to craft wines at 11% abv which give consumers a great tasting wine while maintaining a great value price point. We’ve seen a considerable number of listings at 11% abv and lower, but some haven’t hit the mark in terms of quality. The new additions to the Andrew Peace range have helped to drive seen significant market share growth up 22.6% value and 17.6% volume, in a backdrop of 7.3% volume decline in the Australian category in the latest 12 months (up to 2nd September).
Kingsland Drinks started packing non-alcoholic wines and spirits in 2019 and is now responsible for developing and launching some of the market’s leading brands. The company currently blends and bottles non-alcoholic gin, rum, whisky, tequila, and still and sparkling wines, using world class technology and controls to ensure the highest possible quality assurance standards.
Mind the gap
Mindful drinking is making its way into the mainstream, with consumers sustaining a ‘drink less but better’ mindset. In 2025 we can expect this will clash with an increasingly price sensitive shopper, who will search for brands that meet their needs on all fronts: budget, status, taste, quality, format and social currency.
Lesser-known becomes bigger business
Consumers are already taking a leap into the unexpected and branching out in their wine buying, with Eastern Europe in particular getting the recognition it deserves for the region’s wine quality, craftmanship and winemaking credentials.
This year we expect Eastern European wines to become much more prevalent in the UK, and demand for Bolgrad from Ukraine, Bediani from Georgia, and Salcuta, a Moldovan Feteasca Negra to sustain their play to consumer interest in lesser-known varietals. The wines from these producers were recognised by retailers for their authentic, distinctive, credible, well-made properties in 2024, and really demonstrate the breadth of wines available Eastern Europe.
Greece will continue to be celebrated in 2025. Kingsland Drinks was proud to launch Athlon Nemea into the UK with Aldi UK in 2024, which was met with much excitement from shoppers. Aldi is known for its quality wines from emerging and up and coming regions, and has a shopper that is open to trial new experiences from sources – like Aldi – that they trust.
Our advice for retailers in 2025 is to seriously consider the path less trodden in your range. Wines from the Mediterranean, central and Eastern Europe and beyond across all quality levels and price ranges, will be a real point of interest in the year ahead.
What’s your flavour
It was clear throughout Christmas 2024 that our customers wanted drinks with more flavour profiles to offer shoppers than before. For example, some retailers went from one or two mulled wines on shelf to six or seven. It’s a sign that consumers continue to experiment with flavours - perhaps as a result of experimentation within RTDs - and throughout 2025 we expect a continuation. Shoppers will continue to expand their flavour repertoire, open to trying new profiles.
Jo Taylorson
We have an on-site NPD lab that is best in class at developing spritz drinks, no and low spirits and made wine - we work alongside brand owners and customers to develop drinks in alcoholic and non-alcoholic formats. The team constantly researches and tests new flavour combinations, profiles and liquids. Our insights team expects to see fruit flavours such as pomegranate, watermelon, blueberry and mango come to the fore in 2025, along with drinks containing herbal and botanical flavours such as rosemary and wormwood, and the resurgence of drinks with tomato juice, such as the bloody mary.
Tins to go
Innovation in RTDs has slowed a little, with focus on sustainable, considered, longer-term growth. In 2025 we expect efforts to go towards targeting urbanites and those seeking simplicity and convenience at an affordable price point. Therefore, getting the product right is key as we move into spring and leverage summer, cementing RTDs in shopping baskets and on shelves in convenience stores.
Rum do
In 2025, rum will still be the darling drink and consumer preference will shift towards golden and darker rum expressions, with a warmer, spicier flavour profile.
Rum sales in the UK surpassed £1 billion this year, overtaking whisky, and it’s a category that brings something for everyone – from dark, decadent rums, to spiced variants, through to lighter, smooth easy drinking white rums. While many consumers continue to enjoy the sweet vanilla and caramel flavours of spiced rums, there is also exploration into more nuanced options, such as golden rum as it brings a well-balanced cross between white and dark expressions, aged in oak barrels to give it its signature amber colour and mellow flavour.
Kingsland Drinks partnered with Co-op to launch the retailer’s first Fairtrade golden rum. A show of what’s trending in 2025, and also proof that consumers want to buy into brands and liquid with a social conscience. It’s a Bourbon Barrel Aged Fairtrade Rum, which is a Caribbean coast blend from the Dominican Republic, Barbados and Venezuela. It really shines in a long drink with cola and lime, with ginger beer, and in a long rum old fashioned, a mule and a mojito.
Agave drinks have grown rapidly in retail, but from a small base. It’s still a small market in the UK and growth is plateauing slightly. However, the opportunity remains with the WSTA reporting that 11k hls were sold over the last 12 months (+5 percent) to the tune of £37m (+11 percent) (WSTA October 2024).
Going green
Sustainability continues to be a key focus for us as brands and consumers become more environmentally conscious. Climate change, sustainability and care for the planet are topics that need to stay in the mainstream conversation and remain high on the agenda of all businesses and brands. Consumers are ever more aware of the crisis and informed about actions being taken and changes required.
We’ll see even more developments and a doubling down on alternative formats. We can expect to see more canned wines, bag in box wines, paper-based bottles, and light-weight glass on shelf in the very near future.
No type of packaging is the silver bullet in terms of sustainability, but openly discussing the pros and cons of each packaging format and make the most educated and best decisions possible will bring the biggest environmental and economic benefits in 2025.
At Kingsland Drinks, our commitment to being environmentally sustainable is intrinsic to who we are and how we operate, but we have expanded our wider sustainability work across economy, society and environment both inside and outside the business as a strategic priority. As a result, we launched our Thirsty Earth sustainability strategy which seeks to create a better society and drinks industry for all, now and in the future.
For years, convenience stores were the underdog of retail—handy, sure, but not exactly glamorous. Today, they are the unsung heroes of British life, adapting to seismic shifts in consumer behavior, economic realities, and global trends.
With the ease of flexibility and personal touch, it is safe to say some of them are even better than the nearest supermarket giant.
The recent years have proven to be a turnaround time for convenience stores.
Smashing the projected threats first from supermarkets and then from quick delivery apps, the convenience channel continues to grow at its own pace. It is projected to touch a market value of £48.6 billion by 2025.
The future is certainly bright with predictions of a compound annual growth rate (CAGR) around 2.6 per cent between 2022 and 2025. According to Statista, by 2026, the convenience market value would exceed £50 bn.
It’s not just about the numbers—it’s how people shop.
With hybrid working sticking around, people are shopping differently. The convenience store isn’t just for emergency milk runs anymore; it is more of a community hub where shoppers can find their favourite hot meal solutions, fresh produce, and even online order pickups.
Forecourt stores are also evolving. Parfetts’ new commuter-focused symbol format is a sign of things to come. Expect more niche formats tailored to specific lifestyles, whether it’s busy commuters, fitness enthusiasts, or eco-conscious shoppers.
And if the crystal ball for 2025 is accurate, convenience stores are set to shine even brighter. Let’s dive into the big trends and changes shaping the year ahead.
Shift in consumption habits
The popularity of hot and spicy flavours within the crisps, snacks and nuts category will continue in the new year, with this profile ranking as the third largest flavor within branded snacks.
As shared by Matt Collins, Sales Director at KP Snacks, taste remains the top category driver, He said, “Our portfolio taps into the demand for bold, innovative flavours with a range of products – from classic Nik Naks Nice ‘N’ Spicy to our KP Nuts Thai Chilli Coated Peanuts.
“Our McCoy’s brand, the UK’s number one ridged crisp, also caters to the demand for bold, punchy flavours, delivering exciting NPD including McCoy’s Epic Eats Flamin’ Fajita.”
The PMP format has seen significant growth in recent years and will remain popular in 2025, offering consumers great value for money and clear pricing which reassures them that they’re getting a good deal.
PMPs are driving the snack category, giving shoppers a sense of value and retailers a surefire way to boost impulse purchases. Did you know 57 per cent of impulse shoppers choose PMPs?
The £1.25 PMP format, now worth £321.9m, is proving particularly popular, growing at 4.1 per cent annually. The £1.25 PMP format is especially important for Independent and Symbol stores, representing 50 per cent of CSN sales in this channel.
Health-consciousness is now the new normal, but let’s not kid ourselves—people still want their treats. The key? Snacks that feel indulgent but don’t come with a side of guilt. Enter protein bars disguised as chocolate, air-popped crisps, and plant-based jerky.
Consumers now are more conscious than ever about how food makes them feel, with a growing demand for high-protein and vitamin-packed options.
The trend towards wellness doesn’t just stop at physical health – it’s also extending into mental health. Brands that can address how food can support overall wellbeing should be able to stand out.
According to Mintel’s 2025 Global Food and Drink Trends report, the focus will be on food and drink brands streamlining health messaging and clearly communicating the nutritional value of their products.
The report basically explores the paradoxes that influence people’s behaviors toward food.
First is the ‘fundamentally nutritious’ trend which recognises how consumers have become more knowledgeable about diet and attach value to nutrition claims. In reaction, we see more on-pack nutritional claims and advice about healthy eating and ultra-processed food from businesses and influencers.
Coinciding with this is an increased awareness of weight loss drugs. Europe is currently behind the US in terms of uptake, but the potential is clear- 46 per cent of UK under-35s say they’d be interested in using them.
Gone are the days when “healthy” meant tasteless rice cakes and sad salads. In 2025, health and indulgence will coexist beautifully. Expect a continued boom in plant-based eating, functional foods, and beverages that do more than quench thirst.
iStock image
Mental health is the next frontier for food innovation. Products designed to reduce stress, improve sleep, or boost focus are gaining popularity. Think adaptogen-packed teas, mood-enhancing snacks, and even “calm chocolates.”
Functional foods are also gaining traction. Products infused with probiotics, adaptogens, or omega-3s are no longer limited to specialist stores—they’re becoming staples in the convenience sector. Expect more “gut-friendly” yogurts, mood-boosting drinks, and brain-health snacks on shelves by 2025.
Today’s consumers are not only more health-conscious, they are becoming more aware and somewhat finicky over the source of their food. Shoppers are demanding healthier snacks, organic produce, and products that cater to specific dietary needs.
As a response, retailers are expanding their vegan ranges, with brands like Aldi’s Plant Menu and Tesco’s Wicked Kitchen leading the charge. Convenience stores must adapt by stocking high-quality plant-based options that appeal to a diverse audience.
Local sourcing is more than a trend; it’s becoming a necessity. Brexit-related challenges have made imports pricier, but consumers are embracing the shift. They’re drawn to farm-fresh eggs, artisanal cheeses, and craft beers that reduce food miles and support local producers.
But this isn’t just about patriotism. Local sourcing reduces food miles, aligns with sustainability goals, and helps retailers hedge against global supply chain issues. It’s a triple win, and we’ll see more of it in 2025.
For convenience stores, they prove to be cherry on the top. Retailers like Kaual Patel have taken the idea of local miles ahead by collaborating with a local brewery to come up with a own-branded beer line.
While Patel’s initiatives spoke volume of what can be done, highlighting local line of products is something convenience retailers can easily do to have a unique line of products.
Consumers are showing a strong preference for local and seasonal products, which are perceived as fresher and more sustainable. This shift is particularly evident in travel hubs, where 60 per cent of consumers express interest in regional delicacies, claims Lupa Foods’ UK Food Market Trend Report: 2024-2025.No wonder, businesses that emphasize local sourcing and sustainable practices are likely to see increased customer loyalty.
Food and convenience retail expert Scott Annan is a huge fan of proprietary fresh food. He has been advocating retailers to stock this line to combat competition, legislative complexities and thin margins on conventional branded products.
The Grab-and-Go Goldmine
While city-center convenience stores took a hit during the lockdowns, the resurgence of commuting has reignited the food-to-go market. Rising demand for food to go pumped growth into convenience stores last year, as the channel enjoyed a 5 per cent rise in value.
According to the Convenience Market Report 2024 by Lumina Intelligence, hybrid work patterns were fuelling the need for quick and convenient food-to-go options during commuting and work-from-home days.
Time-poor shoppers were also increasingly turning to their local convenience stores for dinner solutions, the report added, highlighting the opportunity for a diverse chilled and frozen range.
The channel saw wholesalers and symbol groups ramp up their food-to-go offer to cater for demand over the past year. The report said meal deal offers, including those stemming from loyalty programs, have helped provide convenience shoppers with affordable choices to meet their food-to-go needs.
The trend is only expected to gain momentum in the coming years.
2025 will see a growing demand for premium on-the-go meals, especially at breakfast and lunch. Bidfood’s 2025 Food & Drink Trends Guide highlights the popularity of dishes like stacked sandwiches, acai bowls and poke or energy salad bowls. These on-the-go, nutritious options are perfect for busy consumers who still want to make healthy choices.
Consumers are also looking for dishes that contain ingredients associated with gut health e.g. beans and pulses, nuts and seeds. From a cuisine perspective, Bidfood expects Cajun, Creole, soul food dishes, fondues, sauces like Piri Piri or chimichurri, kofte kebabs, pide pizzas and Greek salads to gain more momentum.
According to IGD, the UK food-to-go market is anticipated to see positive market growth over the next few years and by 2028 is expected to increase in value by almost 40 per cent on 2019 levels, emphasizing the importance for retailers to offer quick, quality meal solutions.
Retailers like Co-op, and Spar are leading the way, offering everything from grab-and-go sandwiches to premium coffee to even home-made hot Indian snacks like samosas.
iStock image
To stay competitive in 2025, convenience stores must offer transparent, health-focused options that cater to the specific dietary needs and tastes of their customers.
The “fakeaway” trend, where consumers opt for high-quality, ready-to-eat meals instead of traditional takeaways, is also gaining momentum. Premium products like gourmet pizzas are driving this trend, offering restaurant-quality experiences at home.
Drinks will be having a moment in 2025. On the hot side, premium hot chocolates with toppings like roasted marshmallows or caramel drizzle will be stealing the show. Think chocolate chai and deluxe s’mores hot chocolate—indulgent, Instagram-worthy, and perfect for the season.
Whole Foods Market’s Trends Council predicts a rise in hydrating ready-to-drink beverages in 2025.Consumers will continue to seek out hydration solutions with added benefits and enhanced flavours, like sparkling coconut water and protein-infused drinks.
Consumers are also seeking bold, exotic flavours in their hydration choices. As the lines between alcoholic and non-alcoholic beverages blur, sodas with sophisticated, muted sweetness and more complex flavours are expected to be in demand. Even nostalgic flavours, like old-school sodas and root beers, are making a comeback as more people explore low or no-alcohol options.
Irish whiskey, Guinness, Bourbon and Portuguese wine will be growing in popularity. Out of beers, lager is the most engaged drink, and out of wines, white wine, red wine and prosecco are leaders in this market and will continue to grow in popularity.
In fact, the cream liqueurs category has grown by nearly 20 per cent compared to a year ago and is set to rise in popularity in 2025. This coincides with the growing Chocolicous trend as cream liqueurs will be advantageous when creating innovative chocolate drinks and desserts.
Furthermore, Bacardi’s 2025 Bacardi Cocktail Trends report states that in 2025, cocktails will act as a conduit for connection – bringing people closer to new interests, new knowledge, new experiences.
The love for cocktails continues at home too. Retailers can take on the role of educator here, advising the shoppers on pairing and proportions. Bacardi’s top 10 global cocktails for 2025 are Mojito, Margarita, Spritz, Piña Colada, Gin & Tonic, Rum & Coke, Whisky & Coke, Dry Martini, Vodka Lemonade and Vodka Soda. All of these are easy to create at home.
Low-alcohol volume sales almost doubled in 2023and considerable growth is expected over the next few years, particularly driven by low-alcohol beer. Many beer and wine brands are lowering their alcohol content (ABV) to take advantage of the UK’s new excise duty regime, although this is poised to bring renewed challenges for wine in particular when more changes are introduced during 2025.
Buzzing and trendy
Things are also buzzing at the wholesale side. A new brand new buying group will be launched on Jan 1 2025, bringing together the members of Confex and Fairway Foodservice. Titled as The Wholesale Group, the new buying group is already being touted as “the buying group for the future” as it promises to offer logistics efficiency via central distribution as well.
In terms of footfall, the retail sector will likely see minimal change in 2025, though consumer behavior will shift toward even more price-driven decisions.
With households becoming more conscious of their spending, value and affordability will be the primary factors influencing purchasing choices. This trend may benefit discount supermarkets and those offering competitively priced private-label products.
Vegan wave is on the rise among confectionery shoppers to so make sure that the store has a line to flaunt that feature, especially when Veganuary is around.
Swizzels is increasing production to meet the growing demand for vegan sweets in time for Veganuary 2025.Popular products like Variety Bags, Drumstick Choos, and Refreshers Choos are among Swizzels’ vegan sweets anticipated to see a significant rise in popularity as consumers continue to seek plant-based options from established brands.
Ah, sustainability—the buzzword that’s no longer just a buzzword. Consumers are no longer just asking for eco-friendly options; they’re demanding them.
To keep itself ahead of its time, Mondelēz International’s Cadbury core sharing bars, manufactured in Bournville and Coolock and sold in the UK&I, will be wrapped in 80 per cent certified recycled plastic packaging.Starting from 2025, in a phased approach, the project aims to cover approximately 300 million sharing bars across the UK&I Cadbury core tablet portfolio.
Retailers should opt actively to ditch plastic, source locally, and reduce food waste.
Expect more refill stations, where shoppers bring their own containers for pasta, grains, and even cleaning products. Tesco and Sainsbury’s are already piloting these initiatives, but the big challenge will be scaling them up.
After all, convincing a nation hooked on convenience to remember their jars and bottles is no small feat. Yet it is something that only convenience stores can achieve owing to the short distance and being in vicinity.
Brace for the impact
The year 2025 will be marked by a sea of legislative changes finally coming into effect. Many of these changes directly impact convenience stores and their shoppers so it is better to have a quick revision here.
From October 2025, children will no longer be exposed to TV adverts for unhealthy food products as under the new law set out on Dec 3, advertisements of unhealthy food products on television will only be allowed past the 9pm watershed. The advertising restrictions will also include a ban on paid online unhealthy food adverts.
Also, from Oct 1, 2025, the restriction of HFSS products by volume price will come into force, affecting multibuy promotion and promotion that indicates that an item – or any part of an item – is free. The restrictions will apply to medium and large retailers (with 50 or more employees).
Another ban that will greatly impact the convenience stores is the disposable vape ban, coming into effect from June 2025, marking a major change for thousands of retailers that currently stock these products.
From June 1 2025, only chargeable and refillable will be legal to sell. Anyone selling disposable vapes from June 1 2025 could get a £200 fixed-penalty notice, followed by further enforcement action if they continue to break the law. Better to keep yourself informed and updated so as not to fall on the wrong side of the law here.
As stated by ACS chief executive James Lowman, it is important that any retailer selling vapes not only prepare themselves for the change but also communicates with customers on the implications of the ban to avoid any potential confrontations or flashpoints in store.
Moreover, from March 31, 2025, under the new recycling legislation, businesses will be required to separate their dry recycling and food waste from their general waste by law. Under the law, businesses in England of 10 employees or more producing more than 5 kg of food waste per week must arrange for its separate collection by a licensed waste carrier.
Another legislative change that will impact the sector, albeit indirectly, is new packaging extended producer responsibility (EPR) scheme, businesses will bear the cost of packaging waste collection and sorting, with heavier packaging materials like glass facing higher levies.
The new tax, set to be introduced in 2025, threatens to drive up prices for consumers and could lead to brands shifting away from using glass products.
iStock image
Amid this sea of restrictions, bans and changes, what retailers urgently need is a concrete action to tackle retail crime, a thorn in the side of the convenience sector.
The government’s proposed Crime and Policing Bill offers some hope. New measures include specific offenses for assaulting retail workers and ensuring that theft under £200 is investigated.
Multiple ministers have reiterated the same outline though concrete plans are expected to be revealed in 2025. So fingers crossed there!
The economy is the elephant in the room, and it’s stomping its way through 2025. The financial landscape for convenience stores is set to become more challenging.
The current 75 per cent discount on business rates, due to expire in April 2025, will be replaced by a 40 per cent discount, up to a maximum of £110,000. This reduction means many businesses will see their rates nearly double.
Moreover, employers' National Insurance Contributions (NICs) are slated to rise from 13.8 per cent to 15 per cent in April 2025. The threshold at which businesses start paying NICs will also decrease from £9,100 to £5,000, further increasing operational costs. The collective cost to the convenience sector next year is estimated by ACS at £397m (increase of £85m).
To top it all, From April 2025, the National Living Wage (NLW) will increase from £11.44 to £12.21 while 18-20 National Minimum Wage will rise by £1.40 per hour to £10 - the largest increase on record, marking the first step towards a single adult rate. The two are collectively expected to cost £513 million extra to the convenience sector next year, according to ACS.
For a convenience store like Tenby Stores and Post Office, everything is going to cost "about £23,000 extra a year”, as told by retailer Fiona Malone.
Happy New Year, Nevertheless
If 2024 taught us anything, it’s that the British shopper loves a good bargain. Inflation may have cooled slightly, but shoppers are still feeling the pinch. With even high-end retailers like Waitrose expanding their budget-friendly offerings, expect the private-label boom to continue.
On the flip side, premiumisation remains a countertrend. Shoppers are willing to splurge on small indulgences—think fancy chocolates
a balancing act, and convenience retailers will have to tread carefully to keep both ends of the spectrum happy.
Having a loyalty scheme on board is a great way to attract the shoppers. Lets not forget that most Brits (91 per cent) are now actively involved in loyalty programmes.
According to a survey, conducted over 1,000 UK consumers and insights from 36 GCVA member organisations, 94 per cent of those aged 66 and over are engaged in at least one scheme, alongside 81 per cent of young adults between 18 and 25. Schemes also appeal to those on both high and low incomes, with 96 per cent of those with a household income of over £75,000 actively involved in such schemes.
iStock image
Some retailers are doing it on a small scale like offering £1 for an otherwise £1.49 for a coffee.Jisp, Shopt and LocalLoyalty by ShopMate are some of the great options to choose from.
2025 is shaping up to be a transformative year for convenience stores. Yes, there are hurdles—rising costs, new regulations, and shifting consumer expectations. But there are also incredible opportunities to innovate, connect with customers, and redefine the meaning of convenience.
Retailers who embrace trends like functional foods, local sourcing, and sustainability will be able to ride the wave efficiently. Whether it’s launching their own product lines, collaborating with local producers, or doubling down on health-conscious snacks, the possibilities are endless.
And for the industry as a whole, 2025 represents a chance to redefine what it means to be “convenient” in an ever-changing world.