In 2012, Coles started replacing their 1,700-sqm stores with 2,700-sqm stores...but now, they've rolled out much smaller stores called Coles Local.
Background: Back in 2012, Coles started replacing their 1,700-sqm stores with 2,700-sqm stores.
What happened: Fast-forward to now, and Coles has done a full 180. Now, they've rolled out much smaller stores called Coles Local.
What else: Coles plans to have 17 Coles Local stores by the end of the current financial year...but they eventually want way, way more. It's all thanks to the pandemic increasing the popularity of neighbourhood stores - and a heating up property market.
💡Thanks to higher rents, a lack of prime real estate and rising inventory costs and wages...Aussie supermarkets are shrinking.
💡Retailers have responded to the changing conditions in one of two ways:
💡Downsizing allows stores to maintain their physical presence...but at a more affordable cost (smaller space = cheaper rent). And, often local stores are stocked to fit local needs, which means a more personalised experience for the shopper.
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