Sainsbury’s is testing innovative shopping enhancements this year, focusing on a ‘Next Level’ strategy.
- The retailer is expanding food volume growth in 180 high potential stores for increased market availability.
- Cobham’s ‘lab’ store trials over 100 new retail experiments to refine Sainsbury’s future strategies.
- Key changes include item co-location for ease, expanded food presentation, and refined product categories.
- Sainsbury’s Cobham facility serves as a model for efficiency, customer focus, and strategic growth.
Earlier in the year, Sainsbury’s Chief Executive Officer Simon Roberts shared plans to lead the UK grocery market through its ‘Next Level’ strategy. This initiative targets substantial food volume expansion, aiming for a broader range of products in 180 strategically selected stores. Currently, only 15% of Sainsbury’s outlets stock the full line-up, indicating significant room for market penetration and customer reach.
The Cobham store in Surrey exemplifies an innovative hub, trialling over 100 experiments as part of Sainsbury’s test-and-learn approach. This location provides valuable insights into potentially scalable operations. A distinct shift is observed in product layouts, focusing heavily on customer-centric shopping experiences to manage the grocery volume growth.
Product presentation innovations are evident at Cobham. Items traditionally placed apart, like frozen desserts and chilled counterparts, are now co-located to enhance shopping convenience. Roberts emphasizes shifting from conventional supermarket layouts to customer mission-oriented designs, significantly changing consumer interactions with store environments.
The supermarket has reintroduced a ‘fish counter on a wall’ concept, presenting an expanded range of fish at reduced costs compared to traditional counters. This strategic modification has quickly enhanced category growth by offering variety and accessibility, which resonates with customers seeking extensive product options.
A major highlight is the attention to ‘Free From’ product areas. Sainsbury’s Cobham store consolidates these offerings to simplify access, an initiative showing rapid rollout across the network. This strategic bundling, while seemingly straightforward, marks a significant shift in traditional retail approaches.
Sainsbury’s has revamped its beers, wines, and spirits section, incorporating a comprehensive range and deploying smart shelves to mitigate theft and boost sales. This approach balances accessibility with security, crucial in a sector increasingly plagued by retail crime.
Innovations also extend to checkout solutions. Apart from traditional tills and self-service options, Cobham trials a hybrid checkout model, providing improved transaction efficiency for larger purchases. This inventive adaptation has garnered customer approval and highlights Sainsbury’s commitment to consumer preference.
Efforts in clothing and added digital interfaces like touchscreen kiosks have reshaped in-store experiences, encouraging product discovery and selection ease. Clothing improvements complement larger purchases, offering compelling value and style, pivotal in increasing category sales.
Overall, Sainsbury’s strategic cost reduction plan targets £2.5 billion by 2027, financing competitive pricing and superior employee wages. This ambitious goal underscores the retailer’s dedication to operational effectiveness and customer satisfaction.
Further efficiency at Cobham sees a streamlined warehouse setup, reducing restocking distances to enhance high-volume line accessibility. These operational efficiencies are indicative of Sainsbury’s pursuit of a groundbreaking supermarket experience.
Sainsbury’s Cobham lab store offers a compelling preview of a data-driven, customer-focused retail transformation.
