10-MINUTE DELIVERIES, WALK-OUT TECHNOLOGY
There are several ways for the convenience store operators to continue to stay relevant.
In India, some firms have been offering “rapid delivery” services, with small orders being promised with “10-minute delivery”.
The automation of some food and beverage services that we see around Singapore such as automated baristas and vending machines offering sandwiches and hot meals could also see a presence in convenience stores, not just for coffee but for other customisable products such as salads and shakes, and popular items such as bubble tea.
The result may be a revamped convenience store that becomes a seamless part of the online and offline shopping experience for the average Singapore consumer.
Automated unmanned store formats that eliminate the need for staff may also be a fresh new business model. Over the last few years, several such unmanned convenient stores have popped up in Singapore. However, they have yet to become the norm in the heartlands.
Pick & Go, founded in October 2019, has four such outlets in Singapore. There is also Octobox, which has a handful of unmanned stores. In May, Cheers launched a hybrid store with manned and unmanned sections at Nanyang Technological University (NTU). It also has an unmanned and cashless store in Tampines.
Such unmanned formats have additional benefits in terms of the data that can be collected. Entry and exit times of shoppers and customer-specific information provided by the app can further help optimise both supply and marketing planning.