Convenience stores are designed for shoppers on the go. They offer a quick, in-and-out experience for grabbing essential items.
Walk into any convenience store in New Zealand and you’ll see a vast array of refrigerated goods. These are a key component of the convenience store model – especially beverages, snacks, and perishable items. The popularity of these products is evidenced by statistics showing that New Zealanders are among the biggest consumers of ice cream in the world, with one person taking about 23 litres on average per annum. (1)
To make the most out of any refrigeration system, chilled products need to be organised and placed strategically within a store. This significantly boosts sales and the overall customer experience. Smart refrigeration techniques in a convenience store can mean the difference between stale products and impulse purchases.
Optimise cooler placement. Maximise unit space. Utilise energy-saving technologies. All these directly contribute to a streamlined layout for customers and, of course, increased profits. More on these below.
Key Considerations for Refrigeration Placement
The strategic placement of convenience store refrigeration units equates to maximised visibility, enhanced customer convenience, and, ultimately, better sales. Some key aspects to consider include:
- Traffic Flow
Understanding customer traffic flow is essential for maximising the impact of your refrigeration units. High-demand items like cold beverages should be positioned within the natural flow of customer movement. This creates easy access and encourages impulse purchases. Consider the main entry point of your convenience store and strategically place coolers along the customers’ most likely path, ensuring drinks have maximum visibility.
Additionally, don’t limit yourself to placing coolers only along the walls. Placing refrigerated units throughout your store as smaller displays increases overall visibility. This encourages customers to explore more of the store layout and exposes them to items they may have yet to consider.
- Product Type
Organisation within your refrigerated units is vital for creating a positive customer experience. Group similar chilled products together for easy navigation. Customers shouldn’t need to search multiple refrigerators to find specific types of beverages or snacks. With this logical grouping, you can streamline the purchase process and make things easier for the shoppers. Dual-temp merchandisers are a great way to combine products that compliment each other.
Additionally, focus on the types of products customers are likely to buy. For example, research shows that about 48% of Kiwis only buy necessities as grocery prices rise in New Zealand. Therefore, identify what counts as necessities and place them where your customers can see them to enhance their experience. (2)
- Sightlines
Make sure your products stand out! Closed coolers offer some energy efficiency benefits, yes, but it’s the open-door refrigerators that offer significantly better product visibility. Customers can quickly scan the contents and grab what they need.
For open displays, invest in well-lit refrigerated areas. With proper lighting, you can draw attention to the products and even make them look fresh and appealing. The easier customers see what you have, the more likely they’ll buy it.
Maximising Space Efficiency
Convenience stores are often challenged by limited floor space, making it crucial to optimise the use of every square foot. Here are some strategies you can look into:
- Vertical Merchandising
Make the most of the vertical space within your refrigerators. Use adjustable shelves and product racks to maximise the unit’s density. This ensures you can stock more products within the same footprint, increasing the variety and depth of your chilled offerings.
However, remember that visibility is still key. Prioritise popular items at eye level. These prime spots naturally draw more customer attention and will translate into higher sales. Remember, customers often focus on store layout and atmosphere when shopping.
In fact, a report focusing on consumer behaviour in retail stores showed that customers preferred layout familiarity. This means placing less popular items higher or lower in the cooler would do the trick if your aim is to efficiently use space sans hindering customer experience. (3)
- Right-Sizing Refrigerators
Choosing the right refrigerator size is about balancing space and inventory. Overly large refrigerators will take up valuable floor space and increase energy costs. Analyse your typical stock levels and the types of products you offer. This ensures you choose large enough units without oversizing for your needs.
It’s important to factor in inventory rotation as well. Well-sized refrigerators will allow adequate space to easily move products, ensuring older stock is sold before its expiration date and reducing waste. This is key to maintaining freshness and, ultimately, optimising sales.
Conclusion
Refrigeration is the backbone of the convenience store model. Optimise the placement of these units, design, and technology, and store owners can create layouts that enhance customer experience, improve product flow, and maximise energy efficiency.
Want to take full advantage of refrigeration solutions in your convenience store? You can check out this page for more display and storage solutions. Remember, the most fitting refrigeration strategy is a win for both the convenience store owner and the customers.
References:
- Scooped: The history of ice cream in New Zealand: https://www.rnz.co.nz/national/programmes/the-weekend/audio/2018780737/scooped-the-history-of-ice-cream-in-new-zealand#:~:text=Scooped%3A%20The%20history,to%20the%201800s.
- Cost of living: More than half of NZ parents report ‘disheartening’ lifestyle changes to afford food, research finds: https://www.newshub.co.nz/home/lifestyle/2023/04/cost-of-living-more-than-half-of-nz-parents-report-disheartening-lifestyle-changes-to-afford-food-research-finds.html#:~:text=This%20price%20hike%20has%20also%20forced%20Kiwis%20to%20rethink%20what%27s%20on%20the%20menu%2C%20with%2034%20percent%20reducing%20the%20amount%20of%20meat%20they%20buy%3B%2025%20percent%20only%20buying%20items%20that%20are%20discounted%20or%20on%20special%3B%20and%2048%20percent%20only%20purchasing%20the%20necessities.%C2%A0
- Consumer behaviour and preferences in the New Zealand retail grocery sector: https://comcom.govt.nz/__data/assets/pdf_file/0020/260381/Ipsos-Consumer-behaviour-and-preferences-in-the-NZ-retail-grocery-sector-Consumer-study-report-July-2021.pdf