Poundland debuted its new ‘Local’ format today, which it describes as a convenience store without the “price premium”.
The first site (2,500 sq. ft.) opened today in Kendray, South Yorkshire, with a second (2,800 sq. ft.) launching tomorrow in Hornsea, East Yorkshire. Both are former Fultons Foods stores that became part of Poundland in 2020. They will trade from 7am to 9pm.
The Local stores are smaller than a typical Poundland outlet with the compact design aimed at allowing the discounter to open in small towns, residential and urban neighbourhoods where it currently doesn’t have a presence.
The stores will offer a range of products aimed at planned top-up shops or impulse buys, with a major focus on food. This will include fresh fruit & vegetables, chilled & frozen, alcohol, fresh bakery items, food-to-go, and fresh Lavazza coffee. Household products, health & beauty, batteries, toys, stationery, and homeware will also be stocked.
The retailer stressed that prices will be the same as larger Poundland stores.
If successful, the smaller format is expected to give Poundland the potential to accelerate its growth and reach new areas that would not support a larger store.
Poundland’s Transformation and Retail Director Austin Cooke said: “The launch of Poundland Local is a really exciting development and we hope customers are as excited as we are.
“While our Local format will have the ranges customers would expect in a neighbourhood store, they won’t have to pay more for that doorstep convenience.”
The new format is part of the group’s transformation programme, which has seen the introduction of new product ranges, multi-level pricing, and store revamps. Poundland has also recently started testing an online home delivery service.
NAM Implications:
- Presses all the local convenience buttons…
- …besides being a scalable infill for Poundland.
- Worth putting this on your trading agenda.
