The move by the major UK supermarkets into the convenience store sector in a bid to get round increasingly tough planning restrictions on larger stores has been well documented over the last few months.
Market leader Tesco has expanded its Express convenience store operations both through organic growth and the acquisition of the 1,200 stores operated by the T&S group, while arch rival Sainsbury has been pushing ahead with the expansion of its Local convenience store unit, opening 24 new stores last year and this year aiming to build on the 58 outlets it already operates under this fascia.
One area which has been particularly fruitful for the supermarket chains has been the petrol station forecourt, with a number of companies operating convenience stores there in association with the major petrol groups. This is a simple way of expanding the convenience store business without any significant risk, since most of the major multiple already operate such stores at their own petrol stations.
Sainsbury has clearly managed to operate successfully in this area, since the UK number two supermarket group has today announced plans to extend its partnership with petrol station operator Shell UK to a further 100 Shell locations across the UK. The decision follows a successful trial at six sites combining Shell's branded forecourts and Sainsbury's Local store format.
Sainsbury said that the stores will provide a range of ready meal solutions, fresh fruit, vegetables and prepared salads, beers, wines and spirits, bakery, everyday non-food items and Shell's car care and lubricant products.
Sir Peter Davis, Sainsbury's chief executive said: "The Sainsbury's Local format is a great success; measured by sales per square foot, 11 of the top 20 performing stores in the company are Locals, and three of these are located on Shell forecourts.
We believe our convenience store offer is the best in the UK and by working with Shell we can bring Sainsbury's quality convenience food shopping into new areas of the UK and within easy reach of millions of new customers."