MISSISSAUGA, Ontario--(BUSINESS WIRE)--In a rapidly changing and highly competitive industry, grocers are always striving for continuous improvement and looking for the best ways to meet new challenges. In 2016, the pressure is on to differentiate, go small and control costs.
In part one of this two-part news brief series, Cummins Allison, the leading innovator and provider of coin, currency and cheque handling solutions, discusses how Canadian grocers can meet the challenges of 2016 through the use of self-service coin technology.
Continued Differentiation: Additional Services are Key
With little room to further reduce prices, growing pressure from online grocery options and increased competition from specialty food markets, many grocers are wondering how they can stay relevant. One answer is to differentiate themselves through additional services – which will keep stores front-and-center in the minds of shoppers.
Many stores are delivering convenience as a key differentiator with options to buy their groceries online and pick them up in-store. Others are offering a more intimate shopping experience with specialty foods and craft beer for shoppers.1 Savvy grocers also have an opportunity to differentiate themselves from the competition with self-service coin counting services.
Machines that feature excellent up-time, fast and accurate performance and consumer-friendly, easy-to-use interfaces can be used to retain current customers, draw in new ones and increase the frequency of return visits. And, selecting a provider that offers flexible procurement options makes it easier and more cost-effective than ever to deploy this value-added service.
Better Utilization of Front-of-Store: Even in a Smaller Footprint
There’s no ignoring the fact that grocery stores are getting smaller. While bigger may have been better when it came to stores built in the 1990s and early 2000s, that is no longer the case. As urban populations grow, shopper demographics shift. And as a result, today’s Canadian consumers are demanding smaller, more intimate retailers. Retailers like Sobeys are opening smaller-format stores to deliver warmer, fresher and more personalized and upscale shopping experiences.2
And especially in smaller footprint stores, effective utilization of all available floor space is critical – including the front-of-store. Small-footprint self-service coin redemption machines provide grocers with an opportunity to turn a small amount of underutilized front-of-store space into a revenue source.
Controlling Supplier Costs: Opportunities with Dual Sourcing
There is also growing interest in dual sourcing in the grocery industry, which offers the opportunity to test new partners in a reduced-risk environment. For example, grocers certainly don't offer just one type of meat product, and testing lets grocers identify the products that sell the most and offer more of them.
The same is true for front-of-store services. There are alternative suppliers for coin counting services that provide flexibility and various procurement programs that can help grocers earn more profits, depending on the program selected. Dual-sourcing allows grocers to select the right mix of suppliers to deliver maximum return on investment.
To learn more about how Canadian grocery stores can meet the challenges of 2016 with self-service coin technology, visit http://www.cumminsallison.ca/go-ca/groceryroi/.
Sources:
1 “Canadian Grocery Trends to Watch”, BrandView, November 30, 2015. http://www.brandview.com/en/2015/11/canadian-grocery-trends-to-watch/
2 “Sobeys Opening Small-Format Grocery Stores”, Retail Insider, December 17, 2013. http://www.retail-insider.com/retail-insider/tail-insider.com/2013/12/sobeys-opening-small-format-grocery.html
About Cummins Allison
Cummins Allison is the leading innovator and provider of cheque, currency and coin handling solutions. Our world-class sales and service network includes hundreds of local representatives in more than 50 offices in North America, 6 wholly-owned subsidiaries and is represented in more than 70 countries around the world. For more information about our award-winning solutions, visit www.cumminsallison.ca.
