Sainsbury’s ‘future store’

Here at TCC, we like to keep pace with the latest innovations from the big retailers, so it was with great interest that we popped along to see the in Witney, Oxfordshire. We are a firm believer in putting the customer first so it was heartening to see Sainsbury’s doing likewise: initiatives that we loved included a more mission-based approach to store layout, the new digital customer service screens, a more dynamic approach to instore retail media and some very visible nods towards community endeavours.

The digital touchscreens are a great innovation. Our shopper research across multiple markets around the world tells us that one thing in short supply across grocery retail is inspiration. Through these new screens, Sainsbury’s demonstrates a great balance between information and inspiration, providing shoppers with recipes and advice such as how to cook unfamiliar vegetables. Since Covid, shoppers have been more adventurous and are still looking to break out of their tight culinary repertoires. The new screens, plus the addition of features such as new meal kit solutions, recipe kits and gourmet cheese sections will hopefully act to emancipate shoppers from their routine behaviours.

A lot of what we do is working with retailers to enhance their touchpoints with shoppers. Sainsbury’s in Witney is a great example of a retailer that is aware of these touchpoints and has sought to improve their efficacy. Retail media is clearly top-of-mind for many retailers and, in this store, Sainsbury’s has provided a superlative example of what good can look like in this regard. From small screens in sections like petfood, to digital six-sheets on gondola ends and branded bays across chilled, ambient and frozen, it is clear that collaboration between brands and retailers can create more pleasing, easy-to-shop instore environments.

Another impressive feature of this store is the copious amount of cross-merchandising. Aspects like merchandising wine alongside cheese and jams in the bakery section are by no means rocket science, but they demonstrate a mindfulness that shoppers are often in stores with consumption occasions in mind. As an industry, we possibly talk too much about disruption and not enough about facilitation: the new concept from Sainsbury’s seeks to smooth the shopper journey and does so very well.

Loyalty, and loyalty pricing, is very much to the fore in this concept. Bays and gondola ends are devoted to Nectar Prices, clearly signposting customers towards value, and providing ample evidence why non-participants should consider joining the scheme. Like other retailers, Sainsbury’s has to create a foundation of efficiency on which to build a sharper value proposition and this store includes some deft touches to optimise instore operations, such as the deployment of electronic shelf labels, inventory cameras and augmented self-checkout options.

Overall, the store is a joy to shop and acts as a showcase for the direction of travel for the supermarket industry: lean and efficient, with an eye towards new revenue streams like retail media, but very much with the shopper at its heart. Well worth a visit. ??????