Dollar stores are poised to gain grocery market share from conventional supermarkets, new research has suggested.
According to the annual shopper research survey from Perception Research Services International (PRS), Dollar Stores are increasingly competing with supermarkets and mass merchandisers for grocery dollars.
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Supermarkets are still the format where most shoppers buy groceries, with 91% of shoppers quizzed having visited a supermarket in the last three months. But this is down from 92% of respondents to last year’s survey. Mass merchandisers have also lost some share – with 73% buying groceries there, down from 76% in 2011. Meanwhile, Dollar Stores have increased their share of grocery shopping trips, with 35% of respondents shopping at the format, up from 32% last year.
“Retailers must understand their competitive strengths and capitalize on them, while also making the necessary adjustments to their offerings to seize opportunities for a larger slice of the pie as shoppers are more open to new shopping possibilities than they have been since the 1950’s with the advent of large, supermarket chains,” said Jonathan Asher, EVP at PRS.
