If you look at the convenience sector in its true context, the pool of funds the various players are fighting for is far larger than many believe. Some £70bn in total. A large proprotion of "convenience" sales go through supermarkets and superstores and through fast food, food to go and home meal replacement outlets as well as conventional c-stores. But convenience stores are winning more of these sales. Trends in Harris International Marketing research suggest that more shoppers are using convenience stores and spending marginally more on each visit. After 100,000 conversations with shoppers in more than three years we can say that the foreseeable future looks pretty good for convenience retailers and their suppliers ­ especially if some negatives are tackled. Today's attitudes and feelings foretell tomorrow's behaviour. The latest shopper ratings of their c-store have improved. We listen to shoppers at every kind of convenience and small store. One thing is clear: grocery is at the heart of a successful c-store. It pulls the traffic and raises the spend. Fresh foods ­ dairy, deli, bakery, fruit and veg ­ are at the centre. After three years of consistent decline in ratings for fresh foods' quality and range, opinions are improving. However the steady decline in sales of fresh foods over the past four years spell danger for overall usage. If customers stop using local stores for things like bread and milk they're likely to stop using them altogether. If stores can make people aware of the availability of good fresh supplies they'll start coming more and will spend more. About one in five intended purchases in c-stores doesn't happen. The biggest single reason is that the item is out of stock. Last year, about one in four stores had no semi-skimmed or full fat milk in the most popular size. The situation has improved significantly this year, however, with availability percentages in the mid 90s. If convenience stores and wannabe convenience stores are to continue progressing, they will ensure they are quickest (and friendliest) to get in and out of, as well as to and from. Some 26% of superstore shoppers mention "friendly staff" as a store selection criterion. Only 20% mention it at our friendly local convenience stores. But this is a steady increase from 10% two years ago and 17% last year. Another encouraging indicator. But we also talked to thousands of shop sales staff and hundreds of managers. They still don't think that the bosses view customers as all that important. And they certainly don't think the bosses think they ­ the staff ­ are. Possible room for improvement there. A reducing 1-in-2 branch managers don't feel that head office respects them, either. Finally, for those to whom the primacy of the customer is simply a meaningless mantra, and whose sensitivity to customers, potential customers, and staff needs a little tweak, two little nuggets on price. Some 8% of shoppers thought that prices were the worst aspect of a c-store. Sales staff, managers and head office executives ­ in particular ­ thought this, to a very much greater extent. Shoppers themselves are prepared to pay an average of 13% premium for the convenience. Sales staff think that shoppers would be prepared to pay about 2% more. Branch managers reckon about 3% more, and head office executives about 7%. The actual premium charged is around 7%. Convenience justifies a premium, but it would be a good idea to clarify that c-stores are cheaper than 55% of customers believe. One final thought. Perhaps the next big frontier to cross is in supply chain revolution. We need a truly Efficient Consumer Response that responds to potential shopper needs and not just yesterday's purchases, and with pack sizes and delivery frequencies that retailers can handle; an ECR producing economies that increase profits but also reduce costs and maybe prices as well. Jef Harris is md of Harris International Marketing ­ jef@him.uk.com {{MANAGEMENT FEATURE }}