Superquinn, the smallest of the multiples in the Irish Republic with 19 stores, is moving into the convenience sector in a bid to boost market share.
It plans to invest more than €20m over the next 18 months in opening 10 Superquinn Select convenience stores.
The shops will sell groceries at the same price as the traditional Superquinn stores
but will be about one third the size, according to deputy chairman Eamonn Quinn.
The move into the convenience sector, he felt, would take the family-owned chain closer to customers. “People don’t want to drive for more than 15 minutes to do their shopping so our catchment area is falling,” he said.
The first of the new outlets is due to open in Greystones, County Wicklow, in September, and the company is having talks about other locations.
It is on the lookout for sites that can be leased for Superquinn Select in suburban areas, with smaller outlets envisaged for city centres.
Two years ago, Superquinn attempted a similar convenience sector move in a joint venture with Texaco. But the SuperQ venture, as it was branded, collapsed after a year, due to distribution and administration problems.
These problems have now been resolved, said Quinn, with a new distribution centre and computerised ordering. The new shops will also be larger than the SuperQ outlets.
Superquinn, with just over 8% of the Irish market, is under pressure from aggressive price cutting by Tesco, Dunnes and SuperValu at as well as discounters Lidl and Aldi.
Anthony Garvey
It plans to invest more than €20m over the next 18 months in opening 10 Superquinn Select convenience stores.
The shops will sell groceries at the same price as the traditional Superquinn stores
but will be about one third the size, according to deputy chairman Eamonn Quinn.
The move into the convenience sector, he felt, would take the family-owned chain closer to customers. “People don’t want to drive for more than 15 minutes to do their shopping so our catchment area is falling,” he said.
The first of the new outlets is due to open in Greystones, County Wicklow, in September, and the company is having talks about other locations.
It is on the lookout for sites that can be leased for Superquinn Select in suburban areas, with smaller outlets envisaged for city centres.
Two years ago, Superquinn attempted a similar convenience sector move in a joint venture with Texaco. But the SuperQ venture, as it was branded, collapsed after a year, due to distribution and administration problems.
These problems have now been resolved, said Quinn, with a new distribution centre and computerised ordering. The new shops will also be larger than the SuperQ outlets.
Superquinn, with just over 8% of the Irish market, is under pressure from aggressive price cutting by Tesco, Dunnes and SuperValu at as well as discounters Lidl and Aldi.
Anthony Garvey
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