Spar UK has revealed a 10-point plan to regain leadership of the convenience market and grow sales by £1.5bn in the next five years.

Spar sales across the UK were currently £3bn, and the £1.5bn increase would represent a one percentage point rise in its share of the convenience market to 9.3%, said MD Debbie Robinson, speaking at the Spar Retail Show in Birmingham this week.

“Because of the success we started, the big boys started to look for a piece of our pie,” she said. “Ultimately, it’s about taking back what is rightfully ours and being at the top of the convenience sector again.”

Each of the 10 points will be championed by one of Spar’s regional wholesalers. Scott Malcolm, managing director of CJ Lang, is to lead a working group on increasing store numbers, while Peter Blakemore, MD of AF Blakemore and Sons, is leading initiatives to reduce the cost of goods.

There were times it was cheaper and easier for retailers to stock up at Tesco, Robinson admitted. “That is something we are really going to tackle,” she said.

However, she added: “We can only reduce the cost of the goods if we work together, if the size of the prize is there for all of our stakeholders to enjoy.” It was important retail price cuts were accompanied by an uplift in volume sales so that “we can keep the cash at least on parity and preferably grow the cash profit”, she added.

AF Blakemore group marketing director Richard Harman said 57% of potential customers avoided Spar because they thought it was expensive, while 43% of customers bought a smaller basket for the same reason.

Spar also plans to move away from three-week long promotions by offering more permanent £1 lines, as well as seasonal lines and events that offer higher margins.

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