Conviviality on track to open 20 more stores by April

By Gemma McKenna

Published: 05 February, 2015

Bargain Booze owner Conviviality Retail is planning to open a further 20 stores by April, and is targeting the south west for expansion.

Earlier this week the firm, which operates 600 off-licence led convenience stores across the UK, signed a £6 million deal to acquire 37 stores from GT News in Yorkshire and the East Midlands.

Chief executive Diana Hunter told Harpers.co.uk the move gave the firm "economies of scale" and made sense after its Rhythm & Booze Yorkshire acquisitions last year. She added that the firm plans six Scottish store openings through its partner Scotmid by May, and is looking to the south west as the next target region on its list.

Last year it opened its first BB's Warehouse in Wakefield, and it is "actively looking" for sites further south to expand the concept.

Wine is strengthening its role within the group's portfolio, now accounting for 14.6% of sales versus 12% two years ago. Its Wine Rack fascia is enjoying growth, with Hunter saying its 26 stores saw lfls up 9.6% over Christmas.

Overall for 2015, Hunter said: "We're trading in line with expectations, but the things we're doing now - the app and innovations such as click and collect which we're launching this year - are all very positive. We're also starting to see franchisees opening stores again so growth plans are building momentum."

The convenience sector - said by the IGD to be worth £50 billion by 2019 - and in particular the off-licence niche - is in a strong position. Hunter said the group was attractive to suppliers as it's "always on the look-out for NPD and open to innovative promotions". She said suppliers see the group as "an opportunity to grow", particularly when faced with supermarkets trimming ranges.

For a full Q&A with Diana Hunter, click here (subscribers only).

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