Segments - Convenience Store Market By Product Type (Tobacco products, Food service, Packaged Beverages, Candy and snacks, Beer and Others), Age Group (Consumers [Below 25], [25 to 44], [45 to 64], and [65 and Above], Convenience Store Type (Forecourt Convenience Stores, Mini Convenience Store, Limited Selection Convenience Store, Traditional Convenience Store, Expanded Convenience Store, Hyper Convenience Store, and Others), and Region (North America, Asia Pacific, Europe, Latin America, and Middle East & Africa) - Global Industry Analysis, Growth, Share, Size, Trends, and Forecast 2023– 2031
The global convenience store market size was USD 1,360.4 Bn in 2022 and is anticipated to reach USD 2,321.9 Bn by 2031, expanding at a CAGR of 6.12%, during the forecast period 2023-2031. The market growth is attributed to the increasing demand for convenience stores in emerging economies due to the rising population and increasing consumer disposable income.
Convenience stores are also known as corner stores, corner shops, or C-store. A convenience store is a small retail store that sells a limited range of basic items. These items consist of various packaged foods and drugstore items such as prepared and ready-to-eat food, bottled and fountain beverages, tobacco products, over-the-counter medicines, and household staples. Convenience stores provide various services that consumer needs in their daily life. These services include money order services, wire transfers, and photocopier or fax machine services.
Export and import of any product are important factors that affect the economy. The cost of export and import of products depends on the tax levied on the products. Export taxes on raw materials increases the cost of goods, which then increases the price of the end product. For example, an export tax levied on the price of exotic products demanded by consumers increases the price of the overall product. The export and import tax has an effect on the supply chain of the product.
The growing population has increased the demand for different products, such as cosmetics products, medicines, bread, milk, soaps, batteries, and other essential products for daily usage. These products are indirectly or directly used by consumers. Therefore, high growth in population leads to high demand for various products at convenience stores.
Increasing urbanization and the rising disposable income of consumers are driving the convenience stores market. Consumers are willing to pay more in order to get high-quality products and services. The rise in disposable income of the consumers leads them to high expenditure on goods and services, resulting in overall growth in the consumption of the products.
The supply and demand for products at convenience stores are rising. These products are widely used in daily household tasks. During the COVID-19 outbreak, the supply chain was disrupted, as a global lockdown was imposed by governments, causing a shutdown of manufacturing industries and decreased sales of in-store shopping at convenience stores.
Convenience stores offer necessary items, allow for quick purchases, and offer a wide variety of consumable products. The availability of standardized brands and products in convenience stores is attracting a large number of consumers. Additionally, consumers prefer visiting convenience stores, as all goods and services are available under one roof, along with an option of home delivery. Moreover, the safe and secure store environment and automated AI solutions attract consumers.
Convenience stores are ideal for working-class people, as it acts as a one-stop shop and several consumers prefer visiting these stores for last-minute needs. Convenience stores are available in airport kiosks, downtown bodegas, and other locations. Travelers and locals rely on convenience stores for last-minute items. These stores allow for fast and easy transactions. Changing lifestyles of people, the use of advanced technology, and optimum location is driving the convenience stores market.
The prices of the products differ and it creates a budget crunch for consumers owing to the store’s location and hidden or extra charges on payments. Moreover, the inventory loss associated with convenience stores is enormous. The Global Report survey (2020) found that 33% of adults are working from home, 25% have a hybrid work mode, and 42% lost their jobs during the pandemic or are unemployed. Almost two-thirds of employees preferred to continue working from home, as it saved trips to the stores, and preferred to shop on online stores or websites, resulting in revenue loss for convenience stores which leads to hampering the global market.
High economic growth in emerging markets increased the demand for convenience stores. The population density in urban areas and the rising investments in retail business in various developed and developing nations are creating opportunities for market players. The demand for franchises across the globe is rising, as it helps businesses expand and eliminate all associated risks with operating only one store.
The report on the Global Convenience Store Market includes an assessment of the market, trends, segments, and regional markets. Overview and dynamics have also been included in the report.
Attributes |
Details |
Report Title |
Convenience Store Market – Global Industry Analysis, Size, Share, Growth, Trends, and Forecast |
Base Year |
2022 |
Historic Data |
2020 and 2021 |
Forecast Period |
2023–2031 |
Segmentation |
Product Type (Tobacco products, Food service, Packaged Beverages, Candy and snacks, Beer, and Others), Age Group (Consumers [Below 25], [25 to 44], [45 to 64], and [65 and Above]), Convenience Store Type (Forecourt Convenience Stores, Mini Convenience Store, Limited Selection Convenience Store, Traditional Convenience Store, Expanded Convenience Store, Hyper Convenience Store, and Others) |
Regional Scope |
Asia Pacific, North America, Latin America, Europe, and Middle East & Africa |
Report Coverage |
Company Share, Market Analysis and Size, Competitive Landscape, Growth Factors, and Trends, and Revenue Forecast |
Key Players Covered |
Eleven, Wawa, Inc., EG America, Casey's Retail Company, Cumberland Farms, Al Madina Hypermarket, FamilyMart Co., Ltd., Alimentation Couche-Tard Inc., Parkland Corporation, GPM Investments, LLC. |
Based on product type, the convenience store market is segmented into tobacco products, food service, packaged beverages, candy and snacks, beer, and others. The tobacco products segment is projected to expand at a significant CAGR during the forecast period, due to the growing demand for tobacco products and cigarettes among young consumers. The beer segment and packaged beverages segments are anticipated to expand at a substantial CAGR in the near future, due to increasing consumer spending on beer and packaged beverages.
Based on age group, the convenience stores market is segregated into consumers (below 25), (25 to 44), (45 to 64), and (65 and above). The consumers (below 25) segment is projected to expand at a significant pace CAGR during the forecast period, due to the growing demand for packaged food and cigarette among young consumers. The consumers (25 to 44) segment is expected to hold a major share of the market in the near future, due to the rising working-class population with a hectic life schedule and growing demand for frozen food among consumers.
On the basis of convenience store type, the market is fragmented into the forecourt convenience store, mini convenience store, limited selection convenience store, traditional convenience store, expanded convenience store, and hyper convenience store. The forecourt convenience store segment is anticipated to expand at a significant CAGR during the forecast period due to the growing number of motorists and travelers. A high preference for convenience stores by motorists and travelers is driving the market.
The expanded convenience store segment is anticipated to grow at a significant pace of CAGR in the near future, due to the availability of a large number of grocery products, sufficient parking space, and sitting areas that attract different categories of customers such as women, senior citizens, and college-going students.
In terms of regions, the Global Convenience Store Market is divided into North America, Asia Pacific, Europe, Latin America, and Middle East & Africa. The market in North America is projected to expand at a significant CAGR during the forecast period. The number of convenience store chains in the US has been growing at a fast pace in the next few years, as they are located close to consumers’ homes, thus making them easily accessible.
Europe accounts for a substantial share of the market, due to the introduction of convenience formats by major grocery chains to attract customers by offering high standards of convenience. This, in turn, is fueling the market. Growing usage of niche convenience channels by retailers is boosting the market.
The market in Asia Pacific is expected to expand at a significant rate during the forecast period, due to growing digitalization and technological advancements thus fueling the market in Asia Pacific. In 2019, Tech start-ups and companies with strong digital capabilities provided a boost to the competitiveness of traditional and informal grocery retailers in the developing retail environment.
The market in the Middle East & Africa (MEA) is projected to grow in the near future due to rising internet penetration and growing infrastructural development. Convenience stores offer shopping comfort and convenience to their customers, which is expected to propel the market.
Key players competing in the global market are Eleven, Wawa, Inc., EG America, Casey's Retail Company, Cumberland Farms, Al Madina Hypermarket, FamilyMart Co., Ltd., Alimentation Couche-Tard Inc., Parkland Corporation, and GPM Investments, LLC.
North America is likely to dominate the Convenience Store market during the forecast period.
Rising population of working-class people and Increasing investment in franchise are the major factors expected to drive the market growth during the forecast period.
Based on Convenience Store type, Forecourt Convenience Store segment held the major market share in 2022
The convenience store market is expected to reach USD 2,321.9 bn expanding at a CAGR of 6.12% by the end of 2031.