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Makeover makes most of store.

Europe Intelligence Wire

| January 11, 2008 | COPYRIGHT 2008 Financial Times Ltd. This material is published under license from the publisher through the Gale Group, Farmington Hills, Michigan.  All inquiries regarding rights should be directed to the Gale Group. (Hide copyright information)Copyright

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Last year Keswick-based convenience store and beer specialist Open All Hours won a design consultation with strategic branding and creative design company WPA Pinfold in an OLN competition.

Myles Pinfold, managing director of the consultancy, travelled to the Lake District to talk to owners Alan and Heather Dunn about their business, their goals, and what they could achieve with a strategic redesign.

What Myles said Alan and Heather are a lovely couple and make a great retail team. They take customer care to the level that puts all the multiples to shame - they know the names of all their regular customers, and take a genuine interest in them.

The shop is a success and is obviously profitable - so why change? For Alan there is an opportunity to develop his pet interest - speciality beers. For Heather there is an opportunity to create a more comfortable and invigorating environment. Open All Hours is currently a dichotomy between the regular convenience trade of grocery essentials and distress purchases, versus the desire to experience regional, locally sourced produce and beers. Alan and Heather can maximise on both ends of the market by careful space planning and zoning.

An important factor to be taken into consideration is that space is very tight. The main retail area can possibly gain up to 10 per cent more shelf space by careful planning, but the back stockroom is woefully inadequate and it is struggling to cope with the existing throughput. There is only one way forward to further develop the business and this is through added value: l Regional produce - Heather has already started to introduce this, but it is random and not perceived by customers as a serious proposition. She should make this a central feature of the store by creating a regional produce zone, while rationalising the commodity products at the rear of the store (for instance, only one main branded range of teabags, not two at similar price points, is required in a convenience store).

l Beer shop - Alan should exploit his love of speciality beers and make a feature of his beer shop (especially the local breweries and beers) and create it as a visitor experience - with the added aim of having it featured in the local tourist information centres. Tasting notes and brewery profiles should be presented alongside the beers and he should aim to feature a brewery or beer of the month, with a special price promotion. This can be extended into the wine section which is already quite extensive. The spirits should be consolidated into a standard, value-led range and a connoisseurs' collection. l His personalised beer bottle business is another example of ...

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