Sainsbury’s begins Neighbourhood Hub store rollout

Date : 13 November 2020

Nick Gladding

Senior Retail Analyst

Sainsbury’s has opened two new Neighbourhood Hub format stores as it begins to deliver against its new strategy of put food back at the heart of its business, as outlined to delegates at this week’s IGD Sainsbury’s Trade Briefing.

18 stores planned

The new style stores, located in Bishop’s Waltham, close to Sainsbury’s Hedge End superstore in Hampshire and Midhurst, Sussex are designed to provide a best ‘in neighbourhood’ one-stop offer. They follow the launch of a pilot at Woodhall Spa, Lincolnshire last year and form part of a planned rollout of 18 similar stores over the next three years.

Designed for longer convenience missions

The new stores are a food-led extension of Sainsbury’s convenience offer and are set up to serve longer missions due to their size and location. Key features of the new stores include Argos and Tu clothing collection points, a value-added food proposition with coffee to-go and fresh juicers, broad produce range, meat-free and plant-based options, a variety of scratch cooking ingredients, floral and gifting, pet and household supplies, cosmetics and integrated beauty. 

Blurring boundaries between c-stores and supermarkets

With 12,200 and 9,100 sq ft of retail space respectively, these stores are over three times bigger than typical convenience store so have the capacity to serve a wider range of shopper needs. Stores like this are very much aligned with changing habits, ideal for home workers wanting a quick to shop format that offers more product choice close to where they live. Sainsbury’s is not alone in focusing on this style of store. Morrisons has opened several stores in this size bracket this year and Tesco is also making its Metro stores much more convenience oriented.

Enabling more products and service to bought closer to home

Commenting on the launch, Graham Biggart, Sainsbury’s Director of Commercial Operations said: “Our Neighbourhood Hub stores have the community at heart and offer our customers the opportunity to complete their shopping closer to home. We have set up these stores to offer the most relevant products and services our customers need to fulfil their daily needs, including longer shopping missions and a mix of great-value Food and General Merchandise, together with the convenience of Argos and Tu Clothing click & collect.”