Round-the-clock shopping is growing

The mature western retail industry has a well established 24*7 shopping format for grocery and allied products. In India, with consumers working longer hours and also commuting longer distances, the relevance of such formats is gaining in importance.  

And, to leverage the emerging opportunities, the KK Modi Group-owned Twenty Four Seven Convenience stores with its presence in the NCR region is also planning a pan India expansion.  In a conversation, Samir Modi, President, Twenty Four Seven Convenience Store, highlighted their strategy for this emerging retail format.

The western retail industry has witnessed the expanding role of 24*7 shopping. Are we witnessing a similar trend in the country, and what motivated you to set up such a chain?

Our lifestyles have changed over the years, given that we are working longer hours, but the organised retail industry in our country has not responded appropriately.

We felt the need to respond appropriately via round-the-clock retailing and our offerings include groceries, snacks, pharmacy-related, cosmetics, movie tickets, bill payments and mobile recharge, amongst others.

How is the footfall divided, in terms of working hours, and post-midnight?

We have a balanced footfall during the day time and at night, and the demand for our repertoire of services has also been strong.

Kindly highlight your distribution network?

We currently have 40 stores spread across Delhi / NCR region, and we plan to expand our presence to Chandigarh and four other cities in Punjab, shortly. In addition, we plan to set up 1,000 outlets at IOC-owned petrol stations across the country over the next five years.

What is the average size of each store?

We have varying store sizes in our retail chain including the centrally located high street format which is of 1000 sq ft, outlets at fuel station which are 500 sq ft, and those at transit locations are 300 sq ft.

What are the challenges faced in this business?

The lack of understanding of the changing retail environment by local regulatory bodies as well as suitably aligning our supply chain, are the key challenges in this segment. In addition, like other players in the retail sector, we are also grappling with rising store rentals.