Bestway Group has announced that it is launching a new format for smaller stores under its Xtra Local (XL) cash and carry-based retail club.
As part of an ongoing re-evaluation of members within the Xtra Local club, the wholesaler said it had realised that “some stores simply are not able to feature all the XL monthly promotions due to lack of space”.
Rather than penalise these retailers for non-compliance, theGroup decided to introduce XL Express. This slimmed-down version works on the same model as XL – giving members highly competitive promotional deals and in-store POS – but on a smaller scale for retailers who have less than five 1m bays for traditional grocery.
James Hall, symbol and club director at Bestway explained: “Xtra Local is synonymous with great value promotions and many members request as many as possible in order to make their stores a beacon for value. However it became evident through our discussions with smaller retailers that they were finding it difficult to comply with all the promotions due to the smaller size of their store and consequently lack of fixture space.”
XL Express requires retailers to take a minimum of 12 consumer-facing deals (15 if licensed) rather than the full scale XLl requirement. These promotions have been designed exclusively for stores that are more impulse-driven with high footfall but without the breadth of range of a normal convenience offer. Members receive regular monthly POS and sales material to highlight deals in-store and trigger additional consumer purchases.
“Since we trialled XL Express last month we have brought over 300 retailers into the scheme – a mix of new customers and XL customers making the transition to XL Express,” said Hall. “Offering value has never been as important in retail and by ensuring that smaller stores can compete and attract new shoppers through highly competitive promotions, we are confident that XL Express will appeal massively to a wide range of retailers who want to offer their customers the best deals locally.”