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The COVID-19 outbreak has elevated consumer desire to be able to purchase everything they need under one roof, with many now making fewer shopping journeys. This is driving retailers, particularly the grocers, to form concession partnerships to expand the range of product categories available to purchase instore.

ASDA, for example, recently announced concession partnerships with B&Q and The Entertainer, which will allow shoppers to purchase a wider range of DIY and toys & games while shopping for groceries. B&Q shoppers will also be able to collect online orders from the concessions, which will satisfy demand for more convenient online fulfilment.

But it is non-essential retailers that would most benefit from forming concession partnerships as they have been particularly hit by increased mission-based shopping with consumers less likely to buy impulsively. According to a recent GlobalData survey, half (49.8%) of those who visited a non-essential store after the first lockdown knew what they wanted to buy from a specific retailer, and did not browse any other shops.

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By GlobalData