Convenience Stores Market Opportunities and Strategies to 2033

This report describes and explains the convenience stores market and covers 2018-2023, termed the historic period, and 2023-2028, 2033F termed the forecast period. The report evaluates the market across each region and for the major economies within each region.

The global convenience stores market reached a value of nearly $1 trillion in 2023, having grown at a compound annual growth rate (CAGR) of 5.10% since 2018. The market is expected to grow from $1 trillion in 2023 to $1.64 trillion in 2028 at a rate of 10.23%. The market is then expected to grow at a CAGR of 7.48% from 2028 and reach $2.35 trillion in 2033.

Growth in the historic period resulted from the changing consumer lifestyles, increasing urbanization and increasing disposable income. Factors that negatively affected growth in the historic period include economic uncertainties or downturns.

Going forward, the growing health-conscious consumers, increasing aging population, expansion of the e-commerce industry and increasing demand for convenient shopping will drive the market. Factors that could hinder the growth of the convenience stores market in the future include supply chain disruptions.

The convenience stores market is segmented by store type into kiosks, mini convenience store, limited selection convenience store, traditional convenience store, expanded convenience store and hyper convenience store. The traditional convenience store market was the largest segment of the convenience stores market segmented by store type, accounting for 26.40% or $266.14 billion of the total in 2023. Going forward, the hyper convenience store segment is expected to be the fastest growing segment in the convenience stores market segmented by store type, at a CAGR of 14.85% during 2023-2028.

The convenience stores market is segmented by ownership into retail chain and independent retailer. The independent retailer market was the largest segment of the convenience stores market segmented by ownership, accounting for 71.66% or $722.44 billion of the total in 2023. Going forward, the retail chain segment is expected to be the fastest growing segment in the convenience stores market segmented by ownership, at a CAGR of 10.90% during 2023-2028.

The convenience stores market is segmented by product type into cigarettes and tobacco, foodservice, packaged beverages, center store, low alcoholic beverages and other product types. The cigarettes and tobacco market was the largest segment of the convenience stores market segmented by product type, accounting for 32.11% or $323.72 billion of the total in 2023. Going forward, the foodservice segment is expected to be the fastest growing segment in the convenience stores market segmented by product type, at a CAGR of 13.14% during 2023-2028.

Asia-Pacific was the largest region in the convenience stores market, accounting for 59.39% or $598.69 billion of the total in 2023. It was followed by Africa, South America and then the other regions. Going forward, the fastest-growing regions in the convenience stores market will be South America and the Middle East, where growth will be at CAGRs of 23.08% and 17.19% respectively. These will be followed by Africa and Asia-Pacific, where the markets are expected to grow at CAGRs of 12.89% and 8.30% respectively.

The global convenience stores market is fairly fragmented, with a large number of players operating in the market. The top ten competitors in the market made up 23.9% of the total market in 2023. Seven & i Holdings Co., Ltd. was the largest competitor with a 6.7% share of the market, followed by Carrefour Group, S.A. with 2.7%, Love’s Travel Stops & Country Stores with 2.6%, Lawson Inc. with 2%, Wawa Inc. with 1.9%, Alibaba Group Holding Limited with 1.8%, Alimentation Couche-Tard Inc. with 1.7%, Amazon.com, Inc. with 1.6%, Fomento Económico Mexicano, S.A.B. de C.V. (FEMSA) (OXXO) with 1.6% and Walmart Inc. with 1.3%.

The top opportunities in the convenience stores market segmented by store type will arise in the expanded convenience store segment, which will gain $163.71 billion of global annual sales by 2028. The top opportunities in the convenience stores market segmented by ownership will arise in the independent retailer segment, which will gain $439.37 billion of global annual sales by 2028. The top opportunities in the convenience stores market segmented by product type will arise in the foodservice segment, which will gain $202.8 billion of global annual sales by 2028. The convenience stores market size will gain the most in India at $149.37 billion.

Market-trend-based strategies for the convenience stores market include focus on launch of innovative convenience store concepts, revolutionizing convenience store digital commerce, strategic partnerships and collaborations among market players and leveraging artificial intelligence for retail growth.

Player-adopted strategies in the convenience stores market include focus on enhancing operational capabilities through opening new stores, enhancing geographical footprint across globe through partnerships expanding presence and geographical footprint across the globe through new initiatives.

To take advantage of the opportunities, the analyst recommends the convenience stores companies to focus on innovative store concepts to enhance customer experience, focus on enhancing digital commerce for operational efficiency, focus on leveraging Ai for enhanced retail growth, focus on expanding the expanded convenience store segment, focus on foodservice segment for growth opportunities, expand in emerging markets, continue to focus on developed markets, focus on strategic partnerships for market expansion, provide competitively priced offerings, continue to use B2B promotions, continue to use B2C promotions and focus on independent retailer segment for strategic growth.