Sainsbury’s unveils its ‘Next Level’ strategy to enhance shopping.
- Cobham store serves as a test lab with over 100 experiments.
- Innovative store layout aims to streamline customer shopping.
- Focus on reducing waste with strategic product placements.
- Efforts include improving efficiency and trialling new technologies.
The Cobham store in Surrey, representing a significant shift in retail strategy, serves as a testing ground for Sainsbury’s new ‘Next Level’ initiative, designed to position the supermarket as the foremost choice for food in the UK. This approach includes ensuring wider availability of its full food range, currently limited to 15% of its locations, and expanding food space in 180 stores over the next three years.
At the heart of this strategy, Sainsbury’s has reimagined product presentation to simplify the shopping experience. For example, placing frozen products alongside their chilled counterparts, like in the fish and dessert aisles, eliminates the need for customers to traverse the store for complementary items. This concept, highlighted by CEO Simon Roberts, reflects a customer-centric approach, challenging traditional supermarket layouts.
Innovative concepts like the ‘fish counter on a wall’ have been introduced to reduce waste while expanding available options. This setup houses popular fish varieties on shelves within the same aisle as other fish products, allowing for a broader selection at lower costs. Roberts notes that this has spurred significant growth in the category, underscoring the effectiveness of this novel arrangement.
Sainsbury’s commitment to inclusivity is evident with the rapid rollout of dedicated ‘Free From’ sections, aggregating all such products in one area. Roberts acknowledges that while this may seem intuitive, it’s a substantial deviation from standard practices, demonstrating the retailer’s willingness to adapt and cater to specific customer needs.
The Cobham store also features curated sections that conveniently group complementary products, such as speciality cheese alongside wine pairings. This aligns with Roberts’ vision of enhancing the shopping mission through improved product accessibility and variety, which is mirrored in the revamped beers, wines, and spirits section showcasing the entire range in a spacious, monitored area.
Smart technology further enhances operational efficiency and customer convenience in Cobham. The store trials hybrid checkouts that blend automated scanning with traditional cashier services, offering more space for large trolley items. Although only two stores currently feature this system, Roberts praises its acceptance by customers, suggesting the possibility of broader application.
Additionally, the store’s clothing section has seen updates that align with Sainsbury’s focus on style and value, showing substantial sales growth. Digital touchpoints assist customers by offering store navigation and recipe suggestions, reflecting Sainsbury’s dedication to integrating technology into the shopping experience.
Sainsbury’s February strategy update outlines an ambitious £1bn cost-saving target by March 2027, building upon £1.3bn saved over the past three years. These savings are directed towards competitive pricing and higher employee wages, with the Cobham store exemplifying efficient practices like optimized product placement to minimise restocking trips and enhance floor operations.
Sainsbury’s Cobham store exemplifies its innovative approach to elevating the customer experience through strategic redesign and technological advancements.
