Morrisons M Local
Morrisons M Local' was a chain of convenience stores operated by the British supermarket company Morrisons. The M Local stores were a response to the growing demand for more conveniently located, smaller grocery outlets in urban and suburban areas, catering to customers looking for quick shopping trips for everyday essentials. The concept was part of Morrisons' strategy to diversify its retail offerings and compete more effectively with other major UK supermarkets and convenience store operators.
History[edit | edit source]
Morrisons, traditionally known for its large supermarket formats, ventured into the convenience store market in the early 2010s. The move was aimed at capturing a share of the rapidly expanding convenience shopping sector, which was being driven by changing consumer behaviors, including increased demand for top-up shopping and on-the-go purchases. The first M Local store was opened in 2011, marking the company's ambitious plan to expand its presence in the convenience retailing sector.
Despite the initial rapid expansion, Morrisons faced several challenges with the M Local venture. The company struggled to achieve profitability in the highly competitive convenience store market, which was dominated by well-established players. In 2015, Morrisons announced the sale of its M Local stores to a team of investors led by retail entrepreneur Mike Greene, and the stores were rebranded under the name "My Local."
Concept and Features[edit | edit source]
The M Local stores were designed to offer a range of products tailored to meet the needs of customers looking for quick and convenient shopping options. The product range included fresh produce, baked goods, dairy products, and ready meals, as well as a selection of household essentials. The stores also emphasized the quality and freshness of their offerings, in line with Morrisons' market positioning as a food specialist.
In addition to offering a wide range of products, M Local stores were located in high-footfall urban and suburban areas, including city centers, residential neighborhoods, and near transport hubs. This strategic location choice was intended to maximize accessibility for customers and cater to the needs of local communities.
Challenges and Closure[edit | edit source]
Despite the strategic rationale behind the launch of M Local, Morrisons encountered several obstacles. One of the main challenges was integrating the convenience store operations with the company's larger supermarket business model. The differences in supply chain logistics, store management, and product selection required significant adjustments, which added complexity and cost.
The competitive landscape of the UK convenience store market also posed a challenge. With established players like Tesco Express, Sainsbury's Local, and Co-op Food already having a strong presence, M Local stores had to compete on price, product range, and location to attract and retain customers.
In 2015, the decision to sell the M Local stores was seen as a strategic move by Morrisons to refocus on its core supermarket business and improve its financial performance. The sale marked the end of Morrisons' direct involvement in the convenience store sector, although the company continued to explore other avenues for growth and diversification.
Legacy[edit | edit source]
The brief foray of Morrisons into the convenience store market with M Local provided valuable lessons for the company and the retail industry. It highlighted the challenges traditional supermarkets face when entering new retail formats and the importance of adaptability and market understanding. The experience also underscored the dynamic nature of the retail sector and the need for continuous innovation to meet changing consumer demands.
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Contributors: Prab R. Tumpati, MD