DUBLIN, Ireland—The global convenience, mom-and-pop stores market is expected to grow from $908.19 billion in 2020 to $963.5 billion in 2021, at a compound annual growth rate (CAGR) of 6.1%, according to the “Convenience, Mom and Pop Stores Global Market Report 2021: COVID-19 Impact and Recovery to 2030.”
ResearchAndMarket’s report finds the growth is mainly due to the companies rearranging their operations and recovering from the COVID-19 impact, which had earlier led to restrictive containment measures involving social distancing, remote working and the closure of commercial activities that resulted in operational challenges. The market is expected to reach $1.33 billion in 2025 at a CAGR of 9%.
Asia Pacific was the largest region in the global convenience, mom and pop stores market, accounting for 53% of the market in 2020. Africa was the second-largest region, accounting for 15% of the global convenience, mom-and-pop stores market. Eastern Europe had the smallest region in the global convenience, mom-and-pop stores market.
Convenience, mom-and-pop stores are increasingly adopting the concept of unmanned convenience stores. Unmanned convenience store concept uses artificial intelligence and smart phone concepts to eliminate the use of service personnel or cashiers in the store. Following the trend, in 2019, the unmanned convenience store Aiquna launched in China. The store stocks food and daily necessities. Other unmanned convenience stores include Amazon Go, Alibaba's Hema and Bingobox. Watch the Ideas 2 Go segment, “New Retail in China,” for a look at Hema and its innovative multichannel approach to retail.
The outbreak of COVID-19 acted as a massive restraint on the convenience, mom-and-pop stores market in 2020 as supply chains were disrupted due to trade restrictions, and consumption declined due to lockdowns imposed by governments globally. However, industry watchers expect that the convenience, mom-and-pop stores market will recover from the shock across the forecast period as it is a “black swan” event and not related to ongoing or fundamental weaknesses in the market or the global economy, the study indicates.
The convenience, mom-and-pop stores are adopting a robust and cohesive strategy for data analytics in management. This technology is being deployed to enhance supply chain efficiency, streamline operations to engage customers and build loyalty.