BERLIN’S CONVENIENCE MARKET IS THRIVING

From innovative single stores to big companies testing out new concepts, Berlin is the place to learn what’s next for the convenience industry.

ALEXANDRIA, Va.—German retailers are redefining their offer by adapting to new consumer behaviors and their expectations of Berlin’s convenience retail market. NACS is hosting its first live Convenience Summit Europe event in Berlin this year, and saying a lot has changed in the market over the past two years is an understatement, according to this week’s Convenience Matters podcast episode.

“A lot has happened in Berlin. Berlin is a very thriving market, it is a very entrepreneurial market,” said Mark Wohltmann, director of NACS global. “It is a market for our industry that is worth visiting.”

Wohltmann said that Berlin is home to a full spectrum of convenience stores, with single stores that are entrepreneurial and innovative mixing in with the big companies who like to use the Berlin market for their trial stores when they have new concepts.

“It is a true global city, and this is why we see a lot of different concept formats and entrepreneurial things … New food from around the world, large communities from all countries in the world—that makes Berlin really special,” said Christian Warning, managing director of the Retail Marketeers and NACS relationship partner based in Germany.

Warning says that Berlin is also home to mobility trends, such as hydrogen sites in gas stations, new fuel types and mobility hubs. Shared vehicles are also trending here, including EV car sharing. There are also large charging parks being built near bakeries and around bistros.

“It’s really smart to connect parts of our industry, the foodservice and convenience retail industry, with electric charging,” said Wohltmann.

Delivery service exploded during the pandemic, both in the U.S. and in Europe, and Warning says that once the pandemic is in the rear-view mirror, home delivery will not fade with it.

“That’s the new customer experience that will endure, and that’s big pressure on the convenience market,” said Warning.

Wohltmann said that two of the biggest grocery delivery companies were founded and are headquartered in Berlin, Gorillas and Flink, and they offer grocery delivery in 10 minutes or less. The convenience industry will need to look at these types of companies to see if they are competitors to the industry or partners, says Wohltmann.

Be sure to tune in to this week’s Convenience Matters episode “Berlin’s Thriving Convenience Retail Future” to hear more about what is happening in the Berlin market, including technology innovations surrounding tobacco products and shrinkage, how Germany is dealing with its own labor shortage issue and hydroponic farming inside stores.

Learn more about NACS Convenience Summit Europe, taking place May 31 through June 2 in Berlin.