Sunday, 27 May 2012

Tesco at Little Lever - Dossier - Point No 7




Point No 7

The need in Little Lever for this Development.


The Committee might be minded to reason that, as a result of this development, more convenience money would be spent in Little Lever than is currently the case and consequently this would demonstrate the need for this development in Little Lever - with all the added advantages of shorter journeys for local shoppers.

The figures in the Appendix to Point No 6 show that the current spending retained in the Village is 13.2% of the whole of Zone 6 spending. (Presumably, mainly by Little Lever residents)

If the proposed development were to operate to its optimum sales density then calculations show that retention of spending within the Village by residents of the Village could, in theory, rise to 40.1%.

However this theoretical rise must be qualified by the following argument.

This increase in retention is based upon the premise and assumption that the residents of Little Lever would cease to do their Weekly shop at other stores outside the Village and instead would patronise the Pennine Pet’s store to the tune of an extra £12.87million.

This is one hell of an assumption

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For this to happen then necessarily the Pennine Pets store would have to offer an equivalent shopping experience to the other stores.

The common feature of the major locations for expenditure shown in the previous Appendix is that these stores offer ‘Comparison’ goods alongside ‘Convenience’ goods.

When it comes to ‘Primary shopping’ – ‘The Weekly Shop’ – The Big Shop’ or whatever you want to call it, this includes all the items a household may require – not just food.

It is a ‘no brainer’ to state that consumers have a continuing and regular need to purchase household items, clothes, small electrical household items and other non food goods.

It is the deficiency of the offer in Little Lever of these comparison items (amongst other reasons) that causes residents to travel out to the stores listed so they can be purchased alongside their convenience requirements in one trip.
 
The provision by Tesco of a larger ‘Food Only’ store will not alter the above need and is unlikely to result in a substantial increase in the  retention of spending within Little Lever of the order of 13.2% up to 40.1%.

It is the lack of Comparison goods rather than the lack of Convenience goods on offer in Little Lever that is a major cause of trips out for the Weekly Shop.

With the refurbishment of the old Co-op into the Nisa brand and the refurbishment of the old Select and Save into the Premier and now the Kwiksave brand (with a substantial widening of food products) as well as the opening of the Spar shop at the new petrol station – all this alongside the Tesco Metro, Costcutter, Food and Tipple and all the smaller stores, the Committee might be minded to agree with the conclusion below.

Conclusion

Little Lever needs more food like it needs another hairdressers !.


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