WORLD CLASS CITY CENTRE CONVENIENCE RETAILING Thomas Ennis, SPAR, Merrion Row, Dublin City Centre
TURNOVER For smaller shops who employ an average of 7 workers, it is estimated that weekly turnover ranges from €4,500 up to €35,000. For the medium-sized shops who employ an average of 30 workers, turnover ranges from €35,000 to €90,000. For the larger stores, turnover ranges from €40,000 to €500,000. The net margin ranges from 0.5 to 1 per cent for the smaller shops; 1 to 2 per cent for the medium-sized shops and 2 per cent for the larger shops. EMPLOYMENT Local shops make a major contribution to local labour market conditions. They provide steady employment, they typically source their staff locally, they tend to provide longevity of employment and also provide variety and choice in terms of working hours and in terms of part-time and full-time working arrangements. Our research shows: • For the smaller shops, 30 per cent of workers are full time and 70 per cent part time. Since 2009, part-time workers are becoming a more significant component of this workforce. On this basis, the smaller shops, who employ an average of 7 workers, account for approximately 4,256 full-time equivalent jobs; • For the medium-sized shops that employ an average of 30 workers, the split between part-time and full-time workers is 50/50. On this basis the medium-sized shops account for approximately 60,093 full- time equivalent jobs; • For the large shops that employ an average of 90 workers, the split between part-time and full-time workers is also 50/50. On this basis, the large shops account for approximately 28,968 full-time equivalent jobs; • In total the local shops account for 93,317 full-time equivalent jobs in the economy. This includes newsagents and garage forecourts and may not be directly comparable to CSO data quoted earlier in this report. However, it is clear that the Independent Retail Grocery sector accounts for a very substantial portion of total employment in the retail grocery sector; and • The research shows that average pay in the grocery retail sector is around €24,960 per annum. Around 15 per cent of these earnings are paid in Income Tax, PRSI and USC, the net contribution to the national wage pool is €2.98 billion and the contribution to the Exchequer is €349 million per annum. For all size categories, continuity of employment is very strong. 60 per cent of employees have been employed for more than a year. The average length of employment for employees in all sized shops is 5 years. This continuity and stability of employment is very important, particularly given that all employees come from the local area, based on the research. It is also the case that the local shop very often provides the first job for many young people.
Spar Merrion Row is instantly recognizable for it’s gold shop front, it is also renowned as a place where you can expect great prices, best promotional offers, fresh food and many other great products. That’s why, SPAR Merrion Row is visited by many international groups as an example of international best practice in city centre convenience retailing. It has also been recognised in numerous industry awards for its dynamic and innovative fresh food offering, stylish layout and excellent focus on delivering what customers want. Competing with a range of nearby restaurants and delis, Spar Merrion Row definitely holds its own. “We pride ourselves on being the best in fresh food retailing. It’s our unique fresh food offering means that our customers come back for more,” says owner, Thomas Ennis. “Our aim is to bring and achieve excellence in service, provide a really excellent fresh food offer and bring new meaning to the convenience retail shopping experience.” Understanding the customer is something Thomas has perfected. In the prime city centre location, busy shoppers can find all they need at their fingertips, really delivering genuine convenience. Other services include a hot wok, extensive deli and an Insomnia coffee bar and a seating area with free web access. However, being in the city centre doesn’t stop Thomas from getting involved in local promotional activities and giving back to his customers. The ladies who compete in the annual Women’s Mini Marathon get some welcome relief as they pass the store which provides food and drink to all the competitors. Name: Spar, Merrion Row Location: Merrion Row, Dublin Owner: Thomas Ennis Size: 3,000sq ft Opened: 2006
LOCAL HEROES: A study of the economic, financial and social significance of the independent retail grocery sector
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