n Home shopping is just the beginning. Grocery may learn to become as mobile as the consumer with convenience taking on a multiplicity of hi-tech assisted formats says Belinda Gannaway Forget food on the hoof. The next big Convenience with a capital C in food retailing is going to be the ability to shop wherever you are and collect wherever you choose. Home delivery is only the beginning of the revolution. And store groups that think solely in terms of taking an order and dispatching from the picking centre (or store) to the home will have a big shock. Enough of them are finding that difficult enough as it is. But the world is moving on. It's going mobile, and shoppers expect the same from their groceries. This is M-commerce. M-etailing, perhaps. If you are the sort of person that develops instant narcolepsy at the sight of anything with an "e" in front of it ­ wake up. What we're talking about is not lost in the mists of cyberspace but lurking in every handbag, briefcase and pocket. The phone. That small grey friend ­ or persistent irritant ­ is about to usher in the next shopping revolution. And before most of the big grocers have sussed the basics of the first stage. Within the next two years, Europe could top the US for internet access. And phones will be a big part of that, alongside wireless laptops and palmtops. Wireless Application Protocol (WAP) technology allows the transfer of data between the internet and mobile phones. It's been around since 1997 but the first phones such as the Nokia 7110e from Orange only arrived last year. Retailers trail only financial services in their willingness to embrace new technologies. And the Bank of Scotland has already launched mobile telephone banking services for its three million customers. The deal with BT Cellnet will enable customers to browse the internet by mobile phone. They will be able to pay bills, transfer money between accounts and view balances, all from the keypad. The WAP phone retails at £129.00 and costs 5p a minute to use at any time for data calls. WAP technology allows pared down access to the internet and web site owners will need special WAP enabled sites for retrieval by phone. But WAP technology is already being overshadowed by a younger, snappier brother offering zooped up mobile web access ­ five times the speed ­ by the summer. General Packet Radio Systems technology (GPRS) will also enable WAP phones to be used with a laptop to access the real McCoy. The next step ­ within two years ­ will come when UMTS replaces the GSM operating system as the standard. This will allow pictures as well as data to be transmitted to the phone using a much wider bandwidth. "There's not anyone in the commercial world at the moment not looking at WAP. The ability to offer the internet on mobile phones gives a much broader reach," says Damean Peachey, campaigns manager for BT Cellnet. Technology industry experts confirm a handful of grocery retailers are in high level discussions for the creation of a new service within the year. Peachey says: "We're talking to everyone. It's a very exciting world and we're making up the rules as we go along. We're certainly looking to offer retail applications via WAP services. "The shopper will dictate what goes on there. People don't want to go on to the screen of a mobile to surf the net. But they will want stuff they use every day. It's a question of building a service that caters for people's everyday needs." But phones are just the tip of the technoberg. By 2002 more than 50% of the devices connected to the web will not be PCs. For groceries think self scanning fridges and rubbish bins as well as digital tv. But the ability to order Martini style ­ anytime, any place, anywhere ­ is only half the picture. And the simplest part at that. For frontline retailers who have got their remote shopping services up to scratch, the competitive edge will move to other areas. Personal service and grocers who specialise in niche markets will come to the fore. Delivery times and delivery points will be key. While more of us may be working from home, for those of us who don't, a two hour delivery slot puts in' into the convenience of home shopping. Lifestyle collection points could be where the future is. And there are a whole bundle of options out there ­ schools, corner stores, village pubs among them. But with more of the population on the move more of the time, stations, airports and bus stations are all prime targets. BT A&M and Excite UK are launching the first M-commerce service in the sky this year. Passengers can access a high speed internet connection from the seat (the skyphone link, or from the seatback interactive video). In the early stages, high value items suitable for home delivery will be on offer. But longer term, the flexibility of the system means the potential is wide. And the technology is easily transferable.What's stopping the train or longer distance bus operators offering mini screens in seats with goods ready for collection at the other end? The satellite technology is already being used on cruise ships. Train stations are inching their way into the c-factor with the first Sainsbury Local appearing on a concourse at London's Paddington last year. There is no doubt they will be looking for others, and Railtrack which runs 14 large main line stations is keen to oblige. It is currently opening up disused areas in the arches of large stations. London Bridge is due for a £400m overhaul which will see a major new shopping mall in the heart of the City. A proposed change in the franchising arrangements under which train operators lease the bulk of Railtrack's 2,500 stations could encourage more retailers to the trackside. But property consultants acting on behalf some of the train operators say the multiples have been backward in coming forward. One said: "Supermarkets are not sold yet.We've tried loads and loads of times to get them interested." In the Netherlands,Dutch Railways has taken the initiative itself with a chain of their own supermarkets at stations under the Wizzl brand. Most stations are too small for even the small format Sainsbury or Tesco stores, but Budgens is actively looking at sites. And Alldays, before its recent troubles, had eyed a nationwide chain of station stores. Once one jumps, the others will be forced to follow. But there is nothing restricting the multiples, or enterprising newcomers, to conventional store formats. What about a chilled collection storage point? Small shopping bags could be picked up at the end of the day with the Chardonnay already cold and the lasagne ready for bunging in the microwave. And there is nothing stopping a weekly shop being collected by travellers with a car at the station. And the beauty of a collection point is that it doesn't have to be above ground or large. As long as it's convenient. Hence cutting back on the cost factor. Waitrose looked at stations as a collection option 18 months ago when it was working on Waitrose@Work. However, plans have been put on hold in favour of office based ordering and deliveries. Marketing director Mark Price says: "We have explored the possibility of using remote locations, but the challenge with them is ­ how do you manage them? Even a storage facility does add significantly to the cost of operation." Price points out that it has not ruled out station stores or pick up points. However Waitrose does not see its future in home deliveries due to the costs involved, and Price believes the costs of station deliveries could be as high if not more. However, for the likes of Tesco, Sainsbury, Iceland, and Somerfield 24-7 with advanced home delivery arms, operational costs could be minimised if individuals came to collect. Louise Turner, a spokeswoman for 24-7, says: "I can imagine most people are looking at it for the future because it helps widen the catchment area." Rather than an army of small vans delivering to the home, one big lorry can deliver direct from the fulfilment centre. Turner adds that response to leafleting around stations has proved commuters on the way to and from work are in the right frame of mind for grocery shopping. Bristol City Council is considering a proposal from 24-7 that would allow park and ride city centre shoppers to pre-order and collect their groceries from chilled container lorries at the car park. "If Bristol works we will certainly be looking to replicate it elsewhere," says Turner. Beyond stations, local stores too represent ideal pick up points. While the ACS and others have been talking for a couple of years about the potential for the independent, some are now beginning to put the plans in place to make it happen. Nationwide delivery service Simply Organic is talking to retailers about such a tie up. As well as a possible cash incentive for the retailer ­ and reduced distribution costs for the primary provider ­ such a set up means small retailers can offer a full organic range with no financial or time investment in the supply chain. All of this means a change for marketers too. Retailers will need to conceive a strong phone presence and for manufacturers advertising and promotions take on a different flavour if the point of sale decision is made not in the store, but on the train or bus. Big brand owners have spent a lot on developing clever web sites and planning virtual instore advertising. But all this means nothing on a screen the size of four postage stamps. Paul Simons, chairman and CEO of ad agency Ogilvy and Mather, believes this will force many media people and agencies to think about where they place their work. "There are still quite a few people and companies who go down the traditional route of mediumweight tv advertising for six weeks. "That kind of thing is going to die. You need front of mind imagery and awareness, and that's very much about the medium used. "It's very difficult to try and pinpoint where people will be when they make their calls. But ambient media could easily be more relevant. The difference is really about behaviour. You need to find different environments relevant to advertising consumption. I think posters are a great medium that is often misused. They've got great permanency and vision all the time." The UK is already one of Europe's biggest markets for ready meals demonstrating its increasing fondness if not dependency on the c-factor. As shopping changes, the time could be ripe for the next revolution in food ­ brands specifically targeted at the shopper on the move in differentiated packaging perhaps. Forget TV dinners, think train teas or bus barbecues. n {{COVER FEATURE }}