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The oat milk invasion: how off-licences became the frontline of gentrification The oat milk invasion: how off-licences became the frontline of gentrification
(about 1 month later)
The first thing you see when you walk into Hackney Food Center on Well Street, London, is a large display of oat milk.The first thing you see when you walk into Hackney Food Center on Well Street, London, is a large display of oat milk.
Amid the tobacco, cheesy Wotsits and Haribo sweets you expect to find in London’s innumerable corner shops, this new addition seems rather odd. But the shop’s owner, Kenan Yildrim, says that 20-30% of his sales these days come from organic, healthy or niche brands that appeal to a certain kind of customer.Amid the tobacco, cheesy Wotsits and Haribo sweets you expect to find in London’s innumerable corner shops, this new addition seems rather odd. But the shop’s owner, Kenan Yildrim, says that 20-30% of his sales these days come from organic, healthy or niche brands that appeal to a certain kind of customer.
“It surprises me how much I’ve had to adapt in this neighborhood,” he says, “[but] stocking these products has helped me stay open.”“It surprises me how much I’ve had to adapt in this neighborhood,” he says, “[but] stocking these products has helped me stay open.”
If you look closely enough, you can see the city’s demography change by watching how its corner shops do the same. In a rapidly gentrifying area such as Hackney, next to the Walker’s crisps you might see the appearance of lentil chips, wholegrain crispbreads competing for space with McVitie’s biscuits, and tall cans of Polish lager sitting above the stylish labels of east London micro-breweries.If you look closely enough, you can see the city’s demography change by watching how its corner shops do the same. In a rapidly gentrifying area such as Hackney, next to the Walker’s crisps you might see the appearance of lentil chips, wholegrain crispbreads competing for space with McVitie’s biscuits, and tall cans of Polish lager sitting above the stylish labels of east London micro-breweries.
The recent controversy over the new Silicon Valley startup Bodega – a company that produces automated boxes selling everyday staples, and which should probably win an award for least-sensitive name, given that it appears to be trying to put actual bodegas out of business – has sparked a discussion over whether corner shops are doomed.The recent controversy over the new Silicon Valley startup Bodega – a company that produces automated boxes selling everyday staples, and which should probably win an award for least-sensitive name, given that it appears to be trying to put actual bodegas out of business – has sparked a discussion over whether corner shops are doomed.
I often had customers bringing in packaging to show me what they wanted to buy, saying they didn’t want to go elsewhereI often had customers bringing in packaging to show me what they wanted to buy, saying they didn’t want to go elsewhere
According to the research organisation IGD Retail Analysis, however, in the UK the convenience store sector appears to have “enduring appeal”, despite expanded competition from online retailers, discount shops and glorified vending machines. Its growth last year is thanks, in part, to its draw among the younger generation: according to the data, one in five 18 to 25-year-olds mainly shops in convenience stores.According to the research organisation IGD Retail Analysis, however, in the UK the convenience store sector appears to have “enduring appeal”, despite expanded competition from online retailers, discount shops and glorified vending machines. Its growth last year is thanks, in part, to its draw among the younger generation: according to the data, one in five 18 to 25-year-olds mainly shops in convenience stores.
On high streets where ramen joints and yoga studios adjoin chicken shops and Betfreds, everyone needs to stop in at shop like Yildrim’s – whether it be for dried goji berries or a tin of baked beans. And everyone occasionally needs an emergency loo roll at 2am.On high streets where ramen joints and yoga studios adjoin chicken shops and Betfreds, everyone needs to stop in at shop like Yildrim’s – whether it be for dried goji berries or a tin of baked beans. And everyone occasionally needs an emergency loo roll at 2am.
As a result, these shops have become not just the barometers of gentrification, but establishments that truly reflect the diverse needs of all a neighbourhood’s residents. When other businesses may have to choose to serve one demographic over another, the humble off-licence can change with the neighbourhood.As a result, these shops have become not just the barometers of gentrification, but establishments that truly reflect the diverse needs of all a neighbourhood’s residents. When other businesses may have to choose to serve one demographic over another, the humble off-licence can change with the neighbourhood.
“Usually the problem with small business is you can’t compete with the big boys, but organic customers generally want to support the local shops,” says Huseyin Yaman, who co-owns an off-licence in Homerton with his brother Ali. “From what I’ve observed, it’s not really about organic food – it’s a lifestyle choice.”“Usually the problem with small business is you can’t compete with the big boys, but organic customers generally want to support the local shops,” says Huseyin Yaman, who co-owns an off-licence in Homerton with his brother Ali. “From what I’ve observed, it’s not really about organic food – it’s a lifestyle choice.”
Certainly, Well Street has experienced “extraordinary” changes in the lifestyles of residents in the 26 years since Yildrim’s family opened their shop. At first, he says, they hardly dared to use the front entrance due to fears for their safety. About five years ago, Yildrim began his education in the dietary restrictions observed by many of his younger customers.Certainly, Well Street has experienced “extraordinary” changes in the lifestyles of residents in the 26 years since Yildrim’s family opened their shop. At first, he says, they hardly dared to use the front entrance due to fears for their safety. About five years ago, Yildrim began his education in the dietary restrictions observed by many of his younger customers.
“I was getting a lot of demand and often had customers bringing in packaging in to show me what they wanted to buy, saying they didn’t want to go elsewhere to buy it,” he says. “Now I regularly do online research and go to trade shows where I learn what sells well for people with nut allergies, vegans …”“I was getting a lot of demand and often had customers bringing in packaging in to show me what they wanted to buy, saying they didn’t want to go elsewhere to buy it,” he says. “Now I regularly do online research and go to trade shows where I learn what sells well for people with nut allergies, vegans …”
It is testament to Yildrim’s close relationship with his customers; a point of difference with bigger supermarkets. Other local shop owners interviewed say they will stock a new product after a mere two or three requests. It’s hard to imagine the same of Tesco or Sainsbury’s.It is testament to Yildrim’s close relationship with his customers; a point of difference with bigger supermarkets. Other local shop owners interviewed say they will stock a new product after a mere two or three requests. It’s hard to imagine the same of Tesco or Sainsbury’s.
Yaman and his brother bought their Homerton off-licence three years ago, when gentrification was already well under way. After a lot of research in the area – eating in local pubs, restaurants and shops to get a sense of what was popular – they put up an organic sign. Today they see roughly 20% of their sales from these upmarket products, which they tend to give premium real estate in the store’s layout.Yaman and his brother bought their Homerton off-licence three years ago, when gentrification was already well under way. After a lot of research in the area – eating in local pubs, restaurants and shops to get a sense of what was popular – they put up an organic sign. Today they see roughly 20% of their sales from these upmarket products, which they tend to give premium real estate in the store’s layout.
“When it comes to why a shop is not modernising, you’ve got to look at who the owner is,” says Yaman. “If you’re looking at [an owner] who is 50 or 60 years old, they may not have caught on to the idea that this is a major emerging market. Our store is not a pure organic store, but it’s enough to satisfy the appetite. It’s a balance between the premium stuff people want and the normal stuff everyone needs.”“When it comes to why a shop is not modernising, you’ve got to look at who the owner is,” says Yaman. “If you’re looking at [an owner] who is 50 or 60 years old, they may not have caught on to the idea that this is a major emerging market. Our store is not a pure organic store, but it’s enough to satisfy the appetite. It’s a balance between the premium stuff people want and the normal stuff everyone needs.”
The hyper-local business acumen that shop owners like Yildrim and Yaman demonstrate is a boon to some brands, too.The hyper-local business acumen that shop owners like Yildrim and Yaman demonstrate is a boon to some brands, too.
Lauren Lister, who is head of sales for Beavertown Brewery, a craft brewery founded at the Duke’s Brew and Que pub in Haggerston, says that bottle shops and off-licences in east London were some of the beer’s earliest stockists, spurred on by customer requests. After it grew a robust customer base in the local borough, demand all over the capital and country outweighs supply, the company says, with large supermarkets keen to stock the brand.Lauren Lister, who is head of sales for Beavertown Brewery, a craft brewery founded at the Duke’s Brew and Que pub in Haggerston, says that bottle shops and off-licences in east London were some of the beer’s earliest stockists, spurred on by customer requests. After it grew a robust customer base in the local borough, demand all over the capital and country outweighs supply, the company says, with large supermarkets keen to stock the brand.
“The early support of Beavertown in many east London off-licence accounts was actually quite organic, as a lot of those owners make it their business to know what’s going on in the craft beer category,” says Lister.“The early support of Beavertown in many east London off-licence accounts was actually quite organic, as a lot of those owners make it their business to know what’s going on in the craft beer category,” says Lister.
Perhaps the logical endpoint for some of these shop owners is a business model like that of Simply Fresh on Roman Road in Bethnal Green. It is part of what is known as a “symbol group”, whereby it is independently stocked but uses the umbrella branding of the Simply Fresh chain. (Spar, Nisa and Costcutter are other examples of this franchise form.)Perhaps the logical endpoint for some of these shop owners is a business model like that of Simply Fresh on Roman Road in Bethnal Green. It is part of what is known as a “symbol group”, whereby it is independently stocked but uses the umbrella branding of the Simply Fresh chain. (Spar, Nisa and Costcutter are other examples of this franchise form.)
Ilkay Guzel opened the shop three and half years ago with his siblings when a double unit became available. For 12 years they had owned an off-licence a few doors down, which they had begun to stock with products requested by their more moneyed customers.Ilkay Guzel opened the shop three and half years ago with his siblings when a double unit became available. For 12 years they had owned an off-licence a few doors down, which they had begun to stock with products requested by their more moneyed customers.
“It was a risk,” Guzel said of opening the new shop. “We weren’t sure the neighbourhood was ready for it and it’s really hard to be an independent shop owner.”“It was a risk,” Guzel said of opening the new shop. “We weren’t sure the neighbourhood was ready for it and it’s really hard to be an independent shop owner.”
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The risk paid off. Since opening, Guzel’s shop has been presented with two awards from the Retail Industry awards, including independent retailer of the year in 2014. Simply Fresh is more high-end than Yildrim and Yaman’s shops, but it still stocks items such as Coca-Cola, Twix and non-organic fruit and veg alongside the prepped salads, Veuve Clicquot and all the non-dairy yogurt a lactose-intolerant customer could desire. Fittingly, you can also follow the shop on Instagram.The risk paid off. Since opening, Guzel’s shop has been presented with two awards from the Retail Industry awards, including independent retailer of the year in 2014. Simply Fresh is more high-end than Yildrim and Yaman’s shops, but it still stocks items such as Coca-Cola, Twix and non-organic fruit and veg alongside the prepped salads, Veuve Clicquot and all the non-dairy yogurt a lactose-intolerant customer could desire. Fittingly, you can also follow the shop on Instagram.
Critics often say that one of gentrification’s worst features is how it pushes out established family-owned businesses to make way for soulless chains such as Starbucks and Waitrose.Similarly, hipsters are maligned for co-opting the existing businesses in the neighbourhoods to which they move – note the recent embrace of chicken shops, as reported on (naturally) by Vice.Critics often say that one of gentrification’s worst features is how it pushes out established family-owned businesses to make way for soulless chains such as Starbucks and Waitrose.Similarly, hipsters are maligned for co-opting the existing businesses in the neighbourhoods to which they move – note the recent embrace of chicken shops, as reported on (naturally) by Vice.
For now, though, off-licences act as a rare holdout – a place where all the neighbourhood goes, whether it’s to buy household essentials, oat milk for a dairy-free breakfast or a late-night packet of Doritos. And when everyone’s your customer, you’ve got to stock something for all of them.For now, though, off-licences act as a rare holdout – a place where all the neighbourhood goes, whether it’s to buy household essentials, oat milk for a dairy-free breakfast or a late-night packet of Doritos. And when everyone’s your customer, you’ve got to stock something for all of them.
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