Convenience retailers are to shift their focus to food and drink designed for “immediate consumption”, reducing space for take-home groceries, according to IGD’s Global Retail Trends 2026 report.
The annual report has identified seven key trends set to “define the direction” of the food and grocery industry over the next 12 months.
IGD said the findings pinpoint the areas where innovation and investment will be most critical in the year ahead, aiming to help retailers “differentiate themselves, stay relevant, and secure long-term growth in a rapidly evolving marketplace”.
Among the trends, the so-called “convenience revolution” is expected to reshape how and what consumers buy in c-stores.
IGD predicts that specialist convenience retailers will pivot towards immediate consumption, modifying their formats and assortments to meet the demand for “out-of-home calories”.
IGD’s seven global retail trends for 2026
Cybersecurity becomes retail’s frontline: we expect cybersecurity to shift from a siloed IT function to a board-level strategy priority.
AI as the engine of the retail revolution: retailers will continue to use AI to drive profitability and efficiency through advanced strategies.
Retail media comes of age: the next five years will see certain retailers in certain markets reach a level of retail media maturity.
Retailers race to capture the world on their shelves: globalised flavours going further, with clearer segmentation; strategies that reflect diverse communities; and curating more authentic ranges supported by storytelling and seasonal events.
The convenience revolution: specialist convenience operators will increasingly focus on food and drink to be consumed in minutes, not days, gradually eroding take-home grocery assortments.
Playing a meaningful role for more health missions: retailers will serve a broader span of health missions, and do so in deeper and more meaningful ways.
The war on waste: in the coming years, we expect retailers to increasingly prioritise reducing food and packaging waste both in the supply chain and within stores.
The report said the industry is navigating ongoing geopolitical and economic uncertainty, while rising consumer focus on health and wellbeing is fuelling demand for wellness, preventative and functional products.
Technological progress continues at pace, requiring retailers to “strike a balance” between embracing innovation and maintaining resilient infrastructure, according to the report.
Meanwhile, climate change and environmental concerns are “intensifying”, with both regulators and consumers expecting greater sustainability efforts.
Demographic shifts are also influencing shopper expectations, with a growing demand for personalisation, faster service and better value.
Toby Pickard, retail futures senior partner at IGD, said: “Retailers around the world face evolving consumer preferences, technological advances, and market disruptions, and they are responding to these shared challenges with bold, relevant solutions.
”The seven trends we have identified show how global forces are reshaping strategy, and why agility, relevance, and execution will define the leaders of tomorrow.”
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