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Co-op’s Bold Expansion Signals Challenge to Takeaways and Foodservice Operators

Co-op’s Bold Expansion Signals Challenge to Takeaways and Foodservice Operators

Posted by Emma on 3rd Aug 2025       Reading Time:

In a move that could reshape the UK’s quick-service and food-to-go sectors, Co-op has launched a new chain of ‘On the Go’ stores—compact, high-footfall outlets designed to serve hot meals, fresh deli items, and convenience essentials throughout the day. With the first opening in Solihull on 31 July and 14 more expected this year (including five in London), the mutual retailer is signalling a direct challenge to established high street players like Greggs, Pret A Manger, and Subway.

Co-op has ambitions to open several hundred of these stores in the next two to three years, placing them in key urban locations and potentially at transport hubs. This isn’t a simple downsizing of its convenience model—it’s a fundamental pivot.

A New Format Built for Speed and Relevance

Ranging from just 600 to 1,000 sq ft—about a quarter the size of a standard Co-op—these new stores offer something distinctly different. They feature staffed hot food counters, heated cabinets, and a curated menu of over 35 exclusive items, from all-day breakfast pots to pizzas cooked fresh in-store.

Matt Hood, managing director of Co-op Food, is clear: “This isn’t a really small version of a [traditional] Co-op, it’s very different in layout and what we are servicing the customer with.” The concept draws inspiration from compact foodservice models in Japan and China, adapted for a UK audience increasingly focused on speed, flexibility, and value.

The stores are designed to meet meal occasions across the day—breakfast, lunch, and dinner—with hours of 7 am to 7 pm. After closing, they shift into “dark store” mode, fulfilling home deliveries through partners like Deliveroo and Uber Eats, as well as Co-op’s rapid commerce network.

A Threat to Foodservice or a Wake-Up Call?

Co-op’s entry into this hybrid retail-foodservice space comes as takeaway operators face headwinds. Greggs, for instance, recently reported a fall in profits linked to lower footfall during summer heatwaves. Unlike traditional takeaways, which often rely heavily on hot baked goods and lunchtime peaks, Co-op’s model is broader and more versatile.

By combining grocery essentials, hot meals, and alcohol sales under one roof—and backing it up with a robust last-mile delivery strategy—Co-op is building a model that foodservice operators may struggle to match for convenience or scale.

It’s not just about selling more sandwiches. It’s about claiming relevance in moments where consumers might otherwise turn to a takeaway, fast-casual chain, or even a food delivery app.

What Happens if Others Follow?

If Co-op’s model proves successful, it could set off a broader shift in supermarket strategy. Other grocers may well follow, launching their hybrid micro-formats, further compressing the gap between supermarket and foodservice.

For independent takeaways and high street food businesses, the concern isn’t just about losing a few lunchtime customers. It’s the risk of being outpaced by businesses that combine high brand trust, existing customer data, and agile delivery infrastructure—all underpinned by national buying power.

A Final Thought: This Is Just the Beginning

The Co-op’s ‘On the Go’ rollout marks more than just a new format—it’s a shift in thinking about how, where, and when people want to eat. As the lines between grocery, foodservice, and delivery continue to blur, traditional operators must adapt—or risk being overtaken by retailers who now want a seat at the same table.

The future of food-to-go may no longer belong solely to the quick-service restaurant. If supermarkets are now serving hot food, delivering it in minutes, and doing it all while selling your toothpaste and wine, then the entire playbook needs rewriting.

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