21 September 2000

Budgens, the shopping chain which includes B2 convenience stores, is to abandon its online shopping service after only a year.

Chief executive Martin Hyson blamed the failure of the service, which cost £1.7 million to develop, on “very poor” consumer response.

He also attacked the “prohibitive” cost of marketing required to attract and keep customers, adding: “You need to be a very, very big player to maintain an online shopping site."

Budgens revealed a decline in the growth of comparable sales to 2% between June to September, which Hyson attributed to poor weather. He did not expect overall sales for the year to be affected.

News source: The Times (London)