BUZZ-UK convenience stores: smart place for investors to shop

** Buyside betting on Greencore & Conviviality Retail to tap into growth seen by UK convenience stores which have bucked the lacklustre trend seen from big grocers

** In UK, convenience stores growing in face of increasingly deflationary food retail market and in contrast to the big supermarkets are showing pricing power

** Diane Bruno, lead PF manager of the Mandarine Unique Fund, holds Greencore, UK leader in Food-to-Go - higher margin products which tend to do well when employment is on the rise

** Bruno says if Greencore is successful in US with Starbucks (Swiss: SBUX.SW - news) , one of its biggest customers there, Starbucks might consider working again with them in the UK, hence helping them diversify (co currently quite focused on food retailers)

** Bruno says while margins in US - where co has invested hugely to ramp up its contracts - are disappointing, in long run could get similar margin in US as for group

** Premier AM's head of UK equities Chris White holds Conviviality Retail (LSE: CVR.L - news) - parent of cut-price liquor-led convenience store Bargain Booze - which he reckons could double its stores on a four-to-five yr view (RM (LSE: RM.L - news) : tricia.wright1.thomsonreuters.com@reuters.net)