Avanti Issue 1 2025

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2025 ISSUE 1

The Power Of Us Teaming Up To Stay Profitable

We Get Stronger When We Share What Works Tariffs Turn Up The Heat What Would You Do If An Employee Sued You Tomorrow?

Before You Decide To Fix Something, Make Sure It’s Still Broken Slips, Trips, And Falls

A flavor twist you can’t resist

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CONTENTS Get Stronger When 17 We We Share What Works

By Sukhi Sandhu, NCASEF Chairman

21 Tariffs Turn Up The Heat You Decide To Fix Something, 23 Before Make Sure It’s Still Broken

By Teeto Shirajee, NCASEF Vice Chair

By John Geoghegan

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What Would You Do If An Employee Sued You Tomorrow?

By John Wales, AON Program Manager

29 Slips, Trips, And Falls Tackle Challenges 32 Stakeholders At First Quarter NCASEF Meetings

Attends UCSF Benioff 15 Chairman “Heroes for Healing” Brunch

27 Chairman Supports Anti-Theft Efforts In Sacramento Joe Saraceno FOA’s Trade Show & Golf Tournament 30 Draw Big Crowds Joe Saraceno FOA Donates $5,711 to 43 Children’s Hospital LA Diego FOA Hosts NFL-Themed Trade Show 48 San With Strong Turnout

You To Our Tabletop 36 Thank Trade Show Exhibtors

38

Swinging For The Kids: A Day Of Golf, Giving, And Gratitude

JOIN US! for the

NCASEF 49th Annual

Convention & Trade Show Anaheim Convention Center | July 21-24, 2025

THE VOICE OF 7-ELEVEN FRANCHISEES AVANTI is published by the National Coalition of Associations of 7-Eleven Franchisees for all independent franchisees, store managers and interested parties. National Coalition offices are located at 3645 Mitchell Road, Suite B, Ceres, CA 95307. For membership information, call 855-444-7711 or e-mail nationaloffice@ncasef.com. The views and opinions expressed in the articles and columns published in AVANTI Magazine are those of the authors and do not necessarily reflect the official policy or position of the National Coalition of Associations of 7-Eleven Franchisees, its officers or its Board of Directors.

DEPARTMENTS

By Marsh

Member News .................................. 10 Bits & Pieces .....................................42 Legislative Update ..........................56 SEI News .......................................... 60 Vendor Focus ...................................62 FOA Events .......................................66

AD INDEX Anheuser-Busch...........................8

Molson Coors............................28

AON.....................................12, 13

Mondelez..................................64

CAB Enterprises-Electrolit.............3

Monster Brewing.......................59

Celsius........................................4

Monster Energy.........................68

Coca-Cola....................................2

Pepsi Co....................................18

Danone....................................20

Perfetti Van Melle ......................5

Delicato Wines-Bota Box.............11

Poppi........................................56

Dreyers Ice Cream.....................15

Primo Brands..............................7

Hostess ....................................67

Swisher-Rogue...........................44

Kellanova.................................46

Vita Coco.....................................6

Kretek .....................................22

VNM Industries....................54, 55

McLane.....................................26

Wells-BlueBunny........................24 2025 ISSUE 1 AVANTI 9

Member News C-Stores Expand Private Label Offerings

Private label products are becoming a significant focus for convenience store retailers, who seek to offer innovative and affordable alternatives to national brands, reported C-Store Dive. Operators like 7-Eleven, Casey’s, and Wally’s are leading the charge with new product launches, fun flavors, and creative packaging across categories such as beverages, snacks, and candy. For example, 7-Eleven introduced its 7-Select Fusion Energy drink and premium hydration beverage, along with private label Prosecco wines and Slurpee-flavored gummies. Smaller operators like Wally’s have embraced unique offerings like chili cheese hot dog chips and exclusive sparkling water flavors to help them stand out in a competitive market. While private label products currently account for about 4 percent of the c-store product mix, experts predict their role will expand as consumer trust and demand for value options continue to grow.

C-Store Sales Decline

Street Journal. Shoppers are cutting back on non-essential items such as chips, chocolates, and cigarettes, driven largely by reduced discretionary income and a focus on healthier eating. Data reveals that products like rice cakes, dips, and jerky saw significant drops, while refrigerated items and chocolate candy also faced steep declines. With snacks like a large bag of chips now costing $7, many customers are bypassing convenience store aisles entirely. Instead, they are opting for cheaper alternatives at dollar stores or big-box retailers like Walmart. Gas station shoppers, in particular, are less inclined to enter stores after fueling up, and cigarette buyers are downsizing from cartons to single packs.

In response, companies such as PepsiCo and Hershey are employing strategies to retain customers, including introducing innovative products, expanding marketing efforts, and adjusting shelf layouts to cater to consumer preferences. PepsiCo is developing “mini meals” to appeal to snackers, while continued on page 12

AVANTI 2025 ISSUE 1

Sukhi Sandhu

NATIONAL CHAIRMAN 855-444-7711 sukhi.sandhu@ncasef.com

Nick Bhullar

EXECUTIVE VICE CHAIR 626-255-8555 bhullar711@yahoo.com

Teeto Shirajee VICE CHAIR

954-242-8595

teeto.shirajee@yahoo.com

Michelle Niccoli

VICE CHAIR 719-661-1048 nicco711@yahoo.com

Khalid Asad

VICE CHAIR 913-488-3014 Khalid.asad@aol.com

Rajneesh Singh

TREASURER 214-208-6116 rjn_singh@yahoo.com

Shawn Howard

OFFICE & VENDOR RELATIONS MANAGER 855-444-7711 shawnh@ncasef.com

Eric H. Karp, Esq. GENERAL COUNSEL 617-512-9004 ekarp@wfrllp.com

John Riggio

John Santiago

MANAGING EDITOR 267-994-4144 avantimag@ncasef.com

The National Coalition Office

10

NATIONAL OFFICERS & STAFF

MEETING/TRADE SHOW COORDINATOR 262-394-5518 johnr@jrplanners.com

Rising prices and changing consumer behaviors have led to a noticeable decline in U.S. convenience store sales, which fell by 4.3 percent in volume over the year ending February 23, 2025, reported The Wall

The strength of an independent trade association lies in its ability to promote, protect and advance the best interests of its members, something no single member or advisory group can achieve. The independent trade association can create a better understanding between its members and those with whom it deals. National Coalition offices are located in Ceres, California.

NATIONAL COALITION OF ASSOCIATIONS OF 7-ELEVEN FRANCHISEES

April J. Key

GRAPHIC DESIGNER lirpayek@gmail.com

3645 Mitchell Road Suite B Ceres, CA 95307 855-444-7711 nationaloffice@ncasef.com

The Voice of 7-Eleven Franchisees 2025 ISSUE 1 ©2025 National Coalition of Associations of 7-Eleven Franchisees Avanti Magazine is the registered trademark of The National Coalition of Associations of 7-Eleven Franchisees.

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Member News

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“Rising prices and changing consumer behaviors have led to a noticeable decline in U.S. convenience store sales.”

J.M. Smucker is revamping Hostess with new packaging and products. Hershey is optimizing product placements in convenience stores and boosting its marketing for core brands. However, even with these efforts, the financial challenges for brands remain significant.

Store Brands Hit Record Sales

Store brand sales surged 3.9 percent in 2024, setting a new record at $271 billion, according to the latest data from PLMA’s Circana Unify+.

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This $9 billion increase significantly outpaced national brands, which saw only a 1 percent rise in sales. PLMA President Peggy Davies credited the impressive performance to the quality, value, and innovation of private label products, and stated that store brands have gained over $51 billion in sales in the last four years. All 10 food and nonedible categories tracked showed growth, particularly refrigerated products (up 7.5 percent), general food (up 4.3 percent), and beverages (up 4 percent). Unit sales also increased, notably in beverages (+3.5 percent), pet care (+3.5 percent),

and home care (+3.3 percent) categories. These record figures coincide with the introduction of Store Brands Month, highlighting consumer preference for private label products.

Global Cigarette Market Still Growing

The global cigarette market, valued at $1.14 trillion in 2024, is forecast to reach $1.38 trillion by 2033, growing at a compound annual growth rate of 1.9 percent, reveals a new report by IMARC Group. Key drivers include the addictive nature of nicotine, effective marketing campaigns, and increased acceptance of smoking in various social and cultural settings.

Innovations like e-cigarettes and flavored options, which appeal to

Member News younger demographics, further fuel this growth. Light cigarettes dominate the market due to their perceived lower health risks, while tobacco shops remain the leading distribution channel because of their personalized service and exclusive product offerings. The Asia-Pacific region leads the market, driven by its large smoking population and cultural factors, while North America shows a rising demand for reduced-risk tobacco products.

Seven & i Warns Of Merger Risks

Seven & I Holdings recently expressed significant concerns about the antitrust hurdles associated with Alimentation Couche-Tard’s proposed $47 billion acquisition, report-

ed The Wall Street Journal. Seven & i argued that the Canadian firm has underestimated the regulatory risks of the deal, especially in the U.S., where the Federal Trade Commission (FTC) has been increasingly critical of large-scale mergers. The Japanese company warned that failure to navigate these challenges could jeopardize shareholder value, citing the ongoing legal disputes stemming from a similar failed merger between Kroger and Albertsons as a cautionary tale. Seven & i also highlighted that the FTC had already signaled possible investigations into the deal even before it was finalized. Despite recognizing the necessity for divestments, Couche-Tard has not fully committed to assuming the risks tied to regulatory roadblocks, leaving

Seven & i’s shareholders exposed, the article stated.

Seven & i insisted on a clear path to regulatory approval before proceeding with the transaction and is exploring parallel strategies, including separating its North American operations into a distinct publicly listed entity. The company previously rejected Couche-Tard’s initial $39 billion bid, considering it undervalued 7-Eleven, prompting CoucheTard to revise its offer to $47 billion.

Both companies are working with financial advisers to identify potential buyers for certain stores to alleviate antitrust concerns. While Seven & i emphasized the unprecedented scope and complexity of the divestiture package required, Couche-Tard remains optimistic about gaining continued on page 42

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Chairman Attends UCSF Benioff “Heroes for Healing” Brunch On March 19, NCASEF Chairman Sukhi Sandhu attended the Heroes for Healing Corporate Philanthropy Brunch hosted by the UCSF Benioff Children’s Hospitals Foundation. The event honored donors and celebrated the impact they’ve made on children and families, with heartfelt remarks from guest speakers and inspiring stories from patient ambassadors. NCASEF and its member FOAs have long supported children’s hospitals like UCSF Benioff through charity golf tournaments and other fundraising efforts.

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We Get Stronger

When We Share What Works Right now, there’s a lot of uncertainty in the economy, and that uncertainty is hitting our stores. Customers are spending less because they have less disposable income and are unsure about the future. We’ve heard it from SEI’s own team during our recent NCASEF Board meeting—consumer spending is slowing down, and that means we need to do more with less.

The question we need to ask ourselves is: What can we do to stay profitable in this environment? The answer starts with one word—teamwork.

As franchisees, we’re all in this together. That means the best way to get through these tough times is to learn from each other. Sharing what’s working—and what’s not—is more important now than ever. During our first quarter Board and Affiliate Member meetings, we had conversations about vendor partnerships, local product opportunities, and ways to work smarter, not harder. The Affiliate Member meeting breakout workshops were packed with great discussions and ideas, and it’s up to us to take those ideas back to our FOAs and store teams. The truth is, there’s no silver bullet solution—but when we pool our best practices, we create a powerful resource that helps all of us weather this storm.

One area that deserves more attention is how we manage our finances—especially our Open Accounts with SEI. In an article in the last issue of Avanti, Todd Umstott laid out a great explanation of how the Open Account works and why it’s so important to monitor your store equity, cash levels, and inventory. As Todd said, “Every financial decision carries greater weight, as profit margins tighten under economic pressure.” Managing your Open Account isn’t just a numbers game—it’s about making your money work smarter. For example, if you have too much inventory, you’re paying interest on those dollars. If you keep excess cash in your personal account as opposed to your Open Account,

BY SUKHI SANDHU NCASEF Chairman

amount).These are tools all of us should be using to keep costs down and improve our cash flow.

Besides managing our Open Accounts, we need to get creative with our product selection. Many customers are being more frugal with their money right now. According to a March 2025 report from the U.S. Bureau of Economic Analysis, consumer spending growth has slowed significantly, especially in retail. Households are pulling back on nonessentials, and many are trading down to lower-priced options. That’s a wake-up call for us. If our stores don’t offer affordable alternatives, we’re going to lose sales to someone who does.

One solution is to work with vendors and practice Retail Initiative to bring in new items that make sense for your store and your customers. If these items aren’t already recommended you can enter them as Store Supported Items (SSIs), which gives you more flexibility and control over your assortment. This came up during one of our breakout discussions at the Affiliate Member meeting, where franchisees shared how they’re setting up SSIs and working with local suppliers to bring in legal, unique snacks, beverages, or other products that customers want—without having to go through a long approval process. Regional topselling items can also help differentiate your store from the competition, which is key when customers are looking for value and variety. This increases foot traffic and baskets, and goes a long way in retaining customers.

Another option is to look for products that are more affordable alternatives to what’s currently on your shelf.

If your community is price-sensitive right now—and many are—then stocking items that cost less and meet the same need could help you hold onto more of your continued on page 19

“Sharing what’s working—and what’s not—is more important now than ever.” it increases your liabilities. But if you grow your equity, you can reduce or even eliminate interest charges—and in some qualified cases, SEI will actually pay you interest up to a limited amount (please refer to the specifics of your franchise agreement for that continued on page 21

2025 ISSUE 1 AVANTI 17

We Get Stronger When We Share What Works continued from page 17

get legislation passed at the local, state, and federal levels that support small business owners like us. Additionally, we are discussing bringing in subject matter experts to help stores strengthen their asset protection programs, which is essential these days with retail crime on the rise. Another area where shared knowledge can make a big impact is insurance.

Franchisees can help keep claims low—and premiums under control—by exchanging tips on safety practices, staff training, and incident prevention. By working together and supporting our franchisee captive insurance program, we can maintain affordable coverage for everyone.

All of this brings me back to one simple truth: we are stronger when we share what works. That’s why I encourage every franchisee reading this to participate in FOA meetings, reach out to your colleagues, and be part of the conversation. Don’t wait until your sales dip to ask for help—start building your playbook now, while you still have options to test and learn. The most successful franchisees are planning ahead and leaning on their peers, and not just sitting back and reacting to the economy.

While we continue to have discussions with our franchisor about ways to improve store sales and franchisee income, I also encourage you all to adjust your store and personal budgets. I’m doing it—although I would rather not—but the harsh reality is that we have to tighten our belts during these financially lean times.

The economy might be unpredictable, but the strength of our network doesn’t have to be. We’ve built something powerful in NCASEF—an organization full of dedicated franchisees, committed to helping each other grow. Let’s keep sharing best practices. Let’s keep learning. And let’s make sure no one is facing these challenges alone.

“At the same time, the NCASEF officers and Board are actively working with SEI and our vendor partners to overcome the present challenges facing our stores.” customer base. Again, this is where communication helps.

Talk to other franchisees in your FOA. Ask what they’re selling that’s working. Share what items your customers are asking for. The more we talk, the more we can help each other succeed.

It’s also worth revisiting how we approach promotions.

During the Board meeting, we emphasized the importance of getting involved in high-margin promotions to drive profitability. SEI is planning some strong regional beverage promos for P2, like 89-cent single drinks and mix-and-match single beer deals. These aren’t mere marketing fluff—they’re tested traffic drivers. If your store isn’t taking advantage of these promos, you could be leaving money on the table. High-margin promos help boost gross profits while offering value to customers, and that’s a win-win in today’s economy.

We also heard SEI talk about owning the snacking space, pushing proprietary items, and making a bigger regional push. That tells me they’re recognizing the need to be more nimble—and so should we. Maybe your store sells a lot of spicy snacks, or perhaps energy drinks fly off the shelves in your area. Lean into that. Talk to your FOA, talk to your field consultant, talk to your fellow franchisees. The more data we share, the more dialed in we can get with our merchandising strategy.

At the same time, the NCASEF officers and Board are actively working with SEI and our vendor partners to overcome the present challenges facing our stores. We’re also discussing ideas like hiring lobbyists who can help us

“The most successful franchisees are planning ahead and leaning on their peers, and not just sitting back and reacting to the economy.”

Sukhi Sandhu • 855-444-7711 • sukhi.sandhu@ncasef.com

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Are you a franchisee and would like to receive your own copy of Avanti— The Voice of 7-Eleven Franchisees? You can get on our mailing list by sending a request to avantimag@ncasef.com with your name and store address, and we’ll be sure to include you in future mailings.

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Pl an ni ng Fo r T he Ah ead An Year d Be yo nd Reflecting On 2024

2025 ISSUE 1 AVANTI 19

Tariffs

Turn Up The Heat As small business owners, we’re no strangers to economic pressures—whether it’s rising labor costs, shrinking margins, or supply chain disruptions. But President Trump’s recent implementation of extensive tariffs adds yet another layer of concern that could hit our stores where it hurts: the cost and availability of products. If these tariffs continue for an extended period of time, the impact on our operations could be significant.

Many of the “If these tariffs continue for an items we stock— extended period of time, the electronics, foods, and impact on our operations could prepared even some popular be significant.” snack and beverage brands—are imported from countries now subject to increased tariffs. This means the cost to stock our shelves will soon go up. That puts us in a tough spot. Do we pass those costs onto customers and risk pushing them away? Or do we absorb them and watch our margins erode? Either way, our ability to remain competitive and profitable takes a hit.

Tariffs create ripple effects in the supply chain. When our suppliers face higher costs, they may cut corners, delay shipments, or even stop offering certain products altogether.

That can lead to bare shelves and frustrated customers who may decide to shop elsewhere. And when everyday staples become more expensive, customers—especially those on tight budgets—might change their buying habits. They could reduce their purchases, switch to cheaper alternatives, or avoid our stores entirely. These behavioral shifts may reduce our traffic and hurt overall sales.

For many of us, sourcing product has already become more complicated in recent years. These tariffs could make it even harder to secure items at a competitive price. We may soon have to search for new suppliers or reconsider what products we offer. The flexibility to pivot quickly will be key, so we must work closely with our franchisor to ensure our brand remains top-of-mind with customers.

To protect our stores, we need to be proactive. Reviewing our pricing models is one place to start—adjusting prices carefully to maintain customer loyalty while recovering some of the added costs. Another option is supplier diversification. If we can find alternatives that aren’t affected

BY TEETO SHIRAJEE NCASEF Vice Chair

“We should consider stocking up on bestsellers before manufacturer price hikes take effect, and keep a closer eye on sales trends to avoid over-ordering.” by tariffs—either local sources or imports from non-penalized countries—we may be able to soften the blow. Promoting local or U.S.-made goods can also be a smart move, especially as customers increasingly value “Made in America” products.

Inventory management will become more important now.

We should consider stocking up on bestsellers before manufacturer price hikes take effect, and keep a closer eye on sales trends to avoid over-ordering. Meanwhile, transparent communication with customers can go a long way. Explaining why prices may increase—without placing blame—helps maintain trust and positions us as honest, community-oriented business owners.

Finally, cutting operational costs where possible could help offset some of the financial pressure. Whether that’s reevaluating labor schedules, reducing energy use, or leveraging technology to streamline operations, every dollar saved can make a difference.

“In times like these, we must stay alert, informed, and united.”

In times like these, we must stay alert, informed, and united. Tariff policy is a moving target, and its impact on our business is real. By sharing information, supporting one another, and pushing for more flexibility from 7-Eleven, Inc., we can better manage the challenges ahead. We’ve weathered tough conditions before, and with the right strategies in place, we’ll weather this one, too.

Teeto Shirajee • 954-242-8595 • teeto.shirajee@yahoo.com 2025 ISSUE 1 AVANTI 21

FUTURE-PROOF

STOCK. SELL. SATISFY. Contact your Kretek representative today for details Email: KretekSales@kretek.com Call: 1-800-358-8100 Online: Kretek.com WARNING: Tobacco-free does not mean safer smoking. This product can expose you to chemicals including acetaldehyde, known to the State of California to cause cancer, carbon monoxide, known to the State of California to cause birth defects and other reproductive harm. For more information, go to www.P65Warning.ca.gov.

22

AVANTI 2025 ISSUE 1

Before You Decide To Fix Something,

Make Sure It’s Still Broken Two years after California’s tobacco flavor bans, the state finally acknowledged that non-tobacco, nicotinefree menthols and flavored smokes are legal and exempt from retail removal and fines. I wrote about the state’s continuing retail over-reach and unwarranted threats by inspectors in Issue 5 2024 of Avanti.

On February 2, Kretek International, marketers of Splash filtered tobacco-free menthols, met with representatives of the California’s Department of Justice (DOJ) to walk through a show-and-tell about properly labeled menthols and flavors with no tobacco or nicotine. This was important because California sets the tone for other states to draft tobacco flavor rules that extend well beyond the FDA. The California DOJ response was, “We’re fine with your non-tobacco flavors, but we’re not going to put nicotinefree smoking products on our list.” As a result, Kretek has begun distributing its own retailer advisory showing the benefits of legal nicotine-free non-tobacco smokes in terms of retail status, shelf position, and the benefits of promising reduced nicotine dependency.

As of today, California, Massachusetts, and 47 other retail market areas have flavored tobacco bans more extensive than the FDA. Using California’s statutes as a template for enforcement provides a legal roadmap for more states to expand their bans beyond flavored vape.

The stated goal of the Trump Administration is to reduce the federal footprint (and budget) across all rulemaking by pushing regulations to the state level. It wouldn’t take much to amend the current language of the FDA’s flavor bans to begin with, “Each of the several states shall enact…” effectively assigning enforcement down one level. This would reroute the withdrawn FDA menthol cigarette and cigar flavor bans to fit those federal policy objectives.

Another option is to pursue the FDA’s newly proosed cap on nicotine levels, which would make the basic purpose of FDA flavor bans obsolete; but it also has its own flaws. As submitted, the nicotine cap is only for cigarettes and some cigars. It doesn’t address limits on vape and oral nicotine,

BY JOHN GEOGHEGAN

which are now the primary gateway to youth addiction.

The third option is to simply keep both proposed rules on hold. Given the ongoing decreases in tobacco category sales, a good case can be made that the bans are a waste of resources. In the time it has taken for the FDA to move the menthol cigarette ban to its current stage, menthol smoking among teens has dropped below .05 percent (half of 1 percent). Regular cigarette smoking is now below 5 percent among 18-25 year-olds.

Total cigarette usage is hovering around 11 percent, skewed heavily to older smokers. It declined by $2.6 billion last year. This has driven individual use in the past 24 years from 106 packs a year to 38, according to the CDC’s data.

In 2024, oral nicotine was the only tobacco segment that grew. Much of its increase is directly tied to migration from cigarettes, driven by convenience, health concerns and flavors. According to Nielsen IQ, cigarette and cigar consumption is still more than 7 times greater than vape and oral nicotine combined.

This is not happening because of rulemaking. It’s because of health concerns, higher prices including increased state taxes, limited smoking venues, and the fact that many fewer teens are starting. The regulatory costs where bans are already in place include millions in tax losses, the accurately predicted increase in smuggled products, and very little added impact on reduced tobacco use.

Right now, the FDA and the OMB have some extra clock to consider what fits the President’s policy. The CDC set a goal 24 years ago to reduce regular tobacco product use to 5 percent of the adult population. Vape and oral nicotine weren’t on the horizon, but regular teen use of cigarettes is well below 2 percent. Teen vape has declined by 23 percent since 2023. The longer the new FDA and Trump White House take to reframe tobacco rulemaking, the more likely state and local rules will be enacted before the FDA’s plan gets out the door. In another two years when this is eventually enacted, we’ll see what’s still left for the FDA to rule on.

John Geoghegan • johngeo3646@gmail.com 2025 ISSUE 1 AVANTI 23

What Would You Do

If An Employee Sued You Tomorrow? BY JOHN WALES AON Program Manager

Imagine walking into work, only to find a lawsuit waiting on your desk. An employee claims discrimination, harassment, or wrongful termination— what now?

This isn’t just a hypothetical.

A franchisee recently shared a story of how an employee took legal action after allegedly being locked in a cooler for “not working fast enough.” In another case, a woman won a $24 million lawsuit after her employer retaliated against her for having social anxiety disorder.

Situations like these serve as a wake-up call.

“Employees are your greatest asset, but workplace disputes can become costly legal battles if you’re not prepared.”

Employees are your greatest asset, but workplace disputes can become costly legal battles if you’re not prepared.

Your Role In Workplace Culture As a small business owner, you set the tone for your workplace. Creating a fair, equitable, and safe environment isn’t just about avoiding lawsuits—it’s about protecting your employees and your business. That includes: • Conducting thorough background checks before hiring.

• Providing clear training programs and an employee handbook.

• Implementing ongoing training and compliance measures.

• Having proper insurance coverage to protect your business.

Why General Liability and Workers’ Comp May Not Be Enough Many business owners assume their general liability

or workers’ compensation insurance will cover legal disputes. But these policies have limitations: • General liability insurance helps to protect you from lawsuits by third parties, such as customers or vendors.

• Workers’ compensation insurance helps cover medical expenses and lost wages for employees injured on the job.

However, neither of these policies will provide protection if an employee files a lawsuit for discrimination, harassment, or wage violations against their employer.

How EPLI “Employment Practices Insurance Helps Liability Insurance Protect Your (EPLI) can help Business safeguard against Employment Practices employee lawsuits.”

Liability Insurance (EPLI) can help safeguard against employee lawsuits by providing coverage for workplace-related claims that general liability and workers’ compensation policies don’t address. EPLI helps provide coverage for claims related to: • Discrimination • Harassment • Wrongful termination • Wage and hour disputes • Retaliation Even if a lawsuit is baseless, legal defense costs alone can be financially devastating for a small business owner.

EPLI can help cover those expenses, giving you peace of mind.

Is Your Business Prepared?

Don’t wait until it’s too late. Proactively reviewing your policies can help safeguard your business against unexpected legal challenges. Ensuring you have the appropriate protections in place today can help you navigate potential risks more effectively.

Cheers to 20 years!

JOHN WALES 2025 ISSUE 1 AVANTI 25

YO U R PA R T N E R F O R G R O W T H

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your Profit and Products Serve up and test new brands and unlock revenue potential from one easy-to-use marketplace.

Introducing Emerging Brands, a new program from McLane that helps differentiate and elevate your stores with unique, innovative, and trending items from local, specialty, and valuesbased companies. Low order minimums, rapid processing, and streamlined logistics mean you can test what works best and meet growing customer demand.

Flavorful Variety

Intuitive Online Marketplace

Streamlined Logistics

Learn more about Emerging Brands and how you can quickly and easily test new products in your store at mclaneco.com/emerging-brands.

Chairman Supports Anti-Theft Efforts In Sacramento NCASEF Chairman Sukhi Sandhu recently attended a special event in Sacramento unveiling new warning signs designed to deter retail theft as part of the Sacramento County District Attorney’s Retail Theft Initiative. Representing 7-Eleven franchisees, Mr. Sandhu has been an active voice in the campaign to pass Prop 36 in California, which will hold repeat retail thieves accountable and better protect small businesses.

Join Your Local Franchise Owner’s Association Today!

The best way to stay informed of the latest changes and challenges to our 7-Eleven system-and the convenience industry, in general-is to join your local Franchise Owner’s Association. FOAs help franchisees share ideas and concerns, and allow us to approach our franchisor and vendor partners with a unified voice. Becoming an FOA member also makes you a member of the National Coalition, which consists of all 41 FOAs nationwide.

To join your local organization, contact the FOA president closest to you, or follow the instructions below to fill out an online membership form. If you cannot find the FOA closest to you, contact nationaloffice@ncasef. com for more information.

We welcome your participation!

“None of us is as great as all of us together”

How do I join an FOA? 1.

Log in to 7Help using 7Hub (secured) instore or using this link https:/7elevenna. service-now.com/from any external device.

2. In the search bar type “FOA.” 3. Select the popup suggestion “FOA/ PAC:FRANCHISE OWNERS ASSOCIATION.” 4. Type “NONE” in the “Current FOA” box if you are joining an FOA for the first time or you are not a member of any other FOA. 5. Type in the full name of the FOA that you wish to join (No abbreviation) in the “Future FOA” box.

6. Type in the amount of monthly dues as instructed per local FOA. 7.

Type “Please enroll (store number) as a member of (name of the local) FOA.”

8. Repeat Step 7.

9. Press the green submit icon.

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Preventing liability claims

Key hazards for 7-Eleven® Franchisees Even experienced franchisees can face accidents that lead to significant insurance claims and when customers are injured. As a franchise owner, you can take proactive steps to protect your business, employees, and customers from major hazards that lead to slips, trips, and falls.

What is the leading cause of general liability claims for 7-Eleven Franchisees?

Slips, trips, and falls!

1. Use “Wet Floor” signs: Always place a sign when there’s a spill, especially near Slurpee machines and high-traffic areas like the front register.

Remember to place signs in bathrooms after cleaning and outside during inclement weather.

2. Clear walkways in the winter and spring: Regularly check the exterior of your building to ensure walkways are free of snow and ice. Use salt or sand for better traction.

Pay attention to downspouts to prevent water accumulation that could create slip hazards.

Regularly inspect aisles to remove clutter and ensure merchandise is stored properly.

Avoid leaving boxes, carts, and merchandise stacked in walkways.

By implementing these preventative measures, you can significantly reduce the risk of slips, trips, and falls in your franchise, protecting your employees, customers and your bottom line.

As the franchise owner, there are certain risks you can control when it comes to safety. By reducing the risks, you can reduce the potential for claims and prevent any increased costs towards your future insurance.

4 tips to prevent slips, trips, and falls

3. Maintain aisle safety:

DID YOU KNOW OVER 20% OF CLAIMS FOR 7-ELEVEN® FRANCHISEES ARE RELATED TO SLIPS, TRIPS, AND FALLS IN STORES AND PARKING LOTS?

4. Conduct regular inspections: Perform fall prevention inspections to identify loose mats, uneven flooring, and other trip hazards.

Replace worn items that could cause injuries.

Interested in learning more about risk management strategies for your franchise?

Scan the QR code below to talk to a member of your 7-Eleven® Franchise insurance team today!

Marsh is a business of Marsh McLennan.

Copyright 2025 Marsh LLC. All rights reserved. Marsh USA LLC dba Marsh Risk & Insurance Services in CA, CA License Number: 0437153

2025 ISSUE 1 AVANTI 29

Joe Saraceno FOA’s Trade Show & Golf Tournament Draw Big Crowds The Joe Saraceno FOA pulled off another fantastic two-day event with its Third Annual Trade Show and Second Annual Charity Golf Tournament held March 19-20, 2025. The golf tournament took place at the Brookside Golf Club in Pasadena, while the trade show was hosted at Santa Anita Park in Arcadia. Both events were completely sold out, thanks to strong support from franchisees and vendors.

A total of 152 golfers hit the green on March 19 to support Children’s Hospital Los Angeles, the beneficiary of the tournament’s proceeds. The following day, more than 400 attendees filled the trade show floor, where 80 booths showcased products, services, and innovations aimed at helping 7-Eleven franchisees grow their businesses. The back-to-back success of these events underscored the Joe Saraceno FOA’s commitment to bringing 7-Eleven partners together for both business and philanthropy.

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Stakeholders Tackle Challenges At First Quarter NCASEF Meetings Franchisees, vendors, and SEI leadership kicked off 2025 with a dynamic and collaborative series of meetings focused on strengthening partnerships, tackling challenges, and planning for a stronger year ahead. The NCASEF hosted its First Quarter Affiliate Member and Board of Directors meetings from February 26–28 at the Marriott Resort Puerto Vallarta in Mexico.

The meetings began on a high note with a charity golf tournament on February 25 at the Vista Vallarta

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Golf Club, which raised $11,711 for Children’s Miracle Network Hospitals. With 60 vendors and 30 franchisees participating, Chairman Sukhi Sandhu praised the turnout and encouraged more franchisees to attend future tournaments, stressing the event’s networking benefits.

The Affiliate Member meeting opened with a warm welcome from Chairman Sandhu and Executive Vice Chairman Nick Bhullar. After introductions and a review of the agenda, the Chairman provided a

brief history of the NCASEF and its role in supporting and advocating for franchisees across the country.

A key highlight of the meeting was the update from Naeem Khan on the NCASEF’s 2024 fundraising efforts for CMN Hospitals, which totaled $618,114. Mr. Khan also detailed which local children’s hospitals received donations and how much each received.

The meeting featured breakout workshops that allowed attendees to dive into key areas of concern and

opportunity. Group One focused on the Vault and discussed issues such as item setup, promotional activity, CRPs, and the need for more vendor visits to stores.

Group Two tackled center-store topics like calculated minimums, AI ordering, tier pricing, and increasing order volume at NCASEF and FOA trade shows.

Group Three addressed concerns from new and smaller vendors, especially around gaining access to FOA trade shows and understanding SSIs and NRIs. Group Four examined service provider relationships, emphasizing better communication, franchisee education, and the creation of a database with FOA leadership contact details.

SEI leadership was also in attendance, with Senior Vice Presidents Tom Lesser (Operations Services) and Dennis Phelps (Merchandising-Vault and Proprietary Beverages), Senior Director Bruce Maples (Franchisee Relations and Engagement), and Manager Jim Bayci (Franchise Support) participating.

Mr. Phelps delivered a deep dive into current retail conditions, explaining how inflation and lower consumer spending are affecting sales. He emphasized that increasing unit sales and foot traffic are top priorities and outlined SEI’s strategy, which includes enhancing fresh food offerings, accelerating digital and delivery, and promoting proprietary items. He reviewed promotional plans for P2 and P3, including regional beverage pricing and an exclusive Gatorade flavor, and discussed the continued on page 34

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continued from page 33

success of First, Best & Only items, which brought in over $159 million in 2024. Mr. Phelps also spotlighted the 100 Days of Summer as a key period for traffic and profit growth, and shared that SEI is already working on plans for 7-Eleven’s 100th anniversary in 2027.

The Board meetings that followed over the next two days provided further opportunities for collaboration and discussion. Presentations were delivered

by Anheuser-Busch, PepsiCo, Monster Brewing, Vita Coco, 1440 Foods, CocaCola, and Molson Coors. SEI’s Tom Lesser gave an overview of Operations Services, discussing store audits, asset protection, and the 7Clean program, which now includes a formal inspection dispute process and oversight by Ecosure.

Randy Quinn reviewed January sales trends and the challenges of customer spending declines, while outlining the 2025 OPS Plan, including goals for fresh food growth and backbar improvements.

During Q&A, Board members raised concerns about the AR gap, backbar assortment, fresh food write-offs, and 7Now profitability. There were calls for simpler fresh food programs, better communication through 7Help, and faster beverage equipment repairs.

General Counsel Eric Karp provided an update on SEI’s financial position and reviewed the stalled effort by Seven & i Holdings to take its c-store business private. He also outlined how a potential sale to Couche-Tard could 34

AVANTI 2025 ISSUE 1

affect franchisees, prompting a Board member to propose that the NCASEF develop a plan to prepare for such a scenario.

Committee discussions included Membership/Bylaws, Store Profitability, and Safety and Simplification, where Chairman Sandhu urged franchisees to capitalize on high-margin promotions. The Board also reviewed a new NCASEF organization chart outlining officer roles, committee assignments, and FOA responsibilities.

The February 28 Board session continued with updates from the Accounting, Convention and Entertainment, and Digital/IT/7Now committees. Discussions addressed network issues, accounting errors such as incorrect CRV charges and DMR discrepancies, and how test sales at fuel pumps are affecting merchandise sales reports. Chairman Sandhu raised the importance of educating franchisees on insurance

claims and emphasized the need for the NCASEF to become more active in legislative and public affairs. He proposed hiring both a PR firm and lobbyists to help raise awareness of franchisee issues and promote NCASEF’s work.

General Counsel Eric Karp again discussed the risks and opportunities that could come with a Couche-Tard acquisition of 7-Eleven. Other topics included retail crime, with Chairman Sandhu urging more collaboration with SEI’s Asset Protection team and greater involvement from franchisees in local legislative advocacy.

The First Quarter meetings reflected a strong commitment to collaboration among franchisees, vendors, and SEI leadership.

Through open discussion and a willingness to address tough issues—like profitability, operational challenges, and external threats—NCASEF took meaningful steps toward shaping a more productive year.

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Thank You To Our Tabletop Trade Show Exhibitors To all the vendors who participated in the tabletop trade show following the Affiliate Member Meeting on February 26—thank you for showing up and showing out. Your booths were packed with great products, smart ideas, and real opportunities for franchisees looking to strengthen their businesses. The room was full of energy, and that was because of you.

Events like these work when vendors bring their A-game, and you did exactly that. From new product launches to meaningful conversations, you gave franchisees plenty to take back to their stores. We appreciate your time, your investment, and your ongoing partnership with NCASEF and our FOAs.

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Swinging For The Kids: A Day Of Golf, Giving, And Gratitude

NCASEF extends its heartfelt thanks to all the franchisees, vendors, and sponsors who participated in the Charity Golf Tournament held on February 25, 2025, at Vista Vallarta Golf Club in Puerto Vallarta, Mexico. Your generosity, enthusiasm, and support helped make the event a tremendous success, raising

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$11,711 for Children’s Miracle Network Hospitals.

Whether you played, sponsored, or simply showed up in support, your involvement made a real difference.

We are truly grateful for your commitment to giving back and for helping us start the First Quarter meetings on such a meaningful note.

continued on page 40

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Member News

continued from page 13

regulatory approval. Seven & i recently appointed former Walmart executive Stephen Hayes Dacus as its first American CEO, signaling its intention to prioritize the U.S. market regardless of whether the merger proceeds.

likely face similar scrutiny, making private equity the likeliest buyer.

Seven & I has expressed concerns over the complexity and unprecedented scale of the antitrust measures required for the transaction.

Nevertheless, Couche-Tard has proposed support for divested stores to ensure their sustainability and competitiveness under new ownership.

U.S. consumer sentiment plunged to its lowest level in nearly two and a half years in March, reported Reuters, citing the University of Michi-

Retailers such as Target, Walmart, and CVS have successfully reinvented their private-label brands, transforming them from generic, budget-friendly options into stylish, high-quality offerings that appeal to a broader consumer base, including higher-income shoppers, reported Fast Company. • After restructuring its U.S. operations and making significant changes in its leadership, Lidl is focusing on repositioning itself as a value-driven brand for American shoppers by enhancing its product assortment and improving its online and instore experiences, reported Modern Retail. This strategy includes the introduction of new private label brands and efforts to maintain low prices despite rising inflation. • Walmart had a strong 2024 in terms of sales and profits, capitalizing on inflation-weary shoppers’ focus on low prices, reported the Associated Press.

However, the outlook for 2025 is uncertain due to potential impacts from tariffs and a cautious consumer base, leading to a conservative profit forecast that has affected investor sentiment. • Wells Fargo is removing 178 ATMs from Speedway gas stations across Minnesota, citing decreased usage, proximity to other in-network ATMs, and the growing shift to digital transactions, reported the Star Tribune. • Illegal sales of flavored disposable vapes in the U.S. reached approximately $2.4 billion in 2024, accounting for 35 percent of e-cigarettes sold through specific channels like convenience stores, reported Reuters. Despite efforts by the FDA to curb such sales, other unauthorized products have filled the gap in a market increasingly dominated by illicit goods. • Anheuser-Busch and sports nutrition company 1st Phorm recently announced a partnership to create new energy drinks and beverages, blending Anheuser-Busch’s innovation and distribution capabilities with 1st Phorm’s expertise in the sports nutrition

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Couche-Tard Financials Remain Steady

Buyers Show Interest In Couche-Tard’s Store Divestiture

Alimentation Couche-Tard said there is strong interest from buyers in convenience stores that could be up for sale if it succeeds in its effort to acquire Seven & i Holdings, reported Bloomberg. The deal could potentially lead to the divestiture of approximately 2,000 North American convenience stores, a prerequisite aimed at addressing U.S. antitrust concerns. Filipe Da Silva, CoucheTard’s CFO, said these stores, presenting a national footprint with a strong presence in specific states, have sparked high demand among private equity investors. He stated that selling stores to other U.S. convenience-store operators would

“Couche-Tard said there is strong interest from buyers in c-stores that could be up for sale if it succeeds in its effort to acquire Seven & i Holdings.”

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continued from page 42

Alimentation Couche-Tard has reported solid financial results for Q3 FY2025, with net earnings attributable to shareholders rising to $641.4 million, up from $623.4 million in the same period last year, reflecting a 4.6 percent increase in adjusted diluted earnings per share. The company achieved total revenues of $20.9 billion, a 6.5 percent yearover-year increase, driven by acquisitions and growth in its European wholesale fuel activities, despite challenges such as unusual winter conditions in the U.S. and cautious consumer spending. Its merchandise and service revenues grew by 5.0 percent, supported by strong performance in Canada and Europe, while U.S. figures faced headwinds from adverse weather conditions.

Fuel margins also improved across all regions due to effective supply chain optimization and robust execution at the retail level.

Consumer Sentiment Drops

Joe Saraceno FOA Donates $5,711 to Children’s Hospital LA Members of the Joe Saraceno FOA proudly presented a check for $5,711 to Children’s Hospital Los Angeles, the proceeds from their sold-out charity golf tournament held on March 19 at the Brookside Golf Club in Pasadena. The event brought together 152 franchisee and vendor participants for a day of golf, networking, and giving back to a meaningful cause.

Avanti Is Your Magazine Avanti Magazine was created in 1981 by franchisees, for franchisees. It represents your voice within the 7-Eleven universe and requires your participation to remain relevant to the ideas, information, and knowledge floating about the franchisee community. You can contribute to the success of Avanti Magazine by submitting any of the following: > Articles on any 7-Eleven topic that may be of interest to other franchisees. > Your FOA events and Board meeting calendars. > FOA event photos with a short description (who, what, where, when, and why). > Store or community event photos with captions. > Any combination of the above.

Please send your submissions to avantimag@ncasef.com.

As former National Coalition Chairman Bill Schuessler famously said,

“None of us is as great as all of us together, so let’s stay tightly knit together.”

2025 ISSUE 1 AVANTI 43

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Member News

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industry. The companies plan to launch their first energy product by summer 2025. • The Federal Trade Commission reported that consumer losses to fraud reached $12.5 billion in 2024, a 25 percent increase from the previous year, with the largest losses stemming from investment scams, totaling $5.7 billion, followed by imposter scams at $2.95 billion. • Target is enhancing its food and beverage strategy by focusing on increased reliability and innovation, introducing 600 new items under its Good & Gather brand, and partnering with renowned chefs to bring unique products to its stores, reported Food Business News.

• PepsiCo recently announced that it has entered into a definitive agreement to acquire poppi, a fast-growing prebiotic soda brand, for $1.95 billion. PepiCo stated that this acquisition aligns with its strategy to expand its portfolio with better-for-you options to address growing demand for health-conscious beverage choices. • Kroger is testing a new robot named “Barney” in 35 locations to enhance inventory management by scanning shelves for missing items and ensuring accurate pricing, reported USA Today. The retailer said the robot program will improve efficiency by allowing employees to address stock issues more quickly. • Costco plans to raise the hourly wages for most of its U.S. store employees to over $30, with top-tier workers seeing an increase to $30.20 in the first year and an additional $1 per hour each of the following two years, reported Reuters. • Walmart is increasing annual compensation for market managers to as much as $620,000, from a range of $320,000 to $570,000, to raise retention and recruitment amid a tight labor market, reported the Wall Street Journal. The company also has raised hourly wages by 30 percent in recent years and has introduced a bonus program for hourly employees based on tenure. • Yum Brands, which owns Taco Bell and Pizza Hut, is continued on page 51

gan Surveys of Consumers. The index fell to 57.9 from February’s 64.7, driven by widespread concerns over escalating tariffs and the potential inflationary impact on the economy.

The uncertainty surrounding President Trump’s tariff policies, which fluctuate frequently and affect key trade partners such as Canada, China, and the EU, has left consumers wary of planning for the future. These policies have fueled fears of rising prices, pushing long-term inflation expectations to levels last seen in 1993.

Across political affiliations, Americans expressed pessimism about various economic factors, including personal finances, employment, and business conditions. Compounding the issue, financial markets have been rattled by the ongoing trade tensions, further eroding confidence.

declined as customers face ongoing financial strain. Additionally, middle-income consumers are beginning to shop at Dollar General, a sign of broader financial pressures affecting households across income levels.

Adding to these challenges, tariffs on imported goods, supported

by President Trump’s trade policies, could lead Dollar General to raise prices. This potential move may further burden its already struggling customer base. Analysts are also observing a general slowdown in consumer spending across various retailers, driven by inflation, tariffs, and market instability. High-income households have slightly increased their spending, but working- and middle-class households are cutting back significantly.

Dollar General Customers Squeezed Financially

The Merchants Payments Coalition (MPC) recently highlighted a significant rise in credit and debit card swipe fees, which reached a record-breaking $187.2 billion in 2024, marking a 70 percent increase since the pandemic. These fees, largely dominated by Visa and Mastercard, are now the second-highest operating cost for merchants after labor, adding nearly $1,200 annually to the expenses of an average American family, the organi-

Dollar General recently announced that its core customers are experiencing worsening financial conditions due to persistent inflation and economic challenges, reported CNN Business. Many of these shoppers, who earn under $40,000 annually, are struggling to afford even basic necessities and have had to make sacrifices in essential spending, the retailer said. Inflation, while cooling slightly in February, continues to drive up costs in areas like housing and health care, eroding disposable income. Sales at Dollar General stores rose marginally by 1.2 percent in the last quarter, but foot traffic has

Swipe Fees Soar

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Member News

continued from page 45

zation said. Such costs contribute to inflation and limit businesses’ abil-

“Credit and debit card swipe fees reached a record-breaking $187.2 billion in 2024, marking a 70 percent increase since the pandemic.” ity to invest in communities. In response, the MPC is urging Congress to pass the Credit Card Competition Act (CCCA), a legislative measure designed to promote competition and curb these costs.

The CCCA will also break the Visa-Mastercard duopoly by requiring banks with over $100 billion in assets to enable at least two unaffiliated networks for card transactions. This move is expected to enhance competition, lower fees, and provide savings for merchants and consumers—estimated at over $16 billion annually.

Importantly, the reform will not affect consumer rewards, will improve security, and will allow merchants to choose the most cost-effective networks. With momentum building in Congress, the MPC continues to advocate for a transparent and competitive card system to benefit both merchants and American families.

Walmart Accelerates C-Store Expansion

Big Box retailer Walmart is strengthening its presence in the convenience store industry by opening or remodeling at least 45 fuel centers across the U.S. in 2025 in order to

reach over 450 locations in 34 states, reported C-Store Dive. This development would position Walmart among the top 20 largest c-store retailers nationwide. Historically, Walmart’s c-store operations were closely tied to Murphy USA, which opened stations near Walmart stores. However, following their separation in 2016, Walmart pursued its proprietary gasoline program and expanded independently. With the recent opening of its 400th fuel center in December 2024, Walmart’s continued growth signals its ambition to compete with established players in the c-store market. The specific locations of the new or remodeled stations have not been disclosed yet.

Tariffs Impact Foodservice

The Trump Administration’s implementation of tariffs on U.S. trading partners, coupled with retaliatory measures from those nations, has created significant challenges for foodservice-focused retailers and convenience stores, reported Convenience Store News. These tariffs, particularly on Mexican goods such as fruits and vegetables, are expected to raise costs significantly and squeeze already tight profit margins.

Additionally, retailers must navigate a period of uncertainty, as fluctuating announcements and delayed implementation dates add to the complexity. While some distributors have managed to establish redundant supplies to mitigate the impact, the overall atmosphere remains one of caution and unease. The article states that convenience store operators must plan strategically for the next three years to manage these chal-

lenges effectively.

To adapt, operators are exploring creative solutions, such as shifting focus to less-affected products or adjusting menus and pricing strategies.

Communication with customers will be critical during this period, with clear messaging that avoids perceptions of price-gouging. Building and maintaining customer loyalty is key; offering discounts or loyalty rewards can soften the impact of rising costs and demonstrate goodwill.

Larger operators with strong supplier relationships are likely to fare better, but smaller regional players may face more difficulties. As this situation unfolds, foodservice retailers must prioritize strategic planning and customer retention to weather the economic pressures of the tariff landscape.

Dollar Tree Sells Family Dollar

Dollar Tree has decided to sell Family Dollar for $1 billion to private equity firms Brigade Capital Management and Macellum Capital Management, marking an end to their problematic 2015 $9 billion acquisition, reported CNN Business. Family Dollar, which operates around 8,000 U.S. stores targeting low-income urban shoppers, has struggled with issues like messy stores, high prices, over-expansion, and competition

“Dollar Tree has decided to sell Family Dollar for $1 billion to private equity firms.” continued on page 50

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San Diego FOA Hos Trade Show With The San Diego FOA kicked off 2025 with a successful NFL-themed trade show on January 22 at the Four Points by Sheraton in San Diego. The event drew more than 200 attendees, including franchisees, vendors, and special guests. A total of 64 exhibitors participated, including the San Diego County Sheriff’s Department, adding a unique community engagement element to the show.

Franchisees enjoyed networking with vendors, sampling products, and discussing new business opportunities, all while soaking in

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sts NFL-Themed Strong Turnout the fun football-themed atmosphere. Guests included San Diego Market Leaders Kendall McIntosh and Bobbie King, along with leaders from neighboring FOAs such as Gurmeet Brar (Greater Los Angeles), Nick Bhullar (Southern California), Jatinder “Jay” Brar and Harprit Dhillon (Sacramento Valley), and Tarlocan Singh (Joe Saraceno FOA). To top it off, attendees were treated to a delicious lunch featuring a taco cart by Sabor Mexican Grill & Taqueria and burgers from The Habit Burger Grill.

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Member News

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from retailers like Walmart and Dollar General. Poor management of the acquisition led to underperforming stores and the need for costly renovations. Last year, Family Dollar faced a $41.6 million fine due to safety violations tied to a rodent-infested warehouse. The sale is part of Dollar Tree’s attempt to focus on its own brand while the broader dollar store industry faces challenges from rising costs, inflation, and declining spending among low-income Americans.

rated with C&S Wholesale Grocers to pursue an alternative regulatory strategy. Both companies have faced leadership changes amidst the fallout, with Kroger’s CEO resigning under scrutiny and Albertsons preparing for a new CEO. The countersuit seeks compensation for Kroger’s investment in regulatory approvals, while Albertsons maintains that Kroger failed to uphold its obligations under the merger agreement.

Casey’s Says Sales Are Up

Kroger Countersues Albertsons Over Merger Fallout

Kroger recently filed a countersuit against Albertsons, intensifying the legal dispute that followed the collapse of their $25 billion merger proposal in December 2024, reported Reuters. The merger was terminated after regulators blocked the deal, citing concerns about reduced competition, higher prices, and weakened union leverage. Albertsons initially sued Kroger, demanding billions in damages and a $600 million termination fee, but Kroger dismissed these claims as baseless. In its countersuit, Kroger accused Albertsons of misconduct, alleging that the rival shifted focus to litigation instead of advancing the merger and collabo50

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Casey’s General Stores reported solid financial performance for the third quarter ending January 31, 2025, revealing growth in both inside sales and fuel operations. Earnings per share and net income remained flat year-over-year at $2.33 and $87.1 million, respectively, while EBITDA rose by 11.4 percent to $242.4 million, driven by higher gross profits from inside sales and fuel. Inside sales saw a 15.3 percent total increase, supported by prepared food and beverages like hot sandwiches and bakery items, while fuel sales experienced a 20.4 percent volume growth attributed to store expansion, including 228 new locations from the Fikes acquisition. Same-store inside sales grew by 3.7 percent, and same-store fuel gallons increased by 1.8 percent. Despite these advancements, operating expenses rose by 18 percent due to costs associated with new stores and the Fikes deal.

With $1.3 billion in liquidity, Ca-

sey’s plans to add approximately 270 stores this fiscal year and projects an 11 percent EBITDA increase.

Walmart’s Valuation Drops

Walmart has experienced a significant valuation loss of $22 billion following a drop in consumer confidence in the U.S., which has reached a 12-year low, reported Fortune.

CEO Doug McMillon warned of shifting consumer behaviors during a February talk, noting that budget constraints are leading shoppers to opt for smaller pack sizes as financial stress increases. Amid fears of inflation and economic uncertainty, the Conference Board revealed that the consumer confidence index fell to 65.2, far below the recession threshold of 80, marking its fourth consecutive decline. Despite Walmart’s growth in the previous quarter, its forecasts for profit and revenue growth are subdued, indicating ongoing challenges. McMillon and CFO John Rainey said it will be important to manage through the uncertainty while remaining cautious about the long-term economic environment. This comes as Amazon surpasses Walmart in quarterly revenue for the first time, adding competitive pressure to an already challenging landscape.

Inflation Impacting Consumer Behavior

Consumers are increasingly adopting cost-saving measures in the face of rising inflation, according to a survey by Modern Retail and Attest.

Among nearly 1,000 respondents, 42 percent believe inflation is increasing significantly, while 31 percent think

Member News

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partnering with Nvidia to implement AI-driven voice-ordering systems at drive-throughs and on phones in order to enhance efficiency and boost sales, reported The Wall Street Journal. • Coca-Cola recently introduced hydrogen-powered vending machines, co-developed with Fuji Electric, set to debut at the World Expo 2025 in Osaka, Japan, reported Hydrogen Central. These machines use replaceable hydrogen cartridges to fuel a chemical reaction for electricity generation, enabling them to operate without a power outlet and be installed in remote locations. • New research by Westrock Coffee reveals that nearly a third of U.S. coffee and tea drinkers are seeking beverages with functional ingredients offering health benefits, such as adaptogens for cognitive enhancement and probiotics for gut health. • Amazon is consolidating the corporate teams behind its Amazon Go convenience stores and Amazon Fresh grocery business due to challenges in maintaining profitable physical retail operations, reported C-Store Dive. • McDonald’s is restructuring its operations to speed up product development and technological integration in response to slow innovation and a challenging fastfood environment, reported The Wall Street Journal. The company said recent efforts to develop new sandwiches, including to upgrade McDonald’s signature burgers, have taken too long. • CVS experienced an overall 0.6 percent yearover-year increase in visits and a 2.9 percent rise in average visits per location during Q4 2024, indicating that store closures from 2022 to 2024 effectively enhanced foot traffic to its remaining locations, reveals a new Placer.ai report. • U.S. border officials say there has been a sharp 48 percent increase in seizures of raw eggs, driven by soaring egg prices linked to the severe bird flu outbreak that’s impacted over 168 million birds and significantly strained egg sup-

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it’s rising moderately. These perceptions are reflected in spending habits, with 52 percent of shoppers switching to cheaper brands and 48 percent delaying major purchases. Grocery and food expenditures top the list of cutbacks, followed by clothing and subscriptions. Additionally, 28 percent are relying on credit or taking on debt, and 38 percent report that their budget only covers essentials, leaving nothing for extras. This cautious attitude is affecting retail strategies as executives grapple with consumer stress and uncertainty, which are also influencing in-store experiences and purchasing decisions.

“Consumers are increasingly adopting cost-saving measures in the face of rising inflation.

C-Stores Become Food Destinations

Convenience stores have evolved into formidable competitors in the foodservice industry by growing their offerings beyond traditional snacks and drinks, reported Perishable News. They are now focusing on freshly prepared foods, readyto-eat meals, and beverages, which has significantly boosted in-store sales. Between 2022 and 2023, c-stores experienced an impressive 8 percent growth in sales, surpassing inflation rates for food both at and away from home. While sales softened slightly in 2024, two-thirds of c-store retailers remain optimistic about further growth in 2025. The lines between grocery stores, quick-service restaurants, and c-stores are blurring, driving these establish-

ments to enhance their food menus, introduce private-label products, and invest in loyalty programs to attract repeat customers. Major food manufacturers are also capitalizing on this trend by acquiring brands to better penetrate the c-store market.

Consumers Snacking More

An impressive 91 percent of consumers snack daily, with 61 percent indulging twice a day and 31 percent snacking three times daily, according to Mondelēz International’s 2024 State of Snacking report.

Additionally, 62 percent of respondents prefer smaller meals scattered throughout the day instead of large, traditional meals. Mindful snacking is becoming more prevalent, as 96 percent of consumers report focusing on the sensory experience of their snacks. Indulgent snacking, however, remains popular, with 76 percent saying they enjoy these snacks without overanalyzing the ingredients.

Adventurous snacking is also on the rise, with 75 percent of consumers expressing excitement about discovering new snacks. These preferences are driving changes in the alternative snacks category, including increased demand for protein-enriched prod-

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Member News

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ucts like beef jerky and energy bars, as consumers seek healthier options in their daily routines.

Tech Powers C-Store Boom

The global convenience and mom-and-pop stores market is projected to experience substantial growth, with its value expected to rise from $1,289.14 billion in 2024 to $2,045.14 billion by 2029, growing at a CAGR of 9.1 percent, according to a report by the Business Research Company. This expansion is driven by advancements in data analytics and technolo-

gy, which streamline supply chain processes and enhance customer loyalty, along with the increasing popularity of unstaffed convenience stores utilizing AI and mobile technology. Additionally, trends such as investment in IoT solutions, automation, robotics, and digital platforms are reshaping store management and operational efficiency. Key regions like Asia-Pacific and Africa are leading this growth, supported by factors such as urbanization, franchising models, extended store hours, and consumer preferences for local shopping. Prominent players like Seven & I Holdings, Carrefour, and FamilyMart are at the forefront of innovation within this evolving market landscape.

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Candy Sales Trend Upwards

U.S. confectionery sales reached $54 billion in 2024, dominated by chocolate ($28.1 billion), non-chocolate candy ($21.7 billion), and gum ($4.4 billion), according to the 2025 State of Treating report published by the National Confectioners Association (NCA). Non-chocolate candy showed the highest growth at 4.9 percent, with chocolate and gum at 0.4 percent and 1.9 percent, respectively, despite unit sales declining across all categories. Non-chocolate candy sales have surged by nearly 70 percent since 2019 and are projected to hit $27 billion by 2029.

Seasonal sales during Valentine’s Day, Easter, Halloween, and winter holidays accounted for 62 percent of sales. The NCA’s report also reveals that there’s growing interest in better-for-you confectionery items, like dark chocolate and reduced sugar options, though only 10 percent purchase them frequently. Packaging innovations and variety in pack sizes

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ply chains nationwide, reported NPR. Meanwhile, fentanyl interceptions have dropped to their lowest levels in three years. • Family Express is launching its first modularized convenience store prototype in Ligonier, Indiana, as part of a $100 million initiative to develop new locations across the state, reported CSP Daily News. These prefabricated stores—featuring upscale masonry designs, full kitchens, and car washes—are designed to accelerate construction timelines and mitigate weather-related delays. • Rutter’s is introducing a new 21+ Bar and Lounge concept inside its convenience stores with amenities like a wide selection of adult beverages, over 20 large HD TVs for sports, live sports tickers, and five video gaming terminals.

The first two locations, opening this spring in Johnstown and Milton, Pennsylvania, will combine these entertainment features with classic c-store offerings. • Coffee prices have surged to record highs recently, reaching $7 per pound in January 2025, due to poor growing seasons in major coffee-producing countries like Brazil and Vietnam, coupled with increased global demand, particularly in China, reported Reuters. • Struggling pharmacy chain Walgreens recently agreed to be acquired by private equity firm Sycamore Partners for nearly $10 billion, potentially granting the company more flexibility to execute a turnaround strategy, reported the Associated Press. The deal follows efforts to streamline operations, including closing underperforming stores and reducing its healthcare business. • Walmart recently launched a program where verified customers can receive products at their homes, test them, and provide feedback to suppliers, benefiting both vendors and the retail giant, reported Modern Retail. This initiative, part of Walmart’s insights platform Walmart Luminate (soon to be renamed Scintilla), will help suppliers understand customer prefer-

Member News also appeal to consumer needs for portion control. Despite economic pressures, confectionery remains a valued indulgence.

ences and improve product offerings. • Celsius recently acquired energy drink brand Alani Nu for $1.8 billion in cash and stock, expanding its product portfolio to compete with major players like Red Bull and Monster in the growing energy drink market. The acquisition, set to close in the second quarter of 2025, positions Celsius to capture a 16 percent market share in the $23 billion energy drink industry. • Pilot plans to expand its electric vehicle charging network to 500 locations with 2,000 charging stations by 2026, building on its current operations at 130 travel centers through a partnership with General Motors. • Shoppers choose self-checkout for various reasons, the top one being speed, according to report by NCR Voyix Corporation. Seventy-seven percent of shoppers prefer self-checkout because it’s faster than staffed checkout. Over one-third of shoppers (36 percent) prefer self-checkout because it has shorter lines, while 43 percent prefer to bag their items. • Hospitalizations and deaths linked to foodborne illnesses surged in 2024, with 98 percent of cases traced back to just 13 outbreaks, reveals a new report by the U.S. Public Interest Research Group.

Last year saw 1,392 foodborne illnesses reported in the U.S., a rise from 1,118 in 2023. • Anheuser-Busch CEO Brendan Whitworth recently urged distributors and partners to replace the term “domestic” with “American” when marketing the company’s beer, arguing that it better represents the pride and spirit of American-made products, reported Fox Business. • Cannabis-infused beverages—made with THC derived from hemp—are growing in popularity due to their novelty, fewer aftereffects compared to alcohol, and appeal to a wider demographic, such as middle-aged parents seeking an alternative buzz, reported the Washington Post. • Over the past six months, 53 percent of frontline employees have dealt with unruly, threatcontinued on page 57

“U.S. confectionery sales reached $54 billion in 2024, dominated by chocolate ($28.1 billion), non-chocolate candy ($21.7 billion), and gum ($4.4 billion).”

U.S. C-Store Count Dips Slightly

The number of convenience stores in the U.S. is currently 152,255— marking a slight 0.1 percent decrease from the previous year, as revealed by the 2025 NACS/NIQ TDLinx Convenience Industry Store Count.

Despite this decline, the number of stores offering fuel increased by 1.5 percent, now comprising 121,852 locations and accounting for approximately 80 percent of the nation’s fuel sales. Small-scale operators dominate the industry, with 95,946 stores representing 63 percent of the total, while large operators with over 500 stores make up 22.4 percent. Texas leads the count with 16,416 stores, followed by California with 12,169 and Florida with 9,732. With the U.S. population at an estimated 340 million, there is one convenience store per every 2,233 people.

Wing Takes Flight

Wing, the drone delivery subsidiary of Google’s parent company Alphabet, is redefining the logistics

landscape with its innovative delivery system and plans to make drone deliveries mainstream by 2035, reported Yahoo Finance. Operating since 2012, Wing has completed over 400,000 deliveries across the U.S., Europe, and Australia, with current testing in Texas, Virginia, and California. The service uses drones equipped with tether systems for seamless pickups and drops, and real-time tracking for customers. Partnering with Walmart and DoorDash, Wing delivers lightweight items under 2.5 pounds swiftly, averaging three-minute flights, and targets the “forgotten goods” segment like grocery essentials. While challenges like daytime delivery restrictions and limited range persist, Wing’s strategic partnerships and efficient logistics software hint at its future scalability.

Analysts see Wing as a vital piece of Alphabet’s broader transportation vision, forecasting growth in the drone delivery market from $830 million in 2025 to $2.09 billion by 2030.

Wawa Targets Big Growth In Virginia

Wawa announced plans to add up to 60 new stores across Virginia over the next decade, focusing heavily on expanding into the western part of the state along the Interstate 81 corridor. The first new locations, in Staunton and Lynchburg, are expected to open this fall, with six to eight stores anticipated this year alone. This is part of Wawa’s broader multistate expansion strategy, as the company—now operating around 1,100 stores—aims to reach 1,800 locations by 2030. Wawa currently has more than 100 stores concentrated in Virginia’s Richmond, Virginia Beach, and coastal areas.

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Legislative Update Colorado Moves To Regulate Swipe Fees

The Colorado House of Representatives recently passed a groundbreaking bill that will reform the way payment card networks handle swipe fees, marking it as one of the most comprehensive state-level measures on the issue this year, reported NACS Daily.

The legislation, which received bipartisan support, targets several controversial practices by networks like Visa and Mastercard, including prohibiting fee schedules for card issuers and charging swipe fees on taxes or gratuities. Additionally, it

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addresses anti-competitive practices by requiring card-issuing banks to compete for merchant business in a free-market manner. The bill also limits fees on charitable donations made via credit or debit cards and seeks to ensure that merchants are not charged fees for disputed transactions unless fraud is proven.

This measure, which must now pass the State Senate and be signed by the governor, mirrors similar

“THE COLORADO HOUSE OF REPRESENATATIVES RECENTLY PASSED A BILL THAT WILL REFORM THE WAY PAYMENT CARD NETWORKS HANDLE SWIPE FEES.”

legislation passed in Illinois last year. Nationally, swipe fees have become a growing expense for retailers, with fees totaling $187.2 billion in 2024 alone, a significant increase from the previous year. The Merchants Payments Coalition has backed these reforms to introduce competition into the swipe fee market, while the NACS continues to advocate for federal-level action through the Credit Card Competition Act. Colorado’s proposed legislation could pave the way for wider state and national efforts to address the financial burden

Case cost $15.96/cs (12ct.) and SRP $2.79 and/or 2/$5 Questions on distribution and DSD providers?

Email Scott Linke at scott.linke@drinkpoppi.com

Legislative Update swipe fees place on businesses and consumers alike. continued from page 53

ening, or verbally abusive behavior from customers, as revealed in a recent report by Perceptyx. The findings show that these encounters adversely affect employee well-being, morale, and productivity. • Nearly half (49 percent) of Americans say they plan to drink less alcohol in 2025, a 44 percent increase since 2023 and further proof the sober curious movement continues to gain momentum, according to a new NCSolutions survey. • A recent NACS Consumer Survey revealed that only 36 percent of consumers favored eliminating the penny without prior context; however, when informed that producing a penny costs over three cents, 73 percent found this a compelling reason for abolishing it. • Coresight Research predicts that the U.S. could see approximately 15,000 brick-and-mortar store closures in 2025, surpassing the 7,325 closures recorded in 2024, which marked the highest since the pandemic. Factors such as inflation, the shift to online shopping for better deals, and consumer dissatisfaction with disorganized or poorly stocked stores are driving this trend. • DoorDash recently expanded its offerings to include hemp-derived THC and CBD products for on-demand delivery in select U.S. states, allowing eligible customers to order items like beverages, gummies, and topicals through the app. • Campus foodservice supplier Sodexo is expanding its “Food Hive” markets to nearly 100 college campus locations by 2026, offering technology-driven, unattended convenience stores with self-checkout and cashless payment options to meet Gen Z’s demand for speed, health-conscious choices, and local sourcing. • The Enerbase Cooperative in Minot, North Dakota, recently opened the Midwest’s first convenience store to feature Ama-

MD & WA To Ban Swipe Fees On Sales Tax

State lawmakers in Washington and Maryland have proposed legislation that would ban credit card companies from charging swipe fees on sales tax, reported The Center Square. Maryland’s proposed House Bill 29, introduced by delegates from both parties, would eliminate swipe fees on sales tax, which amounted to $156.9 million in costs for Maryland retailers in 2023. Similarly, Washington’s Senate Bill 5070 seeks to address swipe fees on sales tax, which totaled $384 million for state businesses last year.

Washington’s bill goes a step further by banning swipe fees on tips and disallowing employers from deducting credit card processing costs from their employees’ tips.

These efforts mirror Illinois’ Interchange Fee Prohibition Act, which faced legal challenges but is viewed as a model for reducing financial burdens on businesses.

“STATE LAWMAKERS IN WASHINGTON AND MARYLAND HAVE PROPOSED LEGISLATION THAT WOULD BAN CREDIT CARD COMPANIES FROM CHARGING SWIPE FEES ON SALES TAX.”

Youth Employment Bills Reintroduced

Senators Tammy Duckworth, Dick Durbin, and Representative Robin Kelly recently reintroduced two

bills—the HERO for Youth Act and the AID Youth Employment Act— that seek to increase employment opportunities for underserved youth in economically distressed areas.

The HERO for Youth Act would provide a Work Opportunity Tax Credit (WOTC) of up to $2,400 for businesses that hire and train youth ages 16 to 24 who are out of school and out of work, and youth ages 16 to 21 that are currently in foster care or have aged out of the system. The legislation would expand the summer youth program under WOTC, which provides a tax credit to businesses that hire for summer employment youth ages 16 to 17 who are enrolled in school and live in highly distressed rural and urban communities known as Empowerment Zones, by doubling the amount of the credit to $2,400 and expanding the program to include year-round employment.

The AID Youth Employment Act will make it easier for local governments and community organizations to apply directly for federal funding to create and expand summer and year-round employment programs for young people. The measure would establish a five-year competitive grant program for youth summer employment that also incorporate access to trauma-informed mentorship as well as job coaches.

The program would provide planning grants of up to $250,000 for 12 months or implementation grants of up to $6 million over three years.

The HERO for Youth Act has been endorsed by National continued on page 58

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Legislative Update continued from page 57

Grocers Association, National Small Business Association, National Recreation and Park Association, National Association of Convenience Stores, National Youth Employment Coalition, Young Invincibles, Food Industry Association, and Youth Guidance.

The AID Youth Employment Act has been endorsed by Young Invincibles, Youth Guidance, and Chicago Urban League.

NY Sues E-Cig Makers

New York State has initiated a legal battle against the e-cigarette industry to address the rise in youth vaping, reported Convenience Store News.

Attorney General Letitia James recently filed a lawsuit against 13 companies—including manufacturers, distributors, and retailers—accusing them of marketing and selling flavored disposable vapes to minors.

These products, often candyand fruit-flavored, have gained popularity among underage users despite the health risks and legal restrictions. The lawsuit claims these companies employ deceptive advertising strategies, including social media campaigns and influencer endorsements, to target young consumers.

Investigations by the Attorney General’s Office revealed that the companies violate federal and state regulations, such as the ban on flavored vapor products and the legal age limit for purchasing vapes. Furthermore, the lawsuit

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seeks financial penalties, damages, and the creation of an abatement fund to combat the youth vaping crisis.

Bill Would Extend SNAP Benefits To Hot Foods

A bipartisan group of U.S. lawmakers recently reintroduced the Hot Foods Act, which would permanently allow Supplemental Nutrition Assistance Program (SNAP) recipients to purchase hot, prepared meals like rotisserie chickens and soups, reported NACS Daily. Presently, SNAP restricts benefits to food items that require preparation at home. The proposed change will align SNAP policies with current consumer habits and provide greater convenience and flexibility for low-income families, single parents, seniors, and individuals with disabilities. Advocates argue that this measure will help reduce food insecurity for the over 42 million SNAP participants, of whom nearly 70 percent are children, elderly, or disabled. The legislation has garnered widespread support, with 78 original co-sponsors in the House and 10 in the Senate, and has been hailed as a “commonsense solution” to make nutritious, convenient food options accessible to all.

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zon’s “Just Walk Out” technology, allowing customers to make contactless payments seamlessly. The store also preserves traditional services like staff assistance for tasks such as pumping gas and cleaning windshields, merging high-tech convenience with personalized customer care. • Despite the common belief that restaurant menus are shrinking, menu sizes across most segments— except fine dining—have actually grown over the last two decades, with fast casual seeing the most dramatic increase at 33 percent, according to a Datassential analysis. • The FDA recently banned Red Dye No. 3 in food, beverages, and drugs due to its link to cancer in male laboratory rats, a decision that consumer advocates have long urged, reported the New York Times. Despite the ban, the FDA downplayed the risks to humans, stating that no similar cancer risks have been found in other animals. • Gas Express, the largest Circle K franchisee in the U.S., has teamed up with Lula Commerce to enhance third-party delivery capabilities for its 180+ stores. This collaboration simplifies operations by integrating platforms like DoorDash and Uber Eats in order to make them easier to manage, digitizing menus, managing inventory, and improving customer engagement. Lidl is introducing its new Special Guest bakery program featuring limited-time baked goods and launching the Butcher’s Specialty private label meat brand to offer customers more premium yet affordable options. These initiatives will debut at Lidl’s new Brooklyn store opening May 23 on Fulton Street, with additional locations planned in Crown Heights and Park Slope. • Starbucks’ recent focus on enhancing the experience—including coffeehouse bringing back free refills for hot and iced brewed coffee and tea—has helped encourage customers to stay longer, with early data showing hot brewed coffee as the top choice for refills nationwide, reported USA Today.

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SEI NEWS 7Now To Reach $1B Sales Milestone

SEI is confidently targeting $1 billion in sales through its 7Now delivery platform by early 2026, building on years of investments in operational efficiency, fresh food offerings, and membership incentives, reported C-Store Dive.

Initially launched in Dallas in 2017, the platform has now expanded to over 40 major cities with around-theclock availability. Notably, 7Now achieved an average delivery time of approximately 28 minutes in the first three quarters of 2024, positioning itself among industry leaders. The platform also features a subscription option called 7Now Gold Pass, priced at $5.95 per month, which provides members with free delivery on all orders.

The success of 7Now is evident in customer spending habits, with average orders nearing $16— roughly 70 percent higher than typical in-store purchases. To drive further adoption, SEI consistently promotes exclusive app-based deals and events, including campaigns like the free large pizza offer during last year’s Super Bowl. Additionally, the service significantly boosts fresh food sales, with fresh and proprietary items such as taquitos, Slurpees, Big Gulp sodas, pizza, and wings accounting for 25 percent of the platform’s top-selling products.

“SEI is confidently targeting $1 billion in sales through its 7Now delivery platform by early 2026.”

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7-Eleven Shines In Category Excellence Awards

7-Eleven Inc. emerged as a notable winner in Convenience Store News’ inaugural Category Excellence Awards, which highlight exceptional collaborations between retailer category managers and their supplier partners. Recognized for their innovative efforts, Steve Rosati, SEI’s Packaged Bakery Category Manager, collaborated with The J.M. Smucker Co. to drive advancements in exclusive product production. Additionally, Chris Johnson, Senior Tobacco Category Manager, partnered with The Hershey Co. to achieve outstanding results under the Overall Partnership Excellence category. By honoring such achievements, the awards program spotlights how collaboration in the convenience retail industry can pave the way for enhanced customer offerings and operational success.

Ruiz Foods Named Top Food Service Supplier

SEI recently honored Ruiz Food Products Inc. as its Food Service Supplier of the Year for their exceptional commitment to quality and innovation.

The company said Ruiz Foods, the largest frozen Mexican food manufacturer in the U.S., has been instrumental in product development and collaborative strategies that enhance 7-Eleven’s food service offerings. This recognition coincides with Ruiz Foods’ national advertising campaign that highlights their El Monterey brand as a convenient yet memorable meal option for busy consumers. The campaign has boosted brand awareness and driven growth in the frozen Mexican food category.

DePinto Honored For Veteran Support

Joe DePinto, CEO of 7-Eleven, was recently awarded the prestigious 2025 Sam Johnson Defender of Freedom Award, an honor that recognizes Dallas-Fort Worth area leaders for their outstanding support of veterans and their families, reported C-Store Decisions. During a ceremony in Fairview, Texas, hosted by the National Defense Briefing Series (NDBS), DePinto expressed gratitude for being associated with Congressman Sam Johnson, a decorated Air Force fighter pilot, POW, and U.S. Congressman for over 65 years. The ceremony also included an inspiring fireside chat between DePinto and his West Point classmate, Dr. Mark Esper, adding a personal touch to the event. DePinto’s commitment to veteran causes extends beyond his corporate role; he serves as a Civilian Aide to the Secretary of the Army and actively participates on boards such as the Global War on Terrorism Memorial Foundation.

Charles Daniels, President of NDBS, said DePinto’s contributions embody the principles of the award.

2025 Brands With Heart Participants Announced

SEI recently announced the 26 brands selected for the 2025 “Brands with Heart” showcase, em-

SEI NEWS phasizing sustainability, health, and social impact. The program provides emerging brands with mentorship, learning sessions, and an opportunity to enter the retail market through 7-Eleven, Speedway, and Stripes stores across the U.S. The brands chosen demonstrate a commitment to creating positive changes for people and the planet, offering products like eco-friendly packaging, health-conscious snacks, and fair trade beverages The brands featured in the 2025 showcase include Austin Pretzel Company, Barcode, Bear n Beaver,

“Brands with Heart provides emerging brands with an opportunity to enter the retail market through 7-Eleven, Speedway, and Stripes stores.”

Daily Crunch, David, Earthside Farms, El Nacho, Fancypants, Freezecake, Heywell, Just Iced Tea, Krack Corn, Local Weather, Magic Spoon, Moon Cheese, OMG Pretzels, Prime Bites, Protein Wafer, Rotten, Smash’d, Sow Good, Spicy Candy Bar, Tip of the Iceberg (Culinary Treats), Toto, Tru, and Unreal.

DePinto Steps Down From Seven & i Board

SEI CEO Joseph DePinto recently resigned from the board of Seven & i Holdings, after serving as a director since 2005, reported C-Store Dive. DePinto will continue his role as CEO amidst significant developments, including a contested takeover attempt by Alimentation Couche-Tard. Couche-Tard’s escalating bids were previously reject-

ed by Seven & i for undervaluing the company. Meanwhile, Stephen Dacus has been appointed to succeed Ryuichi Isaka as Seven & i’s CEO, effective May 2025. The takeover discussions include strategic options like U.S. store divestitures to address antitrust concerns, while 7-Eleven explores an initial public offering in the United States. These leadership changes and ongoing negotiations reflect the company’s efforts to address potential acquisition and regulatory challenges.

SEI Shuffles Executive Team

SEI recently reshuffled several top executives in merchandising and franchising, marking significant role changes ahead of its anticipated North American IPO and potential merger with Alimentation CoucheTard, reported C-Store Dive. Tom Lesser transitioned from SVP of operations services to SVP of operations for franchised stores, replacing Randy Quinn, who now oversees merchandising for vault and proprietary beverages. Dennis Phelps shifted from beverages to center store and field merchandising, a role previously occupied by Jasmeet Singh Chawla, who is now in a newly created position leading merchandising for tobacco and services. These changes reflect an ongoing strategic reorganization within the company, coinciding with parent company Seven & i Holdings appointing Stephen Dacus as its new CEO, and the departure of 7-Eleven CEO Joseph DePinto from Seven & i’s board.

SEJ Boosts Overnight Security

Seven-Eleven Japan is implementing stronger security measures as labor shortages in Japan force more stores to operate with single employ-

ees during overnight hours, reported Kyodo News. A new system will allow employees to remotely control store access by using sensors to detect customers at entrances.

Additional safety features, like partitions at cash registers, will prevent violence against staff. These changes come as convenience stores face increased risks, including robberies, emergencies, and staff welfare concerns. To address these challenges, SEJ is also limiting solo overnight operations to specific hours.

SEJ’s Fresh Bread Initiative

Seven-Eleven Japan is planning a significant upgrade to its convenience stores by introducing in-store bread baking, reported Sora News 24. The 10-billion-yen ($67.7 million USD) project will equip half of its 20,000 stores across Japan with ovens capable of baking a variety of bread, including both sweet and savory options like melon bread and curry buns. Currently, baked goods are produced in central kitchens and distributed, but this change will provide fresher offerings while boosting the company’s financial performance. The initiative also

“Seven-Eleven Japan is introducing in-store bread baking at half of its 20,000 stores across Japan.” comes at a time when rising rice prices are affecting the affordability of traditional convenience store items like rice balls and bento. The in-store baking is set to start in February of next year.

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Vendor FOCUS Electrolit Pink Grapefruit EXCLUSIVELY At 7-Eleven Electrolit—your premium rapid hydration sports drink formulated with pharmaceuticalgrade ingredients—recently debuted their NEW flavor, Pink Grapefruit, at 7-Eleven ONLY with an exciting FREE FILL offer to get you started.

Bold, zesty, and refreshing, Pink Grapefruit is the ultimate way to refresh your beverage assortment and captivate 7-Eleven shoppers.

Founded in Mexico in 1950, Electrolit’s scientific formula offers an optimal balance of electrolytes to combat dehydration.

Magnesium, Sodium, Potassium, and Calcium work together to hydrate the body and boost recovery from an intense workout, a rigorous workday, a high-energy social event, or simply feeling run down.

As the #2 selling sports drink brand at 7-Eleven, Electrolit is a trusted choice for quality and innovation across 19 delicious flavors. Don’t miss the opportunity to stock this summer sensation early and elevate your lineup—science-backed, flavor-packed, and ONLY at 7-Eleven.

Mini Melts & 7-Eleven Team Up On New Flavor Mini Melts USA, the leader in premium beaded ice cream, has teamed up with 7-Eleven, Inc. to unveil an exclusive new flavor inspired by the Blue Raspberry flavored Slurpee drink. Capturing the nostalgia of the beloved frozen beverage in a fun, beaded ice cream format, the new Mini Melts Slurpee Blue Raz offers consumers a whole new way to enjoy their favorite treat while on-the-go.

Launching in early Summer 2025 just in time for peak ice cream and Slurpee drink season, Mini Melts Slurpee Blue Raz will be available at participating 7-Eleven, Speedway and Stripes locations nationwide. With its refreshing, fruity flavor and signature Mini Melts beaded texture, the new flavor is designed to be a crowd-pleaser during the warm summer months.

7-Eleven exclusive Mini Melts Slurpee Blue Raz will launch this summer.

Bota Box Breeze Becomes Official Wine Partner Of PPA Tour

New Electrolit Pink Grapefruit is a 7-Eleven exclusive flavor.

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Bota Box Breeze has partnered with the Professional Pickleball Association (PPA Tour) and will become the Official Wine Partner of the 2025 Carvana PPA Tour.

Featuring the world’s top professional pickleball players and attended by more than 320,000 spectators, the 2025 Carvana PPA tour is the U.S.’s largest and most prestigious pickleball circuit. Bota Box Breeze will be served at all 20+ tour stops with tasting opportunities for players and fans.

Launched in 2021 as an extension of Bota Box, America’s favorite premium wine in alternative packaging*, Bota Box Breeze quickly vaulted to the top of the U.S.’s light wine category*. Today the brand offers six wines in two formats: 3-liter box and 500-ml. (*Source: Circana, Total U.S. Mult-Outlet + Convenience, 52 weeks ending 1/26/25)

Bota Box Breeze offers six wines in two formats: 3-liter box and 500-ml.

Vendor FOCUS New Trolli Gummi Pops & Butterfinger Ice Cream Candy Bars Wells Enterprises, in collaboration with Ferrara & Ferrero North America, is proud to introduce two exciting innovations designed to attract new customers and boost frozen category sales—Trolli Gummi Pops and Butterfinger Ice Cream Candy Bars. These unique offerings respond directly to growing consumer demand for novel textures, indulgent snacks, and onthe-go convenience.

Trolli Gummi Pops are a first-of-their-kind product in the freezer aisle. Known for its quirky and irreverent

personality, Trolli brings its iconic Sour Brite Crawlers to frozen novelty with 2-in-1 sour-punched cherry and lemon flavors and a soft, gummi texture that mimics the beloved candy. This innovation especially appeals to Gen Z consumers, who seek multi-sensory experiences and unexpected formats.

The Butterfinger Ice Cream Candy Bar transforms the classic candy bar into a craveable frozen treat. Combining real ice cream with Butterfinger’s crispety, crunchety, peanut buttery flavor, it delivers a layered texture experience that indulgence-seeking consumers love.

With consumer interest in premium frozen snacks growing 20 percent year-over-year, these products offer a powerful opportunity to increase basket size and drive repeat visits. Stock your freezers today!

Increase your frozen treats sales with Trolli Gummi Pops and Butterfinger Ice Cream Candy Bars.

Stock Up On Blue Moon Extra Introducing Blue Moon Extra, an amplified version of the classic Belgian White Wheat Ale. This new brew maintains the signature flavors of Valencia orange peel and coriander but boasts a higher alcohol content of 8 percent ABV, compared to the original’s 5.4 percent ABV. Available nationwide since March 3, Blue Moon Extra is offered in 19.2-ounce cans, catering to the growing popularity of this format among craft beer enthusiasts. This release provides fans with a bolder option that retains the beloved flavor profile without being overly hop-forward.

Blue Moon Extra maintains the signature flavors of Valencia orange peel and coriander but with a higher alcohol content.

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SWEDISH FISH Glow Ups 6.7 oz.

86%

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Source 1: Bases Quick Predict #218301, 18 Dec 2023

ARTIFICIALLY FLAVORED

© Mondelēz International group

FOA

EVENTS continued from page 66

South Texas FOA

Greater Oregon FOA

San Diego FOA

Canyon Golf Course San Antonio, Texas June 12, 2025 Phone: 623-533-2485

Pumpkin Ridge Golf Course North Plains, Oregon August 4, 2025 Phone: 503-516-3483

Alesmith Brewing Company San Diego, California October 2, 2025 Phone: 619-713-2411

Trade Show

Charity Golf Tournament Canyon Golf Course San Antonio, Texas June 13, 2025 Phone: 623-533-2485

San Francisco/ Monterey Bay FOA Annual

Charity Golf Tournament

Cinnabar Golf Course San Jose, California June 17, 2025 Phone: 408-203-1039

Annual Trade Show

Paradise Ballrooms: Banquet Hall & Event Center Fremont, California June 18, 2025 Phone: 408-203-1039

Rocky Mountain FOA Charity Golf Event

Green Valley Ranch Golf Club Denver, Colorado June 26, 2025 Phone: 719-661-1048

Golf Tournament

Trade Show

Pumpkin Ridge Golf Course North Plains, Oregon August 5, 2025 Phone: 503-516-3483

San Diego FOA Family Picnic/ Trade Show

Four Points by Sheraton (Pavilion) San Diego, California August 7, 2025 Phone: 619-713-2411

Keystone FOA Trade Show

Live! Casino and Hotel Philadelphia, Pennsylvania August 12, 2025 Phone: 609-353-7872

San Diego FOA Day At The Races

Del Mar Thoroughbred Club Del Mar, California August 22, 2025 Phone: 619-713-2411

Trade Show

Arapahoe County Fairgrounds Event Center Aurora, Colorado June 27, 2025 Phone: 719-661-1048

Columbia Pacific FOA Golf Tournament

McNary Golf Club Keizer, Oregon July 9, 2025 Phone: 503-998-5941

Chicagoland FOA Annual Picnic

Venue TBD July 19, 2025 Phone: 847-595-1596

Michigan FOA Trade Show

Venue TBD September 4, 2025 Phone: 517-219-5288

Metro New Jersey FOA Vendors Golf Outing

Venue TBD September 17, 2025 Phone: 732-910-8854

Annual Tradeshow Venue TBD September 18, 2025 Phone: 732-910-8854

Vendor Appreciation Day

West Coast FOA

Annual Charity Fun Shoot & Mini Trade Show Mike Raahauge Shooting Enterprises Corona, California October 16, 2025 Phone: 718-820-6555 or 714-924-8000

Greater Los Angeles FOA Holiday Party

Diamond Palace Cuisine of India Diamond Bar, California December 6, 2025 Phone: 562-567-1660

West Coast FOA Holiday Party

Venue TBD December 12, 2025 Phone: 718-820-6555 or 714-924-80006

Chicagoland FOA

Columbia Pacific FOA

Venue TBD November 13, 2025 Phone: 847-595-1596

Venue TBD December 12, 2025 Phone: 503-998-5941

Metro New Jersey FOA

Keystone FOA

Winter Expo

Annual Holiday Party

The Grand Marquis 1550 US-9, Old Bridge, NJ 08857 November 22, 2025 Phone: 732-910-8854

Midwest FOA Holiday Show

Venue TBD December 3, 2025 Phone: 847-971-9457

Holiday Party

Holiday Party

Venue TBD December 13, 2025 Phone: 609-353-7872

Rocky Mountain FOA Holiday Party

Gaylord Rockies Resort & Convention Center Aurora, Colorado December 13, 2025 Phone: 719-661-1048

Michigan FOA

San Diego FOA

Venue TBD December 4, 2025 Phone: 517-219-5288

Royal India - Miramar San Diego, California December 20, 2025 Phone: 619-713-2411

Holiday Party

Central Florida FOA Christmas Party Venue TBD December 5, 2025 Phone: 207-415-0924

Joe Saraceno FOA Holiday Party

Venue TBD December 6, 2025 Phone: 619-726-9016

Holiday Party

Joe Saraceno FOA 3rd Annual Golf Tournament Brookside Golf Club Pasadena, California April 8, 2026 Phone: 619-726-9016

4th Annual Trade Show Santa Anita Park Arcadia, California April 9, 2026 Phone: 619-726-9016

2025 ISSUE 1 AVANTI 65

NCASEF BM EOA R D ETINGS

National Coalition Affiliate Meeting

Anaheim Convention Center Anaheim, California July 21-24, 2025

Fairmont Olympic Hotel Seattle, Washington April 28-29, 2026

NCASEF Board meetings are scheduled one per quarter. For information on Board Meeting sponsorship opportunities, please contact the National Office at 855-444-7711 or nationaloffice@ncasef.com

National Coalition Affiliate Meeting

National Coalition Board of Directors Meeting

FOA

The Westin Anaheim Resort Anaheim, California July 21, 2025

NCASEF 49th Annual Convention & Trade Show

Hyatt Regency Miami Miami, Florida November 11-12, 2025

Hyatt Regency Miami Miami, Florida November 13-14, 2025

National Coalition Affiliate Meeting

Fairmont Olympic Hotel Seattle, Washington April 30-May 1, 2026

EVENTS

Alliance of 7-Eleven Franchisees FOA

Columbia Pacific FOA

Westin Chicago Northwest Itasca, Illinois May 6, 2025 Phone: 847-949-0097

McNary Golf Club Keizer, Oregon May 14, 2025 Phone: 503-998-5941

Spring Trade Show

Trade Show

Eastern Virginia FOA

Midwest FOA

Sleepy Hole Golf Course Suffolk, Virginia May 7, 2025 Phone: 757-506-5926

Cantigny Golf Club Wheaton, Illinois May 21, 2025 Phone: 847-971-9457

Charity Golf Event

Annual Trade Show

National Coalition Board Of Directors Meeting

Delta Hotels Chesapeake Norfolk Chesapeake, Virginia May 8, 2025 Phone: 757-506-5926

Trade Show

Golf Event

The Westin Chicago Lombard Lombard, Illinois May 22, 2025 Phone: 847-971-9457

Chicagoland FOA Charity Golf Event Cantigny Golf Wheaton, Illinois May 28, 2025 Phone: 847-595-1596

Summer Trade Show Waterford Banquets Elmhurst, Illinois May 29, 2025 Phone: 847-595-1596

Suburban Washington FOA Tri-State Area

Chesapeake Division FOA Trade Show

Hilton Springfield Springfield, Virginia June 5, 2025 Phone: 571-344-2781

San Diego FOA

Charity Golf Tournament Rancho Bernardo Inn San Diego, California June 11, 2025 Phone: 619-713-2411

Trade Show

Metro Points Hotel New Carrollton, Maryland June 4, 2025 Phone: 301-580-0305

continued on page 65

66

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