Avanti Issue 2 2023

Page 1

Unlocking Success Through Collaboration

The Benefits Of Joining Your Local 7-Eleven FOA

Thoughts While Shaving

How Children’s Hospitals Are Improving Access To Healthcare

Joining A Small Business Association Will Give Your FOA Added Perks

Crime And Assault Prevention: An Update For 2023

The Spring 2023 Affiliate Member Directory Page 43 7-Eleven’s Winning Trifecta
SEI, and
Synergy Fuel Success
©2023 7-Eleven, Inc. 7-ELEVEN, 7REWARDS, SLURPEE, SPEEDWAY, Moving S Design, and SPEEDY REWARDS are trademarks of 7-Eleven, Inc. and Speedway LLC. © 2023 The Coca-Cola Company. “Sprite” is a registered trademark of The Coca-Cola Company. SPRITE ® LYMONADE LEGACY AVAILABLE MAY TH
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FLAVOR YOUR SUMMER! FMB 12pks +168% at 7-Eleven! 1
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Mahalo for enjoying responsibly. © 2023 Kona Brewing Co., Big Wave® Golden Ale, Cartersville, GA, Fort Collins, CO, Fair eld, CA, Portland, OR, Portsmouth, NH, Merrimack, NH ENJOY RESPONSIBLY © 2023 Goose Island® Beer Co., Tropical Beer Hug,® India Pale Ale, Chicago, IL and Fort Collins, CO ENJOY RESPONSIBLY © 2023 Anheuser-Busch, Busch Light ® Beer, St. Louis, MO 19.2 oz. can SLIN# 100003 25 oz. can SLIN# 103825 6pk bottles SLIN# 109563 12pk cans SLIN# 105299 Easy-drinking island flavor that is smooth and refreshing. The perfect reminder to take a breath & enjoy the moment. BUSCH LIGHT ® IS UP +10% IN $ YTD AND IS THE #1 GROWING VALUE BRAND THE BEST SELLING PACKAGE IS THE 30/12 CN AND IS UP 9% IN $ BEST GROWING TOP PACKAGE IS THE 12/12CN AND IS UP 10% IN $ BUSCH LIGH T ® IS THE # 2 VALUE BRAND IN $ SALES #1 +9% Up 3% in $ YTD +3% Kona Big Wave® 12/12cn is up 49% in dollar sales and 48% in Unit Sales Source: IRI YTD WE 3/26 Projected TTL 7E +49% Goose Island® is up 80% in $ YTD +80% Tropical Beer Hug® Single is up 174% in $ YTD and the #2 Growing Craft Single! Source: IRI YTD WE 3/26 Projected TTL 7E +174% 9.9% ABV Source: IRI YTD WE 3/26 Projected TTL 7E 25 oz. can SLIN# 100088 12pk cans SLIN# 100038 30pk cans SLIN# 101437
2023 ISSUE 2 AVANTI 9 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. THE VOICE OF 7-ELEVEN FRANCHISEES Contents Brand Unity At Its Finest By
The Benefits Of Joining Your Local 7-Eleven FOA
Thoughts While Shaving
How Children’s Hospitals Are Improving Access To Healthcare! By Children’s Miracle Network Hospitals Crime And Assault Prevention: An Update For 2023
Engineering Consultant, Mitsui
Insurance Group Joining A Small Business Association Will Give Your FOA Added Perks By
President; Board Member Small Business Association of Michigan Member News............10 Bits & Pieces..........49 Legislative Update.......48 SEI News...................65 Vendor Focus.....70 FOA Board Meetings.....76 FOA Events.....................78 DEPARTMENTS Building Stronger Ties With Their Community NCASEF Charity Golf Tournament Raises Funds For CMN Hospitals Great Products & Deals Showcased at Midwest FOA Trade Show Brain-Freezing Fun At Michigan FOA Stores On ‘Bring Your Own Cup Day’ Central Texas & Keystone FOAs Join NCASEF Michigan Franchisee Donates Water To Local Police Detroit FOA Trade Show Is A Hit With Franchisees & Vendors 29 15 19 21 25 NCASEF 47th Annual Convention & Trade Show Caesars Palace • Las Vegas, NV July 30-August 2, 2023 51 42 27 67 Save The Date! THE VOICE OF 7-ELEVEN FRANCHISEES September/October 2022 Overcoming System Obstacles To Improve Profitability Communication & Teamwork Are Key Working On The Challenges Support Durbin’s Efforts To Lower Swipe Fees A Decrease In Gross Profit On Merchandise Change Kids’ Health. Change The Future. Reduce Harm On Nicotine Products The Value Of A Self-Inspection Program THE VOICE OF 7-ELEVEN FRANCHISEES Making Tomorrow Better Than Today Labor Remains One Of Our Biggest Issues How Franchisee-Friendly Changes To California Law May Affect You Workers’ Compensation Insurance Questions & Answers The Bridge Is Getting Built Your Donations Go A Long Way 16 THE VOICE OF 7-ELEVEN FRANCHISEES 2023 ISSUE Sharing The Same Goal Working Together Benefits All Stakeholders Brand Unity At Its Finest A Healthy Relationship Benefits Everyone Restrictions On Competition In Your Franchise Agreement Thank You, NCASEF! New Year, New Proposals In The Nicotine Category 1st Quarter Board Directors Meeting Summary Page 36 Spring 2023 Affiliate Member Directory Page 43 33 73 35
By John Harp, CSP, ARM—Risk
Ali Haider, Michigan FOA

Seven & I Reports FiscalYear Net Profit Increase

Seven & i Holdings Co. announced that fiscal-year ended February 28 net profit rose 33 percent to 280.98 billion yen ($2.14 billion) thanks to greater earnings from its international convenience store business and despite weakness in its superstore operations, reported Market Screener. Fourth-quarter net profit was Y46.27 billion and fiscal-year revenue increased 35 percent from a year earlier to Y11.811 trillion, while fourth-quarter revenue was Y2.988 trillion.

ended February 28 net profit rose 33 percent thanks to greater earnings from its international c-store business.”

Seven & i said the fiscal-year operatig profit for its international convenience store business rose 81percent to Y289.70 billion and that of its domestic convenience store business rose 3.9 percent to Y232.03 billion, while profit from its superstore business dropped 36 percent to Y12.11 billion.

C-Store Sales Hit Record Highs In 2022

Convenience stores saw record sales inside their stores as shopping behaviors continue to return to pre-pandemic levels, reported NACS Daily. According to the NACS State of the Industry data for 2022, total convenience industry sales were $906.1 billion, of which $302.8 were from in-store sales, which accounted for 33.4 percent of industry sales. Overall, in-store sales increased 9.0 percent in 2022. Packaged beverages, other tobacco products, salty snacks, candy and packaged sweet snacks all had double-digit sales growth year-over-year. The average basket increased 4.9 percent to $7.52.



Sukhi Sandhu


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

Joe Rossi


312-501-4337 • joer@ncasef.com

Rajneesh Singh


214-208-6116 • rjn_singh@yahoo.com

Teeto Shirajee

VICE CHAIRMAN 954-242-8595 • teeto.shirajee@yahoo.com

Nick Bhullar VICE CHAIRMAN 626-255-8555 • bhullar711@yahoo.com

Romy Singh TREASURER 757-506-5926 • romys@ncasef.com

Shawn Howard VENDOR RELATIONS ADMINISTRATOR 855-444-7711 • shawnh@ncasef.com

Eric H. Karp, Esq. GENERAL COUNSEL 617-423-7250 • ekarp@wkwrlaw.com

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

The National Coalition Office

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.

3645 Mitchell Road Suite B Ceres, CA 95307 855-444-7711


John Santiago MANAGING EDITOR 267-994-4144 • avantimag@ncasef.com

April J. Key GRAPHIC DESIGNER lirpayek@gmail.com

The Voice of 7-Eleven Franchisees 2023 ISSUE 2

©2023 National Coalition of Associations of 7-Eleven Franchisees

Avanti Magazine is the registered trademark of The National Coalition of Associations of 7-Eleven Franchisees.

10 AVANTI 2023 ISSUE 2 Member News
“Seven & i reported fiscal-year
contact your Swisher Representative, call 800.874.9720 or visit Swisher.com

continued from page 10

increase in the convenience industry store count to reach 150,174 stores; inflationary pressures pushing prices higher in 2022; and the continued growth of foodservice and industry operators’ continued focus on providing restaurant-quality food. Overall, foodservice sales represented 25.6 percent of average, monthly in-store sales and 36.1 percent of in-store gross margin.

Despite positive sales growth, direct store operating expenses (DSOE) climbed, putting pressure on retailers. Credit card swipe fees at an industry level have increased 82 percent between 2020 and 2022 and now stand at $19.5 billion. Labor costs also increased in 2022—average wages increased 9.1 percent for full-time and 12.6 percent for part-time employees to $14.33 per hour and $14.02 per hour, respectively.

7-Eleven Foodservice Provider To Build New Plant

Warabeya Nichiyo Holdings, a Japanese producer of ready-to-eat food, will spend $81.5 million to build its third plant in the U.S., intended to supply meals for 7-Eleven convenience stores, reported Nikkei Asia

The plant, expected to open in December 2024, will be constructed in Ohio and will be the company’s biggest production center in the country at roughly 13,000 square meters of floor space. The new factory will produce bread and light meals, supplying approximately 2,500 7-Eleven and Speedway stores throughout the Midwest.

7-Eleven recently selected Warabeya’s American subsidiary as a partner to upgrade its fresh food business. In 2017, Warabeya

The of In is H

7-Eleven Franchisee Insurance Program

opened its first U.S. plant in Texas, where its American operations are based. The company is building its second factory in Virginia, slated to launch later this year.

C-Store Beer Sales Beat Other Outlets

In the first three months of 2023, convenience stores and gas stations outperformed other types of outlets like supermarkets and liquor stores when it comes to how much beer is sold, a continuation of trends from last year, reported Good Beer Hunting. According to scan data from National Retail Solutions, collected from more than 20,000 independent stores operating its point of sale system:

• Total beer volume—which includes

continued on next page

2023 ISSUE 2 Member News

flavored malt beverages (FMBs) and ciders—was up +5.3 percent in c-stores and gas stations January 1 - March 15 when compared to the same time period last year.

• That’s well above an increase of +1.4 percent for total beer across all stores in the NRS data set.

• Craft beer has fared even better in c-stores and gas stations, up nearly +9 percent in volume year-to-date, compared to being up +5 percent across all types of stores.

Member News

continued from previous page

Store Brands Continue Double-Digit Growth

Sales of store brands continue to grow at a double-digit rate, according to nationwide data provided to the Private Label Manufacturers Association (PLMA) by Circana. During the first quarter of 2023, store brands grew by 10.3 percent in dollar volume, almost double the growth of national brands at 5.6 percent. Store brands also saw increases in both dollar and unit market share compared to the same period in 2022, with dollar share rising to 19.1 percent and unit share increasing to 20.8 percent, vs Q1 of last year when the numbers were 18.5 percent for dollars and 20.3 percent for units. Store brands fared significantly better

than national brands in unit sales as well, decreasing by only 1 percent compared to the 3.9 percent decline for national brands. Among the 17 food and non-food departments tracked by Circana, 15 saw increased store brand dollar sales, with double-digit gainers in Beverages, Bakery, General Food, Refrigerated, Floral, Deli Prepared, and Health Care. Deli Cheese, General Merchandise, Beauty, Frozen, Produce, Deli Meat, and Liquor also saw an increase in store brand sales, while only Tobacco and Meat saw a decrease.

MPC Calls For Action As Swipe Fees Rise Again

The Merchants Payments Coalition (MPC)

continued on page 49


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“Beer sales at c-stores and gas stations increased 5.3 percent in the first quarter of 2023.”
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Unlocking Success Through Collaboration

As a 7-Eleven franchisee in California, I’ve experienced first-hand the challenges that our stores have faced due to the recent tobacco flavor bans in our state. The impact on our traffic count has been significant, as these bans not only affected our cigarette and tobacco sales, but also the sales of other products that customers would typically buy along with their tobacco purchases, like gums and energy drinks. The current dire economic climate, coupled with the recent cut in the extra pandemic SNAP/ EBT benefits, has further strained our business. But through adversity, we’ve discovered that collaboration is the key to overcoming obstacles and driving success.

When the tobacco flavor ban started having a negative impact on California stores, SEI’s operations and merchandising teams put their heads together to come up with a plan to counteract the declining foot traffic.

Their solution was the “California Traffic Driver” initiative, which went above and beyond a regular sales plan promotion. SEI’s Zone operations team, with the help of the Dallas merchandising team, approached manufacturers and fresh food commissaries to put together an aggressive, funded program for our stores.

The initiative’s primary objective was to increase foot traffic through special promotions, without sacrificing gross profit percentages. SEI’s teams worked with the manufacturers to get the best possible cost of goods, enabling our stores to offer the promotions at the value retail price to our customers. This collaborative effort was further strengthened by the alignment of all California FOA leadership and franchisees—ensuring that the promotions would be executed effectively and maximized to their full potential.

The results have been nothing short of astronomical. The success of the California Traffic Driver initiative has caught the attention of other manufacturers, and many more are now inquiring about joining. The initiative’s success not only helped 7-Eleven stores in California with increased foot traffic, but also boosted the unit turns for the manufacturers who had experienced collateral damage from the tobacco flavor ban.

Additionally, the promotions were supported by eye-catching window signs, point-of-purchase displays, banners, and digital marketing through the 7-Eleven app and loyalty programs. This cohesive advertising strategy ensured that the promotions were impossible to miss,

driving more customers to our stores. I can’t help but think about the potential of expanding this successful program to the national level in the future. With

2023 ISSUE 2 AVANTI 15
continued on page 17
“Through adversity, we’ve discovered that collaboration is the key to overcoming obstacles and driving success.”
“SEI’s teams worked with the manufacturers to get the best possible cost of goods, enabling our stores to offer the promotions at the value retail price to our customers.”
“The initiative’s primary objective was to increase foot traffic through special promotions, without sacrificing gross profit percentages.”

Building Stronger Ties With Their Community

NCASEF Chairman Sukhi Sandhu recently participated in two local events that have a positive impact on the community his stores serve. The first was the annual 10K With A Cop organized by Project Blue in Downtown Modesto on March 12. Mr. Sandhu and his team have participated in this event every year since 2017. Along with his son, 7-Eleven team, and their families, they helped distribute water, bananas, and nutrition bars to over 700 runners and 1,000 community residents. They also donated $2,500 to Project Blue.

Project Blue and 10K With A Cop aim to build trust and safety in inner-city communities through youth programs that strengthen relationships between community members and law enforcement, helping launch children into successful futures.

Detective Sean Dodge, Modesto Police Department Chief Brandon Gillespie, and Modesto Mayor Sue Zwahlen attended the event and expressed appreciation for Mr. Sandhu’s participation and sponsorship. Many community members and law enforcement agencies from various counties and cities thanked him and his team for their efforts and invited them to participate in future events.

Earlier this year, Mr. Sandhu and his store team also lent their support to a local school event by donating pizzas, water, and chips for Tuolumne Elementary School’s February Dance Bash for 6th-8th graders, with about 150 students and faculty in attendance. Mr. Sandhu and his team have consistently given back to this school for the past 15 years, emphasizing the importance of education for children. Additionally, they donated $2,000 for transportation and $2,925 for entrance fees for 8th-grade students attending the Six Flags school trip.

In appreciation for all the support they have given the Tuolumne Elementary School, the school invited Mr. Sandhu and his 7-Eleven team to attend its STEAM Building Ribbon Cutting on April 19 and asked Mr. Sandhu to be the guest speaker at the school’s firstever 8th-grade graduation on May 24.

16 AVANTI 2023 ISSUE 2

Unlocking Success Through Collaboration

continued from page 15

all 7-Eleven partners working together, imagine the incredible results we could achieve. It’s time for us to learn from the California Traffic Driver initiative and apply the same collaborative mindset

across the board.

The success of the California Traffic Driver initiative sends a clear message to all 7-Eleven stakeholders: when we

work together towards a common goal, we can achieve remarkable results. Manufacturers, suppliers, franchisees, and SEI all played a crucial role in overcoming the challenges posed by the California tobacco flavor ban and other headwinds. And although there remain kinks in our system that need to be ironed out, the California Traffic Driver initiative is exemplary of what can be accomplished when we all lock arms and focus on driving business success. Let this example inspire us to continue working together, strengthening our partnerships, and striving for even greater accomplishments in the future.

SUKHI SANDHU CAN BE REACHED AT 855-444-7711 or sukhi.sandhu@ncasef.com

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.”

2023 ISSUE 2 AVANTI 17
“Let this example inspire us to continue working together, forging new partnerships, and striving for even greater accomplishments in the future.”
“Manufacturers, suppliers, franchisees, and SEI all played a crucial role in overcoming the challenges posed by the California tobacco flavor ban and other headwinds.”

The Benefits Of Joining Your Local 7-Eleven FOA

In our fast-paced and competitive industry, it is vital to seek support and resources to maintain a thriving enterprise. As a 7-Eleven franchisee, joining your local Franchise Owners Association (FOA) can provide numerous benefits that will contribute to the growth and success of your store. I cannot emphasize enough the importance of being part of such an organization.

This network of fellow franchise owners cultivates a collaborative environment that encourages mutual growth and success. By leveraging the collective knowledge and experience of your peers, you can overcome obstacles and develop innovative solutions to your individual challenges. After all, there is a power in numbers that allows us to get things done.

One of the primary benefits is access to a wealth of educational resources. As an FOA member, you become part of, not only a local, but a national network that connects you with valuable information from both the National Coalition and SEI. You will also have access to vendor resources and new items before even SEI becomes aware of them, which make FOA-member stores the first to carry the latest innovations from our vendor partners. This knowledge offers a clear roadmap for conducting your business and addressing systemic issues that may arise. The educational opportunities provided by your local FOA ensure that you are equipped with the latest insights and best practices to help you navigate our ever-evolving 7-Eleven business.

Another advantage is the sense of camaraderie and support within the community. Local FOAs function as a fraternity, where members can rely on one another for guidance and assistance.

The relationship between the FOA and local municipalities is another significant benefit. Being part of a unified group gives you a stronger voice when dealing with ordinances and other regulatory matters. This collective strength ensures that your concerns are heard and addressed, enabling you to focus on running your store more efficiently and profitably.

Furthermore, FOA events such as trade shows, charity golf outings, and holiday parties provide exceptional networking opportunities. These gatherings allow you to connect with other franchisees and our vendor partners to share ideas and experiences, and establish lasting business relationships. The friendships formed through these events contribute to the overall sense of belonging and solidarity within the 7-Eleven franchisee community.

If you are a 7-Eleven franchisee and have not yet joined your local FOA, I highly recommend looking into it. The easiest way to find your local FOA is by visiting the National Coalition website. The process of joining is straightforward—just scan the QR code included with this article that takes you to 7-Help and follow the instructions outlined in the sidebar. The benefits gained from being an FOA member far

outweigh the initial investment of time and effort. As a member, you will not only gain access to crucial resources and support, but you will also become a part of a community that cares about your success as much as their own.

How To Join An FOA

1. Open or download the 7-Help Store Mobile App, or scan the QR code provided.

2. In the search bar, type FOA

3. Go to Accounting/Accounts Payable FOA/PAC (requesting to join or be removed from an FOA).

4. Enter current FOA (if none, leave blank).

5. Enter name of FOA you would like to join.

6. Enter dues amount (paid monthly on 48a).

7. Type in that you are requesting to join the FOA in the short description.

8. Copy and paste the same (or retype) in long description.

9. Press SUBMIT on right side and you’re all set!

2023 ISSUE 2 AVANTI 19 JOE ROSSI CAN BE REACHED AT 312-501-4337 or joer@ncasef.com
“As a 7-Eleven franchisee, joining your local FOA can provide numerous benefits that will contribute to the growth and success of your store.”
“Local FOAs function as a fraternity, where members can rely on one another for guidance and assistance.”
Scan this QR code to be taken to 7-Help.

Thoughts While Shaving

In this message, I pay homage to the late and great Boston Globe sports columnist and editor Ernie Roberts, the progenitor of “Thoughts While Shaving.” As a teenager, I very much looked forward to his columns on the left-hand side of the first page of the sports section, because they contained relatively short stories about a variety of different subjects related to the Boston sports scene, at a time when the perennial NBA Champion Boston Celtics made the news, while our other sports teams languished.

36 percent in 2007 and last exceeded 35 percent in 2012.

Retail CPG

SEI’s parent correctly summarized the financial results of SEI for 2022 as follows:

• “A decrease in gross profit on merchandise was outweighed by growth in gross profit on fuel, leading to a year-on-year increase in the overall gross profit margin factor.”

So it is with 7-Eleven and it’s publicly held parent company, Seven & i. The past several weeks have seen news and public disclosures on a variety of fronts which have the potential to affect U.S. franchisees on both a long-term and short-term basis.

Merchandise Gross Profit

Merchandise gross profit for SEI stores for calendar year 2022 was 34 percent, down from 34.2 percent the year before. In fact, this is the lowest merchandise gross profit reported since at least 2006, the first year that this statistic was disclosed. Merchandise gross profit was

These numbers are blended, which is to say that they include both company owned and franchised stores. SEI last published merchandise gross profit for franchised stores in 2018, following a nearly 1 percent decline in franchisee merchandise gross margin from 2012 to 2018. Previous public disclosures by SEI’s parent company suggested that the merchandise gross profit in the acquired Speedway stores was lower, which may have been reducing the systemwide average. But there has been more than enough time for the company to adjust and take advantage of the opportunity.

SEI often and correctly points out that sharing gross profit aligns the interests of franchisees and the franchisor. But declining gross profit, together with the increase of SEI’s share of that net profit as reflected in the so-called 2019 form of franchise agreement, should be of concern because it undermines the gains reflected in same-store sales increases.

• “Strong growth in operating income through increased fuel GP led by historical CPG and accelerated fresh food and PB sales.”

That “historical CPG” is illustrated by the following, which demonstrates that fuel margin has more than doubled since 2015. And as every franchisee knows, unlike merchandise gross profit, franchisees do not share in this bounty, but rather receive a fixed commission of 1.5 cents per gallon. For perspective, in 2015 and 2016, franchisees received approximately 7.5 percent of the retail gross margin; by 2022, that percentage was more than cut in half to 3.5 percent.

2023 ISSUE 2 AVANTI 21 continued on page 23
“The past several weeks have seen news and public disclosures on a variety of fronts which have the potential to affect U.S. franchisees on both a longterm and short-term basis.”
“SEI last published merchandise gross profit for franchised stores in 2018, following a nearly 1 percent decline in franchisee merchandise gross margin from 2012 to 2018.”

Restrictions On Competition In Your Franchise Agreement

continued from page 21

SEI’s total gross profit from the fuel segment of its business increased by more than $1.8 billion in 2022, or 46 percent over the previous year. The extent to which SEI is at least as much a gasoline retailer as it is a merchandise retailer is shown by the fact that in 2022, more than 78 percent of its revenue came from the sale of gasoline and just 4 percent from franchisees.

Electric Vehicles

Given the heavy reliance of SEI on gasoline revenue and profit, illustrated most prominently by its acquisition of the Sunoco and Speedway chains, we are concerned about the long-term prospects for gasoline powered automobiles.

According to InsideEVs.com:

• “Out of 1.24 million new light vehicles registered in January 2023, some 87,708, or 7.1 percent were allelectric. That’s a 74 percent increase year-over-year and a noticeable change, compared to a 4.3 percent share in January 2022. The 7.1 percent share is also a step change from 5.6 percent in the 12 months of 2022.”

• “It’s clear that the battery electric vehicle (BEV) segment is booming, partially through organic growth and partially through the Inflation Reduction Act of 2022 (IRA), which brought back the $7,500 federal tax credit eligibility for Tesla and General Motors.”

• “Another reason why the market surged is price cuts introduced by

some of the manufacturers (Tesla was one of them).”

Fortune Business Insights projects that the sale of electric vehicles will experience more than a 25 percent compound annual growth rate through 2028, at which point sales will reach more than $138 billion. Bloomberg reports on projections that EVs will account for 50 percent of all new vehicle sales by 2030. And the federal government has recently proposed new measures to change the way mileage standards are computed for electric vehicles as a way of spurring sales and incentivizing manufacturers to produce lower cost electric vehicles.


This activist investor firm continues to put pressure on the management of the parent company of SEI. It holds a 4.4 percent stake and has been pressuring for change. In the run up to the annual shareholders meeting scheduled for May 25, ValueAct is pushing for a spinoff of the convenience store business into a standalone publicly held company or a sale of the entire company. It is also seeking to replace four board members. ValueAct has recruited two other institutional investors to its cause, Artisan Partners and Dalton Investments.

“A rational and experienced board of directors would understand their fiduciary duty and spin off the Seven Eleven business to existing shareholders,” said James Rosenwald, chief investment

“ValueAct is pushing for a spinoff of the convenience store business into a standalone publicly held company or a sale of the entire company.”

officer of Dalton Investments. “The market would likely value the new spin off at more than the entire company today.”

As I have noted before, these investors are not quarrelling with the financial performance of the convenience store business. Rather, they believe that the other segments of the conglomerate are dragging down the value of the company and hence its stock price, which has perennially underperformed its peers and the market as a whole. I bring these matters to your attention because these investors hold large stakes and are very persistent. And any major change in the corporate structure of the parent company could have important consequences for every franchisee in the United States.


With apologies to Ernie Roberts, these four matters may seem disparate and unconnected, but they are all closely interrelated because each one of them has the potential to materially impact the profitability and value of every franchised location in the country. It is for this reason that the National Coalition strives to be fully informed by monitoring all publicly available information and keeping its franchisee constituents in the know.

2023 ISSUE 2 AVANTI 23 ERIC H. KARP CAN BE REACHED AT 617-423-7250 or ekarp@wkwrlaw.com
“SEI’s total gross profit from the fuel segment of its business increased by more than $1.8 billion in 2022, or 46 percent over the previous year.”
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How Children’s Hospitals Are Improving Access To Healthcare

Children’s Miracle Network Hospitals (CMN Hospitals) is committed to ensuring every child receives the best possible care, and that includes access to the services and expertise they need to flourish. Addressing accessibility is more than a matter of removing barriers—it’s fundamental to ensuring children and communities are healthy and able to reach their full potential.

community care clinics in rural and urban settings that reach underserved and vulnerable populations; and mobile, pop-up, and school-based clinics, which take healthcare to where their patients are, reducing or eliminating their need to miss work or choose between lost income and healthcare.

through a business or fundraiser in their community, the donation goes directly to their local member hospital.

Many families still struggle to find care for their children, due to factors like the inability to find health practitioners or discounted care, as well as struggles of their own, such as financial instability, unreliable transportation, prohibitive work schedules, high distance to treatment facilities, language barriers, limited access to technology, and low health literacy. Member children’s hospitals rely on our unrestricted funding, which benefits the member hospital where it is donated. These funds can support things like accessibility programs that will best suit their patients and communities.

These include language services for thse for whom English is not their first language, or for those who are deaf or hearing impaired; social workers who help with transportation and other logistical needs; and telehealth services that ensure patients are able to be seen in a timely manner. These also include

Providing these services is not a given— it necessitates substantial resources and staffing that go well beyond the core functions of a hospital. When you support CMN Hospitals you do both, thus creating a healthier, happier future for families and communities for years to come.

Further Your Involvement With Your Local Children’s Miracle Network Hospital

Children’s Miracle Network Hospitals raises unrestricted funds for 170 children’s hospitals across the U.S. and Canada to help fulfill their most urgent needs. We make all of this possible at the local level. When someone donates

But we have our sights set even higher, because we know that when we improve treatments and facilities, we can address the most challenging health issues of today while preventing and preparing for those to come tomorrow. When we fund pioneering research at children’s hospitals, we transform how we care for children not just in their youth, but throughout their lives.

Use the following steps to get more involved with Children’s Miracle Network Hospitals and your local member hospital:

1. Contact your local hospital representative. Need help getting connected? Email Kate Burgess (KBurgess@CMNHospitals.Org) with your FOA name.

2. Invite your local hospital representative to present at an upcoming FOA Board or Member meeting.

2023 ISSUE 2 AVANTI 25
“Member children’s hospitals rely on our unrestricted funding, which benefits the member hospital where it is donated.”
continued on page 27
“Providing these services is not a given—it necessitates substantial resources and staffing that go well beyond the core functions of a hospital.”
“Children’s Miracle Network Hospitals raises unrestricted funds for 170 children’s hospitals across the U.S. and Canada to help fulfill their most urgent needs.”

How Children’s Hospitals Are Improving Access To Healthcare

continued from page 25

3. Schedule a hospital tour with your local hospital representative. Please note, this is subject to COVID-19, RSV, and flu-season protocols.

4. Host a charitable event for Children’s Miracle Network Hospitals. Invite your local hospital and allow them space to showcase the power of your partnership. Local member hospitals may be able to support your event through the following:

learn more about Children’s Miracle Network Hospitals and the impact your local member hospital makes in your community. Your local hospital representative can staff this table and bring informational materials.

d. Welcoming remarks or words of gratitude: Your local hospital representative can share a few brief remarks to thank vendors and franchisees for supporting Children’s

Miracle Network Hospitals. These remarks can be made at any point during the event, but we see great success at the start of your event or during the check presentation. We are grateful for the many ways FOAs support and interact with their local member hospitals. For additional information or ideas, please contact Kate (KBurgess@CMNHospitals.Org).

NCASEF Charity Golf Tournament Raises Funds For CMN Hospitals

The sun was shining and the weather was warm as franchisees and vendors took to the greens at the TPC Louisiana in New Orleans on March 7 to participate in the NCASEF Charity Golf Tournament benefitting Children’s Miracle Network Hospitals. The event took place the day before the Affiliate Members and Board of Directors meetings, and raised $5,711 for NCASEF’s charity of choice.

a. Hosting a pre-event presentation: During pre-event meetings, local hospital representatives can share information about your local member hospital and the impact your charitable event will have on patients and families. This is a great way to build more familiarity around our partnership before your charitable event.

b. Inviting a patient family to the event: Your local hospital representative can invite a patient ambassador to share their story and the impact of your local member hospital.

c. Hosting a CMN Hospitals informational table: Have a table near check-in where participants can

2023 ISSUE 2 AVANTI 27
“When we fund pioneering research at children’s hospitals, we transform how we care for children not just in their youth, but throughout their lives.”



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As 2023 takes shape with continuing labor challenges and increasing costs— but stability in the economy—there is a continuing risk of injuries resulting from crime, robbery, and assaults.

of claims in 2021 (pandemic influence) declined and continues to show improvement, including the first three months of 2023.

Key Prevention Tips

Is your store prepared for crime and assault prevention through physical controls like quality high resolution surveillance, fencing, landscaping, and general clean appearance?

Are your windows free of large displays that can obstruct vision from inside and out?

As seen in the chart below, the MSIG/ Franchisee workers’ compensation experience shows high costs but a continuing decline in the number of assault-related claims. Costs tend to increase over time, but when the number of claims declines, costs usually follow.

Background—Crime and Assaults

A recently released FBI report shows violent crime increased in 2020, but leveled off in 2021. The data shows that convenience stores are the #4 location for violent crimes after residential, streets/ alleys/sidewalks, and parking garages.

MSIG provides workers’ compensation insurance for almost 4,000 U.S. franchised stores. Since 2017, there have been 374 assault-type claims for a current cost of $21,761,257. The number

Claim Examples:

• Employee got into an altercation with a customer over a fountain drink. The employee was stabbed in the back. Current costs are $399.

• Cashier was shot by customer, possibly unprovoked. Current costs are $178,300.

• Employee shot after refusing customer sale. Current costs are $531,019.

• The assailant stole five packs of cigarettes and then stabbed the employee. Current costs are $329,552.

The most serious injuries in the last 10 years occur from two basic causes. 1. The employee was unable to effectively de-escalate the situation 2. Leaving the counter or store to chase. “Nothing good ever happens if an employee leaves the store.”

A notable trend starting in 2022 is the lower number of claims where the employee left the store or confronted a customer. Recently, what appears to be purely crime-motivated offenders are the root cause and the employee is not contributing to the situation.

Primary Factors Contributing To Store

Are store displays low enough to maintain good visibility?

Did you know assaults or robberies do not always occur after midnight?

Can you support two employees at night? This can lessen the crime risk or severity of injuries.

Do you sell items that may draw less than desiriable customers?

Are your employees trained, tested and ready if a shoplifting event escalates or someone enters the store demanding money or cigarettes?

Have you communicated concerns or issues to SEI Asset Protection or Store Support?


• Hours—Studies vary on this issue, but the later hours see the most crime.

• Untrained or ill-prepared employee.

• Store Layout—Limited visibility from inside the store and from the outside looking in.

• Escape route for the offender. The easier it is to escape outside to the sides or back of the store.

• Location—Free-standing stores are

2023 ISSUE 2 AVANTI 29
60 69 73 73 49 45 5 $0 $1,000,000 $2,000,000 $3,000,000 $4,000,000 $5,000,000 $6,000,000 $7,000,000 0 10 20 30 40 50 60 70 80 2017 2018 2019 2020 2021 2022 2023 Count and Cost of MSIG Assault Claims Count Cost 3 mos.
continued on page 31
“As patience is lower, effective de-escalation can be the difference between life and death.”


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Crime And Assault Prevention: An Update For 2023

continued from page 29

more vulnerable than strip mall locations.

De-Escalation Tips

Tempers can flare over demand for cigarettes or questioning a customer’s ID. As patience is lower, effective de-escalation can be the difference between life and death.

A few tips for your employees in dealing with a difficult customer:

• Listen. Let the person vent their frustration by actively listening.

• Do what they say. Sometimes this is the best and only option.

• Remain calm. But refrain from telling the customer to remain calm (this makes most people angrier).

• C ontrol your body language. Show your concern and do not reach for anything.

• Find a solution. Talk about how to fix the situation with facts.

• Keep yourself and others safe. Do

After A Robbery Or Assault

• Lock the doors and call 911.

• Find any witnesses and get their information.

• Call the SEI Hotline! But remember, they cannot process a workers’ compensation claim!

• Preserve any evidence of the crime, including video—take pictures.

• Contact MSIG, your workers’ compensation company, or your broker within 24 hours, even if there are no visible injuries.

not leave the store or register area. What Else Can You Do?

Look at your store with fresh eyes and an open mind! Ask an expert for their advice! Consider the following:

1. Customer Service. Ensure your employees make eye contact and greet the customer.

2. Cleanliness. A clean store inside and out shows customers and possible assailants there is a high level of care.

3. Employee training including Operation Alert. Follow up with frequent reminders, especially for new employees.

4. Limit outside activities after dark. Employees should not take out the trash after midnight.

5. Make sure employees know how and when to use the panic alarm.

6. Cash limit in registers should be strongly enforced. If a robber succeeds in getting excess cash, you are a likely target again.

7. Cigarettes are a valuable target item. Limit these and other target items in the register area of the store. Secure them in a cage in the backroom and minimize inventory.

8. Keep the office door closed or locked

to limit the temptation from a would-be criminal seeing cigarettes or cash.

9. Encourage the police to stop in for coffee or drinks and park in your lot after hours. Work with law enforcement to understand criminal or gang activity in your neighborhood.

10. Perform a security/violence prevention audit using information from OSHA at this site: https://www.osha. gov/Publications/osha3153.pdf or request a Safety-Security Store audit from MSIG or your insurance company.

“The number of assault claims has decreased in the last 18 months through a focused effort on store conditions, training and owner diligence.”

Summary—The Good News!

The number of assault claims has decreased in the last 18 months through a focused effort on store conditions, training and owner diligence. The mission in minimizing crime and employee injuries is never over. Keep it going!

MSIG, your insurance company, or your broker can help you audit your store, and develop practical and effective strategies to protect your employees from violent crime.

2023 ISSUE 2 AVANTI 31
“Cigarettes are a valuable target item. Limit these and other target items in the register area of the store. Secure them in a cage in the backroom and minimize inventory.”
103495_0921 Clip and save for reference. MAXIMIZE SALES MAXIMIZE SALES MAXIMIZE SALES MAXIMIZE SALES MAXIMIZE SALES BECOME YOUR GUESTS’ DESTINATION FOR GIFT CARDS Make sure your display is FULL of gift cards from all categories to increase sales Need more inventory? Email us at 7ElevenAutoReplen@incomm.com for FREE inventory/delivery! If you are a victim of a phone scam, have questions or need help, please contact us: 7-Eleven Asset Protection Hotline (800) 555-2620 InComm Fraud Department (866) 362-9035 or FraudDepartment@incomm.com

Joining A Small Business Association Will Give Your FOA Added Perks

As a 7-Eleven franchisee, I can attest to the numerous benefits and resources that being a member of a Franchise Owners Association (FOA) has to offer. However, I believe there is another important step that FOAs can take to further enhance their value and support for their members: joining a local business association. These organizations can provide additional benefits and services that franchisees may not have easy access to for themselves and their employees, like health insurance and retirement plans.

Take, for example, the Small Business Association of Michigan (SBAM), an organization that represents over 34,000 small businesses. I first became involved with SBAM as a member and soon realized that the benefits they offered could be a game-changer for our FOA. By joining SBAM, our FOA was able to secure a range of services offered by the organization for our members and their employees, including health insurance through Blue Cross and Blue Shield with dental and vision coverage, life and disability insurance, and pooled employer retirement plans.

The best part is that our FOA is registered as a strategic partner with SBAM so we are able to take advantage of the aforementioned benefits. Furthermore, the Michigan FOA pays the annual premium membership fee of $249 for our members, which is a significant saving for them. Another key highlight of this partnership is the inventory insurance. As franchisees, this is one of our most significant expenses, and we’ve been struggling to find affordable options. Inventory insurance costs can vary from $300 to $600 a month, and with high crime rates in some areas, it’s challenging to find a suitable policy. SBAM’s partnership allows us to access better inventory insurance options based on our zip code and store complaints, which can save a considerable amount.

Our members were excited and eager for the services to start. As far as I know, we are the first FOA to provide these benefits to our members via a partnership with a small business association. Franchisees deserve access to these benefits just as much as any other small business owner.

I strongly encourage other FOA leaders to explore similar business associations in your area and consider joining them as strategic partners to reap the benefits they can offer to your members. The larger your FOA, the easier it would be to gain a higher-tier membership platform.

“I strongly encourage other FOA leaders to explore similar business associations in your area and consider joining them as strategic partners to reap the benefits they can offer to your members.”

Brian Calley, the former Lieutenant Governor Michigan and the President and CEO of SBAM, came to our most recent trade show and announced the benefits of our partnership with SBAM.

By doing so, FOAs can enhance their support for their franchisees, providing them with valuable resources and services that can help them grow and thrive in an increasingly competitive business landscape. As the experience of the Michigan FOA demonstrates, this approach can lead to significant cost savings and additional benefits for franchisees, ultimately contributing to the overall success of your FOA members. Please feel free to contact me if you have any questions.

2023 ISSUE 2 AVANTI 33
“By joining SBAM, our FOA was able to secure a range of services offered by the organization for our members and their employees.”
“I believe there is another important step that FOAs can take to further enhance their value and support for their members: joining a local business association.”
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Great Products & Deals Showcased At Midwest FOA Trade Show

The Midwest Franchise Owners Association (MWFOA) hosted our Spring Trade Show on April 4 at the Chicago Schaumburg Marriott. We started the day off with wicked weather, but it did not stop the show. Our Trade Show Committee members—Rick Boone, Bob Rinaldi, Joe Rossi, and Jigar Shah—brought in over 40 vendor partners to showcase summer deals and new items. With over 150 stores representing Illinois, Indiana and Michigan, franchisees were able to speak with vendor partners, build relationships, and find new brands to carry in their stores. We are thankful to our resident DJ and franchisee, Ankit Shah, for mixing some tunes while franchisees and store managers visited booths to take advantage of deals. Thank you to our SEI area leaders and field operations teams, along with SEI Senior Director of Franchisee Relations and Engagement Bruce Maples and SEI Senior Manager of Franchise Support Jim Bayci, for attending. We are looking forward to our upcoming Charity Golf Outing and many more events throughout the year. If you’re interested in particiapting, please be sure to email office@midwestfoa.com for more details.

2023 ISSUE 2 AVANTI 35

First Quarter Affiliate & Board Meeting

Collaboration and cooperation were the mindset in The Big Easy as NCASEF Board members, franchisees, vendor partners, and SEI guests met at the Westin New Orleans in Louisiana, March 8-10, to participate in the 2023 first quarter Affiliate and Board of Directors meetings. Topics of discussion included store safety, 24-hour operation, the gasoline commission, accounting, the gross profit split, labor issues, and much more.

A day prior to the meeting, a charity golf tournament was held at the TPC Louisiana benefitting Children’s Miracle Network Hospitals. Franchisees and vendors spent a pleasant day networking and having fun on the golf course while raising funds for a worthy cause.

The Affiliate meeting commenced

with NCASEF Chairman Sukhi Sandhu explaining to the assembled vendors that NCASEF is dedicated to establishing a strong and productive relationship with them. As such, he announced that the Affiliate meetings will now be held three times a year, along with the charity golf tournament benefiting CMN Hospitals the day before the meetings. He also thanked the vendors for attending the meeting and participating in the charity golf event.

Kate Burgess of CMN Hospitals presented a recap of the fundraising efforts for the organization, revealing that a total of $242,207 was raised by NCASEF and FOAs in 2022. Vendor Relations and Merchandising Committee Chair Jivtesh Gill followed with a discussion about the benefits of

36 AVANTI 2023 ISSUE 2

Addresses Industry Challenges

being a vendor partner with NCASEF, emphasizing the National Coalition’s unique role in bringing together franchisees, SEI, and vendors to improve business for all parties.

Later that morning, four breakout workshops for Board members and vendors were organized. The groups consisted of Brokers and Wholesalers, Service Providers, Beverage Vendors, and Food Service and DSD Vendors, and each group discussed specific challenges and potential solutions relevant to their respective sectors.

The Brokers & Wholesalers group addressed issues with re-orders and requested FOA event schedules ahead of time for better planning. Service Providers discussed insurance options and safety measures to retain employees

and reduce risky behavior. Beverage Vendors talked about ordering, accounting, and delivery problems, while Food Service & DSD Vendors explored delivery issues and the need for diverse deals at various events.

In the afternoon, SEI guests Raj Kapoor (Senior Vice President, Fresh Food and Proprietary Beverages), Bruce Maples (Senior Director, Franchisee Relations and Engagement), and Randy Quinn (Senior Vice President, Franchise Operations) joined the meeting, with Kapoor stressing the importance of more Affiliate meetings to address the challenges posed by the current economic climate. Factors such as pandemics, supply chain issues, the war in Ukraine, and recession concerns were discussed, along with their impact on

continued on page 38

2023 ISSUE 2 AVANTI 37

7-Eleven. Kapoor also highlighted the importance of vendor partnerships and innovation to ensure store shelves remain stocked, and the development of the new commissary in Virginia and regional distribution centers. Randy Quinn and Raj Kapoor then answered questions from vendors and franchisees. The Affiliate meeting capped off with a tabletop trade show featuring 30 exhibiting vendors showcasing their exciting new products and offering great deals.

On the first day of the Board meeting, Chairman Sukhi Sandhu welcomed the group, recapped the Affiliate meeting, and encouraged Board members to help grow the Affiliate Member Program. Executive Vice Chairman Joe Rossi also mentioned that he had received several suggestions for future meeting locations from Board members and vendors, and will be looking into them with Events Coordinator John Riggio.

SEI Senior Vice President of Franchise Operations Randy Quinn and the other SEI guests then took the proverbial stage. They included Dennis Phelps—Vice President, Item Master; Chethan Makam—Vice President, Merchandising Technology; Scott Albert—Vice President, Product Management-Digital & Delivery; Guyton Gagliardi—Senior Director, Merchandise Accounting & Assistant Controller; Bruce Maples—Senior Director, Franchisee Relations & Engagement; Davina Stevens—Director, Analytics & Audits-Asset Protection; and John Evans—Director, Accounting.

Randy Quinn explained his vision for franchise operations, his goals as vice president, and his approach to solving issues. He emphasized partnership and support and sharing of best practices, and spoke about store simplification rollouts. Chethan Makam explained that SEI now has a Merchandise Tech Taskforce working 24/7 to resolve technology issues, and Dennis Phelps explained the process for escalating issues to the Merchandise Tech Taskforce. The SEI team then spent some time answering questions from Board members covering a range of topics, including the gross profit split, franchisee income, store labor issues, slow ISP connections, digital promotions, Item Master, custom retail pricing, and non-merchandise accounting.

Throughout the meeting vendor presentations were made by Botanic Tonics, Altria, Pepsico, Anheuser-Busch, and NJOY. Several committee reports were also presented, such as Logistics/Simplification, By-Laws, Facility Maintenance, and Convention & Entertainment. The By-Laws Committee presented proposed amendments to certain wording in the NCASEF bylaws, as well as a proposal to change the serving

38 AVANTI 2023 ISSUE 2
continued from page 37

terms for NCASEF officers from three two-year terms to two three-year terms. After some discussion, a motion was made to accept the proposed amendments and the motion passed unanimously.

Also during the meeting, the Board reviewed the Keystone FOA’s NCASEF membership application. After extensive discussion, the Chairman tabled the decision for the following day. Representatives of the Central Texas FOA presented their case for reinstatement into NCASEF and were granted conditional approval by the Board until they satisfy certain conditions by specific dates.

The following day’s Board meeting opened with discussion on the Keystone FOA’s membership application, which was ultimately accepted. Afterwards Chairman Sukhi Sandhu addressed certain agenda items, beginning with nominating Vice Chair Teeto Shirajee as Executive Secretary, which the Board approved. Board members were asked to provide updated lists of officers and designated meeting attendees, and to ensure their FOAs were registered as not-for-profit organizations with their respective Secretary of State. A vote was taken to change the bylaws, making signing the Conflict of Interest clause a one-time requirement for each sitting Board member.

Vendor presentations were given by Blue Triton Brands, Bubbies Ice Cream, and Morinaga. The treasury report, presented by Romy Singh, was approved. General Counsel Eric Karp discussed SEI’s revenue, store closures, the situation involving ValueAct and Seven & i, California’s new franchise law, and provided a brief update on the misclassification lawsuits.

Committee reports were made by Accounting & Finance, Government Affairs/Community Relations, Vendor Relations/ Merchandising, Membership, and Store Profitability/Fuel. These reports covered various topics such as inventory management, labor shortage legislation, vendor relationships, FOA membership numbers, and store profitability solutions. Board members then tackled additional items, including credit card processing fees, store safety issues, and gasoline commissions. Chairman Sukhi Sandhu highlighted the importance of committee work and announced the addition of a Tobacco/Legislative Education Committee, while also combining the Membership and By-Laws Committees.

The next Affiliate and Board of Directors meeting will be held May 15-18 at the Marriott Resort San Juan and Stellaris Casino in Puerto Rico.

2023 ISSUE 2 AVANTI 39
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Brain-Freezing Fun At Michigan FOA Stores On ‘Bring Your Own Cup Day’

Franchisee members of the Michigan FOA welcomed Slurpee-lovers to their stores on April 29 to take part in “Bring Your Own Cup Day.” Children and adults of all ages showed up to fill their containers with their favorite Slurpee flavors for just $1.99. And many were creative with their choices of containers— from gallon jugs and coffee urns to small waste baskets and large cooking pots—some literally walked away with as much Slurpee as they could carry.

42 AVANTI 2023 ISSUE 2


Franchisees: Call or email the representatives below if you have questions for them or simply want to speak to a representative from their company. Please note: This directory is current as of April 27, 2023.

5-Hour Energy

Brad Margheim

14150 Colt Chase Road

Frisco TX 75035



Abbott Nutrition

James Spencer

10115 Kingshyre Way

Tampa FL 33647



Accel Entertainment

Teresa Radtke

140 Tower Drive Burr Ridge IL 60527



Acosta Sales & Mktg

Rene Chumbley

605 Promontory Drive Keller TX 76248



Altria Group Distribution

Erin Haby

2600 Network Blvd., Ste 200 Frisco, TX 75034



Anheuser-Busch, Inc.

John Crerand

225 East John Carpenter Way Irving, TX 75062


john.crerand@anheuser-busch. com

Aon Risk Services

Tonya Rosales

5005 LBJ Freeway, Suite 1400 Dallas TX 75244






Sales Co.

Butch Henderson

11999 Plano Road, Suite 110 Dallas TX 75243




Atmosphere TV

Bianca Gosser

416 Congress Ave. Austin, TX 78701 512-729-5176


Bang Energy

Anayansi Ramirez

1600 North Park Dr Weston FL 33326



Barbot Insurance Services

John Barbot

9001 Grossmont Blvd #711 La Mesa CA 91941





Beam Suntory

Jay Hornback

1104 Keighly Crossing Dardenne Prairie, MO 63368 314-368-7429


BeatBox Beverages

Craig Ritcheson

1023 Springdale Rd #11F Austin TX 78721 805-823-5959



Joe Tesauro One Bic Way, Suite 1 Shelton CT 06484 609-651-6046


Bimbo Bakeries/ Barcel USA

Ryan Barrios

11407 N. Weidner Rd San Antonio, TX 78233 210-452-6258


Blue Triton Brands

Erik Dube

900 Long Ridge Road Stamford, CT 06902 203-241-2653


Bon Appetit

Mike Kawas

4525 District Blvd. Vernon CA 90058 913-708-5526



Joseph Burke PO Box 924 Rye, NY 10580 914-313-6905


Botanic Tonics LLC

Chris Elebesunu 501 West Avenue, Unit 1203 Austin, TX 78701 937-248-3285


Bubbies Ice Cream

Emily Notrica

101 N. 1st Ave., Ste. 1725 Phoenix, AZ 85003 480-393-3007 626-627-9424


Bucked Up

Bryan Mazur 2600 Queen Margaret Drive Lewisville, TX 75056 214-226-8192


Bug Juice International

Richard Hunsberger

5520 Wisdom Court Waco TX 76708 214-914-5531


2023 ISSUE 2 AVANTI 43 2023
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CAB Enterprises—


Kaitlin Pierce

2700 Post Oak Blvd. Floor 21 Houston, TX 77056



Campbell’s Snacks

Sabrina Crum

1617 Funny Cide Drive

Waxhaw NC 28173



Canarchy Craft Brewery

Jeff Kataoka

12 Walnut Bay Court Sacramento CA 95831




Erich Kleeman

2424 N Federal Hwy, Ste 208 Boca Raton, FL 33431



CENTR Brands

Josh Rosinsky

300-2318 Oak St

Vancouver BC V6H 4J1




Myrna Hawkins

5800 Granite Pkwy, Suite #900

Plano TX 75024 214-244-9485


Congo Brands

Jimmy Gutierrez

7692 Alderwood Ave.

Eastvale, CA 92880



Constellation Brands

Tonya Huff

10110 Robin Hill Lane Dallas TX 75238



Core-Mark International

Rich Haen

1415 W Diehl Rd. Suite 300N Naperville, IL 60563 630-536-3719 937-367-4100


Country Archer

Adam Vick

1055 E. Cooley Ave. San Bernardino, CA 92408 704-213-2130


Dafanie Financial

Harris May 850 Pacific Street, 1162 Stamford, CT 06902

203-666-5560 203-536-2069


Danone North America

Rachel Federico 12002 Airport Way Broomfield, CO 80021 303-550-7815


Dreyer’s Grand

Ice Cream

Chip Vineyard 1202 Lakewood Drive McKinney, TX 75072 214-534-5721



David Read

116 Dory Ln Stansbury Park UT 84074 413-265-5054


Fairlife LLC

Jason Tomlinson

1001 W. Adams Street Chicago IL 60607 740-403-0885


Ferrara Candy

Taylor Condon

404 W. Harrison St., Suite 650 Chicago IL 60607 248-877-1847



Rodney Norrell

19 Tradewinds Dr. Galveston, TX 77554 409-651-4188 rodney.norrell@fifco.com

Fiji Water

Patrick Haas 11444 W. Olympic Blvd. Suite 210 Los Angeles CA 90064 856-426-2775


Firestone Walker Brewing Co.

Patrick Butler 5161 E Rosewood St. Tucson, AZ 85711 631-965-1939



Scott Wood 2401 West 69th Street Mission Hills, KS 66208 773-319-3839


Geloso Beverage Group

Andrew Donohue 683 Westray Drive Westerville, OH 43081 740-317-8251


Glanbia Performance

Nutrition/Amino Energy

Adam Friday 3500 Lacey Rd., Suite 1200 Downers Grove IL 60515 561-353-8563


Golden Rates Insurance Agency

Raj Malhi 5025 El Camino Ave. Carmichael, CA 95608 888-819-8384



Grecian Delight

Kronos Foods

Eliot Kaufman 1 Kronos Drive Glendale Heights, IL 60139 224-300-8241


Green Team Worldwide

Environmental Group

Miglena Minkova 65 Triangle Blvd Carlstadt NJ 07072 973-420-4634


Happy Dad Hard Seltzer

Sam Shahidi

3011 S Croddy Way Santa Ana, CA 92704 949-370-4000


Heineken USA

Zack Stefanik 222 W Las Colinas Blvd, 1675E Irving, TX 75039 845-391-1760


Hershey Company

Samantha Priest

19 East Chocolate Ave Hershey PA 17033 774-641-3600


44 AVANTI 2023 ISSUE 2
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Hostess Brands

Jackie Lawing

9030 County Road 2432

Terrell TX 75160




HTWO Hydrogen Water

David J Brooks

6339 Charlotte Pike

Nashville, TN 37209



Impact Sales & Marketing

Diane Drew

1851 Windmill Run

Wimberley TX 78676





Included Health

Nancy Brock

13230 Ballantyne Corporate Pl.

# 1608

Charlotte, NC 28277



In Motion Design

Amir Norouzi

7314 Madison Street Paramount CA 90723



ITG Brands

Michael Espino

11601 Plano Road, Suite 112 Dallas, TX 75243



Johnsonville Sausage

Eugene Rech

PO Box 906

Sheboygan Falls WI 53085






Lisa Lee

560 20th Street San Francisco CA 94123




Christina Quintana

One Kellogg Square Battle Creek MI 49016



Kenny’s Candy and Confections

Stephen Ornell 109 Lakeside Drive Perham MN 56573 972-977-2446


Keurig Dr Pepper

Tom Nawa

5301 Legacy Drive Plano TX 75024 214-212-1232



Linnea Solbrook 5190 Shaw Lane Denton TX 76208 214-843-7012


LifeMade Products

Colt Bearden 6375 Lansdale Road Fort Worth TX 76116 817-538-8693


Liquid Death

Rachel Ridenour

3898 Van Ness Lane Dallas TX 75220



Mad Tasty

Daniel Kelly

4041 Macarthur Blvd, Suite 170

Newport Beach CA 92660



Mars Wrigley

George Dugan

11404 Maggiore Drive Austin, TX 78739



McLane Company Inc.

Nick Bullard

4747 McLane Parkway Temple TX 76504 414-704-9392


MegaMex Foods/ Hormel—Don Miguel

Todd Ginley

110 Claremont Dr. Ovilla, TX 75154 972-670-8875


Mini Melts of America

William Allison

2540 Metropolitan Drive Trevose PA 19053





Molson Coors

Keith Smith

7800 North Dallas Parkway, Ste 400 Plano TX 75024 484-947-7696

312-496-2700 accts payable keith.smith@molsoncoors.com

Mondelez International

Steven Myers

6 James Circle Shippensburg PA 17257



MONSTER Energy Company

Michael Pineiro

1 Monster Way Corona CA 92879




Morinaga America

Raymond Gates

4 Park Plaza, Suite 750 Irvine CA 92614



Mother Parkers

Tea & Coffee

Peter Doyle

7800 Will Rogers Blvd Fort Worth TX 76140






KC Ann Hansen

15303 Dallas Parkway, Suite 1300

Addison TX 75001




Nagra Insurance Services

Raj Nagra

2411 Old Crow Canyon Rd., Ste. 140 San Ramon, CA 94583 925-362-3130




Nestle USA

Brian Reilly

3611 French Creek Drive Heartland, TX 75126



2023 ISSUE 2 AVANTI 45
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continued from page 45


Justin Finn

9977 N 90th Street, Suite 160 Scottsdale AZ 85258



Pabst Brewing Co.

Diego Ayala

110 E. Houston St. San Antonio, TX 78205





Jaswinder Singh

3133 Osgood Ct Fremont CA 94539



Payality Powered by Payroll People

Bettye Smith

2152 E Copper Ave, #105 Fresno CA 93730



PepsiCo, Inc.

Marla Daudelin

7701 Legacy Drive Plano TX 75024



Perfetti Van Melle

Scott Swanson

3645 Turfway Road

Erlanger KY 41018



Pladis Bryan Baker

10 Bank Street, 10th Floor White Plains NY 10606 201-681-1157


Procter & Gamble

Javier Parga

8474 Sierra Hermosa San Antonio, TX 78255




Lori Davis

213 Four Park Road Lafayette, LA 70507 337-886-6901 ext. 101 337-326-1114



Red Bull North America

Andrew Forte 4545 Mission Av. Frisco, TX 75034 479-366-7622 andrew.forte@redbull.com

Som Sleep

Abdul Khan 5029 Auckland Avenue North Hollywood CA 91601 415-203-1514


Spike, LLC

Tim Patterson 1850 Reliable Circle Colorado Springs, CO 80906 719-473-7700



Splash Beverage Group

James Allred

13142 Terlingua Creek Drive Frisco, TX 75033



SRP Companies

Jack Claiborne

15 N. 1800 West Lindon UT 84042


jack.claiborne@srpcompanies. com

Stewart’s Enterprises

Ralph Talamantez

5800 Heron Bay Lane

McKinney TX 75070



Storck USA

Tony Harper 8809 E. Long Court

Centennial, CO 80112





Stratus Group

Gabriel Lopez

Director of Sales

41518 Grand View Drive

Murrietta CA 92562



Swedish Match

North America

Aaron H. Choate

403 Wellington Court

Southlake TX 76092




Sweetwood Smokehouse

Ian Pecoraro

2670 Copper Ridge Cir #3

Steamboat Springs, CO 80487 970-879-7456



Swisher International

Brett Anthony

4354 E. Kentbrook Dr. Springfield MO 65802 904-598-4642



R. Brian Bycott

7668 Warren Parkway

Frisco TX 75034



Turning Point Brands

George Cooper

610 Tall Oaks Court

Centerton AR 72719



Ultimate Sales & Services

Beth Coldsmith PO Box 14258 Savannah, GA 31416 512-657-4317


Vita Coco

Tom Puntoompoti

250 Park Ave South, 7th Floor, at 20th St New York NY 10003 718-614-8592


Vixxo Corporation

Regina Coleman

7000 E Shea Blvd Ste H1970 Scottsdale AZ 85254




Whatcha Burnin

Nasreen Gill

1303 Bayshire Lane

Herndon, VA 20170




Wonderful Pistachios & Almonds

Holly Hines

1063 Enchanted Rock Drive Allen TX 75013



46 AVANTI 2023 ISSUE 2
continued on next page

VENDORS: Join The NCASEF Affiliate Member Program

Register online at NCASEF.com

The Affiliate Member Program provides an excellent opportunity for vendor representatives to network and form new relationships with NCASEF Board members from around the country.

The Program consists of three meetings per year—two in spring, and one in fall— where Affiliate Members can meet with the President and Vice President from each of the NCASEF’s 42 regional Franchise Owners Associations. Each FOA represents between 15 and 400 franchisee members, and each meeting includes a charity golf tournament benefitting Children’s Miracle Network Hospitals, presentations from the franchise community and/or industry executives, plus roundtable discussions, breakout sessions, and group social events that provide time for oneon-one networking.

All Affiliate Members also receive the

NCASEF’s list of FOA Presidents and Vice Presidents and their contact information. Each Affiliate Member can have up to two representatives at the meetings. During breakout sessions and roundtable discussions Affiliate Members can ask any question and bring up any topic before the group or among individual FOA leaders.

Additionally, each Affiliate Member has the opportunity to purchase presentation time at any of the four annual NCASEF Board Meetings to present their latest and greatest products to the Board, purchase a table at the Tabletop Trade Show held during three of the Board meetings, and will be listed in Avanti Magazine’s Affiliate Member Directory, printed twice yearly.

You can register for the Affiliate Member Program online by visiting https://ncasef.com/ program-pages/vendor-affiliate-members/.

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Board Presentations If your company would like to present before the NCASEF Board of Directors at any of the 2023 Board Meetings, contact Meeting and Trade Show Coordinator John Riggio at 262394-5518 or johnr@ jrplanners.com.
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C-Stores Fight Massachusetts’ Online Lottery Push

The proposal to legalize online lottery sales in Massachusetts is facing resistance from convenience and package store owners who believe the move will hurt their revenues and reduce foot traffic, reported MassLive.com. Lottery officials argue that they want to legalize online lottery sales due to concerns that the increase in digital and mobile sports betting in Massachusetts could hurt revenue. However, leaders of the New England Convenience Store and Energy Marketers Association (NECSEMA) and the Massachusetts Package Stores Association argue that online lottery would hurt their revenues and reduce foot traffic.

A handful of bills have been filed at the state level to move the lottery online, including proposals from state Rep. Daniel Cahill and Sen. Paul Feeney. House Speaker Ronald Mariano and Ways and Means Chair Rep. Aaron Michlewtiz have signaled their interest in moving the lottery online, including in the branch’s fiscal 2024 state budget proposal language that approves the digital expansion. Massachusetts Lottery Interim Executive Director Mark Bracken said the lottery is an important component of the state’s financial ecosystem because its profits are shuttled to municipalities in the form of unrestricted aid.

NECSEMA Executive Director Peter

Legislative Update

Brennan suggested that if online lottery is legalized, commissions to lottery agents should be increased, all payment types allowed for online lottery should also be accepted at retail stores, an online lottery advisory board should be established in state law, and funding for marketing of lottery products at retail stores should not be reduced from current levels.

nationwide. Several trade associations, including the National Confectioners Association (NCA) and California Grocers Association, opposed the move.

MD County Gas Stations Must Post Credit Card Prices

The Montgomery County, Maryland, Council recently approved legislation requiring gas stations to post the price that drivers who use credit cards have to pay, instead of just the lowest price, reported WTOP News. The bill was introduced by Council member Gabe Albornoz, who said residents found it “misleading and frustrating” that gas stations were only required to post the lowest price of regular gas and not the higher amount that people using credit cards pay. According to an AAA Mid Atlantic study, almost 90 percent of Maryland residents use a credit card to buy gas.

Proposed California Bill Would Ban Some Candies

A new bill introduced by California legislators, AB418, would ban brominated vegetable oil, potassium bromate, propylparaben and titanium dioxide, as well as the dye Red 3—all of which are found in some popular candies, reported NACS Daily. The bill would “prohibit a person or entity from manufacturing, selling, delivering, distributing, holding, or offering for sale, in commerce a food product” containing any of these additives. Among the foods that could be impacted: Skittles, Pez, Hot Tamales, Sour Patch Kids and many others, including some breads, soups and sauces.

Assemblyman Jesse Gabriel hopes to force the companies to change the product

According to some service station owners, the cost of replacing signs could be around $12,000. To combat that, Council member Andrew Friedson introduced an amendment to allow gas stations to use another sign to list the credit card price as long as it’s visible. A bill in the Maryland Senate to require gas stations statewide to post the credit card price of gas had a hearing in February, but did not make it out of committee.

48 AVANTI 2023 ISSUE 2 Member News
continued on page

C-store chain Rutter’s is now accepting online ordering for Rutter’s Rewards members , reported ABC News 27 . Customers can order ahead on the website, Rutters.com, or through the updated mobile app. • Egg producer Cal-Maine Foods reported r evenue rose 109 percent to $997.5 million and profits surged 718 percent to $323.2 million last quarter because of sharply higher egg prices, reported CNN Business . The company said its average selling price for a dozen eggs was $3.30, more than double the average of $1.61 a year earlier. • Retailers claim theft is rising as more people shop in stores, cutting into profits that were already under pressure, reported the Wall Street Journal . Target Corp. said in November that it expected the problem to reduce gross margins for the recently completed fiscal year by more than $600 million. TJX Co.’s and Macy’s also called out higher shrink rates in recent calls with analysts. • Mid-Atlantic convenience chain Sheetz recently announce it has surpassed a major milestone of more than two million electric vehicle charging sessions . The company said it has 650 total electric vehicle chargers at 95 of its store locations. • Walmart said it expects about 65 percent of its stores to be serviced by automation by the end of its fiscal year 2026, reported Reuters. The announcement came just days after the company revealed plans to lay off more than 2,000 people at facilities that fulfill online orders. Walmart said the moves would reduce the need for lower-paid positions. • Dollar General plans to boost its in-store shopping experience with a $100 million investment primarily focused on growing staffing levels , reported the Wall Street Journal . Sales at the discount retailer during the quarter ended February 3 rose 17.9 percent to $10.20 billion, and the company expects sales to continue to grow as inflation-weary consumers seek bargains. • Splenda and its parent company, Heartland

Member News

has called for Congress and the Federal Reserve to address rising credit and debit card swipe fees, as new data shows that fees increased dramatically last year to an all-time record of $160.7 billion, costing the average family over $1,000 a year. Swipe fees have more than doubled over the past decade, and rose 16.7 percent last year. Merchants paid $126.4 billion in processing fees for credit cards in 2022, an increase of 20 percent. Fees for Visa and Mastercard credit cards, which dominate the market, were the vast majority of that amount, increasing 21 percent to $93.2 billion. The increases came even though 2022 purchase volume was up only 12.3 percent, showing that fees – most of them from credit cards –are rising faster than card spending.

Swipe fees are most merchants’ highest operating cost after labor and are too much to absorb, driving up prices paid by consumers, the MPC stated. The Credit Card Competition Act, which would require that banks with over $100 billion in assets enable credit cards to be processed over at least two unaffiliated networks, is due to be reintroduced by Senators Richard Durbin and Roger Marshall. The legislation would force networks to compete over fees, security and service, saving businesses and their customers at least $11 billion a year.

Chenoweth shared a Slurpee hack in a recent TikTok video filmed at a 7-Eleven store in California, reported Parade Magazine. The actress mixed Vitamin Water Zero Sugar Blueberry Hibiscus Slurpee with Coca Cola-flavored Slurpee, saying that it was a combination of “a little bit of bad, a little bit of good” that evened out in the end. Chenoweth also praised 7-Eleven for its PB&J sandwiches and suggested that they introduce sample cups at the Slurpee machine. This wasn’t the first time Chenoweth has shared her shopping shenanigans on social media; in January, she filmed herself dancing at an Oklahoma airport.

Seven-Eleven Japan Founder Dies At 98

Masatoshi Ito, the honorary chairman of Seven & i Holdings Co. and founder of the Ito-Yokado supermarket and the Seven-Eleven Japan convenience store chain, recently passed away at the age of 98, reported Kyodo News. Ito, widely credited for starting Japan’s first full-blown convenience store chain operations, died on March 10 and his funeral was held privately by his family.

Kristin Chenoweth’s Slurpee Hack

Broadway and TV star Kristin

continued from page 13 continued on page 55

Ito started to work at his family-run clothing store Yokado in Tokyo after working at what is now Mitsubishi Materials Corp. and serving in the military during World War II. He set up the predecessor company to the current Ito-Yokado supermarket in 1958, expanding its stores in the Tokyo metropolitan area by introducing U.S.style chain store management. Ito opened Japan’s first Seven-Eleven store in the capital’s Toyosu district in 1974 after reaching a licensing agreement with the original franchiser, Southland Corporation.

The Japanese chain, which grew big on serving rice balls and sandwiches 24 hours a day for increasingly busy office

continued on page 50

2023 ISSUE 2 AVANTI 49
“New data shows that swipe fees increased dramatically last year to an all-time record of $160.7 billion>’

Member News

continued from page 49

workers during the country’s economic bubble in the 1980s, acquired financially struggling Southland in 1991. Ito became the honorary chairman of the Ito-Yokado group in 1996, and assumed the role of the honorary chairman of Seven & i Holdings in 2005.

Despite High Wages, Turnover Remains High

In today’s job market, workers are confident—leading to more quits than layoffs post-pandemic, indicating high inflation and higher wages, reported NACS Daily. The convenience retail industry has seen an increase in wages for both full-time and

part-time associates, with full-time wages rising by 9.1 percent to $14.33 per hour and part-time wages up over 12 percent to $14.02 per hour in 2022, according to the NACS State of the Industry Compensation Report. However, despite the high wages, turnover remains high in the c-store industry with a combined full- and part-time turnover of 141 percent for 2022.

The report suggests that money is not the only motivator for employees, and that c-store retailers should consider paying

employees enough to take the issue of money off the table, allowing them to focus on their work. The report also recommends identifying unique benefits, such as bereavement leave, flexible scheduling, shift differentials, earned wage access, and sameday pay to create better work experiences for employees. The report concludes that 2023 will be the year of employee engagement and retention because employees are demanding more from their employers.

Seven-Eleven Japan To Offer Low-Price Items

Japan’s major convenience store chains, including Seven-Eleven Japan (SEJ), recently

continued on next page

“Convenience retail industry wages for full-time associates have increased by 9.1 percent to $14.33 per hour in 2022.”

stated they will stock more affordable items as soaring prices prompt consumers to spend less, reported NHK World-Japan. The convenience retailers had been reluctant to give discounts up to now, but the highest inflation in decades has forced them to review their sales strategies. Seven-Eleven Japan said it will boost its line-up of lowpriced private label goods. Bread, tofu and other items that had only been sold at the group’s supermarkets will also be available at its convenience stores.

Chocolate & Candy Sales Remain Strong

In 2022, confectionery category dollar sales grew 11.1 percent over 2021, and 22.1 percent over 2019 as consumers view chocolate and candy as a fun part of life (81 percent) and as an affordable treat (74 percent) according to the fourth annual State of Treating report published by the National Confectioners Association. The total confectionery category reached $42.6 billion in sales, driven by inflation that reached a 40-

Member News

continued from previous page

year high in 2022. Growth projections take the total category to $54.3 billion in 2027. Key findings from the report include:

• 79 percent of consumers agree that physical health and emotional wellbeing are interconnected, and 86 percent agree that it is fine to occasionally treat yourself with chocolate and candy.

• 78 percent believe confectionery sharing and gifting are great traditions.

• Consumers buy confectionery in three to four different retail channels, led by supercenters and supermarkets.

• 61 percent of shoppers look for confectionery products they have never purchased before; innovation is important.

• 59 percent of candy consumers have searched Facebook, YouTube and Instagram for confectionery-related content.

Digital Payments Rise, Cash & Checks Drop

The shift to digital alternatives in the U.S.

is causing cash and check usage to decline, reported Business Insider. According to the Federal Reserve, only 19 percent of U.S. adults preferred to use cash for in-person spending in 2021, while just 46 percent stated that they had used a check in the past 30 days in October 2021. Younger consumers and fewer low-value purchases are driving the dissipation of cash. Digitization and convenience are also hastening the decline of checks. Business transactions made with checks dropped to 33 percent in North America last year, due to a need for more efficient reconciliation, better fraud control, and cost savings.

Buy now, pay later (BNPL) has emerged as a winner of the pandemic, combining the flexibility of credit with short repayment

continued to page 52

Central Texas & Keystone FOAs Join NCASEF

NCASEF welcomed two FOAs to its membership during its first quarter Board of Directors meeting held March 9-10 in New Orleans. The Central Texas FOA was a previous member of the national organization and was reinstated conditionally, while the Keystone FOA is a new member representing franchisees in Pennsylvania.

2023 ISSUE 2 AVANTI 51
“Only 19 percent of U.S. adults preferred to use cash for in-person spending in 2021.”
Pictured in the left-side photo are Central Texas FOA President Sukhdeep Hayer (left) and Vice President Vikas Sharma (right). In the right-side photo (from left to right) are Keystone FOA President Sukhie Thind, Vice President Balwinder Singh, Vice President Dev Patel, and Secretary Gurmeet Basanti.

terms, app-based shopping, and a simple user experience. Merchant acceptance rates continue to increase, and new entrants improve accessibility, threatening the use of credit cards. While BNPL is growing, some analysts have raised concerns that consumers may be taking on more debt than they can afford, leading to a potential financial bubble. The growth of BNPL may attract regulatory scrutiny in the future.

SNAP Cuts & Low Tax Refunds

Worry Discount Chains

Discount chains like Dollar General and Big Lots are warning that cuts to food stamps and lower-than-usual tax refunds this year could start hurting sales, reported Business Insider. In March, 32 states ended the federal

increase to food stamps (SNAP) that began during the early weeks of the pandemic. At the same time, certain beefed-up tax credits are no longer available, which means many taxpayers are preparing for smaller tax refunds this year. Both changes are the result of a wind-down of pandemic-era policies, and it’s the combination of factors that has retailers worried—they’re coming at a time when inflation has kept prices for everyday goods unusually high, straining the budgets of lower-income consumers in particular, the article states. It is estimated that some households will have $258 less per month to spend on groceries due to the SNAP cuts, and will receive up to $1,600 per child less in tax refunds due to the lower Child Tax Credit.

Dollar Tree To Launch More Private-Label Items

Dollar Tree recently revealed it opened a test kitchen and is planning to launch hundreds of private-label products amid a major push into grocery sales, reported Winsight Grocery Business. The operator of Dollar Tree and Family Dollar also said it has been “aggressively expanding” its $3, $4 and $5 frozen and refrigerated products— growing from zero to 3,500 stores last year— and it started selling bread and ice in its stores last quarter.

For the quarter ended January 28, Dollar Tree reported systemwide same-store sales growth of 7.4 percent, based on an increase of 8.7 percent at Dollar Tree and a 5.8 percent boost at Family Dollar. For

continued from page 51 continued on page 55

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the full year, enterprise same-store sales climbed 5.9 percent (with Dollar Tree up 9 percent and Family Dollar up 2.4 percent). For the quarter, operating income increased 6.8 percent, to $618.1 million. Operating income soared 23.5 percent for the year, to $2.24 billion. However, those same-store sales increases were largely driven by higher prices. Dollar Tree posted a 1.1 percent decline in traffic and Family Dollar saw traffic fall 0.5 percent.

Court Upholds $5.6 Billion Swipe Fee Deal

Visa and Mastercard recently defeated an attempt by gas stations to dismantle the $5.6 billion class-action settlement over the size of their payment card swipe fees, reported Bloomberg Law. The U.S. Court of Appeals for the Second Circuit rejected the bid and upheld the decision of the Brooklyn-based federal judge who approved the settlement. The multidistrict litigation case dates back to 2005 and challenges Visa and Mastercard

rules covering the interchange fees or swipe fees paid per transaction by merchants accepting their cards. The case covers claims on behalf of merchants and consumers seeking both damages and reforms. The agreement, covering about 12 million businesses, was priced at about $6.2 billion before opt-outs and includes $523 million in legal fees.

Food Costs Will Influence Consumer Spending

Even with inflation currently moderating, higher food prices will continue influencing consumers’ spending and eating behaviors this year, according to a new study by Circana. When faced with higher prices, consumers will use multiple tactics to reduce or reallocate at- and away-from-home food spending, like trading down to private label, buying in bulk, using more leftovers, or choosing a quick service restaurant over a full-service restaurant.

Of the $2.9 trillion in consumer retail

continued from page 49

Food Products Group recently announced the opening of Splenda Stevia Farm, the first-ever fully integrated, U.S.-based stevia farm . The farm’s agricultural operations will enable Splenda to domestically produce Splenda Stevia products and other Splenda sweetened foods and beverages. • Frito-Lay North America (FLNA) recently announced its first-ever third-party shipment on an electric vehicle with Schneider National Inc. This is the first third-party transportation shipment on an electric vehicle for PepsiCo globally and establishes FLNA as the first to contract

transport on Schneider’s electric truck fleet of Freightliner eCascadias. • Americans tend to trust food labels, especially the ingredient list, expiration date and nutrition fact label, according to the March Consumer Food Insights Report. The most distrusted labels include low-calorie, naturalness and health claims. • Best Buy has struck a three-year deal with hospital-services company Atrium Health to sell the technology and installation services that will allow for inhome hospital care , reported CNBC. Best Buy has bought three health care companies over the past five years and sales in the health

“When faced with higher prices, consumers will use multiple tactics to reduce or reallocate at- and awayfrom-home food spending, like trading down to private label, buying in bulk, using more leftovers, or choosing a quick service restaurant over a fullservice restaurant.”

spending Circana tracks, food and foodservice spending represents the largest share, nearly $1.5 trillion. Food inflation for the 12 months ending February 2023 was 10.2 percent at home and 8.4 percent away from home. Higher food costs have had an impact on discretionary spending, the report states. Some of the declines in discretionary retail spending last year were due to the need to fund higher spending on food and beverage. Consumers are expected to manage high food costs in 2023 with the same behaviors they used last year, like trading down and shifting to value retail channels.

continued on page 59

care division are expected to grow at a faster rate than the rest of the retailer’s business this year. • Amazon is being sued for not telling New York City customers of its Amazon Go convenience stores that they were being monitored by facial recognition technology , reported CNBC. Thanks to a 2021 law, New York is the only major American city to require businesses to post signs if they’re tracking customers’ biometric information , such as facial scans or fingerprints. • McDonald’s is integrating geofencing technology that can notify restaurant teams when custom-

2023 ISSUE 2 AVANTI 55 Member News
continued on page 59
2023 ISSUE 2 AVANTI 57

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#6 Ranked Hostess® Iced Vanilla Zingers® 171259

Why Carry?

• ALL stores love High Gross Profit, Hostess® singles have 60% GM/ $1.56 GP EVERYDAY!

• 2023 YTD Hostess® is outpacing the Category growing at +22%, while Category growth is +13%

• Warehouse Brands Like Hostess® are growth drivers in Packaged Bakery Category for C-Store

• Sweet baked goods is a winning Category; large, growing, and frequently purchased Category

• Hostess® Brand contributed 20% to total category growth in 2022 and our innovation alone drove 4%.

• Hostess® cakes and breakfast pastries have a strong affinity and pair well with coffee and breakfast drinks

Action Steps: Top 10 Must Have to Drive Profit

• Mark SKU’s as Carried

• Set to POG Recommendations

• Print and place tags on shelf

All costs/retail are national averages. Please refer to the ISP for exact cost/retail by store. Chocolate Cupcakes Frosted Donettes® Powdered Donettes® Twinkies® Crunch Donettes® Iced Vanilla Zingers® Coffee Cake Glazed Donettes® Devil’s Food Zingers® Orange Cupcakes 175408 174320 171248 175407 174346 171259 171270 171374 171133 171343 6/3.17 oz 6/3 oz 6/3 oz 6/2.7 oz 6/4 oz 6/3.81 oz 6/2.89 oz 6/3.7 oz 6/3.81 oz 6/3.38 oz $2.59 $2.59 $2.59 $2.59 $2.59 $2.59 $2.59 $2.59 $2.59 $2.59 60% 60% 60% 60% 60% 60% 60% 60% 60% 60% $1.56 $1.56 $1.56 $1.56 $1.56 $1.56 $1.56 $1.56 $1.56 $1.56 Item SLINPack/SizeSRPGP%GP$

continued from page 55 ers are getting close so they can start preparing their orders before they even show up, reported Restaurant Business . The company internally calls the technology “Ready on Arrival.”

• Several Wawa stores in Pennsylvania are putting up notices that they have begun carding everyone for tobacco, vape, and alcohol-related purchases , regardless of how old the customer appears, reported Patch. com. The company said the policy is “a test in select stores.”

• Seventy-four percent of grocers believe that digital shopping has made shoppers less loyal, reveals new research by Incisiv. The report states that with the rise of digital grocery sales, it is critical for grocers to prioritize technology and infrastructure investments to meet the evolving needs of their shoppers. • Global legal cannabis spending grew 5.2 percent to $32 billion in 2022 and forecasts a compound annual growth rate of 13.2 percent from 2022 to 2027, resulting in a market size of $59.6 billion by 2027, according to a new report by BDSA. Despite economic uncertainty and rising inflation, BDSA expects legal U.S. cannabis sales to grow 14 percent by the end of 2023. • Altria Group recently announced that it has entered into a definitive agreement to acquire NJOY Holdings for approximately $2.75 billion in cash . The transaction terms include additional $500 million in cash payments that are contingent upon regulatory outcomes with respect to certain NJOY products. • Cruise, a subsidiary of General Motors, and Waymo, are seeking regulatory approval before year’s end to offer

Member News

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Seven & i Continues Review Under Investor Pressure

Seven & i’s independent directors recently said the Japanese company’s board would continue to review strategic alternatives as it faces pressure for broader reforms from some shareholders including activist ValueAct Capital., reported Reuters. ValueAct is calling for a spin-off of Seven & i’s 7-Eleven c-store chain and seeks to replace four of the 14 board members at an upcoming annual meeting. “The board will continue to review optimal group structure and strategic alternatives,” including a possible initial public offering or a spin-off, the eight directors said in a statement.

More recently, Seven & i said it will oppose all four board director candidates nominated by ValueAct Capital because they don’t “have experience in significant business transformations.” Seven & i’s board has agreed to reappoint 13 directors, including current President Ryuichi Isaka and two other directors that ValueAct wants to replace, the company said.

Pepsi Unveils New Logo

Pepsi recently unveiled a new logo and visual identity system, the first update of the iconic Pepsi globe logo in 14 years, the company announced. Pepsi will roll out the new look in North America this fall in time for the brand’s 125th anniversary, and globally in 2024, marking the brand’s next era with an eye toward the future. The new design will span across all physical and digital touchpoints, including packaging, fountain and cooler equipment, fleet, fashion and dining.

Pepsi said the logo and visual identity borrows equity from its 125-year history and incorporates modern elements to create a look that is current and undeniably Pepsi. Key design elements include:

• The Pepsi globe and wordmark unite to fit into a variety of settings and emphasize

the distinctive Pepsi branding.

• An updated color palette introduces electric blue and black to bring contrast, vibrancy, and a contemporary edge to the classic Pepsi color scheme.

• A new visually distinct can silhouette.

• A modern, custom typeface that reflects the brand’s confidence and unapologetic mindset.

• The signature Pepsi pulse evokes the “ripple, pop and fizz” of Pepsi-Cola with movement.

Grocers Unprepared For The Next Crisis

Most grocery retailers are ill-prepared for a disaster event even as the number of crises in the United States and in grocery stores is increasing, reported Progressive Grocer According to a study conducted by the publication earlier this year, 40 percent of grocery retailers said they have had at least one crisis or emergency incident in the past two years. Half of respondents also said that the threat climate in their store(s) is now higher than just five years ago.

The majority of respondents (78 percent) said it is important for their organization to be prepared to respond to a crisis and for crisis communications with customers, employees and others in the community. But when asked how prepared their organization is to respond to a crisis (shooting, weatherrelated disaster, data breach/cybersecurity incident or health-related emergency), and to be able to communicate quickly and effectively with employees and the community, only 19 percent said they were very well-prepared. Around 32 percent said they were somewhat well-prepared, 21 percent said they don’t know, 23 percent said they are not very prepared, and 5 percent said they are not well-prepared at all.

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Member News

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driverless taxi service in San Francisco , reported the Associated Press. The California push comes on top of Cruise starting to test its robotaxis in Austin, Texas, as well as Phoenix, where Waymo’s driverless ride-hailing service has been operating since 2020. • Supermarket chain Giant Food recently announced the opening of its first in-store fast-casual restaurant in partnership with Maryland-based chain Nalley Fresh. The new location opened at Giant’s Ellicott City, MD location and offers

customers a selection of highly customizable, healthy and fresh meal options. • Walmart is deploying AI and machine learning to predict shopper needs based on previous purchases in order to reduce friction between what consumers want and what they end up buying, reported CNBC. The retail giant is also using multitasking robots at its Sam’s Club outlets that scrub store floors while taking photos of shelves to manage inventory. • Whole Foods recently closed its San Francisco flagship store a year after

opening it due to rampant crime in the area, reported SFGATE.com. • Tyson Foods plans to close two chicken plants and lay off 1,700 workers on May 12, reported CNBC. In its latest quarter, Tyson’s chicken business underperformed expectations as its operating income was halved compared with the year-ago period. • Approximately 3,000 packages of foreign contraband cigarettes were detected, seized, and destroyed in the first quarter of 2023 due to reforms enacted through a settlement be -

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2023 ISSUE 2 AVANTI 61 Love What Makes You Unique, Appreciate What Makes Others Different SLIN # 142847 UIN # 328147 CM # 491599 Stand Up is the fastest growing pack type in Total US +37.8% vs YA Source: IRI CUSTOM MARKET ADVANTAGE: TOTAL US CONV L52W Ending 01.29.2023​


tween Connecticut, California, Illinois, Pennsylvania, the City of New York and the U.S. Postal Service, announced the Connecticut Attorney General’s office. • Walgreens Boots Alliance said its quarterly profit declined more than 20 percent , driven by sharply lower COVID vaccine volumes and test sales compared to last winter, when the COVID Omicron variant surge drove strong demand, reported CNBC. • Discretionary U.S. general merchandise retail sales revenue in March 2023 fell 7 percent compared to March 2022, and unit sales fell 8 percent, which is double the average monthly declines in January and February, according to a new study by Circana. • Meal delivery service provider Blue Apron and DashMart by DoorDash recently expanded the availability of Blue Apron’s Heat & Eat meals to 11 markets, including New York City, the companies announced. • United Airlines plans to fly an air taxi service between the downtown Vertiport Chicago and O’Hare International Airport by 2025, using electric vertical takeoff and landing aircraft it is purchasing from Archer Aviation, reported Ars Technica . The Archer Midnight eVTOL aircraft will complete the route in about 10 minutes, which by car can take over an hour due to road construction. • The top 10 quick-service restaurant apps in the U.S. were downloaded 10.5 million times in February , 4.2 percent more than those the month prior, reported QSR Magazine . Year-over-year in the month of February, downloads of the top 36 quick-service restaurant apps were up 33.7 percent. • According to AAA booking data, international travel is up more than 200 percent compared to 2022 . Hotel bookings are see -

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Legislative Update

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Tobacco Legislative Roundup

Here is the latest local, state and federal tobacco legislation update, as reported by Convenience Store News


Phoenix—Two tobacco bills died because they missed a procedural deadline in mid-February. The statewide proposals would have required tobacco and e-cigarette retailers to obtain a license from the state Department of Health Services and would have allowed local jurisdictions to further regulate tobacco.


Indianapolis—Indiana state senators passed a cigarette tax evasion bill in late February defining that a person who unlawfully transports cigarettes with the state’s tax stamp is a felon. The felony class depends on the number of cigarettes involved.


Annapolis—The Maryland Senate Finance Committee recently considered a bill prohibiting the sale of flavored tobacco products and electronic smoking devices, including menthol, mint and wintergreen.


Carson City—A bill at the Nevada Legislature would make tobacco sales illegal in the state beginning January 1, 2030. Under the proposal, the ban would occur in steps that include prohibiting the sale of flavored tobacco products and shutting down smoking for people just turning 21 beginning on January 1, 2024. It would also slowly ban licenses for cigarette machines until the total ban in 2030.


Concord—A New Hampshire House of Representatives bill that would have changed the tax methodology for cigarettes, little cigars, all other tobacco products and electronic cigarettes failed to pass. A separate bill to remove the exemption for premium cigars from the tobacco tax also failed to pass the New Hampshire House of Representatives.


Albany—The New York State Legislature rejected a proposal to ban the sale of all flavored tobacco products, which would have included menthol. The proposal was first announced in February as part of Governor Kathy Hochul’s 2023-2024 fiscal year budget. Convenience stores retailers were among opponents who argued a ban wouldn’t drive people to stop smoking. However, the legislature did decide to keep a dollar increase in the excise tax on cigarettes, from $4.35 to $5.35.


Montpelier—The Vermont State Senate approved a bill banning the retail sale of flavored tobacco cigarettes (including menthol), other tobacco products, vapor products and e-liquids.


Olympia—Two tobacco-related bills are dead in the state. A bill that would have increased monetary penalties for underage sales of tobacco and vapor products failed in the state House of Representatives Regulated Substances and Gaming Committee. Additionally, a bill in the state Senate that would have allowed the secretary of the Washington Department of Health to restrict or prohibit the sales of flavored tobacco products died because of a missed procedural deadline.

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Member News

SEI Launches New EV Charging Network

SEI recently launched 7Charge, its new, proprietary EV charging network and app that delivers a convenient and reliable fast-charging experience at select 7-Eleven stores in the U.S., and coming soon to Canada. The company said it intends to build one of the largest and most compatible electric vehicle fastcharging networks of any retailer in North America with the launch of 7Charge, which is already delivering fast-charging services to customers in several locations in Florida, Texas,

Colorado, and California.

7Charge sites allow customers to charge any EV make and model compatible with common CHAdeMO or Combined Charging System (CCS) plug types, and the 7Charge app offers a new level of convenience and coordination to customers looking for a seamless charging and payment experience. SEI said the 7Charge network will deliver on the growing consumer need for EV charging infrastructure. By expanding the 7Charge network, while continuing to utilize third-party fast-charging network options, 7-Eleven will have the ability to grow its network to match consumer demand and make EV charging available to neighborhoods that have, until now, lacked access.

7IN Plans Looks To Expand In Europe

7-Eleven International (7IN), the

“SEI said it intends to build one of the largest and most compatible EV fast-charging networks of any retailer in North America with the launch of 7Charge.”

master franchisor of the 7-Eleven brand worldwide, announced that it is seeking Master Franchise candidates who wish to participate in the development of new 7-Eleven locations in parts of Western Europe, reported NACS Daily. 7IN said consumers in Europe—especially in Germany, France, Ireland, Italy, Poland, Spain, Turkey and the United Kingdom—should now also benefit from this. Other European countries such as Austria and Switzerland are also potential markets. According to the article, the potential in Germany

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ing the biggest jump, up more than 300 percent over last year. The spike in demand is driving up airfares—ticket prices for international trips are up more than 30 percent. • Chinese EV maker NIO recently opened its first European “Power Swap Station” in Denmark where drivers can stop by

to replace their used-up battery with a fully charged one , reported EuroNews.com. Once the car enters the station, the entire process is autonomous—the station raises the vehicle, mechanically unscrews and removes the depleted battery and replaces it with a charged one. • Dollar General recently

was in settlement talks with OSHA officials after the discount retailer was labeled a “severe violator” of workplace safety rules , reported CNBC. Since 2017, OSHA inspected over 270 Dollar General stores, finding more than 100 workplace safety violations and issuing Dollar General over

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Member News
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alone is great, as German sales in the overall c-store segment will amount to around 10.53 billion euros in 2023.

National Hiring Day

7-Eleven, Speedway and Stripes, along with participating independent franchise owners and operators, recently hosted a National Hiring Day event across more than 13,000 locations in the U.S. and Canada. The convenience retailer said it is looking to hire motivated, customer-obsessed employees to fill 50,000 positions across its family of brands ahead of the summer season. Those interested

were invited to apply at participating 7-Eleven, Speedway and Stripes store locations from 10 a.m. to 4 p.m. local time on April 25 or by visiting careers.7eleven.com and speedway. com/careers. Same-day interviews were available for in-person, store-level applicants.

As summer approaches, newly hired employees will help meet the surge in demand both in-store and through orders made online via the 7NOW Delivery app, SEI said in a press release. 7-Eleven also has corporate openings across IT, maintenance, technology, and other areas.

Bring Your Own Cup Day Returns

To kick off Slurpee season, SEI hosted Bring Your Own Cup Day on Saturday, April 29 at participating 7-Eleven, Speedway and Stripes stores. Customers were encouraged to

Michigan Franchisee Donates Water To Local Police

Midwest FOA Vice President Nisar Siddiqui recently held an event at his store in Sterling Heights, Michigan in which he donated 20 cases of water to the local police department. Mr. Siddiqui said he and his employees honor all first responders and respect them for their courageous work.

tap into their creativity and grab their favorite cup, astronaut helmet, mason jar, pie tin or any other unconventional container and fill with their favorite flavor of Slurpee drink for just $1.99.

Crazy cups weren’t the only excitement that Bring Your Own Cup Day had to offer. The convenience retailers also brought customers a new, limited time only flavor— Fanta Dragon Fruit Zero Sugar—to accompany the classics like CocaCola, Cherry and Blue Raspberry. Fanta Dragon Fruit Zero Sugar is a sweet, zero sugar treat with an exotic blend of kiwi, pear and watermelon flavors.

2023 ISSUE 2 AVANTI 67 Member News
“SEI is looking to hire 50,000 employees across its family of brands ahead of the summer season.”

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$15 million in fines. • CBD company TRIP has become the fastest growing drinks brand in the UK with growth of 522 percent, reported Bdaily News . The brand beat its rivals by more than twice the rate of the second fastest growing brand in the category. • The growing popularity of crispy chicken sandwiches has left restaurants like KFC and Chick-fil-A chasing a relatively rare bird—small chickens, reported the Wall Street Journal . Some fast-food chain executives say the smaller-size birds are more tender and flavorful than their bigger counterparts. However, rising demand in recent years is driving up costs for restaurant operators. • Target plans to close four smaller-format stores in three urban areas, reported Business Insider . The company cited declining foot traffic as its primary reason for the closures and said most store employees would be offered positions at other locations. • Walmart plans to add electric vehicle charging stations to thousands of its U.S. stores

by 2030, reported CNBC. The company said this will expand the nearly 1,300 EV stations currently in operation at 280 of its locations.

• McDonald’s is laying off hundreds of employees in its corporate offices , cutting pay and benefits for others, and closing field offices as part of a companywide restructuring, reported the New York Post . The company’s restructuring comes despite the fact that its most recent earnings report beat analyst estimates. • Alimentation Couche-Tard is acquiring 2,193 convenience stores and gas stations from TotalEnergies in Germany , the Netherlands, Belgium, and Luxembourg for $3.29 billion. The deal is expected to be completed by the end of 2023. • Snickers maker Mars has teamed with Conjure to introduce a “store-hailing” pilot for Mars brands with on-demand mobile ice cream stores . The store-hailing pilot will equip Conjure’s fleet of mobile stores with offerings from Mars’ popular ice cream portfolio just in time for summer, allowing customers to order ice cream from their smartphones and have it delivered to their

location in minutes. • Kroger has teamed with Gatik to use its autonomous vehicles to deliver orders from the company’s new automated fulfillment center in Dallas to three local stores, giving the grocer the ability to add more same-day pickup options and more frequent deliveries to keep stores stocked, reported Progressive Grocer . • The governor of Mississippi recently signed a bill restricting electric car manufacturers from selling vehicles in person unless they open franchised dealerships, reported the Associated Press. The law will force electric car companies such as Tesla and Rivian to sell vehicles through franchises rather than company-owned stores. • A new report by the Illinois Legislative Fiscal Bureau has found that Wisconsin residents in 2022 spent $121 million on marijuana products purchased legally in Illinois , despite marijuana remaining illegal in Wisconsin, reported The Marijuana Herald . This has resulted in $36 million in taxes for Illinois.

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Member News
Get On The Avanti Mailing List! 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. THE VOICE OF 7-ELEVEN FRANCHISEES January/February 2022 Moving The Brand Forward Collaboration Among All Stakeholders Is Key Working Together Will Benefit All 7-Eleven Stakeholders It’s All About Teamwork Workers’ Compensation Insurance Questions & Answers THE VOICE OF 7-ELEVEN FRANCHISEES Supporting CharitiesAnd Community Service 7-ElevenFranchiseesMakeADifference GivingBackToOurCommunities AndOurCustomers WeAreMoreThanANeighborhood ConvenienceStore ChangeIsTheOnlyConstantShiftingSands Overexertion/BackInjuries TheSpring2022Affiliate MemberDirectory Page34 THE VOICE OF 7-ELEVEN FRANCHISEES May/June Making Progress Improving The System For All Stakeholders We’re On It Staying Fully Stocked Franchisee Exits Don’t Leave Money On The Table Slip, Trip, And Fall Prevention The Power Of Partnership Second Quarter Board Of Directors Meeting NCASEF Committee Reports Register Today! NCASEF 46th Annual Convention & Trade Show Gaylord National Resort & Convention Center National Harbor, Maryland August 7-10, 2022

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FTC Seeks Public Comment On Franchisor Business Practices

The Federal Trade Commission (FTC) recently invited public comment on franchise agreements and franchisor business practices, with a focus on franchisors exerting control over franchisees and their workers. Specifically, the FTC is interested in how franchisors disclose certain aspects and contractual terms of the franchise relationship, as well as the scope, application, and effect of those aspects and contractual terms.

As part of the Request for Information, the FTC is asking franchisors, franchisees, current and past employees of franchisors and franchisees, government entities, economists, attorneys, academics,

consumers, and other interested parties to weigh in on a wide array of issues that affect franchisees and their workers, such as:

• franchisees’ ability to negotiate the terms of franchise agreements before signing, and the ability of franchisors to unilaterally make changes to the franchise system after franchisees join;

• franchisors’ enforcement of nondisparagement, goodwill or similar clauses;

• the prevalence and justification for certain contract terms in franchise agreements;

• franchisors’ control over the wages and working conditions in franchised entities, other than through the terms of franchise agreements;

• payments or other consideration

franchisors receive from third parties (e.g., suppliers, vendors) related to franchisees’ purchases of goods or services from those third parties;

• indirect effects on franchisee labor costs related to franchisor business practices; and

• the pervasiveness and rationale for franchisors marketing their franchises using languages other than English. Apart from this Request for Information, the FTC is seeking public comment on a proposed rule to ban noncompete clauses for workers in some situations. As part of that proposed rulemaking, the FTC is interested in public comments on the question of whether that proposed rule should also apply to noncompete clauses between franchisors and franchisees.

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Hostess presents three new items designed to satisfy your customers’ snack cravings and give your sales a boost.

Hostess Bouncers

The launch of Hostess Bouncers creates new ways for your customers

Hostess Kazbars

Hostess Kazbars are a first-of-its-kind candy-barinspired innovation within the snack cakes market that combines six layers of soft chocolate cake, crème, candy crunch and melt-in-your-mouth caramel or smooth chocolate fudge. Baked with real ingredients, the bars are covered in a rich chocolate-flavored coating and topped with a delightful drizzle. Hostess Kazbars are available in two flavors: Chocolate Caramel and Triple Chocolate.

Hostess Kazbars come in a 2.75-ounce size with a SRP of $2.79 and GP% of 58 percent. Cost is $1.39 per unit, minus the $0.22 Hostess Rebate brings the final cost to $1.17 before distributor upcharge. P6 promotion is “2 for $4.50.”

to enjoy their favorite Hostess snacks on the go. Hostess Bouncers are the only filled cake bite in the Packaged Bakery Category, and are baked with real ingredients, contain no high fructose corn syrup, and feature delicious crème filling. Hostess Bouncers are available for order in two delicious flavors:

• Hostess Bouncers Glazed Chocolate Ding Dongs are made with real cocoa* and feature a lightly glazed chocolate cake filled with a delightful creamy filling.

• Hostess Bouncers Cinnamon Donettes are baked with real cinnamon and feature a sweet filling inside a glazed cake donut hole.

Hostess Donettes Old Fashioned Mini Donuts

Hostess Brands recently announced the launch of a new breakfast snack: Hostess Donettes Old Fashioned mini donuts. Donettes Old Fashioned deliver donut shop taste and quality to breakfast, complete with a scrumptious, moist texture and a sweet glaze in poppable form.

Hostess delivers everyday 52 percent Gross Profit Margin on Hostess bags. Hostess is also promoting every period with 7Rewards and 7Now Apps EDLP pricing— fully funded to drive value and growth. Additionally, the company’s rebate program is $0.25/unit Bags.

Packaged Bakery is a large, growing, and frequently purchased category, up 13 percent YTD 2023. Hostess is winning in the marketplace +22 percent in the latest 52 weeks, and is investing millions in dedicated marketing support. In fact, Hostess Brand contributed 20 percent to total category growth in 2022 and the company alone drove 4 percent.

Fresh Squeezed Sales With New Sour Patch Kids & Swedish Fish Lemonade

Your customers will set their tastebuds to summer with the all-new Sour Patch Kids Lemonade and Swedish Fish Blue Raspberry Lemonade flavors. These aren’t just new flavors; they’re now flavors perfect for adding some delight to your summer sales. These flavors aren’t just sweet, they also come with a sweeeet deal—throughout April and May, your shoppers can get 2 for $6 Sour Patch Kids and Swedish Fish 8 oz. packs in store!

Pick up your summer sales with new Sour Patch Kids Lemonade and Swedish Fish Blue Raspberry Lemonade.

Why lemonade? Well, not only do 79 percent of consumers report liking or loving lemonade flavors (Source: MenuTrends—Datassential), but lemonade is the taste of summer. It’s the perfect companion for summer picnics, poolside lounging, or just hanging out in the shade.

Stock your store with Sour Patch Kids Lemonade and Swedish Fish Blue Raspberry Lemonade 8 oz. packs and let the summer begin!

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Electrolit Mango 7-Eleven Exclusive

Electrolit—the preferred, premium hydration beverage made from pharmaceutical quality grade ingredients—is launching a new exclusive to 7-Eleven flavor just in time for Summer 2023. Mango is a proven flavor across the category and the good news is you don’t have to wait long. There will be a free fill active for initial inventory, with a FOD of May 15, 2023. Electrolit will support the launch of the Exclusive Electrolit Mango with a national press release and paid advertising across social media.

Electrolit is a scientifically formulated premium hydraion beverage that replenishes the body after physical activity, intense heat, a night of partying, or sickness. Formulated with magnesium, potassium, calcium, sodium glucose, and sodium lactate plus six ions for electrolyte absorption, Electrolit aids in recovery of the hydro electrolytic imbalance, fulfilling metabolic and hydration needs.

Introducing Häagen-Dazs City Sweets

A bite of City Sweets promises the same creamy textures and flavors that Häagen-Dazs is known for, and packs it full of decadent inclusions. Häagen-Dazs is continuing its brand purpose to elevate the next generation of tastemakers. The City Sweets ice cream collection is a new, playfully indulgent line of flavors inspired by the iconic city street food desserts that you grab when you are out and about in a city.

From beloved street vendor pretzels and crispy churros bites, the new Häagen-Dazs collection reimagines beloved on-the-go eats that will inspire new users to indulge. To create the new collection, Häagen-Dazs took its famous flavors and reimagined classic ‘city sweets’ to offer a new spin on indulgence. Whether you are scooping into crunchy, salty pretzel pieces or crispy churros with caramel, the new collection can be enjoyed by all as a way for people to experience a spin on street foods in different cities without leaving their homes. Approved in all POGs and

season-ready to drive your ice cream category, so order now.

Take The Natural Path With King Palm

King Palm is the all-natural smoking wrap company. They’re one of the leaders in the smoking industry with their tobaccofree palm blunt wraps. Their staple product is an empty leaf tube with a preinstalled filter tip—there is no need to lick it and roll it, all you need to do is Just Pack It with the legal herbs of your choice. They also have a huge line of popular terpeneinfused flavor palm rolls, and the cool thing about their flavor palms is the capsule in the filter tip, so you can activate the flavor any time during your smoke with a simple squeeze and pop.

Super smooth smoke, easy to use, and they are carried by McLane and Core-Mark, and many 7-Elevens. King Palm was the pioneer of the natural leaf wrap, and now they’re one of the best-selling brands in smoke shops across America. Check them out on Instagram @KingPalm. This is the perfect product to add to your smoking lineup.

Fill Your Cooler With Silk Almondmilk

Treat your customers to smooth and seriously creamy Silk Original Almondmilk. With its mild, silky-smooth taste, it is perfectly poised to become cereal’s new best friend and tastes great in baked recipes, smoothies, and more. Silk Almondmilk is plant-based and free from dairy, gluten, soy, carrageenan, cholesterol, and artificial colors and flavors. Each serving provides vitamin E and contains 50 percent more calcium than dairy milk.

Demand for plant-based beverages is growing, making Silk Almondmilk a great choice for your cooler. For the on-the-go parent needing milk on their way home, to the fast-paced businessperson looking for that plant-based milk for their morning smoothie.

Fifty-nine percent of convenience shoppers would like to see healthier beverage options in

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Electrolit Mango is a new exclusive to 7-Eleven flavor. Häagen-Dazs City Sweets is approved in all POGs and season-ready to drive your ice cream category. King Palm is one of the best-selling brands in smoke shops across America.
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Detroit FOA Trade Show Is A Hit With Franchisees & Vendors

The Detroit FOA hosted a spring trade show luncheon on April 27, 2023. Many franchisees attended the event and had a great time sampling and ordering new products from the over 60 vendors that participated. Attendees took advantage of this opportunity to directly connect with the vendors. 7-Eleven’s area managers and area leaders also attended the event. It was nice to see franchisees interacting amongst one another and with 7-Eleven corporate leaders. Trade shows such as these are very constructive and beneficial for 7-Eleven franchisees as means of discovering new market trends, sharing direct feedback with vendors, and ultimately boosting sales. The Detroit FOA is committed to bringing more events such as these to strengthen vendor/franchisee relationships.

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the cooler. Silk Almondmilk gives them that option with all the needed healthy benefits of plant-based milk.

Simply Spiked Adds Four Peach Flavors

Following the hot start of Simply Spiked Lemonade, Molson Coors Beverage is introducing Simply Spiked Peach as the newest addition to the Simply Spiked franchise. The new variety, which landed on shelves March 27, is available in four flavors—Signature Peach, Strawberry Peach, Kiwi Peach, and Mango Peach—in a 12-pack variety pack, as well as a 24-oz single of Signature Peach.

Crafted by the experts at Simply, both Simply Spiked Lemonade and new Simply Spiked Peach have 5 percent real fruit juice that’s been squeezed, then concentrated. With a little fizz and 5 percent alcohol, Simply Spiked is bursting with refreshing, natural flavors. Contact your local Molson Coors distributor to add these products to your store. (“Simply Spiked” and “Simply Spiked Lemonade” are trademarks of Simply Orange Juice Company.)

Simply Spiked Peach is available in four flavors: Signature Peach, Strawberry Peach, Kiwi Peach, and Mango Peach.

Offer A Pipe-Tip Alternative With Swisher Sweets BLK

Swisher Sweets BLK is made with high-quality, handselected pipe tobacco and is available at a competitive price point. BLK offers a modern, contemporary pipe tip option to customers featuring an expansive portfolio of unique and distinct blends. BLK also offers an excellent complement to cigarillo purchases, allowing you to grow tobacco sales opportunities. Featuring a modern and attractive look and feel, BLK offers a new take on pipe tip offerings for your adult consumers.

Premium Lower-Carb Heineken Silver

Heineken Silver is hitting shelves nationwide as a crisp and refreshing, lower-carb, lower-cal addition to Heineken’s iconic lineup. The most anticipated product launch in company history, Heineken Silver takes center stage as a premium new option in the light lager category that makes up nearly half of the U.S. beer market by volume. At 4 percent alcohol by volume (ABV), Heineken Silver is brewed specifically for the American palate with a more accessible flavor profile and 3.2g of carbs and 95 calories in a 12-oz serving.

Heineken Silver is crafted with malted barley, water, and a small but significant extra ingredient—Heineken’s signature A Yeast. And it’s brewed to create fullbodied flavor without a bitter finish, while staying true to Heineken’s passion for quality and commitment to premium ingredients. Heineken Silver is rolling out nationally this spring in 12-oz slim cans, 12oz bottles, and 24-oz cans.

Mini Babybel Cheese Special BOGO Deal

Add incremental sales with Mini Babybel cheese. These individual portions offer a delicious and playful, mild yet savory taste that’s perfect for easy grab and go snacking. Available in three flavor varieties—Original, Light and White Cheddar—this 100 percent real cheese creates a unique and enjoyable snacking experience while unwrapping its signature red wax seal.

As consumers continue to snack more often, they want options that will deliver on taste and function. Mini Babybel does both by offering 4g of protein and a good source of calcium while scoring highly with consumers for taste. Offer shoppers a chance to upgrade their snack with a cheese they can feel good about with no artificial flavors, colors or preservatives. Order now and take advantage of the limited time offer to Buy 1 Case and Get 1 Free.

74 AVANTI 2023 ISSUE 2
Grow your tobacco sales with Swisher Sweets BLK. Heineken Silver launches in the U.S. as a premium lower-carb, lower-cal beer. Don’t miss out on Mini Babybel’s limited time offer to Buy 1 Case and Get 1 Free.

FOA Board Meetings

Central Florida FOA

Phone: 207-415-0924

August 23, 2023—General Meeting

November 2, 2023—General Meeting

Columbia Pacific FOA

Phone: 503-998-5941

September 28, 2023—General Membership Meeting

December 2, 2023— General Membership Meeting

FOA Of Chicagoland

Phone: 847-595-1596

June 22, 2023—Board Meeting

August 24, 2023—Board Meeting

September 28, 2023—General & Board Meeting

October 25, 2023—Board Meeting

December 7, 2023—Board Meeting

FOA Of Greater Los Angeles

Phone: 619-726-9016

May 23, 2023—FOAGLA Meeting

June 20, 2023—FOAGLA Mini Trade Show

July 18, 2023—FOAGLA Meeting

September 19, 2023—FOAGLA Meeting

October 17, 2023—FOAGLA Mini Trade Show

November 14, 2023—FOAGLA Meeting

Metro New Jersey FOA

Phone: 732-910-8854

May 11, 2023—General Member Meeting/Tabletop Show

September 14, 2023—General Member Meeting/Tabletop Show

San Diego FOA

Phone: 619-713-2411

June 15, 2023—Board of Directors Meeting

Southern California FOA

Phone: 818-357-5985

May 25, 2023—Board of Directors Meeting

June 21, 2023—Board of Directors & Members Meeting

July 19, 2023—Board of Directors Meeting

August 16, 2023—Board of Directors & Members Meeting

September 20, 2023—Board of

Directors Meeting

October 18, 2023—Board of Directors Meeting

November 15, 2023—Board of Directors & Members Meeting


Phone: 613-486-6266

May 30, 2023—General Membership Meeting

June 27, 2023—General Membership Meeting

September 26, 2023—General Membership Meeting

October 24, 2023—General Membership Meeting

November 28, 2023—General Membership Meeting

United FOA Of Northern Florida

Phone: 407-683-2692

June 8, 2023—General Meeting

November 2, 2023—General Meeting



San Diego FOA

Mini Trade Show

Four Points by Sheraton Hotel

San Diego, California

June 22, 2023

Phone: 619-713-2411

Alliance Of 7-Eleven

Franchisees FOA

Summer Social


Schaumburg, Illinois

June 23, 2023

Phone: 847-949-0097

South Texas FOA

Trade Show

Hyatt Regency Hill Country

Resort & Spa

San Antonio, Texas

June 27, 2023

Phone: 818-472-5225

South Texas FOA

3rd Annual Charity Golf Tournament

Hyatt Hill Country Golf Resort

San Antonio, Texas

June 28, 2023

Phone: 818-472-5225

San Diego FOA

Charity Golf Tournament

Rancho Bernardo Inn

San Diego, California

July 12, 2023

Phone: 619-713-2411

continued on page 78

Rocky Mountain FOA

Charity Golf Tournament

Green Valley Ranch Golf Course

Denver, Colorado

July 13, 2023

Phone: 719-661-1048

Rocky Mountain FOA

2023 Trade Show

Gaylord Rockies Resort & Convention Center

Aurora, Colorado

July 14, 2023

Phone: 719-661-1048

Greater Oregon FOA 2023 Annual Golf Tournament

Pumpkin Ridge Golf Course North Plains, Oregon

July 17, 2023

Phone: 503-516-3483

Greater Oregon FOA

Annual Trade Show

Pumpkin Ridge Golf Course North Plains, Oregon

July 18, 2023

Phone: 503-516-3483

Delaware Valley FOA Trade Show

Caesars Atlantic City Atlantic City, New jersey

July 20, 2023

Phone: 215-852-4738

FOA Of Chicagoland

Annual Picnic

Cook County Forest

Preserve, Grove #27

Chicago, Illinois

July 23, 2023

Phone: 847-595-1596

Greater Northwest FOA Golf Outing

Venue TBD

August 16, 2023

Phone: 707-344-1070

Columbia Pacific FOA

Golf Tournament


August 21, 2023

Phone: 503-998-5941

San Diego FOA

Del Mar Races

Del Mar Thoroughbred Club

Del Mar, California

August 25, 2023

Phone: 619-713-2411


Golf Outing

Baiting Hollow Club

Baiting Hollow, New York

September 6, 2023

Phone: 613-486-9266

Utah FOA

Annual Trade Show


September 13, 2023

Phone: 801-547-2750

Utah FOA Golf Event

Top Golf

September 14, 2023

Phone: 801-547-2750

United Franchise Owners Of Florida FOA

2nd Annual Trade Show

Holiday Inn Express

Cocoa, Florida

September 21, 2023

Phone: 407-683-2692

San Diego FOA

Vendor Appreciation Day

AleSmith Brewing Company

San Diego, California

October 5, 2023

Phone: 619-713-2411

FOA Of Greater Los Angeles Mini Trade Show

Venue TBD

October 17, 2023

Phone: 619-726-9016

2023 ISSUE 2 AVANTI 77 AD INDEX American Licorice.....................61 Anheuser-Busch......................6, 7 AON.....................................12, 13 Bel Brands.................................14 Bic USA......................................20 BlueTriton Brands...............56, 57 Bug Juice.....................................26 CAB Enterprises/Electrolit......18 Celsius........................................30 Coca-Cola....................................2 Constellation Brand.....40, 41, 79 Danone......................................22 Diageo..........................................5 Dreyers Ice Cream....................47 Heineken........................50, 60, 80 Hostess........................................58 InComm.....................................32 Kellogg’s......................................54 King Palm...................................75 McLane.......................................62 MolsonCoors.............................64 Mondelez......................................3 Monster...................................8, 53 PepsiCo - Beverage...................66 PepsiCo - Food Service............24 PepsiCo - Quaker......................69 Perfetti Van Melle.....................72 SRP..............................................28 Swedish Match (ZYN)..............34 Swisher Sweets...........................11 Vita Coco......................................4


FOA Of Chicagoland

Charity Golf Outing

St Andrews Golf & Country Club

West Chicago, Illinois

May 1, 2023

Phone: 847-595-1596

FOA Of Chicagoland

Summer Trade

Show & General Meeting

Holiday Inn & Suites

Chicago North Shore (Skokie)

Skokie, Illinois

May 2, 2023

Phone: 847-595-1596

Greater Northwest FOA Trade Show

Meydenbauer Center

Bellevue, Washington

May 3, 2023

Phone: 707-344-1070

UFOLINY Trade Show

Hilton Long Island/ Huntington

Melville, New York

May 3, 2023

Phone: 613-486-6266

Central Florida FOA

Charity Golf Tournament

Orange County

National Golf Center & Lodge

Winter Garden, Florida

May 3, 2023

Phone: 207-415-0924

Central Florida FOA Trade Show

DoubleTree by Hilton Hotel Orlando at SeaWorld

Orlando, Florida

May 4, 2023

Phone: 207-415-0924

Alliance Of 7-Eleven

Franchisees FOA

Spring Trade Show


Venue TBD

May 9, 2023

Phone: 847-949-0097

continued on page 77

Virginia FOA

Annual Charity Golf

Sleepy Hollow Golf Course

Suffolk, Virginia

May 11, 2023

Phone: 407-683-2692

Eastern Virginia FOA Annual Trade Show

Hilton Garden Inn Suffolk


Suffolk, Virginia

May 12, 2023

Phone: 407-683-2692

Chesapeake Division FOA Trade Show

Hilton Springfield

Springfield, Virginia

May 25, 2023

Phone: 571-344-2781

Columbia Pacific FOA Annual Trade Show


May 25, 2023

Phone: 503-998-5941

Southern California

FOA 36th Annual Golf Tournament

Pacific Palms Resort

City of Industry, California

May 31, 2023

Phone: 818-357-5985

Keystone FOA 1st Annual Trade Show

Rivers Casino Philadelphia

Philadelphia, Pennsylvania

May 31, 2023

Phone: 609-353-7872

Midwest FOA Charity Golf

Cantigny Golf Club

Wheaton, Illinois

June 6, 2023

Phone: 847-971-9457

Midwest FOA General Meeting/ Table Top Show

Chicago Marriott


Naperville, Illinois

June 7, 2023

Phone: 847-971-9457

Metro New Jersey

FOA Annual Golf Tournament

Venue TBD

June 7, 2023

Phone: 732-910-8854

Metro New Jersey

FOA Annual Tradeshow

Venue TBD

June 8, 2023

Phone: 732-910-8854

Texas FOA

Annual Trade Show

Four Points by Sheraton

Dallas Fort Worth Airport

Coppell, Texas

June 14, 2023

Phone: 214-208-6116

Texas FOA Annual Charity Golf Tournament

Cowboys Golf Club

Grapevine, Texas

June 15, 2023

Phone: 214-208-6116

Venue TBD

April 13, 2023

Phone: 301-580-0305

FOA Of Greater Los Angeles Mini Trade Show

Venue TBD

June 20, 2023

Phone: 619-726-9016

Eastern Virginia

FOA South Carolina Trade Show

The River Place

Fort Mill, South Carolina

June 21, 2023

Phone: 757-506-5926


National Coalition Board meetings are scheduled one per quarter. Vendors interested in sponsoring a Board meeting should contact John Riggio, JR Planners, at 262-394-5518 or johnr@jrplanners.com.

National Coalition

Affiliate Meeting

Marriott Resort San Juan & Stellaris Casino

San Juan, Puerto Rico

May 15-16, 20233

National Coalition

Board of Directors Meeting

Marriott Resort San Juan & Stellaris Casino

San Juan, Puerto Rico

May 17-18, 2023

National Coalition

Board of Directors Meeting

Caesars Palace

Las Vegas, Nevada

July 29-30, 2023

NCASEF 47th Annual

Convention & Trade Show

Caesars Palace

Las Vegas, Nevada

July 30-August 2, 2023

National Coalition

Affiliate Meeting

Hyatt Regency San Francisco

San Francisco, California

November 7-8, 2023

National Coalition

Board Of Directors Meeting

Hyatt Regency San Francisco

San Francisco, California

November 9-10, 2023

78 AVANTI 2023 ISSUE 2
Drink Responsibly. Modelo Oro ® Light Beer. Imported by Crown Imports, Chicago, IL. Per 12 fl. oz. serving average analysis: Calories: 90, Carbohydrates: 3.0 grams, Protein: 0.6 grams, Fat: 0.0 grams MODELO ORO 24-OZ. CAN MODELO ORO 12-PACK, 12-OZ. CANS 105661 Modelo Oro 24oz Can 105670 Modelo Oro 12pk Can SLIN
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