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Protecting The Bottom Line

Pushing For Solutions As Costs Rise & Store Margins Tighten

2026 ISSUE 2/3

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CONTENTS Inspection To Collaboration: 13 From Making Quality Visits Work For The Franchisee

By Wendy Mosley, Greater San Antonio FOA Member & NBLC Member

It’s Your Captive, Too: NCIS Loss Drivers & How To Prevent Them By Kalli Hoben, Vice President, Partner Manager—Marsh

Strong Turnout At Detroit FOA Trade Show

San Diego FOA Celebrates 7-Eleven Day

San Diego FOA Hits The Links

Midwest FOA Tees Up

We Make Big Change 19 Together, For All Kids By Children’s Miracle Network

DEPARTMENTS

Member News .................................... 8

Second Quarter 2026 Board Of Directors Meeting Summary

Bits & Pieces ..................................... 35 Legislative Update .......................... 35 SEI News ........................................... 37 Vendor Focus................................... 40 FOA Events .......................................42

Pages 24-25

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

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Marsh..................................... 16 2026 ISSUE 2/3 AVANTI 7

Member News gain among convenience retailers, climbing eight spots after increasing U.S. sales by 9.9 percent. Walmart, Amazon and Costco retained the top three positions overall.

7-Eleven Leads On NRF Top 100 List

7-Eleven remained the highestranked convenience retailer on the National Retail Federation’s 2026 Top 100 Retailers list, coming in at No. 20 with $25.3 billion in 2025 U.S. sales. Although U.S. sales declined 2.9 percent from the previous year, 7-Eleven maintained a wide lead over other convenience chains on the annual ranking, which is compiled by Kantar based on U.S. retail sales. Five other convenience-focused companies also made the list: Alimentation Couche-Tard (No. 44), Army & Air Force Exchange Service (No. 60), Casey’s General Stores (No. 72), Exxon Mobil (No. 87) and Murphy USA (No. 96). Casey’s posted the largest year-over-year

“7-Eleven remained the highest-ranked convenience retailer on the National Retail Federation’s 2026 Top 100 Retailers list.”

Foodservice Fuels C-Store Sales Growth

Foodservice remained the convenience store industry’s strongest performer in 2025, helping offset weakness in several major categories, reported Convenience Store News. Average foodservice sales per store increased 4.2 percent, pushing the category’s share of in-store sales to a five-year high of 23.29 percent, according to the 2026 Convenience Store News Industry Report. The growth in foodservice helped drive a 1 percent increase in total in-store sales, but it was not enough to overcome a 5.5 percent decline in motor fuel sales caused largely by lower gas prices. As a result, total U.S. convenience store industry sales fell 3 percent, declining from $755.2 billion in 2024 to $732.5 billion in 2025.

Private Labels Gain Ground

Private label products continue to gain share as consumers increasingly

AVANTI 2026 ISSUE 2/3

NATIONAL OFFICERS & STAFF

Sukhi Sandhu

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

Nick Bhullar

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

Teeto Shirajee VICE CHAIR

954-242-8595

teeto.shirajee@yahoo.com

Michelle Niccoli

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

Khalid Asad

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

Rajneesh Singh

TREASURER 214-208-6116 rjn_singh@yahoo.com

Shawn Howard

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

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

John Riggio

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

John Santiago

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

NATIONAL COALITION OF ASSOCIATIONS OF 7-ELEVEN FRANCHISEES

April J. Key

GRAPHIC DESIGNER lirpayek@gmail.com

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

The Voice of 7-Eleven Franchisees 2026 ISSUE 2/3 ©2026 National Coalition of Associations of 7-Eleven Franchisees Avanti Magazine is the registered trademark of The National Coalition of Associations of 7-Eleven Franchisees.

Member News view them as credible alternatives to national brands, according to a recent study conducted by Curion Insights. While lower prices remain the leading reason shoppers switch to private label products, consumers also cited comparable quality, taste, effectiveness, and ingredients as key factors influencing their decisions. The study found that ingredient concerns generated nearly as many responses as price, while product reviews carried more weight than brand trust or personal recommendations when consumers considered making a switch. Despite growing competition from private labels, branded products still hold important advantages. One-third of food consumers said they choose branded products for superior flavor and texture, while two in five beauty and personal care shoppers cited better quality as their reason for staying loyal. Consumers also placed a high value on consistency, ingredient transparency, and appealing packaging.

Young Adults Drive C-Store Hot Food Growth

Hot food has become the largest sales driver for convenience stores, and younger consumers are leading the trend, according to a Canopy press release. A nationwide survey of c-store diners found that 71 percents of adults ages 18 to 24 buy

hot food from convenience stores at least once a week, while food quality ranked as a more important factor than location when choosing where to eat. The report also found that technology plays a major role in customer loyalty. About 85 percent of the most frequent diners use a store’s mobile app to order, but 76 percent of app users and 71 percent of kiosk users reported experiencing ordering problems. Researchers concluded that reliable digital ordering, loyalty programs, and kiosks will be essential as convenience stores continue competing with quickservice restaurants for foodservice customers.

Couche-Tard Moves Into Poland

Alimentation Couche-Tard, the Canadian parent company of Circle K, recently agreed to acquire Polish convenience retailer Żabka Group for approximately $8.7 billion, reported Bloomberg. The deal, Couche-Tard’s largest acquisition to date, would add about 13,000 mostly franchised stores to its European portfolio and significantly expand its presence in one of the European Union’s fastest-growing markets. Couche-Tard already operates about 400 Circle K stores and fuel stations in Poland, and analysts said the acquisition strengthens its position in the global convenience store industry following its unsuccessful

“Couche-Tard recently agreed to acquire Polish convenience retailer Żabka Group for approximately $8.7 billion.”

bid to acquire Seven & i Holdings, parent company of 7-Eleven.

Loyalty Programs Need More Than Sign-Ups

Fuel and convenience-store loyalty programs continue to attract members, but keeping them engaged remains a challenge, reported CSP Daily News. A new Upside survey found that while 86 percent of shoppers consider loyalty programs important, only 49 percent of fuel and convenience-store loyalty members use them regularly. The study also found that the average convenience-store loyalty member now belongs to more than three programs, making it harder for retailers to stand out. Upside said convenience retailers should focus less on increasing enrollments and more on strengthening customer engagement through personalized offers, expanded digital services, premium member benefits, and other features that encourage repeat visits. The report concluded that these strategies can help retailers build stronger customer loyalty in an increasingly competitive marketplace.

Smokers Trade Down As Cigarette Sales Shift

Adult smokers are increasingly trading down to lower-priced cigarette brands as inflation and economic pressures continue to affect purchasing decisions, reported Convenience Store News. While overall cigarette volumes remain in long-term decline, industry experts say deep discount brands are gaining market share as consumers look for more affordable options, with continued on page 10

2026 ISSUE 2/3 AVANTI 9

Member News

continued from page 9

chain convenience stores posting a 9 percent increase in deep discount dollar share and independent stores seeing a 15 percent increase in fiscal 2025. Despite shrinking volumes and lower profit margins compared to other convenience store categories, cigarettes remain an important traffic driver for stores. Industry analysts expect cigarette sales to continue declining over the next decade as consumers migrate to smokefree alternatives and fewer new smokers enter the category. However, experts believe cigarettes will remain a core convenience store category for years to come, with retailers focusing on value-priced products, regional preferences, and a carefully balanced mix of traditional

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tobacco products and emerging nicotine alternatives.

“Adult smokers are increasingly trading down to lower-priced cigarette brands as inflation and economic pressures continue to affect purchasing decisions.”

QSRs Turn Up The Heat In Beverages

Quick-service restaurant chains are making a bigger push into dispensed beverages as consumers increasingly seek affordable indulgences, reported C-Store

Dive. McDonald’s recently expanded its lineup with refreshers and crafted sodas inspired by its former CosMc’s concept, while Whataburger, Sonic, and Chickfil-A continue to add flavored drinks, lemonades, and other specialty beverages. According to Datassential, refreshers on QSR menus have grown 267 percent over the past decade, with 54 percent of operators offering the drinks reporting increased sales during the past year. Despite the growing competition, convenience stores remain leaders in the category. Chains such as 7-Eleven, QuickChek, Wawa, Sheetz, Buc-ee’s, and QuikTrip continue to expand their beverage offerings with specialty coffees,

Member News refreshers, frozen drinks, energy drink hybrids, and customizable fountain programs. Datassential’s January 2026 C-Store Keynote report found that 62 percent of consumers purchased a prepared cold, frozen, or hot beverage during their last c-store visit, making beverages the most commonly purchased category in convenience stores.

Dollar General Bets On Delivery Loyalty

Dollar General’s delivery business is generating strong results and helping drive sales growth, reported Supply Chain Dive. The retailer said more than 80 percent of delivery orders arrive within an hour, about

half are delivered in less than 30 minutes, and delivery contributed roughly 70 basis points to the company’s 2 percent same-store sales growth during the first quarter. Executives also noted that delivery customers buy more per transaction and shop more frequently than instore customers. To build on that momentum, Dollar General plans to pilot a subscription program later this year that will combine delivery benefits with other customerfocused offers.

Casey’s Sets Sights On 120 New Stores

Casey’s General Stores plans to open at least 120 new stores during its 2027 fiscal year while projecting

inside same-store sales growth of 2 percent to 5 percent, reported NACS Daily News. The expansion will come through a combination of acquisitions and new construction as the company continues to build on strong operating results. The retailer reported a record fiscal year, with net income rising 30.7 percent to $714.4 million and fourth-quarter net income increasing 65.5 percent to $162.7 million. Inside same-store sales climbed 5.5 percent during the quarter, while continued on page 26

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From Inspection To Collaboration: Making Quality Visits Work For The Franchisee

BY WENDY MOSLEY

Greater San Antonio FOA Member & NBLC Member

Have you ever felt that your Area Leader was out to find things wrong with your store? Have you ever felt that your Area Leader was more concerned about their job and their agenda than your concerns and issues? Most of us feel this way. The Area Leader comes in to “inspect” our operation—cleanliness, Retailer Initiative responsibilities (shelf sequencing and cycle counts), Weekly Merchandising Cycle (Information Dispatch), and overall merchandising of the store. It can feel like it’s a gotcha situation. Area Leaders are required to take pictures of your store and document opportunities. They are held to standards by corporate. They have responsibilities that help keep brand standards consistent across the company. But you

“Turn the situation around from what is wrong to what can we do to fix it.”

more you know about what you need, the more your opportunities and challenges turn this visit from being a critique to a collaboration. Step Two: Set the tone of your visit. Be professional and clear. Ask the Area Leader what they need to accomplish per SEI’s direction and help them achieve that quickly to move into your needs. The faster they achieve their agenda, the faster you get into yours. Step Three: Ask questions. Don’t be passive in this meeting. What are they looking at and measuring against? What issues do they see with store cleanliness? What support can they offer to address opportunities, especially if this is an equipment issue? Ask for support if you see gaps in your gross income and sales. Are there

continued on page 15

can make this visit about you and what you need while letting them get their job done. Turn the situation around from what is wrong to what can we do to fix it. Here are a few tips to make the Area Leader work with you and for your operation. Step One: Be prepared. Know your concerns and needs. Have this documented—as things come up before your visit, write them down. Have back-up data, especially in situations that may involve store equipment issues or inventory/audit issues. Area Leaders cannot help you if they do not know what your issues and concerns are; you must be an advocate for yourself and your business. You must know your business. Look at your DMRs, look at your APD, look at your POS PSA. These reports help you know where you need help. The

“The more you know about what you need, the more your opportunities and challenges turn this visit from being a critique to a collaboration.” 2026 ISSUE 2/3 AVANTI 13

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For more information, contact your Swisher Sweets representative: (800) 874-9720 • customerservice@swisher.com Source: Swisher - MSA Database as of 4/1/26. Data: YTD ending 4/1/26.

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From Inspection To Collaboration: Making Quality Visits Work For The Franchisee continued from page 13

merchandising opportunities? Can they offer up time to help you remerchandise a section or sections? Good questions create accountability for you and them.

“Take notes. Don’t rely on your Quality Visit Benchmark report.”

Step Four: Take notes. Don’t rely on your Quality Visit Benchmark report. Write down what you have asked the Area Leader to help you with. Take pictures of issues. Together, agree to timelines for their support. If it is not documented, you cannot hold them accountable and the same is true for your commitments. A Quality Visit takes two people to be invested in the success of your operation. Step Five: Follow up with a written email to document agreed-to timelines and responsibilities for the Area Leader and you. Let the Area Leader know what you have already addressed. A professional follow-up protects you from misunderstandings. Notes to remember—don’t be combative or efensive. Keep it professional. It’s okay to be passionate about your operation, since this is your livelihood,

but remember to be open to seeing things from a different perspective. Don’t blame your employees for opportunities that may be documented for cleanliness or merchandising. Take ownership. Don’t let unclear comments go unchallenged. The goal is not to fight the Area Leader, but to collaborate for your success.

“The goal is not to fight the Area Leader, but to collaborate for your success.” The Quality Visit can either be a one-sided inspection or a collaboration between the company and the franchisee to increase everyone’s prosperity. The difference is preparation, quality communication, and agreeing on the support that you need. You should approach this visit as an owner of your operations, not an operator. Again, take ownership. When you manage this visit instead of letting the Area Leader manage it, you will see results that have a positive impact for your business. Successful franchisees don’t let things happen and react; they are prepared and know what they want and need to move their business forward with accountability at both ends.

Wendy Mosley • southwestaustin711@gmail.com

Join Your Local Franchise Owner’s Association Today! The best way to stay informed of the latest changes and challenges to our 7-Eleven system-and the convenience industry, in general-is to join your local Franchise Owner’s Association. FOAs help franchisees share ideas and concerns, and allow us to approach our franchisor and vendor partners with a unified voice. Becoming an FOA member also makes you a member of the National Coalition, which consists of all 41 FOAs nationwide. To join your local organization, contact the FOA president closest to you, or follow the instructions below to fill out an online membership form. If you cannot find the FOA closest to you, contact nationaloffice@ncasef. com for more information. We welcome your participation!

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

How do I join an FOA? 1.

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

2. In the search bar type “FOA.” 3. Select the popup suggestion “FOA/ PAC:FRANCHISE OWNERS ASSOCIATION.” 4. Type “NONE” in the “Current FOA” box if you are joining an FOA for the first time or you are not a member of any other FOA. 5. Type in the full name of the FOA that you wish to join (No abbreviation) in the “Future FOA” box. 6. Type in the amount of monthly dues as instructed per local FOA. 7.

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

8. Repeat Step 7. 9. Press the green submit icon. 2026 ISSUE 2/3 AVANTI 15

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NCIS Loss Drivers & How To Prevent Them BY KALLI HOBEN Marsh Partner Manager

You take pride in running your 7-Eleven and Marsh, along with NCIS, take pride in helping you protect it. In understanding your risks and implementing the daily targeted practices outlined below, you can help reduce claims, protect your customers and team, while directly improving overall NCIS captive performance. Start today with the checklists below!

“Slip and fall claims make up the highest volume of claims in the captive.” General Liability Controls: Are your basic customersafety controls consistently followed? Slip and fall claims make up the highest volume of claims in the captive. Trusting that your customers will avoid water or coffee spills or walk over a mat that’s curled up isn’t enough—you must be proactive in your response to anything in your store that could become an issue for a customer. • Prompt spill cleanup. • Wet floor signage used correctly. • Clear walkways and entrances. • Staff trained on incident response.

“Visible employees reduce opportunistic theft.” Property & Theft Prevention: How well is your location protected? Theft of lottery tickets and cigarette products account for tens of thousands of dollars in losses in the captive each year. Are your employees greeting customers as they walk in the door? Visible employees reduce opportunistic theft.

• • • •

Vendor Guest Article

It’s Your Captive, Too:

Adequate lighting (inside & outside). Functional, visible cameras. Cash handling procedures followed. Clear sightlines to registers.

“Are employees adequately trained to recognize, manage, and de-escalate potentially volatile situations?” High-Severity Exposure Awareness: Are employees adequately trained to recognize, manage, and deescalate potentially volatile situations? The captive is currently facing a rise in claims related to violence between employees and customers. These incidents not only jeopardize the safety and well-being of all parties involved but also result in significant financial losses, with some claims reaching into the hundreds of thousands of dollars. • Robbery response training. • Conflict de-escalation procedures. • Clear rules on customer confrontations. Every claim that is prevented or better managed has a

“Every claim that is prevented or better managed has a direct impact on the captive.” direct impact on the captive. High-frequency locations add pressure on everyone in the captive. Locations with strong safety and security habits may help keep overall loss costs down, protect surplus, and create room for future stability and growth. Interested in learning more about your claims prevention and insurance options? Call (855) 546-5361 or email 7-Eleven@marsh.com to speak with a licensed insurance advisor. 2026 ISSUE 2/3 AVANTI 17

Make Big Change for all kids

In the final month of pregnancy, scans showed that baby Lanna wasn’t growing as expected. Then, when she was born, her parents knew something was different. At one month old, genetic testing at Arkansas Children’s Hospital, a Children’s Miracle Network hospital, revealed achondroplasia, the most common form of short-limbed dwarfism. Since then, Lanna has been surrounded by compassionate, specialized care. Her team closely monitors her growth, celebrates every milestone, and ensures each visit feels comfortable and positive. At the age of six, Lanna joined a clinical drug study that may help stimulate bone growth, giving her family and care team hope for new advancements. Known for her big smile and bright personality, Lanna loves art projects, singing, and picking prizes from the “treasure bucket” after each hospital visit. With her family’s support and her medical team’s dedication, Lanna remains strong, confident, and full of joy.

Lanna

Treated for Achondroplasia

100% of your donation supports your local children’s hospital. 18

AVANTI 2026 ISSUE 2/3

Together,

We Make Big Change For All Kids BY CHILDREN’S MIRACLE NETWORK

With fall here, it’s the perfect time to reflect on the growth and impact the National Coalition of Associations of 7 Eleven Franchisees (NCASEF) community continues to have on children’s healthcare. Because of your dedication, we are moving forward to make big change for all kids.

support matters most. Your fundraising supports areas of greatest need, enabling care teams to act quickly. In the pediatric healthcare space, your support has recently funded: At our network hospitals, such as Gillette Children’s, and in many of their specialized NICUs, your support helps fund

“Every dollar raised by NCASEF members and through FOA events stays in your community, empowering your local children’s hospital to address its most critical needs.” Every dollar raised by NCASEF members and through Franchisee Owners Association (FOA) events stays in your community, empowering your local children’s hospital to address its most critical needs. Meet Sumukh: A Champion of Resilience When 9-year-old Sumukh began battling constant fevers, nausea, and exhaustion, his family never imagined it would be leukemia. Referred immediately to Children’s National Hospital, a Children’s Miracle Network hospital, he was admitted the same day and began chemotherapy within hours. His care team and donor-funded Certified Child Life Specialists surrounded his family with compassion, helping them understand each step and keeping his spirits high. Though he missed friends and school, Sumukh quickly made the hospital his second home. He joined and started his own events, established a video game league and became known as the “Mayor of 4 East” (the hospital floor on which his treatment was on). Nurses teased that they were “50 percent nurse, 50 percent playmate,” and his doctors adjusted treatment schedules so he could keep learning and playing. After four rounds of chemotherapy, Sumukh rang the bell. Today, he’s back in school, sports and laughter, still brightening every room he enters. His family calls him their greatest source of strength and joy.

“Your fundraising supports areas of greatest need, enabling care teams to act quickly.”

Funds in Action: Building Brighter Tomorrows We trust our hospitals and foundations to know where

advanced incubators and environmentally controlled suites. These high-tech spaces mimic the womb, providing the quiet, dark, temperature-controlled conditions that premature babies need to develop safely. In the surgical suites of Duke Children’s and other leading network hospitals, donations fund specialized micro-instruments. These tools are so small and precise that surgeons can perform life-saving heart or brain procedures on infants weighing only a few pounds, ensuring the smallest patients have the best chance at a healthy future. At Children’s National Hospital—where Sumukh was treated—and throughout our network, your fundraising supports Certified Child Life Specialists. These experts use art, gaming and play to explain complex treatments to kids. By “speaking the language of childhood,” they reduce anxiety and help kids like Sumukh find the courage to face their journey.

“Through FOA golf tournaments and partners like Play Yellow, we raise vital funds that ensure children’s hospitals can provide the specialized care that helps kids grow up strong.” Play Yellow: Turning Passion into Purpose Many of you have seen the iconic yellow ribbons on the golf course, but do you know the story behind them? Play Yellow is a Children’s Miracle Network program in continued on page 20

2026 ISSUE 2/3 AVANTI 19

Together, We Make Big Change For All Kids continued from page 19

partnership with Jack and Barbara Nicklaus and the PGA TOUR. The Why: It was inspired by a young boy named Craig Smith, a friend of the Nicklaus family, who wore yellow for luck. The How: The program unites the golf community to turn their passion for the game into a force for good. The Impact: Through FOA golf tournaments and partners like Play Yellow, we raise vital funds that ensure children’s hospitals can provide the specialized care that helps kids grow up strong.

“Whether you are hosting a local FOA picnic or asking for donations at the register, you are a vital part of our mission.”

Looking Ahead Whether you are hosting a local FOA picnic or asking for donations at the register, you are a vital part of our mission. Together, we can make big change for all kids. For questions or to share your FOA success stories, please contact Kate Burgess.

Scan to watch Sumukh’s inspiring story:

Strong Turnout & Big Opportunities At Detroit FOA Trade Show The Detroit FOA Trade Show on May 7 turned into an incredible day for the local franchise community and easily stood out as one of the most impactful events of the year. Franchisees representing more than 100 stores came together with vendors, SEI corporate leadership, and area teams for a full day of networking, business opportunities, and collaboration. The energy throughout the event was outstanding, with vendors seeing strong engagement from store operators and a high volume of orders being written during the show. Over $60,000 in franchisee incentives and promotional support was made available, creating tremendous value for attending stores and helping franchisees take advantage of exclusive opportunities. A major highlight of the event was the introduction of new Market Leader Manav Preet Chabra to the

Detroit franchise community. Franchisees also had the opportunity to interact directly with Facilities Senior Manager Vaughn Pistolesi, Franchise Director Dave Heagle, Midwest FOA Vice President Nisar Siddiqui, and area leaders who attended and supported the event throughout the day. NBLC members Rani Thuluri and Sandeep Singh were also present and actively engaged with franchisees, answering questions and discussing important issues impacting store operators. The success of the event reflected the strong partnership between franchisees, vendors, FOA leadership, and corporate teams—all working together to support continued growth and success across the Detroit market. — Abid Jamil, Executive Vice President, Detroit FOA

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NCASEF Board Tackles Key Franchisee Challenges The NCASEF Board of Directors met April 30 to May 1 at The Fairmont Olympic Hotel in Seattle, Washington, to address many of the business issues affecting 7-Eleven franchisees. The Board meeting was preceded by the Affiliate Member Meeting on April 29 and a charity golf tournament benefiting Children’s Miracle Network on April 28. Over two days, Board members discussed 7-Eleven’s financial performance, the company’s restructuring efforts, 7NOW delivery, fresh foods, fuel commissions, technology, accounting, legislative affairs, facility maintenance, and organizational governance. The Board also reviewed committee recommendations, approved several bylaw amendments, and received updates from 7-Eleven executives and presentations from a number of vendor partners. Throughout the meeting, discussions remained focused on identifying practical solutions to improve franchisee profitability and strengthen store operations. The meeting’s first day centered on 7-Eleven’s business performance and the challenges facing franchisees. The SEI representatives said inflation, higher operating costs, rising commodity prices, and softer customer traffic continue to pressure convenience retailers across the industry. They also reviewed the company’s strategy for improving store performance through customer experience initiatives, expanded fresh food offerings, privatebrand growth, and stronger execution at the store level. Board members welcomed those efforts but expressed concerns about labor requirements, product shelf life and food waste, encouraging SEI to explore ways to extend code dates and improve profitability within the fresh food category. The Board also received a detailed update on the 7NOW delivery platform. The SEI guests reported that the service now represents approximately 7.5 percent of sales at participating stores. New initiatives—including SNAP acceptance, modern oral nicotine 24

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products, subscription programs, and promotional offers—are intended to expand the delivery business even further. Board members, however, questioned whether the program is generating adequate profits for franchisees after accounting for labor costs, delivery fees, and canceled orders. NCASEF leadership emphasized that discussions with SEI continue to focus on three key profitability initiatives: 7NOW, fresh foods, and fuel commissions. Board members asked SEI to reconsider the delivery cost structure and restore a subsidy while longer-term solutions are developed. Additional discussions addressed technology issues affecting daily store operations. Board members cited register delays caused by customer donation prompts, cloud-based system performance issues, and fraudulent tobacco coupons, saying the problems slow customer transactions, increase labor demands, and create frustration for both customers and employees. The SEI guests agreed to review several of the concerns through its RIS and IT teams. General Counsel Eric Karp reviewed Seven & i Holdings’ financial

performance and plans for a future North American initial public offering. He said the company plans to improve operating performance before moving forward with an IPO and outlined initiatives involving store remodels, restaurant expansion, franchising, and cost reductions. He encouraged NCASEF to continue pressing SEI for a clear path toward stronger franchisee profitability before supporting additional investments in new corporate initiatives. Many of these themes carried into the committee reports. The Digital/ IT/7NOW/RIS Committee continued discussions on delivery labor, technology performance, register delays, and coupon fraud—identifying each as an issue requiring additional work with SEI. The Store Profitability Committee focused on retail pricing, fuel discounts, maintenance costs, EcoSure requirements, and the growing gap between operating expenses and store income. Members also questioned pricing for required store supplies and asked that wholesale costs be compared with prices charged through the 7-Eleven system. The Facility Maintenance Committee reviewed equipment performance

and repair response times, with Board members expressing concern about equipment remaining out of service for extended periods. The Vendor/Merchandise/ Fresh Food Committee encouraged FOA leaders to better communicate vendor programs to their franchisees. The Government Affairs/Tobacco Committee examined the increasingly complex regulatory environment surrounding tobacco and nicotine products and recommended exploring outside government affairs expertise. Meanwhile, the Accounting/ Audit Committee continued its work on gasoline accounting, scan-based trading, audit reporting, and inventory discrepancies requiring additional follow-up. Before concluding the first day, the Board unanimously approved several bylaw amendments covering election procedures, Board representation, FOA membership eligibility and the establishment of a formal Board Member Code of Conduct. On the second day of the meeting, the Board turned its attention to organizational governance and convention planning. Committee leadership reiterated that proposed bylaw amendments must continue to follow the procedures established in the bylaws before being presented for Board action. Board members were reminded that obtaining the required weighted support before committee review helps ensure proposed amendments have demonstrated interest from the Board before additional time and resources are devoted to drafting formal language. The Board acknowledged the importance of maintaining an orderly process for future bylaw proposals while allowing members the opportunity to bring forward governance recommendations through the established procedures. The Board also received an update on preparations for the National Coalition’s 50th Annual Convention and Trade Show in New York City. Committee leaders reviewed scheduling, registration activities, operational procedures and Board responsibilities throughout convention week. In closing the meeting, Chairman Sukhi Sandhu reminded Board members that, despite differences of opinion on governance matters, the Board’s primary responsibility remains protecting the interests of franchisees and continuing to pursue initiatives that improve profitability throughout the 7-Eleven system. 2026 ISSUE 2/3 AVANTI 25

Member News

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fuel same-store gallons increased 1.5 percent. Casey’s Rewards membership grew to nearly 10.5 million members, and the company now operates more than 2,900 stores across 19 states. Casey’s also closed 41 stores during the past year, including several acquired through its 2024 purchase of CEFCO Convenience Stores, resulting in the company’s exit from Mississippi.

DoorDash Develops InHouse Drone Delivery Network

DoorDash is developing its own drone delivery business after receiving Federal Aviation

Administration (FAA) approval to operate a commercial drone delivery service in the United States, reported TechCrunch. The new operation, called DoorDash Air, includes custom-built drones designed by the company’s robotics and autonomy team. While commercial service is still in the testing phase, the certification

allows DoorDash to begin limited pilot programs as it works toward broader autonomous operations. DoorDash said its drone program will complement—not replace—its existing partnerships with Wing and Flytrex. The initiative builds on the company’s autonomous sidewalk robot program and will eventually integrate drones, delivery robots, and human drivers through a single software platform that selects the most efficient delivery method for each order in real time.

Higher Gas Prices Force More Budget Cuts Rising gas prices are putting

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increased pressure on household budgets, with 66 percent of drivers saying higher fuel costs have made it harder to afford everyday expenses and 76 percent cutting back in other spending categories, according to a Numerator survey.

“Rising gas prices are putting increased pressure on household budgets.” Dining out was the most common expense consumers reduced (47 percent), followed by entertainment (34 percent), travel (33 percent) and groceries (33 percent). The survey also found that 92 percent of drivers looked for ways to save money on gas, including using loyalty programs, shopping for lower-priced stations and taking advantage of fuel rewards. Looking ahead, 44 percent of drivers are concerned about affording gas in the coming months, while nearly onequarter said they would consider buying a more fuel-efficient vehicle if prices continue to rise.

GLP-1 Users Continue Buying Candy

Consumers taking GLP-1 weightloss medications are continuing to buy and enjoy chocolate and candy despite changing some eating habits, according to new research from the National Confectioners Association. The study found that 15.1 percent 28

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of U.S. consumers currently use a GLP-1 medication, and 92 percent of those users ate chocolate in the past month—nearly the same rate as non-users. While many consumers on the medications are choosing smaller portions, premium products and lower-sugar options, the research found they are not eliminating confectionery from their diets. The report also concluded that inflation and household finances are having a much greater impact on confectionery sales than GLP1 medications. Consumers were six times more likely to reduce chocolate and candy purchases because of financial pressures than because of GLP-1 use, while 83 percent of GLP-1 users said it is perfectly acceptable to enjoy chocolate or candy occasionally.

Walmart Charges Ahead In EV Market

Walmart has rapidly expanded its electric vehicle charging network, opening about 46 high-speed charging stations with 380 charging cords during the first half of 2026, reported the Chicago Tribune. The retailer now operates EV chargers at

roughly 326 of its 4,600 U.S. stores, with an estimated 300 additional stations under construction, making Walmart the second-fastest-growing charging network in the country behind Tesla. The company says its nationwide store footprint gives it a unique advantage in making EV charging more accessible while attracting customers who shop during charging sessions. Industry analysts believe the strategy could provide a significant boost to instore sales, with some estimates showing retailers can increase sales by about 5 percent when fast chargers are available.

Dollar General Revives $1 Value Push

Dollar General is expanding its value strategy by promoting more than 2,000 items priced at $1 or less and growing its $1 “Value Valley” section as it works to attract both its traditional shoppers and higher-income consumers, reported TheStreet. CEO Todd Vasos said the chain continues to see more customers with household incomes above $100,000, many of whom are shifting spending from grocery and drug stores in search of lower prices. Company executives said the Value Valley section posted an 18.4 percent comparable sales increase in the first quarter, reflecting strong demand for

“Dollar General is expanding its value strategy by promoting more than 2,000 items priced at $1 or less.”

Member News

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low-priced essentials across multiple merchandise categories.

Chicken Chains Continue Rapid Expansion

San Diego FOA Celebrates 7-Eleven Day San Diego FOA members joined the 7-Eleven Day celebration on July 11, welcoming customers into their stores for free Slurpee drinks and a little birthday fun. FOA board members Najib Azzam of Store #18977 in San Marcos and Sharan Kooner of Store #13596 in San Diego were among the franchisees taking part in the festivities, along with Renee Aon of Store #13662. The annual celebration gave the franchisees a chance to connect with customers and share in one of 7-Eleven’s most popular traditions.

Chicken-focused restaurant chains are expanding at a faster pace than any other major restaurant segment, according to Datassential’s 2026 Datassential 500 report. Limitedservice chicken chains grew their unit count by 4.4 percent in 2025, the highest growth rate among the nation’s 500 largest restaurant chains, while sales increased 4.2 percent to $55.2 billion. Industry leaders continued to add locations at an impressive pace, with Chickfil-A opening 178 net new units, Wingstop adding 382 locations, and Raising Cane’s expanding by 85 stores. Several emerging brands posted even stronger growth rates. Dave’s Hot Chicken increased its store count by 34.3 percent and saw sales jump nearly 45 percent, while Pollo Campero expanded by 35.5 percent. Datassential attributed the category’s success to strong consumer demand for protein-rich foods, growing interest in global flavors, and chicken’s suitability for delivery and takeout. 2026 ISSUE 2/3 AVANTI 29

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San Diego FOA Hits The Links For Rady Children’s The San Diego FOA welcomed 160 golfers to its 33rd Annual Charity Golf Tournament on June 10 at the Rancho Bernardo Inn in San Diego. The annual event benefited Rady Children’s Health and brought together franchisees, vendors, and friends for a full day on the course. Guests included representatives from the Sacramento FOA, FOA of Greater Los Angeles, Southern California FOA, and the Joe Saraceno FOA. All 18 holes featured vendor products and activities, giving golfers plenty to enjoy between shots. Vendors helped make the day special with food,

beverages and activities throughout the course. Golfers enjoyed a taco cart from Sabor, a coffee cart from Flour and Brew, breakfast burritos sponsored by Savage Rabbit and Fairlife, a Swisher cigar bar, and a Vita Coco golf ball cannon game. Sponsors also included Anheuser-Busch, Aon Services, Constellation Brands, C4 Energy, Monster Energy, McLane, and Molson Coors. After the final putts were made, everyone gathered in the Santiago Room for a banquet and raffle dinner to cap off another successful San Diego FOA charity golf tournament.

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Midwest FOA Tees Up Two Days Of Giving & Business The Midwest FOA kicked off two busy days on May 27th with its annual charity golf outing at Cantigny Golf in Wheaton, Illinois. A full field of 144 golfers hit the course for a day of fun and friendly competition, all in support of Ann & Robert H. Lurie Children’s Hospital of Chicago through Children’s Miracle Network. The Midwest FOA donated $10,711 to Lurie Children’s as its first round of giving this year, and the hospital raised another $900-plus with a dice game at its sponsored hole. One of the day’s biggest attractions was a helicopter golf ball drop for a 50/50 raffle, with the winning ball taking home $475. The Windy City Breeze Podcast also joined the fun, broadcasting live from the course and interviewing Midwest FOA representatives and TJ Johnson from Lurie Children’s.

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The action continued May 28th with the Midwest FOA Trade Show at the Westin Chicago Northwest, where more than 80 vendors welcomed franchisees with products, promotions, and plenty of deals. This year the FOA introduced the Trade Show Easy ordering platform, which made placing orders simpler for franchisees and vendor partners. Between vendor specials and FOA support, franchisees had the opportunity to save more than $80,000, along with earning additional bonuses based on the amount of orders they placed. 7-Eleven Area Leaders also stopped by to spend time with franchisees and vendors. The two-day event wrapped up with a cocktail hour featuring delectable food and another chance for everyone to relax, catch up, and enjoy each other’s company.

Make Big Change for all kids

When their mom experienced a placental abruption at 36 weeks, twins Erin and Ian were delivered by emergency C-section at CHRISTUS St. Frances Cabrini Hospital, a Children’s Miracle Network hospital. Weighing just three pounds each, the twins spent two weeks in the neonatal intensive care unit (NICU), fighting to grow stronger with the help of Children’s Miracle Network-funded equipment, including Omni Isolette Care Stations that mimicked their mother’s womb. They received CPAP oxygen, feeding tubes, and jaundice treatment under specialized lights until they were healthy enough to go home. The NICU team educated their parents on how to care for them and celebrated their “graduation” from the NICU Developmental Clinic months later. Now 10, Erin and Ian are thriving. Erin loves softball, basketball, and swimming, while Ian enjoys theater, music, and directing. Thanks to the expert care they received, Erin and Ian’s futures are limitless.

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Legislative Update States Keep Pushing Flavor Bans

Research firm Numerator found that prices for everyday household goods increased 0.70 percent in June and were 3.4 percent higher than a year ago, with low-income households, Gen Z consumers, and residents of the South continuing to experience inflation above the national average. • Costco reported record-breaking gas volumes in its fiscal third quarter, with the final five weeks ranking as the company’s top five gas-volume weeks ever, reported Fortune. Costco experienced 4.1 percent growth in paid memberships during the quarter, with many first-time members drawn to the retailer’s competitively priced gas stations. • Social Security’s main retirement trust fund is now projected to be depleted in late 2032, three months earlier than previously expected, according to the program’s annual trustees report. Without congressional action, incoming payroll taxes would cover only 78 percent of scheduled benefits, resulting in an automatic 22 percent reduction— about $500 average—for more than 70 million beneficiaries. • Dollar Tree said beauty has become a more important category as consumers seek affordable alternatives, while experts noted that shoppers across all income levels are trading down, simplifying beauty routines, and turning to value retailers for products they still want to buy, reported Retail Dive. • PepsiCo recently signed a multi-year agreement with Gatik to expand autonomous freight operations across North America, marking what the companies described as the largest commercial autonomous freight deployment to date. Gatik’s driverless trucks already operate within PepsiCo’s networks in Texas, Arizona, and Arkansas, achieving more than 98 percent on-time delivery while helping improve capacity, delivery consistency, and supply chain flexibility. • AnheuserBusch will invest $20 million in its St. Louis brewery and a Missouri can plant to expand production of Michelob Ultra, reported C-Store Dive. The funding follows the company’s recent commitment to double its U.S.

The FDA’s withdrawal of its proposed ban on flavored cigars and menthol cigarettes has provided short-term regulatory stability for retailers and manufacturers, but tobacco industry leaders caution that the issue could return under a future administration, reported Convenience Store News. Industry groups welcomed the move, saying it reduces uncertainty for businesses that rely on flavored cigar sales, while emphasizing that a consistent national policy would be preferable to a patchwork of state and local regulations. Despite the federal reprieve, several states continue to pursue their own restrictions on flavored tobacco products, including cigars. Industry representatives warned that differing state laws create compliance challenges, encourage cross-border purchases and illicit trade, and complicate long-term planning for manufacturers and convenience retailers.

Virginia Expands Vape Enforcement

Virginia retailers that sell tobacco, vape and liquid nicotine products must now obtain state permits and can face fines of up to $15,000 for each unlisted product they sell, reported the Augusta Free Press. The law, which took effect July 1, also requires retailers to sell only products listed in

the state’s official certification directory. The Virginia Alcoholic Beverage Control Authority will conduct regular inspections and undercover compliance checks using underage buyers. Businesses have until October to apply for the required permits, which carry a $400 application fee to help fund additional enforcement staff. First-time violations for selling products not listed in the state directory carry a $5,000 fine per product, increasing to $10,000 for a second offense and $15,000 for a third, creating potentially significant penalties for retailers with multiple noncompliant products.

House Passes Bill That Would Redesign The Nickel

The U.S. House recently passed the Common Cents Act, which would authorize the Treasury Department to develop a lowercost nickel, reported The Hill. The bill calls for testing a redesigned five-cent coin made with less expensive materials, such as zinc, to reduce production costs, which have exceeded the coin’s face value for 20 consecutive years. The proposal comes as retailers increasingly round cash transactions to the nearest nickel following the end of penny production. The redesigned nickel would still need to work with vending machines and other coinoperated equipment. The legislation must still pass the Senate and be signed by the president before it can take effect. continued on page 36

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Legislative Update

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FDA Targets Caffeine Labeling

The U.S. Food and Drug Administration recently added caffeine labeling to its 2026 regulatory priorities, signaling it may issue new guidance requiring clearer disclosure of caffeine content in foods and beverages, reported Food Dive. The move follows increased scrutiny of energy drink makers. Current FDA rules require added caffeine to appear in ingredient lists, but do not require manufacturers to disclose the amount of caffeine in a product. Many energy drink companies voluntarily list caffeine levels, but no federal regulation specifically requires it. The agency is also considering guidance on “healthy” label claims and plans to advance work on defining ultra-processed foods and reducing added sugar in the food supply.

Swipe Fee Settlement Advances

A federal judge recently granted preliminary approval to a proposed $38 billion settlement in the longrunning antitrust lawsuit over Visa and Mastercard swipe fees, ruling that the agreement appears fair and is likely to receive final approval, reported Convenience Store News. The settlement would reduce swipe fees by 0.1 percentage point for five years, cap standard consumer card rates at 1.25 percent for eight years, allow merchants to reject certain categories of cards, and eliminate the networks’ “Honor All Cards” rule. 36

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Retail and merchant groups strongly criticized the proposal, arguing it fails to address the lack of competition in the payments market and does not adequately reduce costs for businesses. The Merchant Payments Coalition, National Retail Federation, and Retail Industry Leaders Association all vowed to continue fighting the settlement, contending that Visa and Mastercard would retain too much control over card fees and network rules.

Mastercard Pauses ENDS Product Fines

Mastercard has temporarily paused assessments against retailers selling certain electronic nicotine delivery system (ENDS) products after NACS and other industry groups urged the company to align its enforcement with current FDA policy, according to a NACS report. NACS argued that while the FDA requires premarket authorization for ENDS products, the agency currently exercises enforcement discretion and does not take action against every unauthorized product, making Mastercard’s earlier enforcement standard more restrictive than federal policy. In its response to NACS, Mastercard said it would give customers additional time to implement remediation plans while it reviews the information provided. The issue arose after payment processors and major fuel retailers warned merchants they could face steep fines or lose card processing privileges for selling

ENDS products not specifically authorized by the FDA, even as a coalition of state attorneys general continues to push payment networks to crack down on illegal vape sales.

“MASTERCARD HAS TEMPORARILY PAUSED ASSESSMENTS AGAINST RETAILERS SELLING CERTAIN ELECTRONIC NICOTINE DELIVERY SYSTEM (ENDS) PRODUCTS.”

Pennsylvania Skill Games Ruled Illegal

The Pennsylvania Supreme Court recently ruled that skill games are legally slot machines and must comply with Pennsylvania’s gambling laws, overturning lower court decisions that had allowed the machines to operate in a legal gray area, reported ABC Action News. The ruling affects an estimated 70,000 machines located in convenience stores, taverns, and other businesses across the state and gives lawmakers 120 days to establish a regulatory framework before the devices become subject to seizure by law enforcement. The decision intensifies pressure on state lawmakers to reach agreement on legislation that would legalize, regulate, and tax the machines. Supporters argue that regulation could generate more than $1 billion annually in tax revenue, while operators and small businesses warn that excessive taxation could threaten an important source of income. Debate continues over the appropriate tax rate, with proposals ranging from 16 percent to 52 percent of gross revenue.

SEI NEWS New SEI CEO Named

Seven & i Holdings recently appointed Mauricio Leyva as chief executive officer of 7-Eleven, Inc., according to a company press release. Leyva succeeds the company’s interim leadership team and will oversee SEI’s North American operations as it continues its North Star transformation program, with priorities including improving the customer experience, strengthening the store network, advancing operational excellence, and driving long-term profitable growth. Leyva brings more than 25 years of global consumer products experience, most recently serving as Group President of Keurig Dr Pepper, where he helped lead the company’s post-merger transformation. He also held senior leadership roles at Grupo LALA, AB InBev, SABMiller, and Grupo Modelo, where he expanded one of Mexico’s

largest convenience store chains. Seven & i President and CEO Steve Dacus said Leyva’s experience leading major business transformations makes him well suited to guide SEI into its next phase of growth as the 7-Eleven brand approaches its 100th anniversary in 2027.

Seven & i Raises 2026 Outlook

Seven & i Holdings recently raised its fiscal 2026 earnings forecast after reporting a strong first quarter, reported Convenience Store News. The parent company of 7-Eleven increased its full-year operating income and net income outlook, citing stronger performance across its business and continued progress on its strategy to strengthen the North American convenience store network. First-quarter merchandise samestore sales rose 1.4 percent, merchandise operating income increased by $9 million, and total operating income climbed $315

million to $560 million. The company also reported steady progress on several North American initiatives. During the first quarter, 7-Eleven opened 30 new stores, launched 60 new private-label products, opened 20 restaurants, converted 43 company-operated stores to franchise locations, and completed 72 wholesale fuel conversions. It has also closed 45 of the 200 underperforming stores slated for closure this fiscal year and plans to begin remodeling 200 stores during the second half of the year. Meanwhile, 7NOW delivery sales reached $274 million toward the company’s $1.08 billion annual goal.

Seven & i Ends Zabka Investment Talks

Seven & i Holdings recently ended discussions to acquire a stake in Polish convenience continued on page 38

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manufacturing investment to $600 million as executives express confidence that beer sales are stabilizing and brands such as Michelob Ultra and Busch Light continue to gain market share. • Mondelez International recently raised its full-year organic revenue forecast after second-quarter net revenue increased 4.1 percent to $9.36 billion, reported Reuters. The Oreo and Cadbury maker posted volume growth in North America and expanded its lineup with smaller packages and

products such as zero-sugar and glutenfree Oreos as consumers remained sensitive to prices. • Family-owned food companies from overseas are increasingly acquiring U.S. snack businesses that have lost value because of inflation, changing consumer tastes, and concerns about GLP-1 weight-loss drugs, reported Reuters. Recent transactions include Intersnack’s nearly $3 billion purchase of Utz, Ferrero’s acquisitions of WK Kellogg and Power Crunch, and Mars’ $36 billion

takeover of Kellanova. • Wegmans is testing redesigned small shopping carts at two Rochester-area stores, reported WHAM-TV. The lighter, quieter carts are easier to maneuver and include phone and cup holders, plus more room for bulky items and family packs. Customer and employee feedback has already prompted design changes. • Former SEI President and CEO Joe DePinto has been appointed to Target’s board of directors, according to a company news release. DePinto,

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SEI NEWS continued from page 37

store operator Żabka Group after the companies were unable to reach terms that served the best interests of shareholders, reported The Japan Times. Although the deal will not move forward, Seven & i said Europe remains a key growth market and the company will continue pursuing expansion opportunities as it works toward operating in 30 countries and regions by 2030, up from 19 today. The decision comes as Seven & i continues reshaping its global strategy following the abandoned takeover bid from Alimentation Couche-Tard and ongoing efforts to accelerate growth outside Japan. The retailer has expanded its presence in Scandinavia, is

evaluating additional opportunities across Europe, and recently raised its full-year operating profit forecast by about 5 percent to ¥425 billion.

Seven & i Restructures Global Operations

retailer is also creating a global convenience store planning department within its corporate planning division and a global talent development department within human resources.

Seven & i Forms Strategic Payments Alliance

Seven & i Holdings is overhauling its international business structure as part of a broader effort to strengthen operations outside Japan and North America, reported C-Store Dive. On July 1, the company established a new international business management office that will assume responsibility for 7-Eleven Japan’s overseas operations, while also adding an international operations department to support the new division. The

Seven & i Holdings recently formed a ¥300 billion ($1.8 billion) strategic alliance with SoftBank Corp., PayPay Corp. and Sumitomo Mitsui Financial Group, reported Bloomberg. Each company will invest about ¥100 billion for an approximately 2.3 percent ownership stake in Seven & i, with the partnership focused on expanding digital payments, loyalty programs and

switching completely from cigarettes to ZYN lowers the risk of serious smoking-related diseases, reported Convenience Store News. • Pilot, Kwik Trip and Onvo are expanding their electric-vehicle charging networks, reported C-Store Dive. Pilot added 50 charging locations during the first half of 2026 and now operates more than 275 sites, while Kwik Trip has installed Kwik Charge equipment at 23 locations since launching the program 18 months ago. • BP plans to eliminate about 700 officebased positions worldwide as part of a broader corporate restructuring. The reductions affect roughly 8 percent of the company’s non-frontline workforce in its former production and operations business. BP said its convenience retail employees will not be impacted. • Circle K recently launched a redesigned Inner Circle rewards program that lets

members earn rewards based on store visits instead of points. Customers earn a Visit with qualifying fuel purchases or $3 or more in-store purchases, then redeem Visits for rewards ranging from free snacks and drinks to discounts of up to $1 per gallon of fuel. • Generation Z is drinking alcohol at nearly the same rate as the overall adult population, challenging the long-held belief that younger consumers are driving the industry’s moderation trend. A new IWSR study found that 74 percent of legal-age Gen Z consumers drink alcohol, up from 66 percent three years ago. • Americans lost a record $11.4 billion to cryptocurrency scams in 2025, including $389 million through crypto ATMs often located in convenience stores, reported CryptoNews.com. In response, some cities have banned crypto kiosks,

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who led 7-Eleven for 20 years and previously held leadership roles at PepsiCo and GameStop, will serve on Target’s Infrastructure and Finance Committee and its Audit and Risk Committee as the retailer continues its turnaround efforts under CEO Michael Fiddelke. • Utz Brands will return to private ownership after Germanybased Intersnack Group agreed to acquire all outstanding public shares in a deal valued at approximately $2.9 billion, reported the Hanover Evening Sun. The transaction will allow Utz to continue investing in its Hanover, Pennsylvania headquarters while expanding its reach in the North American snack market. • The U.S. Food and Drug Administration recently issued its first Modified Risk Tobacco Product orders for nicotine pouches, allowing 20 ZYN products to carry claims that 38

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SEI NEWS regulators have sued operators over alleged fraud, and the FBI has expanded public education efforts. • Best Buy recently launched two new solar energy projects as part of its goal to achieve net-zero carbon emissions by 2040, reported Chain Store Age. A rooftop community solar garden at its Long Island City, N.Y., store will generate about 461,800 kilowatt-hours of electricity annually, and a solar field at its Dinuba, California distribution center will produce about 5.87 million kilowatt-hours each year, helping power operations while reducing the retailer’s carbon footprint. • British American Tobacco raised its full-year earnings growth forecast as U.S. demand increased for Velo nicotine pouches, reported Reuters. Revenue from noncombustible products— including nicotine pouches, vapor products and heated tobacco—increased 18 percent during the first half of 2026. • Drivers are leaving millions of dollars in fuel savings unclaimed because few are using or redeeming gas station loyalty rewards, reported Convenience Store News. A Verifone study found that only 24 percent of 45.8 million fuel transactions included a rewards card, and just one-third of those customers redeemed a discount, saving an average of 12.8 cents per gallon, even though participating drivers collectively saved nearly $5.6 million during a single week in June. • Coca-Cola recently filed a trademark application for the name “Spricy,” signaling the company may be preparing to introduce a new spicy soft drink, reported Food Dive. Industry observers believe the name is a play on the growing “swicy” (sweet and spicy) flavor trend, although the company has not confirmed plans for a new product. • Walmart recently signed a 15-year nuclear energy agreement with Constellation Energy under which the power producer will deliver 176 megawatts of electricity from its Dresden Clean Energy Center in Illinois, reported Bloomberg. The Dresden center will provide nuclear power to Walmart’s upcoming high-tech distribution hub in the state, with the new agreement supporting investment in efficiency upgrades at the plant. • Philip Morris International recently opened its new $1.2 billion manufacturing campus in Aurora, Colorado, expanding domestic production of ZYN nicotine pouches while strengthening the company’s U.S. supply chain and export capabilities.

customer engagement while strengthening the retailer’s competitive position in Japan. The alliance could combine Seven & i’s payment and loyalty platform with PayPay’s 74 million users and leverage SoftBank’s AI technology to improve store operations. It also gives Seven & i access to SMFG’s banking, credit card and loyalty services as the company continues its turnaround efforts under CEO Stephen Dacus and sharpens its focus on convenience store operations.

7-Eleven Focuses on Simpler Food Innovation

7-Eleven is refining its foodservice strategy by turning popular culinary trends into menu items that are easy for stores to prepare and customers to enjoy, reported Convenience Store News. Speaking at the 2026 Convenience Foodservice Exchange, Megan Sandlin, senior category manager for restaurants, said 70 percent to 80 percent of limited-time offers fail because they are too complicated for store teams to execute consistently, despite strong consumer interest in new menu items. Sandlin said successful foodservice innovation depends on simple preparation, familiar formats, and strong visual appeal rather

than overly complex recipes. She also pointed to handheld foods, globally inspired flavors, and sauces as key opportunities, emphasizing that operators must move quickly to capitalize on fastchanging consumer trends while ensuring new products can be prepared consistently across stores.

SEJ Expands Digital Advertising Push

Seven-Eleven Japan will launch a new retail media company, Seven-Eleven Ad Connect, in partnership with advertising giants Dentsu and CyberAgent, reported MarketWatch. The joint venture, scheduled to begin operations on September 1, will use customer purchase data, digital signage, and the 7-Eleven app to deliver targeted advertising based on factors such as weather, time of day, and real-time inventory levels. Seven-Eleven Japan will hold an 80 percent stake in the venture, while Dentsu and CyberAgent will each own 10 percent. The company also plans to more than double the number of stores equipped with digital signage to approximately 8,700 locations this fiscal year as it works toward a goal of generating ¥20 billion in annual advertising-related revenue by 2030.

2026 ISSUE 2/3 AVANTI 39

Vendor FOCUS The return of Suzy Q’s and the debut of Churro Donettes give franchisees more ways to drive snack sales.

Hostess Delivers Sweet New Choices Hostess is giving 7-Eleven franchisees three new reasons to grow sweet baked goods sales with the return of its iconic Suzy Q’s snack cake and the introduction of Churro Donettes in both single-serve and bagged formats. All three items are authorized and on planogram, making them easy additions to stores looking to capitalize on consumer demand for indulgent, graband-go snacks. The return of Suzy Q’s brings back one of Hostess’ most recognizable snack cakes. The product features two large layers of soft, airy chocolate cake filled with a lightly whipped crème center, delivering the same recipe longtime fans remember. As the largest snack cake in the Hostess portfolio, Suzy Q’s is designed to satisfy consumers looking for a hearty treat that can be enjoyed any time of day. Hostess believes the product’s nostalgic appeal will resonate with loyal customers while introducing a new generation of shoppers to a classic favorite. Hostess is also expanding its popular Donettes line with new Churro Donettes, inspired by one of today’s fastest-growing dessert flavors. The new mini donuts combine warm cinnamon flavor, a sweet glaze and a crunchy topping that recreates the taste and texture of a traditional churro. Available in both single-serve and bagged packages, the new flavor gives franchisees another way to meet growing demand for innovative bakery snacks while building on the success of the nation’s leading mini donut brand. 40

AVANTI 2026 ISSUE 2/3

According to Hostess, sweet baked goods remain one of the largest and most frequently purchased snack categories in convenience stores. The company says consumers continue to seek comfort foods and indulgent treats, with many purchasing bakery items alongside coffee, fountain beverages, energy drinks, bottled water and soft drinks. In fact, cold dispensed beverages are among the most common companion purchases in Hostess snack baskets, creating additional opportunities for retailers to increase basket size through merchandising and cross-promotions. Hostess is supporting the new products with increased digital advertising and expanded media investments designed to reach high-value convenience store shoppers. The company says its marketing strategy focuses on keeping the Hostess brand top of mind during key purchase occasions while encouraging trial of new products. Each product is backed by a guaranteed 21-day shelf life upon arrival at stores, helping operators minimize waste while offering consumers fresh, recognizable snacks from the category’s leading brand, according to Hostess. SLIN :671995 HST CHURRO DONETTES SS SLIN :671719 HST CHURRO BAG DONETTES SLIN :671908 HST SUZY Q’S 2.6Z SS

Al Capone Cigars: Small Footprint, Powerful Sales! Al Capone’s Sweet Filter, Non-Filter, Jamaican Blaze Filter, and Jamaican Blaze Non-Filter deliver PREMIUM PERFORMANCE in a compact footprint, making them an ideal merchandising solution for 7-Eleven. As the only premium hand-rolled cigarillo in the set, Al Capone offers adult consumers a differentiated experience that drives trips, increases basket size, and builds loyalty. From seed to smoke, we own the entire process, ensuring consistent quality, supply, and execution every step of the way. These FOUR ITEMS may only occupy 8 inches on the shelf, but they punch far above their weight in sales, profit, and consumer demand, making them one of the most productive uses of space in the category. Sweets Non-Filter: SLN 322905 Sweets Filter: SLN 322906 Jamaican Blaze Non-Filter: SLN 327203 Jamaican Blaze Filter: SLN 322181

Al Capone’s compact four-SKU lineup helps franchisees increase sales, profits, and basket size.

FOA

EVENTS contiued from page 42

Eastern Virginia FOA Holiday Party & Table Top Event Venue TBD December 3, 2026 Phone: 757-971-2828

FOA Of Greater Los Angeles Holiday Party

Venue TBD December 5, 2026 Phone: 562-567-1660

Michigan FOA Holiday Party & Tabletop Show

Venue TBD December 4, 2026 Phone: 517-219-5288

West Coast FOA Holiday Party

Venue TBD December 11, 2026 Phone: 213-344-7494

San Diego FOA Holiday Party

The Heights Golf Club San Diego, California December 12, 2026 Phone: 619-713-2411

Joe Saraceno FOA Holiday Party

Imperial Event Venue Banquet Hall Pasadena, California December 13, 2026 Phone: 619-726-9016

Northern California FOA

NorCal United (CV/GB/NCA/SV) Trade Show Sunrise Banquet Hall & Event Center Vacaville, California April 21, 2027 Phone: 707-344-6287

Charity Golf

Chardonnay Golf Club American Canyon, California April 22, 2027 Phone: 707-344-6287

Midwest FOA Trade Show

Venue TBD May 5, 2027 Phone: 847-971-9457

Golf Outing

Venue TBD May 6, 2027 Phone: 847-971-9457

South Texas FOA Trade Show

Chicagoland FOA Charity Golf Outing Venue TBD May 13, 2027 Phone: 847-595-1596

San Diego FOA

Annual Charity Golf Tournament Rancho Bernardo Inn San Diego, California June 9, 2027 Phone: 619-713-2411

Chicagoland FOA Annual Picnic

Venue TBD July 18, 2027 Phone: 847-595-1596

Venue TBD May 5, 2027 Phone: 623-533-2485

Chicagoland FOA

Golf Tournament

Venue TBD November 11, 2027 Phone: 847-595-1596

Venue TBD May 6, 2027 Phone: 623-533-2485

Baltimore FOA

TriState (SubWA/Baltimore)

Vendor Dinner

Venue TBD May 11, 2027 Phone: 443-506-8380

Trade Show

Venue TBD May 12, 2027 Phone: 443-506-8380

Chicagoland FOA Summer Expo & General Meeting Venue TBD May 12, 2027 Phone: 847-595-1596

Winter Expo & General Meeting

Midwest FOA

Holiday Trade Show

Venue TBD December 1, 2027 Phone: 847-971-9457

Chicagoland FOA Holiday Party

Venue TBD December 3, 2027 Phone: 847-595-1596

Joe Saraceno FOA Holiday Party

Venue TBD December 6, 2027 Phone: 619-726-9016

2026 ISSUE 2/3 AVANTI 41

NCASEF BM EOA R D ETINGS National Coalition Affiliate Meeting

Omni Frisco Hotel At The Star Frisco, Texas November 9-10, 2026

National Coalition Board of Directors Meeting

Omni Frisco Hotel At The Star Frisco, Texas November 11-12, 2026

FOA

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

National Coalition Board of Directors Meeting

St. Kitts Marriott Beach Resort Frigate Bay, St. Kitts February 2-3, 2027

National Coalition Affiliate Meeting

St. Kitts Marriott Beach Resort Frigate Bay, St. Kitts February 4-5, 2027

National Coalition Board of Directors Meeting

The Broadmoor Colorado Springs, Colorado April 26-27, 2027

National Coalition Affiliate Meeting

The Broadmoor Colorado Springs, Colorado April 28-29, 2027

National Coalition Board of Directors Meeting Gaylord Texan Grapevine, Texas July 26, 2027

MARK YOUR CALENDAR!

NCASEF 51st Annual

Convention & Trade Show

Gaylord Texan Grapevine, Texas July 26-29, 2027

EVENTS

Metro New Jersey FOA

San Diego FOA

Metro New Jersey FOA

Venue TBD September 22, 2026 Phone: 732-910-8854

AleSmith Brewing Company San Diego, California October 8, 2026 Phone: 619-672-1376

Venue TBD November 21, 2026 Phone: 732-910-8854

Vendor’s Golf Outing

Annual Tradeshow Expo Royal Albert’s Palace Fords, New Jersey September 24, 2026 Phone: 732-910-8854

Florida West Coast FOA Trade Show

Venue TBD September 23, 2026 Phone: 407-683-2692

Trade Show & Vendor Party

West Coast FOA

Annual Fun Shoot Event Raahauge’s Shooting Range Eastvale, California October 13, 2026 Phone: 213-344-7494

Chicagoland FOA Winter Expo

Holiday Inn & Suites Chicago North Shore (Skokie) Skokie, Illinois November 19, 2026 Phone: 847-595-1596

Annual Holiday Party

Midwest FOA Holiday Show

Venue TBD December 2, 2026 Phone: 847-999-5558

Greater Oregon FOA

Holiday Party

Venue TBD December 3, 2026 Phone: 503-516-3483

continued on page 41

AVANTI 2026 ISSUE 2/3

Hostess Fix the Mix with Top Seller + High Gross Profit 60% Everyday ®

Focus on Top Voids with High APSD Nationally #2 Ranked Hostess® Frosted Donettes® 174320 #3 Ranked Hostess® Powdered Donettes® 171248 #6 Ranked Hostess® Iced Vanilla Zingers® 171259

Why Carry?

Action Steps:

•

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

•

Mark SKU’s as Carried

•

Set to POG Recommendations

•

Print and place tags on shelf Item

SLIN

Pack/Size

SRP

GP%

GP$

Chocolate Cupcakes

175408

6/3.17 oz

$2.59

60%

$1.56

Top 10

Frosted Donettes®

174320

6/3 oz

$2.59

60%

$1.56

Powdered Donettes®

171248

6/3 oz

$2.59

60%

$1.56

Twinkies®

175407

6/2.7 oz

$2.59

60%

$1.56

Must Have to Drive Profit

Crunch Donettes®

174346

6/4 oz

$2.59

60%

$1.56

Iced Vanilla Zingers®

171259

6/3.81 oz

$2.59

60%

$1.56

Coffee Cake

171270

6/2.89 oz

$2.59

60%

$1.56

Glazed Donettes®

171374

6/3.7 oz

$2.59

60%

$1.56

Devil’s Food Zingers®

171133

6/3.81 oz

$2.59

60%

$1.56

Orange Cupcakes

171343

6/3.38 oz

$2.59

60%

$1.56

All costs/retail are national averages. Please refer to the ISP for exact cost/retail by store.

Talk to your Anheuser-Busch Wholesaler Representative to learn more about how to leverage this program!

INAL G I R O THE

Y T R PA H PUNC

#1 Tetra Pak Brand

in all of alcohol

#2 RTD Single

at 7-Eleven

#3 Growth Brand hard beverage dollars

*Circana YTD, 7-11 TTL Enterprise, ending 5-24-2026

Introducing

Xtreme Sour Black Cherry FOD of August 1 st