THE VOICE OF 7-ELEVEN FRANCHISEESJuly/August 2022 A Blowout Convention! The Perfect Blend Of Business & Fun!
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AUGUST 2022 9
(SOURCE: IRI May 2022)
Variety 12-pk optimal for food channels but has high sugar and calorie content that is ripe for disruption.
(SOURCE: IRI May 2022)
The Bud Light Seltzer® brand has strength particularly in Singles; Bud Light Seltzer® & Bud Light™ Platinum™ Seltzer combined had a 16.5 share of Seltzer Singles in 7-Eleven in FY 2021 and YTD are up to 17.6 share.
ENJOY RESPONSIBLY © 2022 Anheuser-Busch, Bud Light™ Platinum™ Seltzer Wild Berry, Citrus, & Blood Orange, Hard Seltzer, St. Louis, MO 63118 CIDER CATEGORY IS A LARGE, MAINSTREAM CATEGORY RIPE FOR “SELTZER-FICATION” “Cider” is a $350MM category known for strong taste credentials, but has high sugar and calorie content that is ripe for disruption. (SOURCE: IRI Oct 2021) FIRST MOVER IN THE CATEGORY – APPLE SLICES FLAVORS DROVE STRONG TASTE APPEAL & TRIAL ConsumersINTERESTexpressed excitement about apple-flavored seltzers and the flavor combinations in the Apple Slices pack. (SOURCE: Bud Light Seltzer® Apple Slices Concept Test Jan 2022) APPLE SLICES DESIGN PERFORMED ON PAR WITH HARD SODA ACROSS ALL KEY KPIS WITH OUR LDA-29 TARGET Apple Slices tested on par with Bud Light Seltzer® Hard Soda across all key KPIs including purchase intent at shelf, appeal, relevance, and flavor. (SOURCE: Bud Light Seltzer® Apple Slices Pack Shelf Test Feb 2022) APPLE SLICES ENJOY RESPONSIBLY © 2022 Anheuser-Busch, Bud Light Seltzer ® Apple Slices, Cranberry Apple, Crisp Apple, Strawberry Apple & Peach Mango Apple, IRC Beers, St. Louis, MO 63118 The bold, crisp taste of apple meets the stats of seltzer. Tastes great, any way you slice it! Blood25OZOrangeSLIN#TBDSLIN#Wild25OZBerry100010 12PK, 12OZ Sleek Variety Pack SLIN# 101748 YTD Bud Light Seltzer® Family has maintained its #3 Volume and Dollar Share since its launch in 2020.
(SOURCE: Numerator shopper panel P52W 3/15/22)
6PK, SLIN#Variety12OZPack100050
(SOURCE: IRI TUS MULC, L13W 5/22/22)
(SOURCE: IRI May 2022)
Bud Light Seltzer® Black Cherry 25 oz. is a top selling Seltzer Single and YTD its ROS has grown by +12%.
Bud Light™ Platinum™ Seltzer Wild Berry 25 oz. is the #4 ranked Seltzer single at 6.1 share YTD and +3.4 vs YA. It’s ROS YTD is 0.65 which is higher than Truly Wild Berries, Truly Pineapple and Truly Strawberry Lemonade (#1-3 ranked Seltzer singles).
(SOURCE: IRI May
Wild Berry #1 ROS single in Cstore across the portfolio.
High ALC./VOL. seltzer is growing 11% YOY.
(SOURCE: IRI TUS MULC Dec 2021 L52W)
REASONS2022)TO BELIEVE:
By Joe Rossi, NCASEF Executive Vice Chair
By Sukhi Sandhu, NCASEF Chairman
AVANTI JULY | AUGUST 2022 11
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.
What Can Trends Tell Us About The Future Of The 7-Eleven Brand And System? By Eric H. Karp, ESQ., General Counsel to NCASEF Tobacco Legislation Update: Proposals To Ban Flavored Tobacco Products Are On the Rise By Kyle May, Director External Relations— Reynolds Marketing Services Company Worker’s Compensation Claims And Trends By John Harp, CSP, ARM—Risk Engineering Consultant, Mitsui Sumitomo Insurance Group Member News............12 Bits & Pieces..........39 Legislative Update.......39 Join Your Local FOA....23 SEI DEPARTMENTSNews...................57VendorFocus.....61FOABoardMeetings.....64FOAEvents.....................66 THE VOICE OF 7-ELEVEN FRANCHISEES Moving The Brand ForwardCollaboration Among All Stakeholders Is Key Working Together Will Benefit All7-Eleven Stakeholders It’s All About TeamworkWorkers’ Compensation InsuranceQuestions & Answers A Convention To Remember! Photos Of The NCASEF 46th Annual Convention & Trade Show NCASEF Raises $150k For CMN Hospitals Franchisees Tee Off For A Worthy Cause At San Diego Charity Golf Tournament Third Quarter Board Of Directors Meeting Great Turnout For The Midwest FOA’s Charity Golf Outing & Trade Show NCASEF W7-ElevenMichiganWelcomes&DetroitFOAsFranchiseesVisitashington,D.C.ForCFADay Pages 16-20 3231272521 535143412814 THE VOICE OF 7-ELEVEN FRANCHISEES Supporting Charities And Community Service 7-Eleven Franchisees Make A Difference Giving Back To Our Communities And Our Customers We Are More Than A ConvenienceNeighborhoodStore Change Is The Only Overexertion/BackShiftingConstantSandsInjuries The Spring 2022 Affiliate MemberPageDirectory34 THE VOICE OF 7-ELEVEN FRANCHISEES May/June 2022 MakingImprovingProgressTheSystemForAllStakeholdersWe’re On It Staying Fully Stocked Franchisee Exits Don’t Leave MoneyOn The Table Slip, Trip, And FallThePreventionPowerOf PartnershipSecond Quarter BoardOf Directors Meeting NCASEF Committee Reports Register Today!NCASEF 46th AnnualConvention & Trade ShowGaylord National Resort &Convention CenterNational Harbor, MarylandAugust 7-10, 2022
THE VOICE OF 7-ELEVEN FRANCHISEES
Keeping Our Stores Safe
ContentsAWonderfulConvention For All 7-Eleven Stakeholders
Joe Rossi
“SEI has acquired startup Skipcart, which uses a network of crowdsourced drivers to deliver food, beverage, retail, and other products.”
Eric H. Karp, Esq. GENERAL 617-423-7250COUNSEL•ekarp@wkwrlaw.com
NATIONAL OFFICERS & STAFF
Skipcart was founded in 2018 and was valued at $69 million two years ago. The company uses a network of more than 150,000 crowdsourced drivers to deliver food, beverage, retail, pharmaceutical and e-commerce products to customers in 37 U.S. states and parts of Canada. The article states the move is significant because it could change how SEI does business with DoorDash, the
Franchisees
12 AVANTI JULY | AUGUST 2022
SEI recently acquired Skipcart, a fouryear-old startup that developed a major network of drivers for fast delivery of restaurant food and other goods in the U.S., reported The Information, citing sources with knowledge of the deal.
VICE 847-845-8477CHAIRMAN•rehan711@yahoo.com
INTERIM VICE CHAIRMAN 954-242-8595 • teeto.shirajee@yahoo.com
Magazine is the registered trademark of The National Coalition of Associations of 7-Eleven Franchisees.
7-Eleven is #1 on CSP’s Top 202 Convenience Stores 2022 list, which ranks the largest chains in the c-store industry by U.S. store count as of January 1, 2022. With 13,000 units under the 7-Eleven and Speedway banner—and some branded Stripes— 7-Eleven beat out #2 Alimentation Couche-Tard, which has 7,103 Circle-K stores in the U.S. Coming in a distant third is Casey’s General Stores with 2,422 stores. In 2021, 7-Eleven closed the largest acquisition in both its and the c-store channel’s history, adding approximately 3,800 Speedway stores in 36 states.
Member News
continued on page 14
April J. Key GRAPHIClirpayek@gmail.comDESIGNER
7-Eleven Recognized For Most U.S. Stores
SEI Acquires A Delivery Startup
food delivery app. Currently, DoorDash’s contractor-drivers deliver orders to 7-Eleven customers who shop through the DoorDash app or use 7-Eleven’s own apps to order food and alcohol for delivery, one of the sources said. The other source with knowledge of the deal said 7-Eleven now intends to compete more directly with GoPuff and DoorDash but declined to elaborate.
The National Coalition Office
NATIONAL COALITION OF ASSOCIATIONS OF 7-ELEVEN FRANCHISEES
Romy Singh 757-506-5926TREASURER • romys@ncasef.com
INTERIM VICE CHAIRMAN 626-255-8555 • bhullar711@yahoo.com
Shawn Howard VENDOR 855-444-7711ADMINISTRATORRELATIONS•shawnh@ncasef.com
Avanti
MEETING/TRADE SHOW 262-394-5518COORDINATOR•johnr@jrplanners.com
Sukhi Sandhu NATIONAL 855-444-7711CHAIRMAN•sukhi.sandhu@ncasef.com
©2022
EXECUTIVE VICE CHAIRMAN 312-501-4337 • joer@ncasef.com
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 Ceres,BCA 855-444-771195307 nationaloffice@ncasef.com
Rehan Hashmi
John Santiago MANAGING EDITOR 267-994-4144 • avantimag@ncasef.com
The Voice of 7-Eleven Franchisees July/August 2022 National Coalition of Associations of 7-Eleven
Teeto Shirajee
Nick Bhullar
John Riggio
AVANTI JULY | AUGUST 2022 13
Each year, the highlight of the Speedway Miracle Tournament and Celebration Dinner is the Speedway Miracle Children, who are celebrated throughout the two days and serve as the face of their local member children’s hospital. More than 50 children and their families attended this year’s event, sharing their personal stories and highlighting the significant impact Speedway’s donations have
Member News
Pump-To-Store Conversion
Rates Drop As Gas Prices Climb
NCASEF Raises $150k For CMN Hospitals
Speedway Raises Funds For CMN Hospitals
Children’s Miracle Network Hospitals (CMN Hospitals) recently announced that the 2022 Speedway Miracle Tournament and Celebration Dinner raised nearly $3 million to support its member children’s
NCASEF recently donated $150,000 to Children’s Miracle Network Hospitals (CMN Hospitals) to help support the health and wellbeing of children across the country. “This year, NCASEF chose Children’s Miracle Network Hospitals as its charity of choice based on the organization’s commitment to the health of children with debilitating illnesses,” said NCASEF Chairman Sukhi Sandhu. “We are proud to support their work with a donation of $150,000 which will help move forward their mission to pediatric medicine and care.”
of brands, is one of the largest charity golf tournaments in the nation. Combined with in-store fundraising campaigns conducted by Speedway—and through the generosity of customers, vendor partners and associates—the company has raised more than $150 million for Children’s Miracle Network Hospitals since 1991.
hospitals across the country. The annual event, hosted in June in Kettering, Ohio, by Speedway, part of the 7-Eleven, Inc. family
14 AVANTI JULY | AUGUST 2022
made in funding critical treatments and services at children’s hospitals. Nearly 600 participating golfers had the opportunity to meet and interact with them while out on the golf course, and the kids also were honored with an inspirational medal ceremony at the dinner.
from
The donation was presented to CMN Hospitals on the final night of NCASEF’s 46th Annual Convention and Trade Show, held at the Gaylord National Resort in National Harbor, Maryland, August 7-10, and was the result of fundraising efforts that included a Charity Auction Night and Charity Golf Tournament during the event, as well as pledges from NCASEF’s vendor partners and donations from several of its member FOAs.
continued page 12
“As a new board, we want to continue to provide help when needed. Many of us came from marginal backgrounds and can empathize with struggle and so, if NCASEF can provide a small or large relief, we want to exercise our ability to give back,” said Mr. Sandhu.
While non-fuel trips to convenience stores have helped prop up in-store sales, the big opportunity loss for the c-store industry has been the continued poor “pump-to-store” conversion rates for fuel customers when gas prices are high, continued on page 36
You can help children’s hospitals transform kids’ and families’ lives in the future. Your donations help Children’s Miracle Network Hospitals support the health of kids like Hallie Bea at local member hospitals.
With donations, Hallie Bea received the critical care she needed from her local children’s hospital to have a successful leg amputation allowing her to continue advocating for kids with cancer, whom she calls Hallie’s Heroes!
Give Today! CMNHospitals.org
Future.ChangeKids’ChangeHealth.the
A ToConventionRemember! Our AppreciationHeartfeltToOur 2022 Convention Sponsors! SUPREME Coca-ColaAnheuser-BuschPepsiCo GRAND McLane Company Inc. MONSTER Energy Company Vixxo Corporation PREMIUM Keurig Dr Pepper Heineken ELITE Bon AcostaAppetitSales & Marketing Constellation Brands Red Mike’sJuulBangBullEnergyLabsHardLemonade PRIME In Motion Design Bic BlueTritonMondelezUSA Brands Barbot Insurance Services Ghost SierraBaysideUpTimeSwisherSRPRJPathwaterNYSLIFEMSIGMolsonMiniInCommHostessHersheyFijiEcolabAonAdvantageCROSSMARKMarsSwedishPerfettiEnergyVanMelleMatchWrigleyConvenienceSolutionsRiskServicesWater/WonderfulPistachiosCompanyBrandsMeltsofAmericaCoorsReynoldsCompaniesInternationalEnergyWirelessNevadaBrewingCompany 16 AVANTI JULY | AUGUST 2022
continued on page 18 AVANTI JULY | AUGUST 2022 17
The convention kicked off with an opening night reception on Sunday the 7th, where franchisees and vendors had an opportunity to mix, mingle, and network. Monday’s featured events were a series of Washington, D.C. city tours with several options for franchisees to choose from, a charity golf tournament at the Westfields Golf Club benefitting the Children’s Miracle Network Hospitals (CMN Hospitals), and finally, an hours-long sunset dinner cruise along the Potomac River with great food, music, and dancing.
Afterwards, the “Building the Brand Together” Trade Show was inaugurated with a ribbon-cutting ceremony and franchisees streamed into Prince George Hall to view the latest offering from the 94 exhibiting vendors. Raffle tickets were given to franchisees who placed orders on the spot for cash prizes announced during the Grand Banquet. Among the exhibitors was SEI with booths dedicated to Accounting, Asset Protection and In-House Maintenance and representatives present to answer franchisees questions and help address any store-specific issues. The day was capped off by the Charity Night Gala, which included silent and live auctions to raise funds for CMN Hospitals, dinner, DJ music, and entertainment sponsored by Anheuser-Busch—Rick Gerber, The Magic
The Maryland Ballroom in the Gaylord National was filled to the brim with franchisees attending the Tuesday morning seminars, which began with the State of the Coalition Address conducted by the NCASEF officers. This was followed by the Government Affairs Seminar hosted by Keith Jones, SEI Vice President of Government Affairs, and his team, then an introduction to NCASEF’s charity of choice—CMN Hospitals—by the organization’s Vice President of Strategic Partnerships, Julie Breckenkamp.
The Gaylord National Resort and Convention Center in National Harbor, Maryland was filled with 7-Eleven franchisees from August 7-10, who were there to partake in NCASEF’s biggest event of the year—the 46th Annual Convention and Trade Show. It was a stellar event, with over 2,500 attendees, including franchisees and their families, vendors, and invited SEI guests. The fourday convention was filled with everything for business and pleasure: informative standing-room-only seminars, social and dining events, a charity golf tournament, live top-notch entertainment, and a two-day trade show filled with hot new products and fantastic deals.
morning sessions on the last day of the convention included the Legal Forum
Guy.The
18 AVANTI JULY | AUGUST 2022
This event was truly about “Building the Brand Together,” as franchisees, vendors, and SEI came together under an umbrella of cooperation to demonstrate that 7-Eleven is a partnership between all three stakeholders.
continued from page 17
with NCASEF General Counsel Eric Karp and a seminar conducted by SEI Accounting, Logistics, and Asset Protection representatives. Franchisees then made their way back to Prince George Hall for the final day of the trade show.In the evening, franchisees “dressed to the nines” to attend the closing night’s Grand Banquet, during which the winners of the trade show raffle were announced and a check for $125,000 (actual amount $150,000) was presented to CMN Hospitals, the result of the fundraising efforts that included the Charity Golf Tournament, the Charity Auction Night, pledges from NCASEF’s vendor partners, and donations from several FOAs. The convention then came to a splendid end with a concert by none other than renown Indian recording artist Yo Yo Honey Singh.
Please mark your calendars and make plans to join us for the 47th Annual Convention and Trade Show at Caesars Palace in Las Vegas, July 30-August 2, 2023!
AVANTI JULY | AUGUST 2022 19
Make Plans To Join Us! The NCASEF 47th Annual Convention & Trade Show Caesars Palace Las Vegas, NV July 30-August 2, 2023 Save the Date!
“Our current vision is one of all 7-Eleven stakeholders working in unison for each other’s mutual benefit and for the good of the system, and this year’s convention theme truly encompassed it: Building the Brand Together.”
family while keeping it a business-related event. The NCASEF convention has always been billed as a “business vacation” for our franchisees, but we wanted to make it as enticing as possible to attract even more attendees. We figured if we’re going to ask franchisees to leave their stores for four days—including additional travel days— then we should make it worth their time. To that end, we offered discounted city tours of Washington, D.C., a sunset dinner cruise along the Potomac River with great food, music and dancing, entertainment during our Charity Night Gala in the form of Rick Gerber, The Magic Guy (courtesy of Anheuser-Busch), and of course, a live concert by famous Indian recording artist Yo Yo Honey Singh at our closing night’s Grand Banquet. Needless to say, the hotel ballroom on the final night was packed to the gills!
AVANTI JULY | AUGUST 2022 21
BY SUKHI SANDHU, NCASEF CHAIRMAN
A lot of hard work went on behind the scenes to make the convention as entertaining and full of business opportunities as possible. Our NCASEF officers, the members of our Convention & Entertainment and Charity Golf Committees, not to mention our staff and volunteers, worked tirelessly to put this event together in the short period of time we had, and their diligence and perseverance paid off. To them I extend my most heartfelt
On the business front, we created numerous opportunities for franchisees, vendors, and our invited SEI guests to socialize and network. We brought back the golf outing for the first time in many
Franchisees were able to view the latest products and hottest deals to fill their store shelves and grow their business, while vendors received mounds of orders and had access to the SEI Merchandising folks walking the trade show floor on the lookout for new products to add to 7-Eleven’s list of recommended items. For our seminars, besides the annual State of the Coalition Address with the NCASEF officers and the Legal Forum with NCASEF General Counsel Eric Karp—both of which were very well attended—we had two sessions conducted by SEI representatives. One featured corporate folks from Accounting, Asset Protection and Logistics, and the other was hosted by SEI’s Government Affairs representatives. They all took questions from
I can’t begin my article without first thanking everyone—franchisees, our valued vendor partners, and our invited SEI guests— for making our 46th Annual Convention and Trade Show a wildly successful event! I am pleased to report that we had record attendance, and if the feedback I’ve received personally and have seen on NCASEF’s WhatsApp chat group are any indication, a great time was had by all.
years not only to help raise more funds for our charity of choice—Children’s Miracle Network Hospitals—but also because it’s an event our vendor partners enjoy. Just to segue a bit, I’m pleased to announce that thanks to our Charity Golf Tournament, Charity Auction Night, pledges from our vendor partners, and donations from several FOAs, we managed to raise $150,000 for CMN Hospitals during the convention! I would like to thank you all for making that possible.Moving along, we organized the two-day trade show so it would benefit franchisees and our exhibiting vendors.
Our mindset while organizing the convention was to make it fun for the entire
A Wonderful Convention For All 7-Eleven Stakeholders
“A lot of hard work went on behind the scenes to make the convention as entertaining and full of business opportunities as possible.”
continued on page 23
“On the business front, we created franchisees,opportunitiesnumerousforvendors,andourinvitedSEIgueststosocializeandnetwork.”
gratitude.EveryNCASEF
convention has a theme which it is centered on, and that theme normally reflects the vision of the head table at the time. Our current vision is one of all 7-Eleven stakeholders working in unison for each other’s mutual benefit and for the good of the system, and this year’s convention theme truly encompassed it: Building the Brand Together. Franchisees, vendors, and SEI united during our four-day event to enhance our business and create opportunities that I hope will help make 7-Eleven more profitable for all partners.
Source 1: US Brand Tracking Report, GFK, June ’21, Source 2: Shopper Track Survey – Convenience Channel Shoppers Gum vs Drug/Value – Past Year Base: Total Respondents Asked 1+ Products in Category Source 3: Nielsen Scantrack – Gum Category - Total US Convenience – L52 wks ending 10/30/21 *Shopper Track – Gum Category – Q1/Q2 2021. © Mondelēz International group PocketTRIDENTPackOriginal 28 SLIN#Sticks142645 PocketTRIDENTPackSpearmint 28 SLIN#Sticks141556 PUT MORE IN YOUR PACKSPOCKETPOCKETWITH PUT MORE IN YOUR PACKSPOCKETPOCKETWITH TropicalPocketTRIDENTPackTwist 28 SLIN#Sticks141553 P8 – SELLING POINT BASKET FEATURING TRIDENT POCKET PACKS #1 GUM BRAND IN AWARENESSUNAIDED1 OF ALL GUM PURCHASED AT FRONT END/CHECKOUT 2TRIDENT56% IS THE MOST EFFECTIVE BRAND ON DISPLAY 3 2/$4 HOT DEAL! FULLY FUNDED P8 NEW
continued from page 21
5. Type in the full name of the FOA that you wish to join (No abbreviation) in the “Future FOA” box.
AVANTI JULY | AUGUST 2022 23
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!
9. Press the green submit icon.
thanked us for giving them the opportunity to attend the convention and for providing a platform for them to engage with franchisees directly. Many of these SEI representatives also attended our Board meeting preceding the convention, and our franchisor is committed to participate in more NCASEF events.Overall, the convention was a smashing success. It was an informative, engaging, entertaining, business-building get-together that was rewarding for all stakeholders. I am confident that this has rejuvenated the bond between franchisees, SEI and vendors as we continue to grow and work together to resolve issues, increase sales and profits, and make 7-Eleven a stronger brand.
In fact, SEI had a significant presence throughout the convention. We invited them because we felt it was important to give franchisees direct access to corporate higher-ups in order to get the channels of communication flowing again. So SEI not only conducted two seminars, they also had three booths at the whereHouseAssetshow—Accounting,tradeProtectionandIn-Maintenance—franchiseescould
“Thanks to our Charity Golf Tournament, Charity Auction Night, pledges from our vendor partners, and donations from several FOAs, we managed to raise $150,000 for CMN Hospitals during the convention!”
8. Repeat Step 7.
7. Type “Please enroll (store number) as a member of (name of the local) FOA.”
1. Log in to 7Help using 7Hub (secured) in-store or using this link https:/7elevenna.servicenow.com/from any external device.
A Wonderful Convention For All 7-Eleven Stakeholders
2. In the search bar type “FOA.”
go to ask questions, get assistance with store specific issues, or get information. Whether it was about 7NOW, maintenance, or accounting, franchisees were able to engage with SEI department heads directly and have their voices heard.
For their part, SEI was happy to do it. They said they had a great experience and
3. Select the popup suggestion “FOA/ PAC:FRANCHISE OWNERS ASSOCIATION.”
Join Your Local Franchise Owner’s Association Today! How do I join an FOA?
6. Type in the amount of monthly dues as instructed per local FOA.
“None of us is as great as all of us together”
SUKHI SANDHU CAN BE REACHED AT 855-444-7711 or sukhi.sandhu@ncasef.com
the franchisee audience during and even after their presentations.
“Whether it was about 7NOW, maintenance, or accounting, franchisees were able to engage with SEI department heads directly and have their voices heard.”
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.
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.
“If a shoplifter knows you or your employees have noticed their presence in your store, it may help deter them from stealing.”
Train and re-train your employees to NEVER chase a criminal outside the store or otherwise engage them. The best thing they can do is call the police and provide them with a description of the perpetrator. Instruct your employees that if an armed robbery occurs, they should comply with the criminal’s demands and not resist. Give them the money and get them out of the store as quickly as possible. After the robber has left the store, they should lock the doors and notify the police. They should also be very careful not to touch anything the robber has touched so the police can extract their fingerprints.Reiterateand reinforce keeping low cash levels in the registers, especially to your
AVANTI JULY | AUGUST 2022 25
JOE ROSSI
Periodically check that your security alarm is working. Call up the alarm company, set a test, make sure the pendants are working, and make sure the buttons are working. If you have tracking devices for cigarettes, call them up and see if they are working when you move the pack. That’ll help. You could have some of this stuff in your store and you just haven’t checked them in a while, and it may turn out they’re not functioning. Those alarms should be checked at least three times a year.Lastly, get involved your local police department. Support any community events they may have, invite them to take their coffee breaks at your store, and foster a relationship with them. Let your local police know you’re there for them as much as they’re there for you.Until this crime wave abates, we must do all we can to keep our stores safe. Take care, and be careful.
since our stores operate 24/7, they are popular targets for those with criminal intentions. Therefore, our priority must be to keep our employees, our customers, and ourselves as safe as possible if a crime occurs in our stores. Here are some steps you can take that can help.
overnight employees. If a robber hits your store and there is an excessive amount of cash in the registers, then that criminal and others will believe all 7-Elevens have loads of money at hand. With our safe systems the way they are today, there’s really no reason to keep cash at a high level. You can always disperse cash if you have to make change for a $50 or Shoplifting$100. happens all the time, that’s a known truth in the retail business. However, a good way to discourage shoplifters is by making eye contact with everyone who enters your store and greeting them, or at least acknowledging them in some way. If a shoplifter knows you or your employees have noticed their presence in your store, it may help deter them from stealing. Make sure you encourage this practice among your employees.Ifyoudon’t belong to a local franchisee chat group—whether it’s WhatsApp, Telegram, Twitter, Facebook, or the like—then join one. If one doesn’t exist in your area, create it and invite neighboring franchisees to join. Should you have an incident in your store, after you’ve alerted police, you can then report it to other franchisees via the chat group. This is the quickest way you can alert each other of criminal activity in your area so precautions can be taken. I and my fellow franchisees in Chicago do this, and it helps prevent criminals from hitting
your drops. Let’s be safe.”
“Train and re-train your employees to NEVER chase a criminal outside the store or otherwise engage them.”Keeping
CAN BE REACHED AT 312-501-4337 or joer@ncasef.com
Our Stores Safe
As we come out of the pandemic and work to resolve the issues created by COVID— supply chain, delivery, labor, etc.—we now face a new set of challenges, and top among them is the sharp increase of crime in our stores. The news is filled with headlines of rampant crime being committed not only at 7-Elevens, but at mom-and-pop shops and even bigger retailers across the country. From flash mob robberies and wanton property destruction to assaults and murders, the proliferation of crime within the retail sector in the last year has been very disturbing. Some companies like Starbucks, Walgreens, and CVS have opted to cut their losses and shut down their locations in high crime
Unfortunately,areas.
“From flash mob robberies and wanton property destruction to assaults and murders, the proliferation of crime within the retail sector in the last year has been very disturbing.”
BY JOE ROSSI, NCASEF EXECUTIVE VICE CHAIR
another 7-Eleven nearby because the other franchisees can lock their store doors immediately and be selective as to who they let in, particularly during the overnight hours.Make sure you get on a regular cadence of repeating these safety tips to your employees every month or six weeks. Maybe set your calendars to remind you to have a conversation with your store associates again, or send out an email or text message to just to remind them, “Hey remember, keep your cash levels low at all times. Make
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2. Stores Sold to Franchisees—The number of stores sold to franchisees declined from 485 in 2016 to 315 in 2021, a drop of 35 percent.
4. The Number and Percentage of Stores with Gasoline—At the end of 2017, there were approximately 3,300 stores with gasoline. After the Sunoco acquisition in 2018, the percentage of stores with gasoline stood at just under 46 percent. With the acquisition of the Speedway stores in 2021, the number of stores in the United Sates with gas rose to more than 62 percent at the end of that year, bringing the total number of stores with gasoline to approximately 8,100.
6. SEI Gross Margin Dollars From Gasoline—The acquisitions noted above solidified SEI’s position as a gasoline company. SEI’s gross margin dollars from its gasoline business rose from $535 million in 2011 to $3.9 billion in 2021, an 8-fold increase.
TRENDING UP
Sir Isaac Newton was the first to define the universal laws of motion in the 17th century. His general thesis was that an object in motion stays in motion with the same speed and in the same direction, unless acted upon by some other force. This principle, when applied to the business world, would lead to the general conclusion that trends will tend to continue absent some intervention. Our analysis of publicly available documents discloses the following 16 trends:
In the investment world, trend analysis is grounded in the fact that what has happened in the past gives us an idea of what may happen next. For example, if a stock has been increasing, will it continue to increase? The ultimate question is whether or not an existing trend will continue, will be reversed, or changed in some fashion.
1. Franchised Store Closures—477 franchise stores closed in 2021, more than double the number of stores that closed the year before.
3. Percentage of Franchised Stores—Due to some of the trends noted above, the percentage of the stores in the system that are franchised, including those operating under the Sunoco and Speedway brands, was approximately 71 percent at the end of 2021. In 2017, that total stood at 89 percent.
8. SEI Net Income—SEI earned total net income in 2021 of nearly $1.3 billion, more than double its earnings in 2017 and 600 percent of its earnings in 2012.
2. Franchisee to Franchisee Transfers— Franchisee to franchisee transfers, when one franchisee sells his or her store to another franchisee, increased from 200 in 2019, to 232 in 2020, to 283 in 2021, an increase of more than 40 percent in just two years.
AVANTI JULY | AUGUST 2022 27
7. SEI Total Revenue—SEI’s total revenue in 2021 was $46.6 billion, triple its revenue in 2015, which was recorded at approximately $15 billion.
continued on page 28
5. SEI Retail Cents Per Gallon (CPG) on Gas—Prior to the pandemic, SEI retail cents per gallon on gasoline rose from approximately 20 cents in 2015 to approximately 24 cents in 2019. It rose sharply in 2020 to 34.85 cents, 35.7 cents in 2021 and 40.8 cents in the first quarter of 2022. From 2015 to early 2022, that amounts to a 106 percent increase. SEI’s parent company explained to its investors that 2020 and 2021 were marked by very elevated CPG levels, as the trend was toward trying to secure profits.
4. 4ercentage of SEI Revenue Derived from Franchisees—Due in part to the decline in the number and percentage of franchised stores and the increase in the number of company-owned stores resulting from the Sunoco and Speedway transactions, the percentage of total revenue derived by SEI from franchisee gross margin splits declined from 13.5 percent in 2015, to 9.5 percent in 2019 to just 5.7 percent in 2021.
5. Blended Merchandise Gross Margin—As noted in earlier articles, SEI no longer separately reports average merchandise gross margin for its franchised stores. Blended gross margin of both franchised and company-owned stores stood at 36 percent in 2007 and has been largely on a downward trend since then, resulting in blended gross margins of 34.1 percent in
“In the investment world, trend analysis is grounded in the fact that what has happened in the past gives us an idea of what may happen next.”
transfers, terminations, non-renewals, repurchases by the franchisor, and locations that ceased operations. The turnover rate in 2019 was just under 6 percent. The next year it rose to just under 7 percent and in 2021 exceeded 9 percent. This means that nearly one in 10 franchised locations changed hands in some form or fashion in 2021. For perspective, the turnover rate in 2011 was 2/10 of 1 percent.
BY ERIC H. KARP, ESQ., GENERAL COUNSEL TO NCASEF
What Can Trends Tell Us About The Future Of The 7-Eleven Brand And System?
1. Number of Franchised Stores—The number of franchise stores rose steadily from 2010 to 7,474 in 2020, an increase over that period of time at nearly 50 percent. The number of franchised stores declined in both 2021 and in the first quarter of 2022, resulting in a net decline over that 15-month period of 42 stores.
3. Franchise Store Turnover Rates—We define franchisee turnovers as the sum of all
Over the last several years we have noticed some pronounced trends in the nature and profile of the 7-Eleven system. A trend is nothing more than the general direction in which something is developing or changing. We follow and analyze these trends because we hope and expect that they will give us some clue about the future.
TRENDING DOWN
carefully monitor all publicly available filings in order to keep the franchisee community as informed as possible. We are not in a position to predict whether the trends outlined above will continue, but concerning as they are, every franchisee should take notice and draw whatever conclusions they deem appropriate.
What Can Trends Tell Us About The Future Of The 7-Eleven Brand And System?
6. Same Store Merchandise Sales—Same store sales growth was approximately 9 percent for the fourth quarter of 2021, but declined to 5.7 percent in the first quarter of 2022 and declined further in April (4.7 percent), May (4.6 percent), June (3.2 percent) and July (3.1 percent).
Pepsi Beverage • Red Bull
ERIC H. KARP CAN BE REACHED AT 617-423-7250 or ekarp@wkwrlaw.com
The golf tournament was followed by a banquet and raffle dinner in the Santiago & Courtyard Room of the Rancho Bernardo Inn, during which the San Diego FOA’s Golf Committee was presented with a special “Because of You” plaque by Warrior Foundation Freedom Station founder and CEO Sandy Lehmkuhler. The San Diego FOA would like to thank Anheuser-Busch for sponsoring the SABOR Mexican Grill taco cart, and all of the participating vendors for their continued support of the FOA and it’s activities:
7. Gasoline Sales Growth—Store gasoline sales increase was 42 percent in the second quarter of 2021 reflecting the impact of the Speedway acquisition. It then declined from approximately 26 percent in the fourth quarter of 2021, to 18.4 percent in the first quarter of 2022, and then further declined in April (14.2 percent) and May (7.6 percent).
28 AVANTI JULY | AUGUST 2022
CONCLUSION
•
“We are not in a position to predict whether the trends outlined above will continue, but concerning as they are, every franchisee should take notice and draw whatever conclusions they deem appropriate.”
For the five-year period ending July 31, 2022, the total return on the stock of SEI’s parent company was just 9.7 percent, less than half the increase in the consumer product index over the same period. By comparison it’s publicly held competitors, Casey’s General Stores and the parent company of Circle K, generated a total return of 98 percent and 95 percent respectively, exceeding the S&P 500 index return of 82 percent.
continued from page 27
•
RNDC • Sotoland Distribution • SRP Companies • Stratus Group PH Water
8. SEI Parent Company Stock Performance—
• AleSmith Brewing • Anheuser-Busch • A Shoc Beverage • Ballast Point Brewing • BANG Energy • Barbot Insurance Services • Blue Triton Brands • Boston Beer • Coca-Cola • Constellation Brands • Heineken USA • Jiant Kombucha • John Lenore • McLane Company • Mark Anthony Brands • Monster Energy
2020 and 34.2 percent in 2021. Blended gross margin for the first quarter of 2022 declined further to 33.1 percent, the lowest first quarter gross margin since at least 2016.
Franchisees Tee Off For A Worthy Cause At San Diego Charity Golf Tournament
Not being privy to the internal deliberations of your franchisor or its parent company, or its long-term strategic outlook and planning, our next best alternative is to
It was a beautiful day for golfing as franchisees and vendors alike converged on the Rancho Bernardo Inn on July 13 to participate in the San Diego FOA’s 29th Annual Charity Golf Tournament benefitting the Warrior Foundation Freedom Station, which assists injured soldiers returning home from war. In all, 156 golfers hit the links that day to raise funds for this worthy organization. San Diego FOA members were by franchisees from the Greater Los Angeles, Southern California, and West Coast FOAs. The top two teams on the green that day were Monster Energy (first) and Anheuser-Busch (second).
AUGUST 2022 29
You have the powerto change.impact
Own It Voice It created a portal to amplify your voice on the legislation and policies that have the biggest impact on your business.
Thousands of Trade Partners reached out to legislators in 2020 to enact change.
30 AVANTI JULY | AUGUST 2022
Legislators around the country are consistently voting for policies that impact your livelihood. As a business owner, your voice matters in local, state, and federal issues – and we can ensure it is heard.
Scan the QR Code and takenow!action
nicotine industry was not immune to these pressures. Meanwhile, legislators across the country put added pressure on the category through the introduction of numerous restrictive proposals, and the FDA continues to propose policies that could have ramifications on convenience store owners. Just this year, there have been 24 statelevel proposals that sought to ban the sale of menthol and other flavors in nicotine products. Those proposals varied from full categorical flavor bans that would apply across all product formats in some states, while others aimed to restrict flavors in
AVANTI JULY | AUGUST 2022 31
and engaged on these issues. Remember, your voice is the most important voice that legislators consider when reviewing these proposals. Silence, combined with tobacco control misinformation, breeds more and more aggressive action against the industry. Together, we are the voices ofthousands of small businesses from sea to shining sea. Our ranks include firstgeneration Americans, individuals pursuing the American Dream, hardworking entrepreneurs, and every other piece that makes up the fabric of this great nation. Our voices are diverse, rational, and fair—and they deserve to be heard. We must work to create common sense solutions to these everexpanding and complex issues. Stand up for your business, and together we all excel. To make your voice heard, please sign up for Own It Voice It at trade-partners-survey/.https://ownitvoiceit.com/
“In November, California voters will cast their ballots on Proposition 31, which, if approved, will ban the sale of all flavored tobaccostatewide.”products
While the Golden State presents challenges to the industry, other states have also been busy with excise tax and nicotine cap proposals. Luckily, only one state, Indiana, passed any sort of significant excise tax legislation.
Tobacco Legislation Update: Proposals To Ban Flavored Tobacco Products Are On the Rise
As you can see, we are in turbulent waters. External pressures on the tobacco and nicotine category are at all-time highs. Regulators like the FDA and legislators at the local, state, and federal levels continue to threaten the category. Now more than ever, it is vital that you remain connected
“Now more than ever, it is vital that you remain connected and engaged on these issues. Remember, your voice is the most important voice that legislators consider when reviewing these proposals.”
BY KYLE MAY, DIRECTOR EXTERNAL RELATIONS— REYNOLDS MARKETING SERVICES COMPANY
Looking back, it is fair to say that the U.S. convenience channel faced many challenges during the first half of 2022, from macroeconomic pressures like threats of a bear market and a recession to rising gas prices, record-high inflation, and a resurgence of COVID-19 variants. The tobacco and
specific product formats like vapor. However, in a positive development, no flavor bans have been enacted at the state level this year. In November, California voters will cast their ballots on Proposition 31, which, if approved, will ban the sale of all flavored tobacco products statewide.
In Washington D.C., the federal government is advancing even more significant proposals. Just recently, the FDA closed a 90-day comment period on a proposed menthol cigarette ban. During that brief timeframe, more than 160,000 comments were submitted to the FDA, and nearly all were in opposition to the ban. From here, the FDA will continue to work on this proposal but rest assured that we will fight for the rights of adult smokers. In addition, the FDA announced in June that it would pursue a very low nicotine cigarette proposal. Just like the proposed menthol ban, this proposal will also follow the legally mandated rulemaking process and we will use all available avenues to ensure that the perspectives of our industry and its stakeholders are heard.
“Just this year, there have been 24 state-level proposals that sought to ban the sale of menthol and other flavors in nicotine products.”
3. Overexertion or lifting. This is also high in frequency and can be a high-cost source, due to difficult to accommodate medical restrictions.
*cost of claims = paid + reserve amounts
BY JOHN HARP, CSP, ARM—RISK ENGINEERING CONSULTANT MITSUI SUMITOMO INSURANCE GROUP
WORKER’S COMPENSATION CLAIMS AND TRENDS
continued on next page 7 4 10 42 7 36 23 12 $642,455 $559,083 $700,000$600,000$500,000$400,000$300,000$200,000$100,000$0454035302520151050 BURN CAUGHTIN CUT SLIP/FALL MISC. ASSAULT LIFTEDOBJ. STRUCKAGNST 2022 MSIG WC Claims by Injury Cause COUNT COST Year (as of 8/1) Count of ClaimsCost of Claims 2022 141 $1,795,743 2021 167 $2,106,020
1. Slip and falls. This remains a frequent source of employee and customer injuries, and one of the more controllable risks.
insurance rates are driven by different conditions, insurance costs can be improved by preventing claims and then closely managing those that do occur.”
“While
MSIG in partnership with Aon provides worker’s compensation for almost 4,000 stores in over 30 states. To date, the claims experience in 2022 has improved as shown in this comparison to the same seven months in 2021.
There are patterns in the type of injury and part of the body involved in the store injury claims. For over 10 years the patterns remain consistent with 2022 following this trend.
A Safer Workplace—The 2022 claim experience is still “green,” but so far it’s positive. Is this improvement due to better housekeeping, more diligence in keeping the floors clean, or general attention to employee safe behavior? And, in general, there is an improving frequency of on-the-job injuries in business.
Workforce—Could the improvement in 2022 be due to fewer employees, with only the most experienced on board? But there are challenging factors in workforce trends to consider:
There are many difficult-to-control variables in claims costs, which is why we focus on the type of injury frequency or cause. Reduce the frequency, and the costs will follow!
There could be multiple reasons for the improvement in the number of claims in 2022, as there are evolving trends in retail and worker’s compensation insurance in general.
“There are many difficult-to-control variables in claims costs, which is why we focus on the type of injury frequency or cause. Reduce the frequency, and the costs will follow!”
2. Assaults. This fluctuates as #2 or #3 but is usually the highest cost, and frequently involves multiple parts of the body including mental health.
(THE MSIG EXPERIENCE)
32 AVANTI JULY | AUGUST 2022
“Slip and falls remain a frequent source of employee and customer injuries, and one of the more controllable risks.”
WORKER’S COMPENSATION CLAIMS AND TRENDS
Mental Health—The pandemic may now be an endemic, but it took its toll on many people’s mental health. Depression and violence are higher than ever, and mental health is strongly connected to physical health. Decision-making and the motivation to return to work impact the number and costs of claims. Know your employees and get them the help they might need. Share any concerns you have with your claims adjuster, as mental health can impact an effective return to work from an injury.
• B etter access to medication.
• Faster treatment.
Trends and Pricing—Worker’s Compensation prices are driven by many factors, including the ups and downs of the market. With interest rates on the rise, generally flat rates for almost five years, it would not be surprising to see rate changes in 2023.
2. Inexperience breeds claim activity. Lack of knowledge and inexperience in dealing with an irate customer can lead to poor decisions and injury.
• Time and cost savings by not having to visit the doctor’s office. Pandemic/Endemic—State worker’s compensation policies vary, with many states covering “occupational illnesses,” but COVID and other contagions have created a new situation where jobs that weren’t considered dangerous may now be. And the illness risks, mask mandates, vaccination status, and more complicate the employee’s desire to work and interactions with the norm.precautionandCommunicationpublic.appropriatewillbethe
3. An aging workforce. The economy and lack of viable candidates may lead to employees being asked to perform tasks they are not ideally suited for. Lifting a BIB into an awkward rack position should be done with someone that is physically matched or with help.
The Answers
While insurance rates are driven by different conditions, insurance costs can be improved by preventing claims and then closely managing those that do occur. Let’s work together through continuous improvement to make the stores a safer workplace and a safe, positive experience for the customer and employee.
AVANTI JULY | AUGUST 2022 33
1. Overtime. Excessive hours can lead to fatigue and bad judgment. Although federal labor laws do not regulate the number of hours worked, it’s better for your employee’s health and wellness to allow for adequate time away.
Advanced Technology—Increasing technology like telemedicine and 24/7 Nurse Triage will continue to be more accessible and more common. Use this, as benefits include:
(THE MSIG EXPERIENCE)
JOHN HARP CAN BE REACHED AT 908-604-2951 jharp@msigusa.com
or
continued from previous page
• Improved medical cost containment.
“By doing these three steps after a claim you can impact your worker’s compensation costs and improve your bottom line: 1. Report injuries within four days. 2. Use preferred or occupational medical providers. 3. Support early return to work. Learn more about these practices by contacting your agent/broker or workers compensation insurance company.”
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Member News
Consumers are putting convenience
store in both Q1 2022 and Q1 2021. That is, the high gas prices did not impact the customers who walked in-store to pay for gas. Moreover, even the pandemic had not changed the pump-to-store conversion rates for those paying for gas in-store since that number was also 33 percent in 2019. So it appears once people walk in-store to pay for gas, one-third of them buy some other product regardless of the prevailing gas prices or pandemic fears.
according to a new study by market research firm VideoMining. The study reveals high gas prices seem to mostly impact the pump-to-store conversion rates of those who pay at the pump: 70 percent of all fuel customers paid at the pump in the first quarter of 2022, and only 22 percent of them made any in-
store purchase. In fact, for Q1 2022 their pump-to-store conversion rate was worse than for Q1 2021 (25 percent), when gas prices were not only low, but there was still a significant impact of the pandemic on consumer
Interestingly,behaviors.the pump-to-store conversion rate was unchanged (33 percent) for customers who paid for gas in-
JULY
continued from page 14 The of In is H 7-Eleven InsuranceFranchiseeProgram aondigital.com/en-us/7eleven/
“Seventy percent of all fuel customers paid at the pump in the first quarter of 2022, and only 22 percent of them made any in-store purchase.”
Americans Put C-Stores On Par With QSRs
away if there’s just one car ahead of them at the pump. In the future, one way c-store brands might keep customers in stores longer could be by adding EV charging stations to their locations. The report found the vast majority of EV owners (74 percent) want to charge next to convenience stores.
SIMPLE. AFFORDABLE. ONLINE. We don’t just sell insurance. Our programs are specifically created for the 7 Eleven franchise. As your dedicated insurance partner, we understand the risks and requirements of operating a 7 Eleven franchise. Exclusive program for 7 Eleven franchisees Concierge support to answer any questions Manage certificates of insurance online, 24/7 Guaranteed coverage regardless of claims history Learn more at aondigital.com/en-us/7eleven/ or call (847) 629 4711
continued
7-Eleven Back On NRF’s ‘Hot 25 Retailers’ List
according to Bluedot’s first Convenience Experience Report, a benchmark study that explores consumer sentiment and the customer experience at gas stations and c-stores. Nearly 6 in 10 consider purchasing a meal from a convenience store when stopping for fast food. The research also uncovered significant demand for mobile ordering, drive-thru, and curbside pickup. Sixty-one percent of consumers state they would visit a c-store more often if all were available.Theresearch also signals c-stores and gas stations have been losing customers to short lines. Nearly half of the consumers surveyed say they will walk out of a c-store if one or two people are in line at the register. Also noteworthy, 1 in 3 say they will drive
7-Eleven has bounced back onto the National Retail Federation’s annual Hot 25 Retailers list in 2022, which ranks the nation’s fastest-growing retail companies based on increases in domestic sales between 2020 and 2021. According to
Member News from previous page continued on page 44
lack of contractors and commuters. As contractors in particular have returned to work, 7-Eleven has grown. It landed at No. 23 on the list, with a 31.6 percent increase in sales. Harbor Freight Tools is in the No. 1 spot, followed by Inditex, Burlington,
the NRF, 7-Eleven was dragged down by lack of travel during the pandemic— and perhaps more importantly by the
38 AVANTI JULY | AUGUST 2022 Love What Makes You Unique, Appreciate What Makes Others Different SLIN 140442 CM 491595 / UIN 323977 SLIN 142440 CM 491601 / UIN 331257 SLIN 142422 CM 491602 / UIN 324027 SLIN 142847 CM 491599 / UIN 328147 SLIN 144991 CM 491403 / UIN 323987 SLIN 141523 CM 490991 / UIN 323967 SLIN 142436 CM 491404 / UIN 323887 SLIN 145690 CM 491596 / UIN 446887 9oz Stand up Bags oz Peg Bags
CA Governor Signs Law That Regulates Fast Food Industry
continued on page 48
Member News
grocery stores, tracks and tallies up items as shoppers place them in the cart, enabling them to skip the checkout line. • U.S. consumer inflation grew to 9.1 percent in June, a pace not seen in more than four decades, reported the Wall Street Journal. The consumer-price index’s advance for the 12 months ended in June was the fastest pace since November 1981, according to the Labor Department. A big jump in gasoline prices—which was up 11.2 percent from May and nearly 60 percent from a year earlier—drove much of the increase. • Taiwan convenience store chain FamilyMart recently launched a store on an electric vehicle that offers self-checkout, report ed Retail Customer Experience. The “FamiMobi” was launched at the Southern Taiwan Science Park, and the company said it will test automatic grocery product detection and recognition, and app-based check-out
California Governor Gavin Newsom recently signed a nation-leading measure giving more than a half-million fast food workers more power and protections, de spite the objections of restaurant owners who warned it would drive up consumers’ costs, reported the Associated Press. The landmark law creates a 10-member Fast
same-store sales increases in their fiscal second quarters—with Dollar General experiencing a 4.6 percent hike and Dollar Tree 4.9 percent—driven in part by more visits from higher-income bargain hunt ers, reported Modern Retail. • Starbucks has closed 16 store locations nationwide after store manag ers reported a surge in crime in certain areas, reported the New York Post. Six Starbucks locations will be closed in the company’s hometown of Seattle and six more will be closed in the Los Angeles metro area. Two Starbucks restaurants will close in Portland, Oregon, while one store each will close in Philadelphia and Washington, D.C. • Amazon is launching its smart grocery carts at a Whole Foods store in Massachu setts in the coming months, before launching the technology at additional locations, reported CNBC. The company’s Dash Cart, introduced in 2020 at its Fresh
Senator Marshall said banks and major card networks lobbied his office to not sign onto the bill. He decided to move forward after hearing from a growing number of merchants, including small businesses, restaurants, gas stations and convenience stores, about the toll of the rising cred it-card fees set by Visa and Mastercard that are often pocketed by large banks. Senator Durbin spearheaded a similar
“THE PROPOSED SENATE BILL WOULD MANDATE THAT MERCHANTS HAVE THE RIGHT TO ROUTE PAYMENTS THROUGH A NETWORK UNAFFILIATED WITH VISA OR MASTERCARD.”
continued from page 15 continued on page 45
Legislative Update
Banking Committee, people familiar with the matter said.
rule for debit cards over a decade ago. The Durbin amendment, part of the 2010 Dodd-Frank law, requires that merchants have the ability to choose from at least two unaffiliated debit-card networks when routing transactions.
AVANTI JULY | AUGUST 2022 39
Senate Bill Targets Credit Card Swipe Fees
Walmart and Instacart are piloting a new virtual convenience store in Canada, giving customers in the Toronto area access to groceries, pantry and house hold essentials, snacks and more for delivery in as fast as 30 minutes, reported Winsight Grocery Business. • Convenience retailer QuikTrip recently opened a store in Tulsa, Oklahoma powered by Amazon’s Just Walk Out technology, reported Retail Technology Innovation Hub. This is QuikTrip’s first venture into the checkout-free space. • Wawa has agreed to pay $8 mil lion to seven states after attorneys general sued the Delaware County-based convenience store chain over a hack that potentially exposed millions of people’s credit and debit cards to digital thieves, reported NBC 10 Philadelphia. The money will go to the attorney general’s office to pay, in part, for attorney’s and court fees. • Dollar General and Dollar Tree recently reported
Two U.S. senators are preparing legisla tion that would give merchants power to process many Visa and Mastercard credit cards over different networks, reported the Wall Street Journal. The bill aims to create more competition among U.S. credit-card networks, a sector where Visa and Master card have long dominated. The bill would mandate that merchants in many cases have the right to route payments through a network unaffiliated with Visa or Mas tercard. Senator Dick Durbin, an Illinois Democrat, and Senator Roger Marshall, a Kansas Republican, are expected to in troduce the bill. Because the bill would amend the Electronic Fund Transfer Act, it would likely be referred to the Senate
40 AVANTI JULY | AUGUST 2022
submitted by the Michigan FOA and the 7-Eleven Franchise Owners Association of Detroit to join NCASEF were approved. The Michigan FOA is a new organization, while the FOA of Detroit was reinstated.
The first day of the Board meeting commenced with a moment of silence for those franchisees harmed or otherwise affected by the recent rise in violent crimes in 7-Eleven stores. After the roll call and approval of the second quarter Board meeting minutes, a vendor presentation was made by Accel Entertainment.
2022
The second day of the meeting featured an over three-hour session with SEI representatives. Attending the meeting were Jim Summers, Senior Vice President of Franchise Operations; Gary Kuns, Vice President of Logistics; Carl Weaver, Senior Director of Distribution;
Open items discussed included using a staffing company to help find store employees and allowing stores to close for several hours. Board members were informed that all stores are now mandated to remain open 24/7, but if there is an extreme situation a franchisee should speak directly with their market manager about closing for a few hours or a shift.General
Third
NCASEF BOARD MEETING Quarter
Sukhi Sandhu conveyed that SEI assured the recent layoffs and reorganization within corporate will not affect support to the franchisees. Also during the morning session, membership applications
A Full Agenda For The Third Quarter NCASEF Board Meeting
A slight modification to the bylaws was then requested by Bylaws Committee Chairman Joe Rossi, who said the Committee discovered some language that needed to be clarified. NCASEF General Counsel Eric Karp explained the two proposed modifications, then a motion was made and passed to accept those changes.Chairman
Questions and discussions during this portion of the meeting focused on the gross profit split, AR Gap, ASI 2, McLane and Core-Mark deliveries, the check-in process and check-in simplification, 7-Now, extra charges on financials, staffing issues, accounting, store security issues, maintenance, fresh foods, promotions, secondary suppliers, and other topics.
NCASEF Board members tackled a slew of items during the third quarter meeting, held at the Gaylord National Resort and Convention Center in National Harbor, Maryland on August 6 and 7. There were updates by the various NCASEF committees, discussions about new and ongoing issues and concerns, and a session with SEI invited guests.
Counsel Eric Karp then provided an overview of developments within the 7-Eleven system in the past few years based on publicly available records. Spread throughout the first day of the Board meeting were reports and updates from the Facility Maintenance, Digital/IT, Accounting and Finance, and Membership Committees.
Arron Yount, Senior Director of Franchise Sales and Systems; Bruce Maples, Senior Director of Franchise Relations and Engagement; Guyton Gagliardi, Senior Director of Merchandise Accounting; John Evans, Director of Accounting; and Davina Stevens, Asset Protection Director of Analytics and Audits.
AVANTI JULY | AUGUST 2022 41
Once the SEI guests wrapped up their session, Anheuser-Busch made a vendor presentation, which was followed by reports from the Store Profitability/Fuel, Logistics/ Simplification, Government Affairs/ Community Relations, Vendor Relations/Merchandise, and Convention and Entertainment Committees.Thefourth quarter NCASEF Board meeting will include an Affiliate Member meeting, and will be held November 15-18 in San Diego, California.
0821-8408-0504 8402-4560-0098 0821-8400-4333
The Midwest FOA recently held two back-to-back events that proved to be huge successes. On June 15, the MWFOA hosted its Annual Charity Golf Outing benefitting Children’s Miracle Network Hospitals and Lurie Children’s Hospital. The event was held at the Cantigny Golf Club located in Wheaton, Illinois and was a hot one with over 30 vendor partners sponsoring the golf tournament. It was a fun-filled day of golf, food and drink, plus a silent auction to close out the night. Additionally, the MWFOA was thrilled to welcome a patient family from Lurie Children’s Hospital to accept the association’s donation of $10,711.
Next, the MWFOA trade show was held on June 16 at the Rosemont Convention Center in Rosemont, Illinois. The event featured a special meeting session with presentations by Jim Summers, SEI Senior Vice President, Franchise Store Operations; Guyton Gagliardi, SEI Senior Director of Accounting; and Lisa Carrasco, SEI Director of Logistics, and allowed franchisees to inquire about issues regarding the AR Gap. Also at the meeting session was Sanjiv Shelley from the Texas FOA, who presented on Check-In Simplification and answered many lingering questions and concerns franchisees had about the program.
AVANTI JULY | AUGUST 2022 43
Over 62 vendor partners participated in the trade show itself, as well as franchisees representing over 150 7-Eleven stores. A raffle was held during the event, with prizes including sweaters, gift cards, and trips to the NCASEF convention sponsored by the MWFOA. After the trade show dinner was served for all guests who attended, and they were also able to enjoy the 360 Spin Camera and create their own 30 second dance movies.
Great Turnout For The Midwest FOA’s Charity Golf Outing & Trade Show
A West Virginia baby was born in the parking lot of a 7-Eleven store on July 11, or 7-Eleven Day, reported People Magazine. The mother, Allie Sayers, had a planned C-section on the calendar, but
“Seven & I Holdings plans to negotiate the sale of its department store unit to Fortress Investment Group LLC.”
Baby Born
& Seibu department stores, Fortress, owned by Japanese technology conglomerate SoftBank Group Corp., is considering cooperating with major Japanese electronics retailer Yodobashi Holdings, the sources added. Sogo & Seibu, which operates 10 department stores, incurred a net loss of ¥8.8 billion in the fiscal year to February 2022, staying in the red for the third straight
In Parking7-ElevenLot On July 11
44 AVANTI JULY | AUGUST 2022 Haagen Daz used under license from HDIP Inc. @ HDIP, Inc. OREO and OREO Wafer Design are trademarks of Mondelēz International group, used under license. SO MANY Options Is A Good Thing Haagen-Dazs® Top Selling Flavors Drumstick19021614oz Butter Pecan 14oz 190020 Caramel Cone 14oz 190025 Coffee19006714oz Dulce de Leche 14oz 191156 Vanilla Strawberry19002414oz14oz190023Chocolate14oz190021 OREO 14oz 190425 A u t h o r i z e d F o r A l l 2 0 2 2 P l a n o g r a m s New! Member News continued from page 37 continued on next page
year as the number of customers fell amid the COVID-19 pandemic and the spread of online shopping.
Dillard’s, and TJX Companies.
Seven & I Holdings plans to negotiate the sale of its department store unit Sogo & Seibu Co. to U.S. investment fund Fortress Investment Group LLC, reported The Japan Times. The two sides will discuss details about the sale price and the employment of Sogo & Seibu workers, according to the article. The sale price is expected to surpass ¥200 billion, sources told the news outlet. In operating Sogo
Seven & I In Talks To Sell Department Store Unit
• The U.K. fuel and forecourt industry continues to thrive, with sales (excluding fuel) expected to rise to £47.1 billion (US$57.03 billion) by 2024; sales now account for over £1 in £5 spent on grocery items.
REPORT and payment, on the mobile store. • Pilot Compa ny recently rolled out a new 10-cent fuel discount for its myRewards Plus members. The promotion runs through October 31, 2022. • The Coca-Cola Company has teamed with Dave & Buster’s to launch the first micro market inside a full-service restaurant. Called Game & Go, the market is entirely frictionless courtesy of seamless checkout free technology provided by Zippin. • Kroger is finding that grocery shoppers are trading down and shifting to store brands as U.S. inflation hits a four-decade high, reported Retail Wire. • Amazon Prime members purchased more than 300 million items worldwide during the company’s Prime Day 2022, mak ing this year’s event the biggest one in Amazon’s history, the company announced. According to Amazon, Prime members saved over $1.7 billion, more than any previous Prime Day event. • Kraft Macaroni and Cheese has changed its name after 85 years, reported CBS News. The iconic blue boxes and bowls now read Kraft Mac & Cheese, and the logo has been updated. • Ran somware is to blame for the closure of all 175 7-Eleven stores in Denmark on August 8, re ported Trip Wire. The retailer closed all of its stores in Denmark after its cash registers and payment systems were brought down in the attack. Many of 7-Eleven’s stores in Denmark had reopened by Au gust 12. • Nearly 14 percent of Sheetz locations offer electric vehicle charging through partner ships with Tesla Inc., Electrify America and EVgo, reported Bloomberg. Tesla-branded fast chargers known as Superchargers make up the vast majori ty—over 70 percent—of the EV chargers locat ed at Sheetz. • PepsiCo has made a $550 million investment in energy drink maker Celsius Holdings as part of a long-term distribu tion deal with the smaller company, reported CNBC. Celsius is expecting to gain more shelf space in existing retailers and expand more into inde pendent stores, such as gas stations. • Some 7-Eleven stores in Taiwan reported that their store TVs were hacked by an unknown source to display messages telling U.S. House Speaker Nancy Pelosi to leave the island during her visit on August 2, reported Business Insider The affected stores included one outside the Leg islative Yuan, Taiwan’s parliament building, which Pelosi visited on that day. • Target’s second quarter profit dropped 90 percent from a year ago, as inflation-weary customers pulled back on spending on nonessential items, reported CNN
• U.S. convenience stores, which sell an estimated 80 percent of the
Global C-Store Industry Report Released
AVANTI JULY | AUGUST 2022 45
• Thirteen countries experienced growth in convenience store sales during the first quarter of 2022 versus the first quarter of 2021, while 10 countries experienced sales declines.
Retailers Increase Wages To Attract Workers
• Nine of the 13 growth countries were from the Asia-Pacific region, while European countries accounted for eight of the 10 countries with sales declines.
• In China, the three most significant convenience development trends are digitalization, food service and e-commerce.
two days before the appointment she went into labor. Enroute to the hospital, Sayers asked her fiancé to pull the car over because the baby was on its way, and he stopped in the 7-Eleven parking lot. There, he delivered the baby boy himself. To commemorate the special occasion, SEI has gifted the parents 7 years of free coffee “to help them stay awake on their latest nights (or earliest mornings!),” as well as a care package filled with 7-Eleven and Slurpee branded items, including onesies, diapers and other essentials.
Member News
Retailers are increasing wages due to a tight labor market to keep their employees and attract new ones, reported Modern Retail. Nationwide, retail employers pay $17.71 per hour, with total cost of compensation reaching $23.11 when taking benefits into account, according to the U.S. Bureau of Labor Statistics. But this is less than the $38.61 cost of compensation rate across all private workers. Before the pandemic, September 2019 data show the total hourly cost of compensation was $20.54 for retail workers and $34.77 across all privateEdwinindustries.Egee, vice president for government relations and workforce development at the National Retail Federation, said the worker shortage is a pressing issue for retailers, as it is
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NielsenIQ and NACS recently released their inaugural global convenience retailing industry report that provides industry-leading data, macro trends and analysis across 23 countries in North America, Europe and Asia-Pacific regions. Highlights of this report include:
fuel purchased in the country, saw revenues per store, per month increase 32 percent in Q1 2022 versus the same period in 2021, largely a result of higher gas prices.
• Canadian convenience store dollar sales underperformed versus other retail channels (-0.8 percent vs. +2.1 percent).
“These decisions have not been made lightly, and we are working to support impacted employees, including providing career transition services.”
from
across sectors. Wages are one knob that have been turned to address it; Egee estimates almost all his members have hiked up starting wages over the past 24 months. The trend started when the pandemic required frontline workers to don safety gear and risk illness. The pace continued even after vaccination became commonplace. Restaurants like
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SEI recently cut approximately 880 jobs in its Irving, Texas, and Enon, Ohio, support centers and field support operations, reported Fox Business The layoffs are part of an ongoing “integration process” related to the company’s $21 billion acquisition of
Marathon Petroleum Corporation’s Speedway gas stations in 2020.
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continued page 45
SEI Cuts 880 Corporate Jobs
“As with any integration, our approach includes assessing our combined organization structure. The review was slowed by COVID-19 but is now complete, and we are finalizing the go-forward organization structure,” an SEI spokesperson told Fox Business.
McDonalds and Chipotle, for example, enacted across-the-board wage hikes last year, while Costco raised hourly rates in 2020 and again in 2021. But Egee said that employers looking to fill positions must also address working conditions and overall compensation, such as flexible scheduling, and paid time off.
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Nearly half of Americans (45 percent) feel like they can’t afford their previous lifestyle and 76 percent of American consumers say their family has changed how they buy food with prices on the rise, according to a new consumer sentiment survey on inflation commissioned by NCSolutions (NCS). In addition, twothirds (66 percent) are more mindful of how they are spending their money.
The move comes as SEI parent company Seven & i Holdings has been facing pressure from activist investor ValueAct Capital, which bought a $1.53 billion stake in the company last year. The firm released a 75-page presentation in February urging Seven & i Holdings to make structural reforms and sell off non-core assets to focus on 7-Eleven’s growth. In April, Seven & i Holdings said it would revise its compensation system and policies for its board, and appointed a new outside director.
Member News
Business. • Walmart began to lay off corpo rate employees in early August, about a week after it slashed its profit outlook and warned that consumers had pulled back on discretionary spending due to inflation, re ported CNBC. Approximately 200 jobs were cut. • Convenience stores in New York state now require customers to provide identification to purchase a can of whipped cream, reported Newsweek. The law prohibits individuals younger than 21 years old to buy whipped cream due to concerns of inhalant misuse—the nitrous oxide in whipped cream canisters cause a “euphoric” sensation when inhaled and can become addictive. • Kellogg is splitting into three different compa nies in a major shakeup for the 116-year-old company, reported CNN Business. The first company will include Kellogg’s North America cereal unit, and its snacking unit will become a second company. Lastly, a new “pure-play plant-based foods company” will be anchored by its MorningStar Farms brand. • Servings of cold brew coffee ordered at quick-service restaurants climbed 27 percent in the 12 months ending April 2022, year-over-year, equating to to 373 million servings, reported QSR Magazine. Servings of frozen/slushy cof fee from quick-serves during the same period jumped 3 percent to 726 million, showing cus tomers are open to cold coffee in myriad for mats. • The average yearly cost to own and operate a new vehicle in 2022 is $10,728, or $894 per month—a considerable in crease from 2021, when the average yearly cost was $9,666 or $805.50 per month, accord ing to the latest research from AAA. Not sur prisingly, fuel prices are the most significant factor pushing this year’s average annual price tag. • Total U.S. online grocery sales for July jumped 17 percent year-over-year to $7.8 billion, driven by inflationary pressures and strong demand for delivery and pickup services triggered by ongoing COVID concerns, according to the latest Brick Meets Click/Mer catus Grocery Shopping Survey. • A federal judge recently ruled that a woman’s lawsuit against Subway alleging its tuna sandwiches “partially or wholly” lack tuna can move forward, reported NPR. The woman is seeking a jury trial and class-action status for her lawsuit, which accuses Subway of fraud, false advertising, and unfair competition. • Walmart stores in Tampa and Orlando, Florida will soon offer drone delivery that can
Consumers Are Shifting Grocery Purchasing Behaviors
“Retailers are increasing wages due to a tight labor market to keep their employees and attract new ones.”
continued from
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Eighty-five percent of Americans are very concerned or extremely concerned about inflation and almost unanimously (93 percent) they said we’re in an inflationary time. On the same economic theme, over half (57 percent) are concerned about the country’s financial situation, while 47 percent say they’re concerned about their
New survey data from AAA finds that drivers are making significant changes to cope with record pump prices. Almost
two-thirds (64 percent) of U.S. adults have changed their driving habits or lifestyle since March, with 23 percent making
Member News previous page
“major changes.” Drivers’ top three changes to offset high gas prices are driving less, combining errands, and reducing shopping or dining out.
“Drivers’ top three changes to offset high gas prices are driving less, combining errands, and reducing shopping or dining out.”
family’s financial situation. Eight out of 10 or 83 percent of Americans expect the cost of living will become somewhat more or much more expensive in the coming year. Sixty-five percent of Americans agree with the statement “my income has not increased as fast at the cost of food, beverage and personal care products.”
High Gas Prices Forcing Change In Driving Habits
In March 2022, AAA released gas survey data examining the pump prices Americans
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for the lowest since 1969. Wage growth also surged higher, as average hourly earnings jumped 0.5 percent for the month and 5.2 percent from the same time a year ago. Those numbers add fuel to an inflation picture that already has consumer prices rising at their fastest rate since the early 1980s. The Dow Jones estimate was for a 0.3 percent monthly gain and 4.9 percent annualLeisureincrease.andhospitality led the way in job gains with 96,000, though the industry is still 1.2 million workers shy of its prepandemic level. Professional and business services was next with 89,000. Health care added 70,000 and government payrolls grew 57,000. Goods-producing industries
would view as too expensive. At that time, over half (59 percent) said they would change their driving habits or lifestyle if the cost of gas rose to $4 per gallon. If gas were to reach $5, which it did in June, threequarters said they would need to adjust their lifestyle to offset the spike at the pump. At that time, among Americans who said they would make changes in response to higher gas prices, a majority (80 percent) said they would opt to drive less. The new AAA survey reaffirms these driving habit changes.
Food Council with equal numbers of workers’ delegates and em ployers’ representatives, along with two state officials, empow ered to set minimum standards for wages, hours and working conditions in California.
48 AVANTI JULY | AUGUST 2022
law, citing an analysis they commissioned by the UC Riverside Center for Economic Forecast and Development saying that the legislation would increase consumers’ costs. The International Franchise Association called it a “fork in the eye” of people who run restaurant franchises and said it could raise consumer prices as much as 20 percent.
Now the group is counting on Los Angeles to give its effort increased momentum, the article states. The city would no lon ger issue permits for new gas stations or allow existing sites to add fuel pumps under a proposal from LA councilmember Paul
Legislative Update
Debate split along party lines, with Republicans opposed. Sup porters had said they hoped the measure would inspire similar ef forts elsewhere. Restaurant owners and franchisers opposed the
The law caps minimum wage increases for fast food workers at chains with more than 100 restau rants at $22 an hour next year, compared to the statewide mini mum of $15.50 an hour, with cost-of-living increases thereafter. The state legisla ture approved the measure on August 29.
Cities in the North Bay area of California, New York and Brit ish Columbia have recently passed moratoriums on future gas stations or are developing policies to do so, reported Bloomberg They’re part of the small but growing Safe Cities campaign, a movement backed by the environmental group Stand.Earth that supports local efforts to phase out fossil fuels.
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“A NEW CALIFORNIA LAW WILL GIVE MORE THAN A HALF-MILLION FAST FOOD WORKERS IN THE STATE MORE POWER AND PROTECTIONS.”
Member News
Unemployment Rate Drops & Wages Grow
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Cities Ban New Gas Stations
Hiring in July was far better than expected, defying multiple other signs that the economic recovery is losing steam, reported CNBC. Nonfarm payrolls rose 528,000 for the month and the unemployment rate was 3.5 percent, easily topping the Dow Jones estimates of 258,000 and 3.6 percent, respectively. The unemployment rate is now back to its prepandemic level and tied
The Osaka District Court in Japan recently dismissed a lawsuit claiming Seven-Eleven Japan Co. unjustly terminated its contract with a franchisee over his decision to stop late-night operations, reported Kyodo News.
U.S. demand for grocery delivery is cooling as prices for food and other
The USDA is also developing a pilot program to allow SNAP participants to use their smart phones to buy groceries at physical stores by allowing them to input their EBT card into a mobile device.
Accepting the chain operator’s claim that the termination resulted from his improper handling of customers, the court also ordered Mitoshi Matsumoto, the 60-year-old former franchisee, to
InflationWithDropsDeliveryGrocery
Member News
Court Dismisses Lawsuit Against Seven-Eleven Japan
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Demand For
“A court in Japan recently tossed out a lawsuit claiming Seven-Eleven Japan unjustly terminated its contract with a franchisee over his decision to stop late-night operations.”
give up the store and pay damages to the company. Matsumoto, who has spearheaded a campaign among the nation’s c-store owners for shorter opening hours, criticized the court decision and said he will appeal the ruling to a high court.
The U.S. government is trying to entice more retailers to offer online shopping options for those Americans that use the supplemental nutrition assistance program (SNAP), reported The Hill The Department of Agriculture announced a new $5 million grant program recently—the SNAP EBT Modernization Technical Assistance Center—which will offer funding to retailers that need help launching online shops that accept SNAP. The effort is fueled by the growing presence of online shopping, especially for groceries.
AVANTI JULY | AUGUST 2022 49
Expansion Of Retailers That Accept SNAP Online
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transport packages totaling 10 pounds or less within a mile of the store, reported the Orlando Sentinel. The two new sites are among 34 in six states where the retailer expects to have its DroneUp delivery service by the end of the year. • Amazon has started drastically reducing the num ber of items it sells under its own brands, and the company has discussed the possibility of exit ing the private-label business entirely to al leviate regulatory pressure, reported the Wall Street Journal. The company’s private-label busi ness has been a source of controversy because it competes with other sellers on its platform. • AAA’s latest consumer survey reveals that one-quarter of Americans would likely buy an electric vehicle for their next auto purchase, with Millennials leading the way (30 per cent). Of those who want to buy electric, the com mon factor is a strong desire to save on fuel costs (77 percent). • Subway recently launched a new menu aimed at streamlining the choices customers have to customize their sandwiches, reported CNN Business. The new, more neatly organized menu is divided into four catego ries (Cheesesteaks, Italianos, Chicken and Clubs) consisting of three sandwiches each. All 12 sand wiches are new to the menu, with some essential ly replacing previous versions with new names and slight tweaks. • Skinnier and taller cans, which marketers say evoke sophistication, are emerging as competitors to the squat, bar rel-shaped 12-ounce aluminum container that has been ubiquitous in stores and vending ma chines for more than half a century, reported the Wall Street Journal. The thinner cans tend to sell better, help save on freight costs, and take up less space than traditional bar rel-shaped cans, according to the article. • Wal greens Boots Alliance’s quarterly earnings beat Wall Street expectations as the chain saw online sales jump in the U.S. and retail sales bounce back in the fiscal third quarter, reported CNBC U.S. same-store sales grew 2.4 percent and the company said it has an advantage amid rising gas prices as many of its stores are within walking dis tance or a short drive away from consumers. • To address inflation and to retain workers in what many executives say remains a tough labor mar ket, some large employers are raising sala ries or doling out special bonuses, reported the Wall Street Journal. Exxon Mobil Corp. gave U.S. employees a one-time payment in June equivalent to 3 percent of their salaries, while
also posted solid gains, with construction up 32,000 and manufacturing adding 30,000. Retail jobs increased by 22,000, despite repeated warnings from executives at Walmart, Target and elsewhere that consumer demand is shifting.
Currently, most retailers that offer SNAP online are larger grocery chains that already have an established online shopping foundation—including Walgreens, 7-Eleven, Target, Whole Foods Market and Kroger. Many local retailers lack resources to run an ecommerce business, but the USDA hopes this grant will help bridge that gap. In addition to funding, the agency intends to offer technical support to help develop existing sites or launch brand new ones.
> Store or community event photos with captions.
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:
Pilot Company & GM
Grocerythemselves.delivery experienced remarkable growth during the first year of the pandemic. In August 2019, a typical pre-pandemic month, Americans spent $500 million on grocery delivery. By June 2020, it had ballooned to a $3.4 billion business, according to Brick Meets Click, a market research company. But as the pandemic eased, demand softened. In June 2022, Americans spent $2.5 billion on grocery delivery, down 26 percent from 2020. For comparison, they spent $3.4 billion on grocery pickup, which saw demand drop 10.5 percent from its pandemic highs.
Avanti Is Your Magazine
increasingly difficult to keep pace with the wages and benefits offered by large employers. The hiring challenges are stunting growth, small-business owners said, and further clouding their deteriorating economic outlook. Small-business confidence continues to fall, dropping in June to lows last seen in July 2020, the Vistage data show. Nine percent of small-business owners expect U.S. economic conditions to improve over the next 12 months, down from 12 percent in May and 53 percent in June 2021. Despite their economic worries, 52 percent of small-business owners expect head counts to increase in the coming year, the survey found.
> FOA event photos with a short description (who, what, where, when, and why).
Small Businesses Face Hiring Challenges
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“Sixty-three percent of smallbusiness owners say that hiring challenges are affecting their ability to operate at full capacity.”
50 AVANTI JULY | AUGUST 2022
Pilot Company (Pilot and Flying J) announced that it has partnered with
Member News
continued on page 52
> Your FOA events and Board meeting calendars.
> Any combination of the above. Please send your submissions to avantimag@ncasef.com.
Sixty-three percent of atabilityarehiringownerssmall-businesssaythatchallengesaffectingtheirtooperatefullcapacity,reported
the Wall Street Journal, citing a survey of more than 825 small businesses by Vistage Worldwide Inc., a business coaching and peer advisory firm. Owners of many small companies say inflation has added to the pressures of an already tight job market, making it
> Articles on any 7-Eleven topic that may be of interest to other franchisees.
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.”
necessities rise, reported the Associated Press. Some are shifting to pickup—a less expensive alternative where shoppers pull up curbside or go into the store to collect their already-bagged groceries—while others say they’re comfortable doing the shopping
To Build EV Charging Network
NCASEF Welcomes Michigan & Detroit FOAs
AVANTI JULY | AUGUST 2022 51
PricewaterhouseCoopers handed out raises in July. • Philadelphia-based bottler Liberty Coca-Cola Beverages recently unveiled a fi ber-based paper packaging that will replace plastic rings on multi packs cans of soda, reported NBC 10 Philadelphia. The new packaging is set to be delivered to all stores across Pennsylvania, New Jersey and New York, as well as parts of Connecticut and Delaware, beginning in Sep tember. • A coalition of 17 states plus Washington, D.C., and the Canadi an province of Quebec have signed on to an action plan striving for 100 percent electric medium and heavy-duty vehicle sales by 2050, reported Utility Dive. The plan includes policy recommendations for local lawmakers and adding more electric charging infrastructure. • Ampex Brands—Au Bon Pain operator and a leading Yum! Brands and 7-Eleven franchisee with more than 500 QSR and fast-casual restaurants and con venience stores—recently announced that it has acquired bella green, an American bistro concept with locations in Houston and Dallas, from Bellagreen Holdings. • Amazon said more than 65 Whole Food Markets across California will soon offer Amazon One, a palm-recognition service that allows customers to pay by hovering their palm over an Amazon One device at checkout, reported the Los Angeles Daily News. • Walmart announced that it has signed an agreement with advanced mobility company Canoo to purchase 4,500 all-electric vehicles to deliver online orders in a sustainable way, which will also contribute to Walmart’s goal to achieve zero-emissions by 2040. • Supermarket chain Albertsons is currently testing a store in Boise, Idaho that has replaced traditional checkout lanes with self-checkout stations with staff nearby to help, reported BoiseDev.com. The store also has plans to add carts from vendor Veeve that will use artificial in telligence and store cameras to allow shoppers to skip the checkout lanes entirely and check out via card swipes on the carts themselves. • An increasing number of retailers are eliminating free online returns as the e-commerce returns rate reached a historic high of 20.8 per cent last year, with the cost of online returns estimated at a total of $218 billion, reported Footwear News. • Pilot Company recently an nounced a strategic partnership with self-driving trucking company Kodiak Robotics, Inc. to develop autonomous truck services at Pi lot and Flying J travel centers. The companies are in the process of creating an autonomous truckport in the Atlanta area to evaluate po tential service offerings and explore scalable solutions. • As gasoline prices approached $5 per gallon on the East Coast in late June, Mid-At lantic convenience chain Sheetz helped reduce the pain at the pump for consumers by dropping the price of fuel to $3.99 a gallon for Un leaded 88 and $3.49 a gallon for E85 from June 27 through the July 4th holiday travel season. • Drivers prefer partial automation in their vehicles that comes with appropriate safeguards and require them to stay engaged in driving, according to a new survey by the Insur ance Institute for Highway Safety. • Instacart recently announced that EBT and SNAP can now be used to buy groceries online in 10 additional states—Colorado, Hawaii, Idaho, Louisiana, Montana, New Mexico, Oregon, Utah, Washington, and Wyoming—through the Instacart App and retailers’ Instacart Platform-powered e-commerce experiences. • Dollar General has formed a Healthcare Advisory Pan el to help it further develop its health and wellness offerings, reported Supermarket News. The retailer has already expanded its health care services at 1,800 stores and plans to increase that number to
The NCASEF Board of Directors inducted two FOAs during its third quarter meeting at the Gaylord National Resort in Maryland, August 6-7. The Michigan FOA is new, while the 7-Eleven Franchise Owners Association of Detroit was reinstated. Representing the Michigan FOA during the meeting (top photo) were President Ali Haider (right) and Vice President Sandeep Singh (left). Representing the 7-Eleven FOA of Detroit (bottom photo) were FOA Vice President Fazal Abbas (left) and Executive Vice President Abid Jamil (right). The addition of these two organizations brings the total number of NCASEF FOA members to 41.
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Member News
The consumer price index increased 8.5 percent in July compared with July 2021, down from June’s 9.1 percent CPI reading, reported NACS Online, citing U.S. Department of Labor data. The gasoline index declined 7.7 percent in July, helping to ease the sting of increases in costs for
Koretz. Current gas stations could, however, add chargers for ze ro-emission vehicles, according to a motion filed in May 2021. The plan has already drawn criticism for being less effective to ward achieving the city’s sustainability goals compared to pol icies and investments that discourage driving, such as building bike lanes and improving public transit. In recent years, the city has approved no more than three new gas stations annually.
Legislative Update
The agreement provides that each store under contract with one of the manufacturers will have to post at least one sign car rying one of 17 different, pre-approved health messages that will be distributed at random to retailers around the country. Each store will be required to rotate to a new message halfway through the time period required in the agreement. The manufacturers will be required to hire auditors to check whether the signs are properly posted.
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across the U.S. This network of 2,000 charging stalls, co-branded “Pilot Flying J” and “Ultium Charge 360,” will be powered by EVgo eXtend and open to all EV brands at up to 500 Pilot and Flying J travel centers
“THE FOUR MAJOR TOBACCO MANUFACTURERS HAVE REACHED AN AGREEMENT WITH THE DOJ REGARDING THE COMMUNICATION OF TOBACCO-RELATED MESSAGING AT RETAIL LOCATIONS.”
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This project builds on Pilot Company’s recently announced “New Horizons” initiative to invest $1 billion to fully upgrade its travel centers with more premium amenities and offerings that aren’t typically available at current EV charging locations,
NACS Online. The
Altria, Philip Morris USA Inc., RJ Reynolds Tobacco, and ITG Brands recently reached an agreement in long-running litigation brought by the U.S. Department of Justice (DOJ) and certain public health orga nizations regarding the communication of locations,messagingtobacco-relatedatretailreported
Tobacco Companies Settle With DOJ
General Motors to build a national DC fast charging network that will help accelerate the widespread adoption of electric vehicles, increase access to charging and help enable long-distance travel of EVs
It will also feature numerous fast charging stalls provided by EVgo, including high power fast chargers capable of offering up to 350 kW1. This collaboration is targeting the installation of charging stalls at 50-mile intervals across the U.S. This collaboration is expected to enhance America’s EV driving experience.
the company stated. Guests will have access to free Wi-Fi at most locations, expanded seating and lounge areas, updated and modernized restrooms, on-site restaurants including Pilot’s signature fresh hot and cold deli, premium coffee, and shopping for travel essentials and souvenirs while their vehicles are charging.
Inflation Dropped In July
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agreement will re quire those tobacco companies to supply court-ordered signs to stores that have contracts with any of them and require those stores to post the signs for a total of 21 months. The agreement covers the last remaining dispute from the lawsuit the DOJ filed against Altria, Philip Morris USA Inc., and RJ Reynolds in the 1990s.
Become ‘One-Stop Shops’
On June 22, 2022, a group of 7-Eleven franchisees met in Washington, D.C. to participate in CFA Day, an annual event organized by the Coalition of Franchisee Associations to advocate on legislative issues affecting franchisees before members of Congress. Franchisees from many different systems were there—including McDonald’s, Dunkin’, and Subway—but the presence of 7-Eleven franchisees was the most Amongprominent.theissues at the forefront of this year’s CFA Day was the labor shortage and legislation that could help alleviate the situation. CFA Day participants encouraged Congress members to support the Essential Workers for Economic Advancement Act (H.R. 7239), which creates a non-immigrant visa program for high demand/short supply industries in metropolitan areas facing a critical labor shortage; the Senior Citizens’ Freedom to Work Act (S. 3101, H.R. 3921), which repeals the retirement earnings test (RET)—a penalty for retirees who wish to return to the workforce; and to support efforts to eliminate barriers to the Earned Income Tax Credit (EITC). The
event also included a dinner with U.S. Congressman Andrew Garbarino (New York 2nd District), who is a member of the House Committee on Small Business.
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Within grocery, snack and beverage prices are outpacing total grocery inflation, with snack prices up 19 percent and beverages up 18.1 percent, doubling since the beginning of the year, Numerator found. Inflation rates in the categories of meat (+14 percent), produce (+9 percent) and alcoholic beverages (+3.7 percent) remain elevated, though they lag behind total grocery.
Midwest FOA Vice President Nisar Siddiqui (right) with Congressman Andrew Garbarino during the CFA Day event in Washington, D.C.
Major convenience store operators in Japan are finding new business opportunities in areas such as clothing and household
goods, reported The Japan News. They are attempting to capture the increasing demand for “one-stop shopping” amid the spread of the coronavirus by offering a wide selection of products, not just their mainstay food items. Among those c-store retailers, Seven-Eleven Japan Co. had expanded its selection of products supplied by the ¥100 store operator Daiso Industries Co. to almost all of its outlets by August. The company began introducing the products at some of its stores in December 2020, attracting customers mainly with household goods such as wet wipes and garbage bags. Convenience store operators believe that growing their range of non-food items will “lead to more visits to their stores,” as an official of a major store operator said.
Member News
AVANTI JULY | AUGUST 2022 53
food (+1.1 percent) and shelter (+0.5 percent). The food-at-home index rose 1.3 percent, while the food-away-from-home index rose 0.7 percent. The energy index fell 4.6 percent as prices for gasoline and natural gas fell, but the index for electricity rose.Separately, research from Numerator indicates that grocery prices set a new record in July. Prices were up 15.4 percent versus a year ago for the four-week period ended July 31, after leveling off in early July.
C-Stores In Japan
7-Eleven Franchisees Visit Washington, D.C. For CFA Day
• Bangor—The Bangor City Council banned flavored tobacco sales for the second time. After it was forced to repeal a pre vious ordinance in April due to a procedural error, the new proposal passed in early August and will go into effect Janu ary 1. It will then join the towns of Portland and Brunswick, which have similar bans that took effect June 1.
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MICHIGAN
CALIFORNIA
54 AVANTI JULY | AUGUST 2022
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Below are the latest proposals and approved changes to tobac co legislation and regulation at the local, state and federal levels, as reported by Convenience Store News.
• San Diego—Mayor Todd Gloria signed an ordinance mak ing it unlawful for retailers within the city to sell or distrib ute specified flavored tobacco products effective January 1, unless a statewide measure to ban the sale of specified fla vored tobacco products in California is passed by voters in November.
• Lansing—Governor Gretchen Whitmer signed a bill pack age raising the legal minimum age to buy tobacco products from 18 to 21. The Tobacco 21 law also raises the age of sale for retailers, prohibits those under 21 from entering a
NEW JERSEY
• San Jose—The San Jose City Council ban on flavored tobac co products kicked in on July 1. A referendum prohibiting flavored tobacco sales statewide goes to the voters in No vember.
• Los Angeles—Retailers will no longer be allowed to sell fla vored tobacco products in the city as of January 1, 2023. Mayor Eric Garcetti signed the ban into law on June 13 after the Los Angeles City Council unanimously approved the ordinance on June 1. It does not ban the possession or use of flavored tobacco for people over the age of 21.
The Latest Tobacco Legislation Update
• Scotts Valley—The Scotts Valley City Council voted in favor of a ban on the sale of flavored tobacco products. The new rule went into effect on July 15.
MAINE
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• Trenton—The New Jersey Assembly Health Committee approved a bill, A1989, prohibiting the sale of all menthol cigarettes and flavored electronic nicotine delivery systems in New Jersey. Under the proposed legislation, violators who sell flavored smoking devices would face a $500 fine for the first offense, $750 for the second offense and $1,000 for the third and subsequent offenses, followed by a threeyear suspension of their retail license. The fines for selling menthol cigarettes would be $250 for the first offense, $500 for the second offense, and $1,000 for third and subsequent offenses.
tobacco store, and bans tobacco sales through the mail to anyone under 21.
OHIO
NEW YORK
Legislative Update
Member News
• Albany—Governor Kathy Hochul signed legislation pro hibiting smoking in all state-owned beaches, boardwalks, marinas, playgrounds, recreation centers, and group camps. Many New York municipalities and local governments al ready have bans or restrictions on smoking in public places. The new rule will enforce a statewide prohibition and in cludes a fine that will be collected by localities.
• Columbus—A coalition of community groups, public health advocacy organizations and faith institutions is looking to have the Columbus City Council pass legislation to end the sale of menthol cigarettes and all flavored tobacco products in the capital city. The Coalition to End Tobacco Targeting is hoping to start a movement that would eventually ban the sale of all flavored tobacco products throughout the state.
• Hilliard—The Hilliard City Council passed legislation that strengthens Ohio’s Tobacco 21 law, implementing penalties for those under 21 who use, buy, or possess tobacco or vap ing supplies. State laws already address penalties for selling or furnishing such items to those under 21.
• Kent—The Kent City Council passed a $400 Tobacco Retail License, which will fund two compliance checks to the esti mated 28 tobacco retailers in Kent.
Member News
• Hillsboro—Washington County’s ban on flavored tobacco and nicotine products, which was announced last fall, is on hold again after a circuit court judge issued a temporary in junction in connection with three lawsuits. The ordinance remains suspended while the larger issues are debated in court.
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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 Moving The Brand ForwardCollaboration Among All Stakeholders Is Key Working Together Will Benefit All7-Eleven Stakeholders It’s All About TeamworkWorkers’ Compensation InsuranceQuestions & Answers THE VOICE OF 7-ELEVEN FRANCHISEES Supporting CommunityCharitiesAndService7-ElevenFranchiseesMakeADifference GivingBackToOurCommunitiesAndOurCustomersWeAreMoreThanANeighborhoodConvenienceStoreChangeIsTheOnlyConstantShiftingSandsOverexertion/BackInjuriesTheSpring2022AffiliateMemberDirectoryPage34THE VOICE OF 7-ELEVEN FRANCHISEES May/June 2022 MakingImprovingProgressTheSystemForAllStakeholders We’re On It Staying Fully Stocked Franchisee Exits Don’t Leave Money On The Table Slip, Trip, And Fall PreventionThePower 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
OREGON
• Portland—Multnomah County health officials in Portland are drafting a proposal to ban the sale of flavored nicotine products. It will go before the county board to be reviewed in September.
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The rule would rescind a 2020 rule issued under the Trump administration stating that employees could only claim to be em ployed by companies holding “substantial, direct and immediate control” over their employment. Under the current proposal, a company with the power “whether directly, indirectly or both” to control wages, hiring or work requirements would be counted as an employer. Business groups criticized the proposal, saying it would put a heavy burden on companies. The NLRB said it would accept comments on the new rule until November. A final rule likely won’t be issued before next year.
WASHINGTON, D.C.
The National Labor Relations Board (NLRB) recently pro posed a new rule that would make it easier for workers to say they are employed by two employers at once, a move that could open the door to employee claims against businesses that rely on franchisees, contractors or staffing firms, reported the Wall Street Journal. The proposed rule is one of the first significant policy moves by the NLRB under the Biden administration and will likely be challenged in court by business groups.
AVANTI JULY | AUGUST 2022 55
• Salem—The Salem City Health District board approved a measure to require retailers to obtain an annual permit as part of the city’s Tobacco 21 program, which went into effect on July 15. Each permit is $100.
Legislative Update
• Mayor Muriel Bowser signed into law the Flavored Tobacco Product Prohibition Amendment Act, banning the sale of flavored tobacco products, including menthol cigarettes.
NLRB Proposes New Joint Employer Rule
Save Securejoinwhen$210youNACS!yourNACS membership today for as low as $40* When you join NACS, you’re getting a whole lot more than a membership card. You’re gaining a global solutions network. Plug in. B Visit convenience.org/AssociationMembers and enter the promo code below. Instructions • Visit www.convenience.org/AssociationMembers • Enter promo code 8DN423ZX when requested. • New applications will be reviewed, dues discount will be applied upon approval. • Renewals will process at the discounted dues automatically! Contact NACS for questions or support: Keith Harlow Director, Member Services 703.518.4206kharlow@convenience.org Allison Dean Retail Membership Manager 703.518.4250adean@convenience.org *This offer applies to current retail member of the National Coalition of Associations of 7-Eleven Franchisees with 4 or fewer convenience stores. Membership will be current through December 31, 2022. Renewal notices to continue your membership at the reduced rate will be sent for 2023 prior to expiration. $40 offer is based on dues calculation of $250, the minimum dues for NACS. The promo code will save you $210 off your dues.
of unique memorabilia. SEI kicked off the shop with two iconic drops:
by “Game to Eleven,” the phrase popularized by pick-up basketball. The streetwear-meets-sportswear designs feature fan-favorite products like Slurpee drinks and Big Gulp fountain beverages subtly intertwined with basketball themes. Included in the collection are 7-Eleven and Speedway-branded hoodies, T-shirts, hats and mesh shorts. Individual merchandise is available for purchase at https://shop.overtime.tv/ starting at $50. Customers were also able to win the full capsule by purchasing select products at 7-Eleven, Speedway or Stripes stores as part of 7-Eleven’s weekly giveaways through Brainfreeze Season.
AVANTI JULY | AUGUST 2022 57
SEI brought back two fan-favorite fall brews in early August—the Pumpkin Spice Latte and Pumpkin Spice Coffee. 7-Eleven’s Pumpkin Spice Latte combines a classic espresso flavor with savory autumn spices to create a sweet and creamy pumpkin-
SEI recently introduced a limitededition apparel collection with Overtime and Easy Otabor, a designer, entrepreneur and art curator. The collection, Overtime x 7-Eleven curated by Easy Otabor, is inspired
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SEI recently announced the launch of 7Collection, an online merchandise shop specially curated with 7-Eleven fans in mind. The shop features exclusive apparel and accessories inspired by 7-Eleven and its fanfavorite products—like Big Gulp and Slurpee drinks—that customers can’t find anywhere else. For the first 7 days, customers received 11 percent off all the 7Collection items using the code
Pumpkin Spice Highlights Fall Coffee Lineup
The7Collection11.7Collectionshop offers brand fans a little bit of everything
• The Cars of 7-Eleven Collection—Boasts legendary threads, a trucker hat, car decal and the iconic coffee-scented air freshener first debuted in Model 711.
7Collection Online Merchandise Store Debuts
vintage7-eleven.com/7collection—includingattees,hatsandanassortment
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“SEI recently launched 7Collection, an online merchandise shop specially curated with 7-Eleven fans in mind.”
Member News
• The Slurpee Collection— Encompasses both retro and modern Slurpee drink apparel, accessories and collectibles.
SEI Unveils Limited-Edition Apparel Collection
58 AVANTI JULY | AUGUST 2022
Seven-Eleven Japan Moves Forward With Drone Delivery Plan
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continued from page 51 more than 4,000 loca tions by the end of the year. • Coca-Cola recently announced that two of its brands are taking major steps to support a circular economy for plastic packaging. DASANI is rolling out bottles made from 100 percent recycled PET plastic, and Sprite is transitioning from green to clear plastic to increase the material’s likelihood of being remade into new beverage bottles. • New Zea land-based company Invisible Urban Charging plans to install more than 6,000 EV chargers in Florida over the coming months with the goal of encour aging more people to switch to electric vehicles, re
flavored beverage. This coffee drink is now available at participating 7-Eleven, Speedway, and Stripes stores for a limited time. Customers can also satisfy their sweet tooth with a second pumpkin-flavored drink—the Pumpkin Spice Coffee, which blends mild Arabica coffee beans with a sweet pumpkin-y taste. A medium body coffee with mild spice, this smooth drink is perfect for customers who enjoy a clean and crisp finish to their morning (or afternoon) brew. Pumpkin Spice Coffee is now available at participating 7-Eleven locations for a limited time.
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Member News
and build vertiports at the SevenEleven stores that will be participating in the program. The two firms expect to begin practical tests of the system in Fukuoka city this fall and are aiming for a nationwide launch by FY2025.
7-Eleven Tests Drone Deliveries In South Korea
have not been immune from rising costs, their much lower overall prices have helped them gain in popular ity. • Toys R Us is making a major comeback with the opening of in-store shops at every Macy’s depart ment store in time for holiday shopping, reported CNN Business. Toys R Us went bankrupt and closed all its stores in 2018, but got a new lease on life last year thanks to Macy’s partnership. • White Castle an nounced that it has reached a major milestone with 3 billion of its Chicken Rings sold since 1995. When placed end-to-end, the total Chicken Rings sold would stretch nearly 95,000 miles, or 3.8 times the circumfer ence of Earth.
7-Eleven is testing drone delivery services in the South Korean town of Gapyeong, reported Retail Insight Network. The retailer is conducting the trial in partnership with PABLO AIR,
and to improve communication stability related to drone operation. For its part, Seven-Eleven Japan will adjust its product delivery service 7Now, decide which products will be subject to customer delivery by drone,
All Nippon Airways (ANA) and Seven-Eleven Japan have formed a new agreement to materialize their plan for a nationwide drone delivery service, reported Akihabara News. Under the agreement, ANA’s main responsibilities will be to establish the drone aircraftselectionsystem—includingoperationtheofthedronewhichwillbeused—
ported the Associated Press. Invisible Urban Charging has partnered with Dallas-based Lincoln Property Co. to make the chargers available for all models of electric vehicles. • More than half (54 percent) of young workers research individual managers on social media when prepping for interviews, reported Fortune, citing a new survey by recruiting software firm iCIMS. Of the recent grads it polled, 70 percent also admitted to looking at employers’ sites when prepping for interviews. • South Korean office workers are turning to convenience stores for their mid-day meals as “lunch-flation” takes a bite out of their wal lets, reported Reuters. While convenience store lunches
“Seven-Eleven Japan has partnered with All Nippon Airways to develop a nationwide drone delivery service.”
7-Eleven recently rolled out two brand new pizza varieties—Veggie and Breakfast. The all-new pizzas are now available at participating
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white onions, and sliced mushrooms. For a limited time, members of the 7Rewards loyalty program were able to buy any size fountain drink or hot beverage and receive a Breakfast Pizza slice for just $1.
Member News
AVANTI JULY | AUGUST 2022 59
a drone logistics solution provider. During the pilot program, which will run until the end of 2022, there is no minimum order amount and delivery is free of charge. The three-minute drone delivery service is available from 10am to 7pm from Tuesday to Saturday every week. Customers can order convenience store items for delivery through the All+Delivery (Allivery) app. According to the article, the drone service will be operated from a delivery station equipped with a control tower and a helipad for drones to take off from and land after delivering goods.
Bring Your Own Cup Day Returns
7-Eleven Celebrates First Responders
Participating 7-Eleven stores joined other convenience retailers and suppliers across the United States to celebrate hometown heroes on 24/7 Day. Held on July 24, 24/7 Day recognizes first responders, medical and emergency professionals and volunteers who work around the clock to serve their communities. Hosted by the NACS Foundation, the event helps raise awareness and donations for the urgent humanitarian needs of the Red Cross and spotlights the convenience store industry’s important role in supporting hometown heroes. One of the ways 7-Eleven and other convenience chains supported this
Bring Your Own Cup (aka BYOC) Day made its triumphant return this summer. On August 27, 7Rewards and Speedy Rewards loyalty members were encouraged to grab their cookie jars, fishbowls or any other creative container and fill it up with their favorite Slurpee drink flavor for just $1.99 at participating 7-Eleven, Stripes and Speedway locations. Customers were invited to sip on classic Slurpee flavors like Blue Raspberry, Cherry, Pina Colada or Coca-Cola—or indulge in limited-time-only flavor Mango Lemonade, blended with a zesty mix of mango and tart flavormaketoalsoCustomerslemonade.wereencouragedgetcreativeanduptheirownconcoctions.
“7-Eleven has rolled out two brand new varieties—VeggiepizzaandBreakfast.”
7-Eleven, Speedway and Stripes stores. The Breakfast pizza features 7-Eleven’s signature crust topped with gravy, mozzarella cheese, cheddar cheese, and breakfast sausage. For those into the classics, the Veggie pizza is loaded with fire-roasted and diced red bell pepper, green bell pepper,
Two New Pizza Varieties Launched
“7-Eleven stores joined other
year’s 24/7 Day was by offering a free fountain, frozen, or coffee beverage of any size to police, fire, EMTs, doctors, nurses, health practitioners, Red Cross volunteers, and 911 professionals in uniform or with a badge.
To keep fans feeling hot and stayin cool this Brainfreeze Season, SEI released unexpected and exclusive collaborations with fan-favorite snack and beverage brands to take wardrobes to an ELEVEN. Customers who purchased participating products at 7Eleven, Speedway or Stripes stores were able to win bespoke apparel and
accessories inspired by the snacks they know andSneakerheadslove. were in for a treat because a few lucky customers were able to win a custom pair of kicks, including:
• Shoe Surgeon x Reese’s: These shoes feature orange-colored mesh panels, chocolate-hued sides, and a peanut butter-toned ankle panel with a buttoned Customerspocket. also had the chance to win a break dancinginspired Red Bull BC One capsule featuring Fred, complete with a hoodie, drawstring backpack, and hat to encourage fans to dance their way through summer. Also available was the Flamin’ Hot x Braille collection,
There was plenty to celebrate in July—notably 7-Eleven’s 95th birthday on July 11—and July 29, aka National Chicken Wing Day. This year, SEI invited 7Rewards and Speedy Rewards members to get saucy with 10 classic wings for just $10 at participating 7-Eleven, Speedway, and Stripes stores. No matter the customer’s wing flavor preference— roasted, spicy, or buffalo—7-Eleven offered them hot and ready to eat. Customers also didn’t miss out on the best-selling Buffalo Wings, double glazed with a classic, bold buffalo sauce for the perfect amount of flavor. Additionally, for a limited time, members of the 7Rewards loyalty program were able to enjoy Classic Wing Weekends with 5 wings for $5.99 Friday through Sunday.
• Slurpee x What the Fanta: Designed by Jake Danklefs of Dank & Co., these sneakers are adorned with Slurpee drink branding and shapes that mimic splashes of water.
featuring a crewneck sweatshirt, hat, skateboard and shoes with flameprinted shoelaces.
hometowncountryretailersconvenienceacrossthetocelebrateheroeson24/7Day.”
60 AVANTI JULY | AUGUST 2022
Member News
Brainfreeze Season With SnackInspired Fashion Collabs
Deal Marks National Chicken Wing Day
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• 7-Eleven x Dunkaroos: These kicks, designed by creative agency partner Select and hand-painted by Tyler Wallach, feature Fred— the mascot for the brand’s iconic frozen beverage, surrounded by confetti-like patterns.
Put More In Your Pocket With New Trident Pocket Pack
Taste the fun of puffy and airy, bite-sized squares baked with 100 percent real cheese inside and out with CheezIt Puff’d Cheesy Baked Snacks. Each case includes 6, 3-ounce pouches of Cheez-It Puff’d Cheesy Baked Snacks. This snack satisfies your senses with an irresistible crunch followed by melt-in-your-mouth cheesiness that everyone is sure to crave. Baked with 100 percent real cheese into every puffy cracker for maximum tastiness. Grab a pouch for a fun and light meal side, an afternoon pick-me-up or on-the-go bite. Enjoy crisp, crunchable, always Cheez-ItmunchablePuff’dCheesyBakedSnacks.AvailableinDoubleCheese,
AVANTI JULY | AUGUST 2022 61
Anheuser-Busch is also introducing Bud Light Seltzer Apple Slices, a new limited-edition Bud Light Seltzer Variety Pack for Fall and Winter 2022. This new addition to the Bud Light Seltzer rotator line merges the refreshing flavor of apple with bold sweetness of other fruit flavors to create delicious combinations like Crisp Apple, Strawberry Apple, Peach Mango Apple, and Cranberry Apple. Get all the bold, crisp flavor of apple with the stats and refreshment of seltzer with Bud Light Seltzer Apple Slices.
Airy & Puffy Cheez-It Puff’d
You can’t go wrong with supporting Trident Pocket Packs as Trident boasts a high 83 percent brand awareness and is the most effective brand on display. This means Trident Pocket Pack Original 28-sticks will leave in the pockets of your customers. Help Refresh Your Rhythm by helping customers refresh theirs. Get New Trident Pocket Pack Original today.
Bud Light Platinum Seltzer is adding a new single to the family. Introducing Bud Light Platinum Seltzer Blood Orange 25oz. This flavor, currently in the variety pack, will join Wild Berry as the second Bud Light Platinum Seltzer single. Wild Berry has consistently been the #1 ROS single across all 25oz singles in the industry, and Anheuser-Busch believes they can further strengthen the brand’s shelf presence by adding a second single. With Blood Orange trending as a flavor in the cocktail and beverage space, it is the perfect fit to complement the Wild Berry offering. Anheuser-Busch is also launching the Blood Orange single with optimized graphics, and will be applying the same design update as a soft change to Wild Berry to ensure the two singles are optimized for c-stores.
New Bud Light Seltzer Varieties Added
Introducing new Bud Light Platinum Seltzer Blood Orange and Bud Light Seltzer Apple Slices.
With 56 percent of gum being purchased at front end/ checkout and Trident placing #2 in convenience for gum brands, New Trident Pocket Pack Original will help refresh your sales rhythm and provide the customer with the long-lasting quantities of gum they are looking for. As an extra incentive, Trident Pocket Packs are being presented with a 2/$4 Hot Deal.
New Trident Pocket Pack Original will help refresh your sales rhythm.
Your customers love the 28-stick Trident Pocket Pack in Spearmint and Tropical Twist. What they need now is a classic: New Trident Pocket Pack Original. The new
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Cheez-It Puff’d Cheesy Baked Snacks are baked with 100 percent real cheese for tastiness.maximum
product provides 2X more gum in a sturdy pack with a flavor they know and love.
62 AVANTI JULY | AUGUST 2022 continued on next page BOOK A MEETING TO LEARN MORE Increase Foot Traffic Earn Ancillary Income Effortlessly No Cost, No Work, No BenefitsLiability Best Customer Service in the Industry Available 24/7 Free advertising of your store Become the leader in your community for supporting sustainability and reuse. For every full bin, 1 tree is planted! ***$100 sign-up bonus for the first 20 locations to register, your store must be within our service areas. Find out now.
Make sure you share the delight at your coffee bar so your customers can craft their perfect cup of coffee or take a quart with them, making this a perfect fit for their home or office
the coffee bar to the take-home creamers. International Delight Creamer is the #1 brand for exclusivity and loyalty, which means you will attract incremental shoppers to the category.
International Delight Pumpkin Pie Spice Is Back
International Delight Creamer? International Delight is a brand that 7-Eleven shoppers know and love from
AVANTI JULY | AUGUST 2022 63 continued from page 61
White Cheddar and Scorchin’ Hot Cheddar flavors. Learn more at KelloggsAwayFromHome.com.
International Delight Pumpkin Pie Spice Coffee Creamer 192ct and quart are back. A splash will add layers of delicious flavor to your customers’ everyday coffee, filling not only their senses, but also their taste buds with the festive flavors of pumpkin and spice, allowing them to truly embrace the season.
refrigerator.Whychoose
Pumpkin Pie Spice is the #1 Fall Seasonal flavor across the coffee creamer category. Seasonal flavors continue to grow in importance as younger consumers seek excitement and indulgence. To place an order or learn more, please call (888) 620-9910 or visit DanoneAwayFromHome.com
Customer favorite International Delight Pumpkin Pie Spice Coffee Creamer is back for a limited time.
AD INDEX American Kellogg’s....................................................................4IgniteDreyersDiageo.......................................................................3Danone....................................................................29ConstellationCoca-Cola.................................................................2C4BicAON..................................................................36,Anheuser-Busch....................................................10Licorice.................................................3837USA...................................................................24Nutrabolt..........................................................40Brands......................................34,35IceCream.................................................44International...............................................47 King Palm.............................................................8, VitaUSAgain..................................................................62SwisherSwedishSierraPabst........................................................................42Monster...................................................................67Mondelez................................................................22MolsonCoors..........................................................13McLane...................................................................269NevadaBrewing.........................................65Match(ZYN)............................................5International............................................68Coco..............................................................6,7
UFOLINY
November 15, 2022—Board Meeting
September 20, 2022—Board Meeting
September 21, 2022—Webinar
OctoberWednesdayOctoberWednesday5,2022—Webinar19,2022—Michigan General WednesdayNovemberMeeting/Mini-Show16,2022—Webinar
October 18, 2022—Mini Trade Show
Greater Bay FOA
September 14, 2022—Board Meeting
Phone: 818-357-5985
September 20, 2022—General Membership Meeting
Phone: 207-415-0924
November 9, 2022—General Meeting
Chicagoland FOA
FOA MeetingsBoard
64 AVANTI JULY | AUGUST 2022
Midwest FOA
Phone: 847-971-9457
November 15, 2022—Board Meeting
September 22, 2022—Board Meeting
Phone: 847-278-7415
Phone: 619-726-9016
United FOA Of Northern Florida
Central Florida FOA
October 12, 2022—Board Meeting
October 25, MembershipNovemberMembership2022—GeneralMeeting29,2022—GeneralMeeting
NovemberMeeting 16, 2022— Board of Directors & Members Meeting
Phone: 707-344-1070
September 20, 2022—Board Meeting
Phone: 602-614-8083
San Diego FOA
Phone: 619-713-2411
October 19, 2022—Board of Directors
September 15, 2022—Board Meeting
November 9, 2022—General Meeting
FOA Of Greater Los Angeles
November 9, 2022—Board Meeting
San Francisco/Monterey Bay FOA
Phone: 408-203-1039
October 27, 2022—Board Meeting
December 20, 2022—Board Meeting
December 8, 2022—Board Meeting
October 18, 2022—Board Meeting
October 20, 2022—Board Meeting
JSeptember 21, 2022— Board of Directors & Members Meeting
Southern California FOA
Phone: 631-793-6348
66 AVANTI JULY | AUGUST 2022
Phone: 973-979-9870
Southern California FOA Holiday Party
September 15, 2022
San Diego FOA Christmas Party
Coronado Community Center (Nautillus Coronado,Room) California
Phone: 818-357-5985
National Coalition Affiliate Meeting
BOARDNCASEF MEETINGS
Westin San Diego Gaslamp SanQuarterDiego, California November 15-16, 2022
Annual Trade Show
Phone: 847-278-7415
United FOA Of Northern AnnualFlorida Trade Show
Venue NovemberTBD 10, 2022
Phone: 631-793-6348
Space Coast Convention Center Cocoa Beach, Florida December 2, 2022
Phone: 619-713-2411
September 7, 2022
Las Vegas, Nevada July 29-30, 2023
Phone: 973-979-9870
Phone: 631-793-6348
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.
Central Florida FOA Holiday Party Holiday Phone:DecemberOrlandoInnFlorida10,2022207-415-0924
Universal Studios Universal City, California December 3, 2022
Central Florida FOA Charity Golf & Trade Show Venue Phone:MayOrlando,TBDFlorida3-4,2023207-415-0924
Las Vegas, Nevada July 30-August 2, 2023
Royal Albert’s Palace Fords, New Jersey
San Francisco/Monterey Bay FOA Annual Golf Tournament
September 8, 2022
Charleston Springs Golf Course Millstone, New Jersey
UFOLINY Holiday Party
NCASEF 47th Annual Convention & Trade Show
Silver Creek Valley Country Club San Jose, Phone:SeptemberCalifornia12,2022408-203-1039
San Diego FOA Vendor Appreciation Day
Baiting Hollow Golf Club
Alesmith Brewing Co. San Diego, California October 6, 2022
Chicagoland FOA Holiday Trade Show
Hilton Garden Inn Sunnyvale Sunnyvale, California December 3, 2022 Phone: 408-203-1039
Space Coast Convention Center Cocoa Beach, Florida
Caesars Palace
Phone: 602-614-8083
December 2, 2022
National Coalition Board Of Directors Meeting
National Coalition Board of Directors Meeting
Metro New Jersey FOA
FOA EVENTS
San Francisco/Monterey Bay FOA Trade Show Paradise Ballrooms Banquet Hall & Event Center Fremont, California April 26, 2023 Phone: 408-203-1039
Metro New Jersey FOA
Phone: 602-614-8083
Baiting Hallow, New York
September 14, 2022
Westin San Diego Gaslamp SanQuarterDiego, California November 17-18, 2022
Midwest FOA Chicago Holiday Showcase Venue Rosemont,TBD Illinois December 7, 2022 Phone: 847-971-9457
Phone: 619-713-2411
GolfUFOLINYOuting
Crest Hallow Country Club Woodbury, New York December 14, 2022
Caesars Palace
Annual Golf Event
San Francisco/Monterey Bay AnnualFOAChristmas Party
United FOA Of Northern Florida Annual Holiday Party
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