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Latest Franchisee Survey Finds Major Concerns In All Areas Of Our Businesses
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NCASEF HIGHLIGHTS
of their existing franchised stores.
Question No. 8 in the survey asked franchisees whether they agreed with this statement: “My job as a franchisee is simpler than it was 5 years ago.” Almost 88 percent of respondents disagreed with this statement. The National Coalition survey also asked franchisees to rank the most important issues facing their business. Tops were a nationwide staffing shortage, cost of goods/shrinking gross profit margin, franchisee net income and 24-hour operations. Again, the 1990 LA Times article echoed similar concerns. A few key statements from the article: • “Many franchisees go years without a vacation, unable to afford the salary of a manager who could take over for them.” • “Those who stay in business have limited leeway in running their businesses.” • “Many say they are working 60 hours a week or more and cutting their staffs because of tougher business conditions.” • “[the brand’s] accounting and bookkeeping system is error-prone.”
The LA Times interviewed a Sacramento-area franchisee named Ross Pacini, who was president of the Northern California 7-Eleven Owners Association and had been in the system since the 1970s. His comments still ring true: “You work your butt off, and you risk a lot…You make your money one penny at a time.”
In response, Jorgensen said, “We are struggling to keep our heads above water in the current environment. Every day there it seems there is a new challenge, but if that 1990 article tells us anything, it is that history repeats itself.”
Latest Franchisee Survey Finds Major Concerns In All Areas Of Our Businesses
7-Eleven franchisees have been facing unprecedented challenges during the last 18 months—not only because of the pandemic, but also because the onerous terms of the 2019 Franchise Agreement have been felt by so many in that time. So, it comes as little surprise that the results of our most recent survey indicate how many franchisees are unhappy and feeling harm to their personal well-being. The survey tallied results from 598 National Coalition members representing 1,118 stores across the country.
“The results of this survey are alarming,” said NCASEF Chairman Jay Singh. “The overall sentiment is that fran-
chisees are unhappy. The company is making money selling gasoline, but franchisees are telling us they are not making a reasonable profit because of the nature of our contract.” We issued a press release detailing some areas of particular concern to you, highlighting such points as: • Sixty-eight percent of the franchisees who responded to the survey indicated they signed the 2019 Franchise Agreement, yet only 17 percent said they are in a better financial position now than they were under the previous contract. “Sixty-eight per- • More than 90 percent of franchisees said they cent of the franchisees would not enter the system again. who responded to the survey • Another 90 percent said your job is more indicated they signed the 2019 difficult today than it was five years ago. Franchise Agreement, yet only 17 percent said they are in a better financial position now than We also asked franchisees if they agree with the statement, “The effect of running my 7-Eleven business has negatively impacted my physical health, mental health, they were under the previand/or family well-being.” ous contract.” An overwhelming 80 percent of you agreed with that statement. We want SEI’s executives to understand the personal harm many of you are feeling from being a franchisee, as well as the fact that 83 percent of you disagreed with the statement: “Headquarters in Dallas responds appropriately to the needs of 7-Eleven franchisees.” The lack of trust between franchisees and SEI is a startling concern for all of us: • Only 10 percent agreed with the statement, “7-Eleven trusts its franchisees.” • Only 25 percent said, “I trust 7-Eleven.” • Only 5 percent said, “I trust the accuracy of 7-Eleven’s retail accounting system.” When asked if you think 7-Eleven executives are honest and ethical, 74 per“WHEN ASKED IF IT cent of you disagreed. For comparison, WERE POSSIBLE TO when we asked you that same question in SELL YOUR STORE 2018, 64 percent disagreed. That indicates the lack of trust has grown in three years. “Trust is a real issue in part because AND SALVAGE YOUR INITIAL INVESTSEI accepts money from its vendor MENT, 70 PERCENT partners while telling us we won’t re- OF YOU INDICATED ceive the lowest cost of goods from the supply chain they control,” said NCASEF YOU WOULD SELL.” continued on page 42
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since last year, according to the 12th annual LexisNexis Risk Solutions True Cost of Fraud Study. The report reveals that every $1 of fraud costs U.S. retail and e-commerce merchants $3.60 compared to $3.13 prior to the pandemic. This is a 15 percent increase from a pre-pandemic survey and a 7.1 percent increase since the 2020 survey conducted during the pandemic. The cost of fraud in Canada is up 5.2 percent since 2020, now at $3.02. The mobile channel plays a key role in this increase in both countries, as more consumers turned to their devices to shop during the pandemic. Other key findings from the report include: • Fraud Volumes Soar: The overall volume of fraud attacks has grown beyond pre- and early pandemic periods, with businesses offering online/mobile transactions experiencing the largest year-overyear increase. U.S. ecommerce merchants have been hit particularly hard with merchants reporting a 140 percent increase in attacks since 2020 and their counterparts in Canada reporting a 52 percent increase. Successful attacks rose 52 percent and 45 percent in those markets respectively. • Struggles with Identity Verification: Identity verification remains a top challenge for merchants and represents a larger share of fraud losses compared to previous years. A recent LexisNexis Cybercrime Report revealed that synthetic identities and other account-related fraud frequently match to breached digital identity data such as email addresses and phone numbers. Merchants struggle to verify digital identity data and balance fraud detection with an exceptional customer experience.
Walgreens To Raise Wages To $15
Drugstore chain Walgreens Boots Alliance will raise its wages for hourly workers in phases, with the goal of reaching $15 per hour by November 2022, reported CNBC. Initial pay hikes began in October. Its previous starting wage was $10 per hour, but the company said around half of its 190,000 hourly workers earn at least $15 an hour. The move comes as retailers compete for workers in a tight labor market. Walgreens said it will cost $450 million over the next three years to increase its pay. About a third of those costs will be incurred in fiscal 2022. The drugstore chain said it expects it will be able to offset the impact of the investment in the normal course of its business. The company has added 25,000 full-time and part-time workers during the course of the pandemic.
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Executive Vice Chairman Michael Jorgensen, a Tampa-area franchisee. “When we raised this issue with FTC Commissioner Rohit Chopra at our recent convention, he said the commission was aware of the practice.”
Since 2006, SEI has spent $28.3 billion in 39 separate acquisitions, yet only 40 percent of you said your store has received a physical plant upgrade totaling more than $10,000 in that same time frame.
When asked if it were possible to sell your store and salvage your initial investment, 70 percent of you indicated you would sell. At the same time, 80 percent of you said the equity in your store and its value are lower today than they were two years ago.
The National Coalition is sharing the results of our 2021 survey with the FTC to support Chopra’s efforts to “safeguard operators of franchised businesses from abusive practices by franchisors.”
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chase gasoline between
5-6 p.m., according to a new study by GasBuddy. Another 23 states—like Alabama, Arizona and Oregon—purchased fuel most frequently between 4-5 p.m. Across the
U.S., Friday is the most popular day to fill
up, with 15.9 percent of weekly sales. • Coca-Cola recently announced a partnership with shared electric vehicles provider Lime to reward people who are committed to recycling. To celebrate
the nationwide availability of Coca-Cola Sip Sized bottles made from 100 percent recy-
cled plastic material (rPET), the companies are offering more than 40,000 free bike or e-scooter rides to people who purchase and pledge to recycle their 13.2oz, 100 percent rPET Coca-Cola bottles. • Retailers are seeing the
benefits of paying for college, reported CNBC. Companies like Walmart, Amazon,
Chipotle, Target and Starbucks have recognized that offering subsidized higher education to employees helps drive recruitment, increase retention and foster a loyal workforce. • Target
recently announced that it will pay an extra $2 an hour to employees who work peak
days during the holiday season, such as on Saturdays and Sundays in the final weeks before Christmas. • Supermarket chain Kroger recently
held a nationwide employment event with the goal of hiring 20,000 seasonal workers
for retail, e-commerce, manufacturing, supply chain, merchandising, logistics, corporate, and pharmacy and healthcare positions. • Wal-
greens will close five more San Francisco stores because of ongoing organized retail
crime, reported SFGate.com. The company said retail theft across its San Francisco stores has continued to increase in the past few months to five times its chain average. Walgreens has closed at least 10 stores in the city since the beginning of 2019. • The cannabis edibles market is expected to surpass $10 billion in annual sales by 2025, according to market research firm Brightfield Group. This is one of the fastest-growing product types, consistently capturing the third-largest share-of-shelf of all cannabis product types. • An unmanned 24-hour convenience store recently opened in Toronto, reported the Daily Hive. To gain access to the Aisle 24 store, customers must download an app and register for an account. Then they can shop for what they need and use the self-serve check out
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Legislative Update
Florida Raises Minimum Wage
Minimum wage workers across Florida received a pay hike on September 30, when the state raised its minimum wage from $8.65 per hour to $10 per hour, reported ClickOrlando.com. The pay increase comes nearly a year after 61 percent of Florida voters passed Amendment 2 in the November 2020 general election. Amendment 2 provided for the state minimum wage to rise over the next several years until it eventually reaches $15 per hour, which was a change to Section 24 of Article X in the Florida Constitution. The pay increase schedule is as follows: $11 on September 30, 2022; $12 on September 30, 2023; $13 on September 30, 2024; $14 on September 30, 2025; and $15 on September 30, 2026.
NY Increases Minimum Wage For Upstate Workers
Upstate New York minimum wage workers will see an income boost starting January 1, reported the Times Union. The state Department of Labor recently announced that the minimum wage north of Westchester will rise to $13.20 an hour, up 70 cents from $12.50 an hour. The state will also push the minimum wage for workers in Westchester and Long Island from $14 an hour to $15 an hour as part of a scheduled increase. The state mandated a gradual phase-in of a $15 minimum wage as part of a state budget plan in 2016. The state Department of Labor is required to update the minimum wage each year until every worker makes at least $15 an hour.
The increase is happening after a report (which is required by statute) that was done by the state’s Division of the Budget found evidence of pressure for wages to rise in the midst of a pandemic-driven labor shortage. The State Labor commissioner said many companies that employ low-wage workers are already raising their wages or offering incentives in an effort to find enough workers.
NACS Opposes Federal Tobacco Tax Increase
Congress is looking to pass a $3.5 trillion reconciliation package and included in the package is a provision to substantially increase the federal excise tax (FET) on tobacco and nicotine products, reported NACS Online. This language is from a bill that was introduced earlier in this Congress—the Tobacco Tax Equity Act. As written, the legislation doubles the federal excise tax on cigarettes and applies tax parity to all other tobacco products. NACS said it opposes an increase of this magnitude because it will push current users to the illicit market where products are unregulated, and age isn’t verified, which undermines the responsible efforts of convenience retailers.
Additionally, within the reconciliation package, NACS said it is concerned about the cumulative effect that the various tax increases will have on the convenience industry. Given that most convenience stores operate as pass-through entities, the proposed increase in the top individual rates constitutes a significant tax increase on small businesses. NACS said it led a letter to House leadership and members of the Ways & Means Committee opposing the increase in the FET for these reasons.
Tough Plastic Bag Ban Introduced In Berkeley, CA
A Berkeley, California council member wants to dramatically expand local restrictions on plastic bags, with a new proposed ordinance that would almost entirely banish the containers from stores and restaurants, reported Berkeleyside.org. The legislation would outlaw the thick, reusable plastic grocery and takeout bags that many businesses have switched to using since Alameda County’s ban on flimsier single-use bags took effect in 2013, and it would broadly prohibit stores from providing the plastic “pre-checkout” bags typically used for produce or bulk items. While the ordinance would allow the use of paper bags instead of plastic ones, it also requires that by 2023 all paper bags be made entirely from recycled materials. The measure would apply to grocery stores, convenience stores, restaurants, food trucks and vendors at permitted events such as farmers markets; customers would have to pay 10 cents apiece for paper bags if they don’t bring their own. The proposal is in the early stages of what is likely to be a months-long legislative process, the article states.
Federal Excise Tax Increase Would Harm Economy, Says NATO
The large federal excise tax increases on tobacco proposed in the Congressional reconciliation budget bill would have a significant negative economic impact not only on retail stores, distrib-
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to pay for their items • As
curbside pickup matures, grocery stores are set to experiment
with adding drive-thru lanes to speed up the process, reported Modern Retail. Amazon is adding a drive-thru lane to one of its under-construction Amazon Fresh locations in Florida., and grocery chain Hy-Vee announced its intention to open drive-thru lanes previously reserved for pharmaceuticals to grocery orders. • El Pollo Loco recent-
ly became the first quick-service restaurant
to test drone delivery in the U.S., reported the Franchise Times. The “LA Mex” brand tested the capabilities in 10 Southern California locations. It partnered with drone operator Flytrex, which also helped 7-Eleven with its own drone test. • Door-
Dash announced it is now offering beer,
wine, and spirits delivery via the DoorDash Marketplace, across 20 states and the District of Columbia, as well as in Canada and Australia, reaching over 100 million customers worldwide. •
The governors of Illinois, Indiana, Michigan, Minnesota and Wisconsin are joining forces to build a new network for charging electric
vehicles, reported NPR. The bipartisan plan, called REV Midwest—the Regional Electric Vehicle Midwest Coalition—promises to make it easier to find charging stations, which could boost adoption of electric vehicles if it eases drivers’ concerns about the range of their batteries. • Casey’s General
Stores recently announced an agreement to
acquire 40 Pilot convenience stores from Pilot Corporation in an all-cash transaction for $220 million. The 40 Pilot stores will extend Casey’s presence in Tennessee and Kentucky with well-established locations primarily in the Knoxville, Tennessee market. • Sam’s Club increased its minimum hourly wage to $15 from $11 on September 25, a move that comes as the Walmartowned warehouse club competes with other retailers and restaurants for workers in a tight labor market, reported CNBC. • The FDA is asking food
manufacturers and restaurants to cut the
salt in their products over the coming two and half years, hoping to reduce Americans’ overall sodium intake by 12 percent, reported NBC News. The sweeping recommendation is expected to cover a wide variety of foods—from chain restaurant meals to processed food on grocery store shelves. •
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Legislative Update
utors, and their employees, but also on states, cities and the local communities, the National Association of Tobacco Outlets (NATO) revealed in a new report. These impacts would occur because the legislation would double the federal cigarette tax, a 100 percent increase from $1.01 per pack to $2.02 per pack, while increasing the tax rates on other tobacco products by up to 2,000 percent. Such drastic increases in federal excise tax rates will reduce sales, lead to employee terminations, cause lost wage income, decrease state and local excise and sales tax collections, and reduce annual Master Settlement Agreement payments to all U.S. states and territories (including the four separately settling states), NATO said.
According to market data, cigarette and other tobacco product sales account for more than one-third of in-store sales at the nation’s convenience stores and upwards of 90 percent of sales at tobacco outlet stores. In addition, some 3.8 million employees nationwide work at stores that sell tobacco products. State and local excise taxes and sales taxes collected on these products are also critical revenue sources to state and localities across the nation. “THE LARGE FEDERAL EXCISE TAX INCREASES ON TOBACCO PROPOSED IN THE CONGRESSIONAL RECONCILIATION BUDGET BILL WOULD HAVE A SIGNIFICANT NEGATIVE ECONOMIC IMPACT, ACCORDING TO NATO.”
Virginia County Board Passes Plastic Shopping Bag Tax
The Fairfax County Board of Supervisors in Virginia recently voted to approve a 5-cent tax on plastic bags at grocery stores, convenience stores and drugstores, reported Inside Nova. The tax will go into effect January 1, 2022. The Virginia General Assembly approved legislation in 2020 allowing localities to impose a 5-cent tax on disposable plastic bags, with some exceptions. The state code requires retailers to collect the tax proceeds in a similar manner to sales and meals taxes. Through December 31, 2022, retailers can keep 2 cents from the tax collected on each bag, with the retailers’ share dropping to 1 cent starting January 1, 2023. The Virginia Department of Taxation created a fiscal impact statement with the legislation that said the tax could generate between $20.8 million and $24.9 million in revenue statewide based on similar taxes in Montgomery County, Md., and Washington, D.C.
Styrofoam Ban Proposed In Florida
Styrofoam may be on its way out of Florida stores, reported WTLV First Coast News. The state’s agricultural commissioner recently announced that a rule to ditch polystyrene in the sunshine state is in the works. The ordinance, which is still in the draft form, stipulates that Florida grocery stores, markets, and convenience stores would not be able to sell or distribute food in containers made of polystyrene, such as styrofoam. The new rule, to be phased in over five years, would not apply to restaurants because they do not fall under the agriculture commissioner’s purview.
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Legislative Update
Washington’s Single-Use Plastic Bag Ban Kicks In
Washington state’s ban on single-use plastic bags went into effect on September 30, reported The Seattle Times. Under the new rules certain carryout bags will be permitted, such as large paper bags and thick reusable plastic bags, but will cost customers an 8-cent fee per bag. The bags must be made with a certain amount f recycled content, and green or brown compostable bags are also allowed for use. The Washington Legislature passed the statewide ban during the 2020 legislative session, but its implementation was delayed due to the pandemic. Local bans are already in place in cities in Washington, including Seattle, Olympia, Tacoma and Edmonds. However, the new state requirements will override local laws, to create consistent policy and fees across the state. All retail, grocery and convenience stores as well as restaurants, temporary stores or events where food or goods are sold are banned from using single-use plastic bags. There are exceptions for consumer bulk items, produce, frozen food, meat, flowers and potted plants, prepared food or bakery items and prescription drugs. The Department of Ecology said it has a reporting form that any person can submit to report a business. The department said it intends to seek voluntary compliance, though businesses that repeatedly violate the rule may face a $250 fine.
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.
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The U.S. Postal Service is planning to hire
100,000 employees in 2021, looking to fill vacancies that have contributed to logjams in the mailing agency’s network and widespread delivery delays, reported Government Executive. The hiring campaign started in January of 2021 and will continue into January of 2022. • Ford Motor and its autono-
mous driving affiliate, Argo AI, have teamed up with Walmart to begin testing the home
delivery of groceries and other items by self-driving cars in three cities this year, reported the New York Times. The service will start in Miami, Washington and Austin, Texas, and will be limited to specific areas but is intended to expand over time. • PepsiCo
plans to release new plant-based snacks and drinks made through its joint venture with
Beyond Meat by early 2022, reported CNBC. Pepsi and Beyond announced the joint venture, called The PLANeT Partnership, in January. The partnership gives Beyond a chance to leverage Pepsi’s production and marketing expertise for new products, and Pepsi can deepen its investment in plant-based categories. • Supermarket chain Hy-Vee recently
announced that it has partnered with Simbe Robotics to roll out its inventory manage-
ment robot, Tally, to stores across Iowa, Nebraska and Missouri. Tally autonomously scans tens of thousands of products to ensure products are in stock and in the correct location, and can reduce outof-stocks by up to 30 percent. • Kroger Co. has
joined with Instacart Inc. to deliver food and
household staples in as little as 30 minutes, bringing the supermarket giant further into a crowded grocery-delivery business, reported the Wall Street Journal. Kroger tested accelerated delivery two years ago but realized such a service was difficult to maintain and expand using only Kroger employees. • Plans are underway for Michigan to
construct a first in the nation segment of road that will charge electric vehicles while they’re
driving, reported the Associated Press. The one mile stretch of state roadway will allow public transportation and private vehicles to charge while traveling as a part of the Inductive Vehicle Charging Pilot. • Walmart is testing a new service called
Walmart Text to Shop that allows customers
to voice-text their shopping lists directly to the retailer, reported Winsight Grocery Business. Walmart
FIRST 7-ELEVEN STORE IN INDIA OPENS
The first 7-Eleven store in India opened on October 9 in Mumbai, India’s largest city and the country’s economic powerhouse, SEI announced in a press release. Opened by 7-India Convenience Retail Limited, a wholly owned subsidiary of Reliance Retail Ventures Limited (RRVL), this store offers residents and tourists 7-Eleven’s unique style of convenience, signature food and drinks, as well as products and delicacies especially created to appeal to the local market. A number of 7-Eleven stores are anticipated to open later this year in the Greater Mumbai cluster.
The store is located on the first floor of the Atul Blue Fortuna apartments on Military Road in the vibrant Marol neighborhood of the Andheri East suburb in Mumbai. Andheri is home to the city’s international airport, multiple rail stations and India’s Bollywood entertainment hub. SEI said the 7–Eleven brand’s entry into the country will modernize the small-retail environment and bring greater convenience to shoppers. The two-story 1,700-square-foot Mumbai store will have a café.
SEI said it recently terminated a master franchise agreement with a subsidiary of Future Retail Ltd, and on October 7 announced it had signed a master franchise agreement with Reliance Retail Ventures Ltd. to support the company’s first entry into India. According to a Reuters report, Future Retail said it had mutually terminated an agreement with 7-Eleven as the companies were not able to meet targets of opening stores and paying franchisee fees. In 2019, Future Retail—India’s second-largest retailer with more than 1,700 stores—said it would set up 7-Eleven stores from scratch and convert some of its existing operations into the U.S. brand. The unit formed to run the 7-Eleven stores in India had reported a loss of 173 million rupees without opening any stores, Future Retail’s annual report showed.
BRINGING THE HEAT WITH THE ONE SLICE CHALLENGE
In October 7-Eleven dared all fans of pizza, spicy food and social media to participate in its One Slice Challenge: eat one slice of any 7-Eleven pizza, top it with 7-Eleven’s proprietary 11-Pepper Sauce, a 2 oz bag of Paqui Haunted Ghost Pepper chips and wash it down with a can of Liquid Death Mountain Water. Customers were able to get their hands on everything they needed to try the One Slice Challenge at participating 7-Eleven stores for just $3 with 7Rewards. To make it extra spicy 7-Eleven asked fans to post their reactions to the challenge (aka eating, drinking and sweating) on social media in true “pics or it didn’t happen” fashion. The reward for finishing what could be the hottest slice of pizza on planet earth was a chance to be featured on 7-Eleven social channels.
NEW CONCEPT STORE UNVEILED IN FLORIDA
The Chaudhary Petroleum Group (CPG), a 7-Eleven Portfolio Partner, recently announced the opening of a new concept 7-Eleven franchise store in Westlake, Florida, the city’s first new retail development since incorporating in 2016. Customers were allowed in for the first time on Friday, September 3 while the new owners, along with a team from 7-Eleven’s corporate office and representatives from the city held a grand opening event and ribbon-cutting ceremony to mark the new beginning.
The convenience store/gas station/car wash was developed by Chaudhary Petroleum Group in cooperation with 7-Eleven as a new concept in Florida. Those unique features include a restaurant, Wine Cellar, nitro cold-brew and iced tea bar, among others. The store was designed with a classy wood-grain texture on the exterior, bright, colorful light designs on the ceiling and high-definition video screens in high-traffic areas.
The most unique part of the new store is the Fusion Fresh restaurant, which offers a made-to-order menu served throughout the day. Breakfast items include hot oatmeal bowls with fresh fruit, and breakfast sandwiches, quesadillas and burritos made with real eggs, bacon and sausage. Lunch and dinner items include fresh chicken dishes, hamburgers and
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sandwiches. Patrons can order directly from a digital pad at the counter and have the option of eating outside on a landscaped patio or taking their food to go.
7-ELEVEN OPEN FOR BUSINESS IN CAMBODIA
Cambodia’s first 7-Eleven store opened on August 30, in Phnom Penh, the bustling capital city of the Southeast Asian country, SEI announced. CP ALL Cambodia Co., Ltd. holds a master franchise agreement with 7-Eleven, Inc. and is solely authorized to develop and operate stores in Cambodia. CP ALL Cambodia Co., Ltd. is a subsidiary of CP All Public Company Limited, which operates more than 12,000 7-Eleven stores in Thailand and is the largest 7-Eleven licensee. Open 24 hours a day, seven days a week, the new store carries over 2,000 products, ones typically found at 7-Eleven stores such as Slurpee semi-frozen drinks, award-winning value-priced 7–Select private brand snacks, and local fresh food items, including some unique to the Cambodian market.
7-ELEVEN EXPANDS INTO ISRAEL
SEI recently announced that it has signed a master franchise agreement with Electra Consumer Products Ltd. to develop and operate 7–Eleven stores in Israel. Electra is a subsidiary of ELCO LTD., a leading Israeli company with a multi-faceted portfolio of business interests. The first 7–Eleven convenience stores in Israel are expected to open in 2022. SEI said it will support Electra Consumer Products to implement and localize the brand’s unique retail business model. The expansion marks the 7-Eleven brand’s first entry into Israel and will be the 19th country in which 7-Eleven stores will operate. Other countries and regions with a 7-Eleven presence include the United States, Canada, Mexico, Japan, India, Thailand, South Korea, Taiwan, China, the Philippines, Singapore, Malaysia, Viet Nam, Cambodia, Australia, Norway, Sweden and Denmark.
PROJECT A-GAME DONATES HIGH SCHOOL GIRL BAND SINGS THE PRAISES OF 7-ELEVEN’S NACHOS TO POLICE YOUTH
SPORTS OUTREACH PROGRAM
Froggy, the teenage riot grrrl punk rock band out of Doylestown, Pennsylvania, recently caught the attention of 7-Eleven with the release of their song and smartphone-shot music video, “7-Eleven Nachos,” in January of this year. To applaud Froggy’s creativity and honor their extreme love of nachos, 7-Eleven and Froggy worked together to produce a professional music video of the song—all on SEI’s dime. The “7-Eleven Nachos” video officially dropped across 7-Eleven’s Instagram, YouTube, Twitter, Facebook, and TikTok channels in mid-September. In the music
video, bandmates Morgan, Brooke, and Fiona rock signature black leather jackets with a cheesy style twist. As an ode to the song’s original Instagram video, the video was shot at their hometown Doylestown 7-Eleven store, with local customers and the band’s personal friends and family appearing as extras. The video also celebrates the return of 7-Eleven’s new and improved nacho cheese, which brings back the traditional style and classic taste by popular demand, the company said in a press release. “Project A-Game The Colorado Springs donated a $711 grant to Police Department rethe Colorado Springs Police cently brought out their
Department’s PLAY SWAT van to distribute COS program.” sports balls to local youth as part of 7-Eleven’s Project A-Game, reported KRDO. com. Project A-Game donated a $711 grant to the Colorado Springs Police Department’s PLAY COS program, which supplies officers with sports equipment to give out to kids and teens during their shifts. Through this initiative, the police department wants kids to know officers are focusing on protecting them and the community, the article states. Within the last few months, PLAY COS gave away more than 550 sports balls to kids across Colorado Springs.
LAREDO TACO COMPANY LAUNCHES VIDEO SERIES
SEI’s Laredo Taco Company recently launched a new six-part video series “Made Right Here Road Trip,” with host
Mando Rayo from United Tacos of America on its website, and social media channels (Facebook, Instagram, Twitter, YouTube, and TikTok). To celebrate Hispanic Heritage Month, the new series trailer was released on September 30, and the first episode featuring the birthplace of Laredo Taco Company was released on October 5th, to celebrate National Taco Day. In the videos, Rayo takes viewers on a Texas-sized taco-tour, taste-testing his way through his personal Laredo Taco Company favorites in cities across the Lone Star State. Rayo teams up with local city advocates and personalities to discuss the Hispanic culture influences and heritage, including local businesses, food, music, and art, while showcasing the rich history between Texas and Mexico. Laredo Taco Company released a new episode every “Taco Tuesday” throughout the month of October and into November.
SEI LOOKS TO DRAFT SUPERFAN INFLUENCERS
SEI recently announced that it is drafting three social media-savvy customers to join its squad of football superfans and show their followers—and the world—how 7-Eleven helps fuel their fandom. Led by Dallas Cowboys quarterback Dak Prescott, pro football wide receiver JuJu Smith-Schuster, and sportscaster Erin Andrews (each with a social media fan base in the millions), the 7-Eleven Superfan Influencer Team will “Take It To Eleven” all season long as they cheer on their favorite teams. To be considered for the team, customers were instructed to head to Instagram, TikTok, or Twitter and share a creative, cool, or fun image or video (or several) that shows how 7-Eleven takes game day to ELEVEN. Submissions closed October 15.
After the team is selected, SEI said it will kick things off with an intensive two-day influencer training camp for superfans to learn how to build their own fan base and create social posts that score big in likes and follows. Once they’ve gone through training, the superfan squad will continue in their roles as 7-Eleven Superfan influencers through 2022. Each superfan will also receive an $11,000 signing bonus and additional spending money to try the latest and greatest 7-Eleven products. Separate from entering the social contest, SEI said customers who may not be expert content creators can still win a spot on the 7-Eleven Superfan Influencer team through the Fuel Your Fandom Sweepstakes. Through the end of the year, customers can scan the 7-Eleven app when they buy select items in-store or for delivery to earn entries into the contest.
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SCARY GOOD HALLOWEEN PIZZA DEALS
Participating 7-Eleven stores nationwide offered a special pizza promotion on October 30 and 31 to celebrate Halloween: • BOGO $1 Large Pizza—In-Store: 7Rewards loyalty members were invited to pick up any large hot or ready-to-bake pizza—from 7-Meat to Cheese to Pepperoni— and get a second large pizza for just $1. • $3 Large Pizza via 7NOW Delivery— Customers could order their favorite large hot or ready-to-bake pizza through the 7NOW delivery app for $3 only.
The 7-Meat Pizza is covered in sausage, beef crumbles, smoky bacon, and more, while the Cheese Pizza has 100 percent real mozzarella piled on top vine-ripened California tomatoes. The classic Pepperoni has all the same cheesy and gooey goodness, plus thick-cut pepperoni. Hungry trick-or-treaters also enjoyed a special Halloween donut drizzled with bright orange icing and garnished with spooky sprinkles.
KOREA SEVEN DEPLOYS AUTONOMOUS DELIVERY ROBOTS
Korea Seven, the South Korean operator of 7-Eleven, has teamed up with Neubility, a domestic autonomous robot startup, to adopt and commercialize short-range delivery services using autonomous robots equipped with multiple cameras and sensors, reported Aju Business Daily. When commercialized, the robots could help store owners save operating costs. Korea Seven said it plans to commercialize the autonomous robot, called Neubie, in Seoul and its surrounding cities by the end of 2021. The robots
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operate using its cameras, which only cost one-tenth of a light detection and ranging (LiDAR) device.
According to the article, Neubie robots can easily carry out delivery missions even in complex urban areas regardless of weather conditions. For instance, it is difficult for autonomous robots to operate in Seoul’s southern district of Gangnam filled with skyscrapers. Their GPS-based self-driving system may not work properly because satellite signals are blocked by the tall buildings. However, Neubie robots can navigate through these areas using cameras and sensors.
FOA Board Meetings
FOA Of Chicagoland
Please Note: All meetings will be virtual until further notice.
Phone: 847-343-7777
December 9, 2021—Board Meeting
November 3, 2021 November 17, 2021 December 1, 2021 December 15, 2021
Southern California FOA Phone: 818-357-5985
South Texas FOA Phone: 702-249-3301
November 10, 2021—Board & General Meeting December 8, 2021—Board Meeting
continued from page 46 is also planning to launch Luminate, a system created with dunnhumby that will give the company’s suppliers access to real-time data to monitor the performance of products and promotions, while also letting them do customer surveys. •
As Philadelphia’s ban on single-use plastic bags went
into effect for all retailers on October 1, Wawa launched its Skip the Bag for Good Initiative and gave away 1,000 free reusable bags, with a purchase, in all of its 42 Philadelphia stores. • Target-owned delivery company Shipt has
expanded its reach with retail partners, including
Bed Bath & Beyond and CVS Health, adding service from almost 1,000 more stores and making delivery available to about 2 million more U.S. households, reported the Star Tribune. Atlanta, Los Angeles, Seattle and Charlotte, N.C., are among the markets seeing the most noticeable impact. • Walgreens is considering taking cigarettes off their shelves, reported 7 NEWS WSVN. The pharmacy chain said it is focusing on healthcare and might remove tobacco and tobacco-related products from its stores. The company has already cut back e-cigarettes and raised its tobacco buying age limit from 19 to 21 after coming under fire from the FDA. • Fast-food hamburger chain
White Castle recently held a month-long program to thank its own team members who opted for the
COVID-19 vaccine with a chance to win a $500 cash prize. The giveaway invited team members to submit proof of at least one COVID-19 vaccine to be automatically entered to win $500, one of 200 such cash payments awarded during the month of September. • Amazon has signed its
first deal with a third-party customer for use of its
biometric scanner, the Amazon One palm reader, reported Tech Crunch. Ticketing company AXS will implement the Amazon One system at Denver, Colorado’s Red Rocks Amphitheatre as an option for contactless entry for eventgoers. • Burger King recently started testing Impossible Foods’ meatless nuggets in several markets, making it the first fast-food chain to offer the company’s new chicken alternative, reported CNBC.
AD INDEX
Anheuser-Busch............................. 6 Aon Risk Management .............. 30, 31 Blue Bunny/Wells......................... 11 Cima Confections.......................... 24 Coca-Cola...............................cover 2 Danone........................................... 4 Diageo .......................................... 15 Glanbia................................... 32, 39 Hostess ......................................... 26 InComm........................................ 43 Kellogg’s ......................................... 9 King Palm..................................... 27 Living Essentials ........................... 25 Mars.............................................. 51 McLane......................................... 19 Miller Coors................................... 22 Mondelez...............................cover 3 Monster ......................................... 5 Swedish Match............................. 20 Swisher..............................3, cover 4 Tell Industries ............................... 40
BUD LIGHT SELTZER UGLY SWEATER PACK RETURNS
Making its return, the Bud Light Seltzer Ugly Sweater pack is back, but with fun new flavors and packaging. The Seltzer Category is growing, with a significant contribution coming from bold flavors. This 12 pack The Bud Light 12oz sleek variety pack features Seltzer Ugly Sweater Cranberry, Sugar Plum, Cherry pack is back with fun new Cordial and Seltzer Nog. Make flavors and packaging. sure to stock up on the perfect flavors for holiday parties or other winter themed occasions.
CASH IN ON HALLS THIS COUGH SEASON
Fall weather is on its way and cough/cold season isn’t far behind. Stock your stores with the symptom-soothing power of Halls and secure a 40+ percent margin on every sale.
Halls Minis put the soothing power of Halls in a convenient, pocket-sized pack. They’re soothing on your bottom line, as well. With 22 percent Category Incrementality (Nielsen QP: April 2019) and 57 percent Brand Incrementality (Nielsen BASES: April 2020), Minis can make a “small but mighty” impact on cough season sales, and can add real dollars to your registers. Cough shoppers are value driven: 50 percent claim they buy larger bags to save money (Shopper Track Q1 2019 Cough Drop Buyers USA). That makes 30-count Halls Relief peg bags very attractive. Plus, research shows that the more cough drops you own, the faster you consume (Kantar Shipper Genetics 52 WE 02/29/2020), leading to 24 percent Expandable Consumption with 30-count bags. They’re also sold in recyclable packaging, perfect for environmentally conscious shoppers. Finally, at a solid 43 percent margin, they’re not just a great deal for your customers, they’re a great deal for your store. Stock up on Halls Minis for your on-the-go consumers and Halls 30-count bags for your bargain hunters, and take this cough and cold season to the bank.
Stock your stores with Halls and secure a 40+ percent margin on every sale.
ZYN IS AMERICA’S #1 NICOTINE POUCH
ZYN Nicotine Pouches have not only revolutionized how people enjoy nicotine, but have changed the entire tobacco category. ZYN provides a convenient, smoke-free, spit-free nicotine pouch that consumers can enjoy for up to one hour—anywhere, anytime.
ZYN Nicotine Pouches provide a convenient, smoke-free experience.
HOLIDAY FAVORITE INTERNATIONAL DELIGHT
PEPPERMINT MOCHA CREAMER
Warm up this Holiday season with the flavors of sweet peppermint and mocha. This winning flavor combination is always on the nice list. Whether you’re enjoying a nice hot classic Peppermint Mocha cup of coffee or mixing it up into a delightful Peppermint White Chocolate Frappe, the possibilities are endless. Did you know 33 percent of customers’ creamer preferences change depending Peppermint Mocha is the #1 selling seasonal coffee on the season/time of year? Peppermint Mocha is the #1 selling seasonal coffee creamer flavor in creamer flavor in December. Holiday
December. continued on next page
continued from previous page packaging recruits younger consumers to the creamer category with the Elf wraps generating excitement for Gen Z and Millennials. Give them the gift of Holiday cheer with deliciously bold Peppermint Mocha creamer. Available in both 32oz and 192ct PC. Peppermint Mocha 192ct/13ml cups are a great way to start the season for your consumers and to compliment your coffee bar selection. To place an order or learn more, please call (888) 620-9910 or visit DanoneAwayFromHome.com
Hostess unveils two new items that will satisfy your customers’ cravings and boost your sales.
New Hostess Devil’s
Food Honey Bun is a winner among c-store males. Chocolate is their #1 most preferred flavor of sweet snacks and doesn’t exist in a Honey Bun form. Strong interest (114 Index) in a Devil’s Food Honey Bun vs. Total Adults. First Ship is November 1, 2021. Format: Single-Serve (18ct and 36ct cases).
Customers will run to your store for new Hostess Devil’s Food Honey Bun and Baby Bundts Lemon Drizzle and Strawberry Cheesecake.
New Hostess Baby Bundts Lemon Drizzle and Straw-
berry Cheesecake are a sweet twist on the familiar, and there is now an opportunity to bring this celebratory treat to the everyday. Baby Bundt’s quantitative research surpassed BASES concept hurdles for success, with outstanding purchase intent. Baby Bundts Lemon Drizzle and Strawberry Cheesecake feature outstanding uniqueness, outstanding value, and 40 percent incremental to the category. First Ship is November 1, 2021. Format: Single-Serve (18ct and 36ct cases).
INCOMM ROLLS OUT VIRTUAL ME TELEHEALTH PROGRAM
InComm Payments is pleased to introduce you to Virtual Me powered by Teladoc. Virtual Me is the first retail subscription telehealth program giving your customers and employees access to 7,000 Board Certified Physicians, 24 Hour Nurse Line, Email a Specialist, and a Discount Pharmacy Card—all for one affordable price. Virtual Me provides easy access to physicians Virtual Me is the first retail using mobile phones or computers subscription telehealth for video visits. Find program de- program that provides easy tails on the subscription gift cards rolling out in your store soon. access to 7,000 Board Certified Physicians. Need healt care for your employees? Visit https://virtualme.care/ today to learn more about our programs and special offers.
MONSTER ENERGY UNVEILS NEW RESERVE LINE
Monster Energy is bringing popular fruit forward flavors to extend the core family:
Monster Energy Reserve
Watermelon is the perfect nostalgic summer flavor that can now be enjoyed all year long. The big difference between Monster and the competition, is they do flavors right—your customers will get an authentic taste of watermelon with Monster Energy.
Monster Energy Reserve
Your customers can now enjoy Monster Energy Reserve Watermelon and White
Pineapple all year round.
White Pineapple is Monster’s take on the classic, tropical fruit flavor. White Pineapple has tons of different notes blended to give customers a truly unique and delicious flavor.
Orange County National Golf Course Winter Garden, Florida November 5, 2021 Phone: 207-415-0924
Central Florida FOA 8th Annual Trade Show & Holiday Party
DoubleTree by Hilton Orlando @ SeaWorld Orlando, Florida November 6, 2021 Phone: 207-415-0924
FOA Of Greater Los Angeles Holiday Party
Diamond Bar Center Diamond Bar, California December 4, 2021 Phone: 619-726-9016
San Francisco/ Monterey Bay FOA Holiday Party
Venue TBD December 4, 2021 Phone: 510-791-2422
Southern California FOA Annual Charity Golf Tournament/ Holiday Party
Pacific Palm Resort City of Industry, California December 7, 2021 Phone: 818-357-5985
Midwest FOA Holiday Showcase
Venue TBD December 8, 2021 Phone: 847-971-9457
San Diego FOA Christmas Party
Hilton San Diego/Del Mar Del Mar, California December 11, 2021 Phone: 619-713-2411
South Texas FOA Annual Trade Show
South Texas FOA Annual Golf Tournament
Suburban Washington FOA Trade Show
Baltimore/WashDC/Suburban Washington Metro Points Hotel New Carrollton, Maryland April 21, 2022 Phone: 301-580-0305
Delaware Valley FOA Trade Show
Caesars Atlantic City Atlantic City, New Jersey June 23, 2022 Phone: 215-771-6178
National Coalition Board meetings are scheduled one per quarter. Vendors interested in sponsoring a Board meeting should contact John Riggio, JR Planners, at 262-394-5518 or johnr@jrplanners.com. National Coalition Affiliate Meeting
National Coalition Board of Directors Meeting
National Coalition Board of Directors Meeting
NCASEF 46th Annual Convention & Trade Show
