THE
of the 2022
CAR WASH
Advancing Convenience & Fuel Retailing NOVEMBER 2022 convenience.org to the NACS Show takeaways signal an industry speeding into the future—with purpose.
TOP 10 Cool New Products
NACS Show
An anything-butboring profit center
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NACS NOVEMBER 2022 1 30 On the cover: Dimitris Leonidas/Shutterstock. This page: -M-I-S-H-A-/Getty Images. ONTENTS NACS / NOVEMBER 2022 32 General Sessions Go Full Speed Ahead Speakers focused on leadership, advocacy, mobility and community. 39 Follow the Leader Jake Wood urgers leaders to “love” their workforce. 44 Learn From the Best NACS Show education sessions focused on industry hot topics. Subscribe to NACS Daily—an indispensable “quick read” of industry headlines and legislative and regulatory news, along with knowledge and resources from NACS, delivered to your inbox every weekday. Subscribe at www.convenience.org/NACSdaily STAY CONNECTED WITH NACS @nacsonline facebook.com/nacsonline instragram.com/nacs_online linkedin.com/company/nacs FEATURES 60 Reimagining Waste Tracking and Reduction A Q&A with Rubicon. 62 Here Are the Top 10 Cool New Products of the 2022 NACS Show These are convenience and fuel retailers’ favorite new products. 66 Redefining the Customer Experience From technology to food, retailers featured in the 2022 Ideas 2 Go programs are raising the bar. 74 Tunnel of Suds Ricky Rockets uses its unique car wash to lure in customers. Time to Take the Wheel NACS Show achieves near-record attendance and Expo square footage.
DEPARTMENTS
From the Editor
The Big Question
NACS News
Convenience Cares
Inside Washington NACS In Store program connects members of Congress with their local c-stores, seeing swipe fees in action.
Ideas 2 Go Tioga Gas Mart and Whoa Nellie Deli draws in tourists and locals with its grub and friendly service.
Cool New Products
Gas Station Gourmet Gretchen’s Goodies in Riverview, Florida, gives fuel customers a sweet reason to come inside.
Category Close-Up
The wine category is gaining interest from c-stores, spurring growth prospects ahead.
By the Numbers
The presence of an article in our magazine should not be permitted to constitute an expression of the association’s view.
Maren
Caruso/Getty Images
2 NOVEMBER 2022 convenience.org PLEASE RECYCLE THIS MAGAZINE
EDITORIAL
Kim Stewart Editor-in-Chief (703) 518-4279 kstewart@convenience.org
Lisa King Managing Editor (703) 518-4281 lking@convenience.org
Sara Counihan Contributing Editor (703) 518-4278 scounihan@convenience.org
CONTRIBUTING WRITERS
Terri Allan, Sarah Hamaker, Al Hebert, Bruce Horovitz, Keith Reid
DESIGN Imagination www.imaginepub.com
ADVERTISING
Stacey Dodge Advertising Director/ Southeast (703) 518-4211 sdodge@convenience.org
Jennifer Nichols Leidich National Advertising Manager/Northeast (703) 518-4276 jleidich@convenience.org
Ted Asprooth National Sales Manager/ Midwest, West (703) 518-4277 tasprooth@convenience.org
PUBLISHING
Stephanie Sikorski Vice President, Marketing (703) 518-4231 ssikorski@convenience.org
Nancy Pappas Marketing Director (703) 518-4290 npappas@convenience.org
NACS BOARD OF DIRECTORS
CHAIR: Don Rhoads, The Convenience Group LLC
OFFICERS: Lisa Dell’Alba Square One Markets Inc.; Annie Gauthier, St. Romain Oil Company LLC; Varish Goyal, Loop Neighborhood Markets; Brian Hannasch, Alimentation Couche-Tard Inc.; Chuck Maggelet, Maverik Inc.; Ken Parent, Pilot Flying J LLC; Victor Paterno, Philippine Seven Corp. dba 7-Eleven Convenience Store
PAST CHAIRS: Jared Scheeler, The Hub Convenience Stores Inc.; Kevin Smartt, TXB Stores
MEMBERS: Chris Bambury, Bambury Inc.; Frederic Chaveyriat, MAPCO Express Inc.; Andrew Clyde, Murphy USA; George Fournier, EG America LLC
Terry Gallagher, Gasamat Oil/ Smoker Friendly; Douglas S. Haugh, Parkland USA; Raymond M. Huff, HJB Convenience Corp. dba Russell’s Convenience; John Jackson, Jackson Food Stores Inc.; Ina (Missy) Matthews, Childers Oil Co.; Brian McCarthy, Blarney Castle Oil Co.; Charles McIlvaine, Coen Markets Inc.; Lonnie McQuirter, 36 Lyn Refuel Station; Tony Miller, Delek US; Jigar Patel, FASTIME; Elizabeth Pierce, Applegreen LTD; Glenn M. Plumby, 7-Eleven Inc.; Robert Razowsky, Rmarts LLC; Richard Wood III, Wawa Inc.
SUPPLIER BOARD
REPRESENTATIVES: David Charles, Cash Depot; Kevin Farley, GSP
STAFF LIAISON: Henry Armour, NACS
GENERAL COUNSEL: Doug Kantor, NACS
NACS SUPPLIER BOARD
CHAIR: Kevin Farley, GSP
CHAIR-ELECT: David Charles, Cash Depot
VICE CHAIR: David Charles, Cash Depot; Josh Halpern, JRS Hospitality; Vito Maurici, McLane Company; Bryan Morrow, PepsiCo Inc.
PAST CHAIRS: Brent Cotten, The Hershey Company; Rick Brindle, Mondelez International
MEMBERS: Tony Battaglia, Juul Labs; Alicia Cleary, AnheauserBush/In Bev; Jerry Cutler InComm Payments; Jack Dickinson, Dover Corporation; Matt Domingo, Reynolds; Mark Falconi, Oberto Snacks Inc.; Mike Gilroy, Mars Wrigley;
Danielle Holloway,Altria Group Distribution Company; Jim Hughes, Molson Coors Beverage Company; Kevin Kraft, Q Mixers; David Jeffco, Dirty Dough LLC; Kevin M. LeMoyne, Coca-Cola Company; Vito Maurici, McLane Company; Lesley D. Saitta, Impact 21; Sarah Vilim, Keurig Dr Pepper
RETAIL BOARD
REPRESENTATIVES: Scott E. Hartman, Rutter’s; Steve Loehr, Kwik Trip Inc.; Chuck Maggelet, Maverik Inc.
STAFF LIAISON: Bob Hughes NACS
SUPPLIER BOARD
NOMINATING CHAIR: Kevin Martello, Keurig Dr Pepper
NACS Magazine (ISSN 1939-4780) is published monthly by the National Association of Convenience Stores (NACS), Alexandria, Virginia, USA.
Subscriptions are included in the dues paid by NACS member companies. Subscriptions are also available to qualified recipients. The publisher reserves the right to limit the number of free subscriptions and to set related qualifications criteria.
Subscription requests: nacsmagazine@convenience.org
POSTMASTER: Send address changes to NACS Magazine, 1600 Duke Street, Alexandria, VA, 22314-2792 USA.
Contents © 2022 by the National Association of Convenience Stores. Periodicals postage paid at Alexandria VA and additional mailing offices.
1600 Duke Street, Alexandria, VA 22314-2792
COME TOGETHER. DO MORE. Join us at conveniencecares.org / NOVEMBER 2022
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Not Picking Favorites
When people ask me to name my favorite part of the NACS Show, I can’t pick just one thing. To be sure, I was honored to share the stage with Alan Meyer, CEO of Meyer Oil Company, dba Mach 1 convenience stores, and Josh Birdwell, vice president, guest/retail technology for Pilot Travel Centers, during the “Self-Checkout Strate gies” education session. I learned so much from both of them, and I hope our standing-room-only audience did as well.
All of the general sessions were uniquely fabulous, and I loved seeing so many NACS members and partners I’ve worked with during the past few years as I navigated the Westgate Pavilion and the Las Vegas Convention Center.
I want to thank our faithful adver tisers and supplier partners for taking the time to meet with me during the Show and invite me to sample the many new tastes heading into the conve nience channel.
On the Expo floor, I drank and snacked my way through many booths—looking at you Franke Coffee Systems, Keurig Dr Pepper, PepsiCo and The Coca-Cola Company, among others! I sampled two new LTO pizzas coming from Hunt Brothers Pizza and new roller-grill sausage flavors from Johnsonville Sausage Co. At The Hershey Company booth, I got the low down on new products in the pipeline, including Reese’s Big Cup stuffed with Reese’s Puffs cereal, and spotted a demo self-checkout kiosk with merchandising tips for encouraging impulse buys.
Stopping by Texas Pete’s booth, I tried two flavors of zingy Hot Pop
corn—and met someone who could be my distant cousin. I discovered Funnel Cake fries and ¡Hola! Churros at J&J Snack Foods. And at PDI Technologies, I welcomed the opportunity to sit down and discuss c-store data and insights.
There’s more to the NACS Show than any one person can cover, so this month’s issue provides a smattering of what our editorial team—Lisa King, Chrissy Blasinsky and Keith Reid—saw, heard and learned during our time in Las Vegas, October 1-4.
Enjoy our recap!
Kim Stewart , Editor-In-Chief
Trying new products is one of the best things about the NACS Show!
6 NOVEMBER 2022 convenience.org
UP FRONT FROM THE EDITOR
On the Expo floor, I drank and snacked my way through many booths.
At the NACS Show, I talked extensively about the importance of community and in giving back. That doesn’t just apply to the communities where we have stores—it also applies to our industry. The reason I first got involved in NACS three decades ago was simple: I wanted to learn from and connect with best-in-class retailers.
I was new to the industry. Unlike many of you, my business wasn’t a family business. I acquired it. And that’s something that is a much longer story than can fit here. The point is that I knew I needed help to learn what I needed to learn—and didn’t know I needed to learn.
What I didn’t know at the time was how profoundly my engagement with NACS would change my life. It made me a better operator. I now have connections around the country—and even around the world— who can help me solve my problems. More importantly, a lot of my best friends are the people I have met in the industry.
As NACS chairman, I want to pay it forward. I want to spend as much time as I can visiting and meeting our members—whether at NACS events or in stores and headquarters offices. I’ve seen the power of connections and helping each other. That’s one of the reasons I cofounded the Washington Association of Neighborhood Stores in the 1990s with fellow Northwest c-store retailer
Henry Armour. For the record, he’s pretty good at running NACS, too.
Our past NACS Chairman Jared Scheeler has talked about how he’s welcomed retailers to visit his stores in Dickinson, North Dakota , and they all came away with great ideas for their own businesses. But he also said the “dirty little secret” is he got as much benefit from people sharing their ideas when visiting as they did. And I completely agree.
We certainly have a lot of ways to communicate today, and the power
of immediate communications makes it easy to feel connected without leaving your home or office. But there is another level to in-person communications where you are present and engaged . We saw that at the NACS Show and other events. And that’s something I intend to focus on over the next year. Let’s connect and make each other better.
As Dave Matthews, one of my favorite musicians, says in his song “#34”: ‘I’ll lean on you, and you lean on me and we’ll be OK.’”
8 NOVEMBER 2022 convenience.org UP FRONT THE BIG QUESTION
Don Rhoads, president and CEO of The Convenience Group LLC, Vancouver, Washington, and 2022-23 NACS chair
What are your goals as 2022-23 NACS Chair?
L to R: Jared Scheeler, 2021-22 NACS chair, passes the gavel to Don Rhoads, 2022-23 NACS chair, during the NACS Board of Direc tors meeting at the 2022 NACS Show.
Rhoads Leads NACS Board of Directors, Executive Committee
New retailer and supplier leadership changes announced during the NACS Board of Directors meeting.
Don Rhoads, president and CEO of The Convenience Group LLC in Vancouver, Washington, has been named the 2022-23 NACS chair. He began his term following the NACS Board of Directors meeting on October 1 during the NACS Show in Las Vegas.
The Convenience Group owns, operates and franchises eight neighborhood convenience stores throughout Washing ton and Oregon. Rhoads began his convenience career in 1989
as president of Quick Shop Minit Mart, a 51-unit retail store chain in Vancouver, Washington. He joined The Convenience Group in 2000 and has led the company in strategic growth, planning and establishment of long-term goals and policies and building the company’s asset portfolio.
As NACS chair, Rhoads also leads the NACS Executive Committee, which provides strategic direction and financial oversight to the association. Committee members are:
10 NOVEMBER 2022 convenience.org
UP FRONT NACS NEWS
• Vice Chair, Treasurer and Vice Chair, Strategic Communications: Ken Parent , Pilot Flying J LLC (Knoxville, Tennessee)
• Vice Chair, Legislative: Lisa Dell’Alba , Square One Markets Inc. (Bethle hem, Pennsylvania)
• Vice Chair, Member Services: Annie Gauthier, St. Romain Oil Company LLC (Mansura, Louisiana)
• Vice Chair, Research and Technology: Chuck Maggelet , Maverik Inc. (Salt Lake City, Utah)
• Vice Chair, At Large: Victor Paterno, Philippine Seven Corp. dba 7-Eleven Convenience Store (Mandaluyong, Philippines)
• Vice Chair, At Large: Brian Han nasch , Alimentation Couche-Tard Inc. (Laval, Quebec, Canada)
Jared Scheeler, 2021-22 NACS chair (The Hub Convenience Stores), and Kevin Smartt , 2020-19 NACS chair (TXB Stores Inc.), also serve on the Executive Committee.
During the meeting, NACS also named new retail members to its Board of Directors:
• John Jackson , Jackson Food Stores Inc.
• Brian McCarthy, Blarney Castle Oil Co.
• Tony Miller, Delek US
During the NACS Show, the NACS Supplier Board also named new leader ship and members. Kevin Farley, COO of GSP, has been named 2022-23 NACS Supplier Board chair.
In addition, David Charles, Cash Depot, has been named chair-elect, and four new members were elected to the NACS Supplier Board:
• Jerry Cutler, InComm Payments
• Jack Dickinson , Dover Corporation
• Mark Falconi , Oberto Snacks Inc.
• Kevin Kraft , FIFCO USA
The chair and chair-elect of the NACS Supplier Board also serve on the Board of Directors.
Benchmark Your Compensation Data
The NACS Compensation Survey for 2022 is now open. Convenience retailers who submit their data by December 30 will receive two complimentary licenses for the NACS State of the Industry Compensation Report (valued at over $500) when it is released next spring.
The NACS Compensation Survey is the only benchmarking survey of its kind specific to human resources in convenience stores. The survey covers compensa tion and bonuses, employee benefits, recruiting and retention to allow retailers to measure themselves against their industry peers.
The survey fuels the NACS State of the Industry Compensation Report, which provides critical benchmarking data and up-to-date standards in the key HR categories of compensation, turnover, benefits and recruitment. The report breaks down the newest available information in the convenience industry and is considered an essential guide for HR professionals.
Participate in the survey today at www.convenience.org/compsurvey
NACS NOVEMBER 2022 11 Galeanu Mihai/Getty Images
NACS Awards Scholarships
The NACS Foundation announced the 2022–23 NACS Future Fund Scholarship program recipients at the 2022 NACS Show in Las Vegas. Six students each received a $3,000 scholarship to an accredited college or university in the United States, plus a stipend to attend the 2022 NACS Show, where they were recognized during a reception and given the firsthand opportunity to learn more about exciting career paths in the industry.
Each year, the NACS Foundation distributes up to 11 scholarships for costs toward undergraduate career edu cation. Since its inception, the program has awarded more than $500,000 in scholarships to NACS retail member company employees. The NACS Scholarship Program has a
long-standing mission to grow today’s top talent into tomor row’s top performers through continuing education and pro fessional development opportunities. Established in 1991, the NACS Scholarship was created as a vehicle for retailers.
The recipients of the 2022–23 NACS Scholarship are:
Angelina Fox , team member, Heritage’s Dairy Stores, Gloucester Institute of Technology
Tatiana Landin Garcia , accounts payable coordinator, Nouria Energy Corporation, Southern New Hampshire University
Alexandria Holton , team member, Heritage’s Dairy Stores, Georgian Court University
Jake Manske, operations assistant, Jack’s Companies, The University of St. Thomas
Matt McDonnell , detail customer advisor 2, Delta Sonic Car Wash, The University of Iowa
Abby Scheeler, foodservice, The Hub Convenience Stores Inc., The University of Mary
12 NOVEMBER 2022 convenience.org UP FRONT NACS NEWS
L to R: Tatiana Landin Garcia, Matt McDonnell and Abby Scheeler ac cepted their 2022-23 NACS Future Fund scholarships at the NACS Show in October.
Member News
RETAILERS
Mike Spanos has been appoint ed to Casey’s General Stores Inc. board of directors, bring ing the number of directors to 12. Spanos’ experience building food and beverage supplier relation ships and leading teams that drive growth will support Casey’s efforts to evolve food and bever age offerings.
Peter Brennan , a former attorney for the Massa chusetts State Automobile Deal ers Association, has been named the new execu tive director of the New England Convenience Store and Energy Marketers Association. Brennan takes the reins of the trade orga nization, which represents more than 7,500 convenience stores and service stations across New England, to lead advocacy on a host of issues facing the industry, including tax disparities, tobac co regulation, fuel price volatil ity, lottery and online gaming and more. NECSEMA member companies employ more than 120,000 people.
SUPPLIERS
Jack Scott, Alto-Shaam senior vice president of general market sales, is retiring at the end of 2022. Following a 35-year ca
reer within the industry, Scott’s achievements include: FCSI Board of Trustees Worldwide, FCSI Board of Trustees for the America’s Division, FCSI Board of Directors Education Founda tion, FCSI Conference Planning Committee and founding member of the AHF Board of Directors, Southern California Chapter. He is also a NAFES-certified CFSP professional, one of the first to be accredited in Australia.
Succeeding Jake Scott, Matt Web ber has joined Al to-Shaam in the role of senior vice president of gen eral market sales. Webber will lead and manage Alto-Shaam’s general market sales team exe cuting strategic objectives and growth targets.
Abbey Karel joined Bounteous as vice presi dent of business development for convenience retailing. Karel is tasked with growing the company’s presence in the c-store industry. With a background in mobile product management in retail, she was a pioneer in Kohl’s and JCPenney’s native applications and in-store digital innovation.
Alexandra (Alex) McCants has joined Colonial Group Inc. as the Savannah-based company’s first vice president of human resourc es. McCants’ responsibilities will be to partner with Colonial
Group’s leader ship and human resources team to provide support to employees within the corpo rate and subsidi ary companies.
Marlene Creighton has been named global chief sales officer at The Hershey Com pany. Creighton brings more than 20 years of CPG experience working across sales, category management and brands with P&G, Unilever and now Hershey.
Recently merged Information Resources Inc. and The NPD Group announced that Malli Vangala has joined the company as chief strategy officer. Van gala will develop and advance strategic initiatives including CPG, softlines, hardlines, beau ty, technology, foodservice and food consumption.
Eric Seay now serves as vice president, op erational excel lence, with Low Temp Industries Inc. Seay will oversee process improvements for better efficien cies, quality improvements and increased customer satisfaction.
14 NOVEMBER 2022 convenience.org DNY59/Getty Images UP FRONT NACS NEWS
Mike Spanos
Peter Brennan
Jack Scott
Matt Webber
Abbey Karel
Malli Vangala
Marlene Creighton
Alexandra (Alex) McCants
Eric Seay
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Kevin Temple joined VP Racing Fuels Inc. as vice president, brand ed retail. Temple brings a wealth of experience and knowledge in building, managing, operating and merchandising for net works of both company-owned and licensee-operated conve nience stores.
Ben Dolan has taken on the role of vice presi dent of product management at VP Racing Fuels Inc. Dolan was most recently vice president, branded retail. Dolan joined VP in 2020 following more than 20 years of sales and mar keting experience across a broad range of industries.
KUDOS
Hy-Vee received the Chairman’s Award for Corporate Citizenship
Calendar of Events
2022
NOVEMBER
NACS Innovation Leadership Program at MIT November 06–11 | MIT Sloan School of Management | Cambridge, MA
NACS Women’s Leadership Program at Yale November 13–18 | Yale School of Management | New Haven, CT
2023
FEBRUARY
NACS Leadership Forum February 08–10 | Eden Roc | Miami Beach, FL
at the Hope For The Warriors’ Summer Soiree, in Wallace, North Carolina. The award recognized the company for its long-standing support for veterans, active-duty military and their families. To date, Hy-Vee has donated more than $1 million to the organization. Hy-Vee actively recruits veterans through its Hiring Heroes initiative and offers comprehensive benefits for veterans.
NACS Convenience Summit Asia February 28–March 02 | Waldorf Astoria Bangkok | Bangkok, Thailand
MARCH
NACS Day on the Hill March 07–08 | Washington, D.C.
NACS Human Resources Forum March 20-22 | The DeSoto | Savannah, Georgia
APRIL
NACS State of the Industry Summit April 18-20 | Hyatt Regency DFW International Airport | Dallas, Texas
NACS Leadership for Success April 30-May 05 | Virginia Crossings Hotel & Conference Center | Glen Allen (Richmond), VA
MAY
NACS Convenience Summit Europe
May 30-June 01 | Intercontinental Dublin | Dublin, Ireland
JULY
NACS Marketing Leadership Program at Kellogg July 23-28 | Kellogg School of Management | Northwestern University | Evanston, Illinois
OCTOBER
NACS SHOW October 03-06 | Georgia World Congress Center | Atlanta, Georgia
For a full listing of events and information visit www.convenience.org/events.
16 NOVEMBER 2022 convenience.org UP FRONT NACS NEWS
Kevin Temple
Ben Dolan
Hy-Vee
L to R: Hope For The Warriors CEO Rob in Kelleher and Georgia Van Gundy, chief administrative officer and chief customer officer for Hy-Vee, accepted the Hope For The Warriors Chairman’s Award for Corpo rate Citizenship.
New Members
NACS welcomes the following companies that joined the association in August 2022. NACS membership is company-wide, so we encourage employees of member companies to create a username by visiting www.convenience.org/Create-Login. All members receive access to the NACS Online Membership directory, latest industry news, information and resources. For more information about NACS membership, call (703) 684-3600.
NEW RETAIL MEMBERS
Berger Ridgeview LLC Olathe, KS
Circle T Bryan, TX
Community Energy Co. Inc. Rumford, ME
Daybreak Market and Fuel LLC Port Charlotte, FL www.daybreakmarketandfuel.com
Diversi5 LLC Missouri City, TX
El Sereno Greengrocer Los Angeles, CA
Fox Bros. Convenience Stores Inc. Broadway, VA www.foxbros.net
Glogovsky Oil Company Elgin, IL
JFM Incorporated Flowood, MS Kendrick Oil Lubbock, TX www.kendrickoil.com
Lucky Pacific Oil Inc. San Fernando, CA
LW SHELL Inc. Laguna Woods, CA www.lagunawoodscarhandwash.com
Milton’s Stores Kersey, CO
Mini Pet Mart Inc. Grants Pass, OR www.minipetmart.net
Pop In Market Hoton, TX www.popinmarket.com
Qwik Fuel LLC Garden City, KS
Silver Management Swisher, IA
Songwriters Texas LLC dba Marshall’s Convenience Store Cedar Park, TX
TDMJ LLC Christiansted, VI
NEW HUNTER CLUB MEMBER SILVER Ecolab Greensboro, NC www.ecolab.com
NEW HUNTER CLUB MEMBERS BRONZE Cardlytics New Canaan, CT www.cardlytics.com
Jack Link’s Protein Snacks Minneapolis, MN www.jacklinks.com
NEW SUPPLIER MEMBERS
1 in 6 Snacks Raleigh, NC www.1in6snacks.com
A2i Systems A/S Copenhagen, Denmark www.a2isystems.com
Action-CS Marysville, WA www.action-cs.com
All Climate Refrigeration Independence, MO www.allclimaterefrigeration.com
Aristech Surfaces/Trinseo Florence, KY www.aristechsurfaces.com
Associated Brands Hialeah, FL
Beltmann Integrated Logistics Addison, IL www.beltmannlogistics.com
Black Rifle Coffee Company San Antonio, TX www.blackriflecoffee.com
Blue Ridge Global Atlanta, GA www.blueridgeglobal.com
CBRE Inc. Houston, TX www.cbre.com
Chlorophyll Water Brooklyn, NY www.chlorophyllwater.com Coast New York, NY www.coastpay.com
Convenience and Energy Advisors Miami-Dade County, FL convenienceandenergyadvisors.com
CUP&CINO International GmbH & Co. KG Hövelhof, Germany www.cupcino.com
DripDrop Hydration Oakland, CA www.dripdrop.com
Dude Products Inc. Chicago, IL www.dudeproducts.com
Empire Equipment Goldsboro, NC www.empire-equipment.com
Grandville Printing Company Grandville, MI www.gpco.com
Hudson Henry Granola Little Chute, WI www.hudsonhenrybakingco.com
Image Solutions Inc. Torrance, CA www.imageinc.com Incisiv Jacksonville, FL www.incisiv.com
International Plastics Greenville, SC www.interplas.com
Kohler Realty Advisors Tampa, FL www.kohlerrealtyadvisors.com
New Ulm Brewing & Beverage Company Sleepy Eye, MN www.1919rootbeer.com
OWYN
New York, NY www.liveowyn.com Pace-O-Matic Duluth, GA www.paceomatic.com
Professional Store Services Montgomery, TX www.professionalstoreservices.com
Progressive Flooring & Services Etna, OH www.progressiveflooring.com
Radlee’s Wellness Co. dba Slix Nashville, TN
SABX Park City, Utah www.sabx.com
Schuster Products Hales Corners, WI www.facetwisters.com SparkCognition Austin, TX www.sparkcognition.com
Stronger Snacks Commack, NY
Synergy CHC Corp. Westbrook, ME www.synergychc.com
TR Toppers Inc. Flower Mound, TX www.trtoppers.com
Tutenlabs Inc. Atlanta, GA www.tutenlabs.com
TVG Products Miami, FL www.tvgproducts.com WipesPl Rye Brook, NY www.wipesplus.com
18 NOVEMBER 2022 convenience.org UP FRONT NACS NEWS
Conexxus
www.conexxus.org • info@conexxus.org
Membership Join these leading organizations in their work to standardize the technology that defines the c-store and retail fuel industry! 2022 Annual Garnet Sponsors 2022 Annual Diamond Sponsors 2022 Annual Emerald Sponsors
C-Store Jobs Score High Marks
Nearly three in four consumers (72%) say they have a favor able opinion of convenience store jobs, according to a new NACS survey.
Customers who most often shop at convenience stores— and interact with employees— give the highest marks: 85% of frequent customers have a fa vorable opinion of convenience store jobs, compared to only 54% of infrequent customers. Customers also support many of the positive communi ty-focused attributes associat ed with convenience stores:
• 86% say convenience stores are good first jobs for those looking to enter the workforce.
• 83% say c-store jobs are good jobs for those re-entering the workforce, such as retirees or veterans.
• 83% say c-store employees can work their way up to become managers or even run their own stores.
• 82% say c-store jobs are good jobs for high school or college students.
• 74% say c-store jobs are good jobs for those who can’t or don’t want to get a traditional education.
The U.S. convenience store industry employs an estimated 2.38 million peo ple. A previous NACS consumer survey found that more than one in seven Amer icans (15%) said they had worked in a convenience store. Of those current and former workers, 79% said their job expe rience was valuable, and 66% said they would recommend that type of work to others, particularly as a first job.
“With the challenges associated with the labor shortage, these findings are good news for the industry and could help provide valuable insights in how to
message the value of jobs at stores,” said NACS Vice President of Strategic Initia tives Jeff Lenard.
“Beyond the flexibility to enter—or re-enter—the workforce and set and find flexibility around their lives, current and former employees also cite the daily interactions and conversations they have with regular customers. This human connection is particularly important as we continue to re-establish regular routines that had been disrupted by the pandemic,” Lenard said.
Over the years NACS has published extensive research on what people want in c-store jobs to help retailers navigate how they tie into what applicants care about most and what they treasure from previous jobs. These insights, “How to Attract Employees,” are available on the NACS website.
The NACS Consumer Fuels Survey is a national consumer survey conducted September 10-13 by national public opin ion research firm Bold Decision. A total of N=1,200 American adults were surveyed online, including n=1,049 who said they are regular gas customers, and the overall margin of error for the findings is +/2.83% at the 95% confidence interval.
SOCIAL SHARES
NACS encourages retailers to share their giving-back news on social media using #ConvenienceCares
In The Community
Every year, the convenience and fuel retailing industry dedicates billions of dollars to advanc ing the futures of individuals and families in our commu nities. The NACS Foundation unifies and builds on NACS members’ charitable efforts to amplify their work in commu nities across America, and to share these powerful stories.
Learn more at www.conveniencecares.org
WAWA SUPPORTS HURRICANE IAN RELIEF
1 As of October 4, Wawa customers across the conve nience retailer’s operating area had donated more than $130,000 to the American Red Cross by rounding up their purchases at checkout by $1, $3 or $5. The donations support Wawa’s in-store crisis campaign to provide disaster relief assistance to communities most affected by Hurricane Ian.
The Wawa Foundation will be matching the first $250,000 in customer contributions to the campaign, which ended October 16 after running in Wawa’s 970plus stores throughout Delaware, Florida, Maryland, New Jersey, Pennsylvania, Virginia and Wash ington, D.C. All donations made through The Wawa Foundation’s campaign will go to the Red Cross and be designated specif ically for Hurricane Ian disaster relief efforts.
“The Wawa Foundation has always had a strong commit ment to providing crisis response and assisting those in need, and we’ve been partnering with the
20 NOVEMBER 2022 convenience.org CONVENIENCE CARES
FG Trade/Getty Images
American Red Cross in these kinds of efforts for decades,” said Jay Culotta, president of The Wawa Foundation.
“All of us at Wawa are commit ted to helping our Florida friends and neighbors during this time of need. Wawa has been in Florida for 10 years now and, as a mem ber of this community, we are taking a number of steps to help with storm recovery efforts,” said Wawa CEO Chris Gheysens.
Beyond Wawa and customer support through the Red Cross, Wawa also made a $500,000 donation to the Florida Disas ter Fund to help aid in recov ery efforts. Those interested in contributing can visit www. FloridaDisasterFund.org or text DISASTER to 20222.
MAVERIK EXPANDS
FOOD WASTE PROGRAM
2 Utah-based convenience retailer Maverik has expanded its pilot food waste program in conjunction with Feeding America’s “Hunger Action Month.” Launched in April 2021, the program now donates surplus food from 87 Maverik c-stores, supporting communities in Arizona, Colorado, Nevada, Utah and Wyoming through distribution to five network member food banks.
As of August, Maverik had do nated 276,878 pounds of surplus food, helping provide access to an additional 230,732 meals. This donation versus dumping product into a landfill equals the removal of the CO2 associated with 79 passenger vehicles being driven for one year.
Maverik is contributing warmer items like burritos, bundles, piz
zas, hamburgers and breakfast sandwiches; grab-and-go items such as salads, cold sandwiches and wraps, parfaits, tornados, cookies and muffins; and grocery items including candy, snacks and beef jerky.
“Record-high food prices, con tinued supply chain challenges, the pandemic, and sustain ability concerns are putting the importance of food waste management into clear focus,” said Chuck Maggelet, president and chief adventure guide at Maverik and a member of the NACS Executive Committee.
“We’re proud to help Feeding America rescue food to benefit people, the environment and the economy.”
THE WILLS GROUP
TEES UP $300,000
3 During its 6th annual Blackie Wills Golf Classic, Maryland-based The Wills Group raised more than $342,000 in support of the Blackie Wills Community Leadership Fund. Since 2017, the event has gar nered more than $2 million in donations to support local and regional organizations.
“Six years ago, the Wills Group hosted our first Blackie Wills Golf Classic. The event was designed to bring together our community and business partners to learn how we can work collectively to support communities across the mid-Atlantic region,” said Blackie Wills, president and COO of the Wills Group. “We are grateful for this ongoing partnership that supports the Wills Group’s efforts to build upon our community en gagement efforts year over year.”
The Blackie Wills Golf Classic
featured a meal-packing event to support Weekend Backpacks, an organization whose mission is to provide food to the youth of Baltimore City, Maryland. More than 300 bags of food were packed at the event and donated to Weekend Backpacks.
TA COLLABORATES WITH CLEVELAND CLINIC 4 TravelCenters of America is demonstrating its commitment to professional truck drivers by providing more options to make healthy choices while on the road. In September, TA an nounced a collaboration with Cleveland Clinic to expand its support of drivers’ health and well-being by enhancing healthy food offerings and education al opportunities.
The partnership will bring healthy meal options to all Country Pride and Iron Skillet full-service restaurants by the end of 2022. TA plans to ex pand beyond these full-service menu offerings by working with Cleveland Clinic to identify healthy snack and grab-and-go food options in its travel stores. TA also will work with Cleveland Clinic to provide professional drivers with health and wellness information to promote these new healthy menu options and an overall healthy lifestyle.
The new Cleveland Clinic initia tives continue TA’s long-standing focus on driver health and well ness and its commitment to en hancing their overall experience. At many locations nationwide, TA has amenities to promote an active lifestyle, including fitness centers, walking trails, basketball hoops and others.
3 4
NACS NOVEMBER 2022 21
1 2
NACS In Store Is Back—In Your Stores
The program connects members of Congress with their local c-stores.
BY MARGARET HARDIN
Key Figure 34
The number of states in which the NACS In Store program has hosted a member of Congress.
After two years off due to the pandemic, the NACS In Store program is finally back. Since the program’s inception in 2015, NACS has coordinated over 120 In Store visits in 34 states across the U.S. This year’s focus was on introducing new members of Congress to the convenience and fuel retailing industry. By sharing our stories, we develop meaningful relation ships between the retailer and legislator and create champions for the indus try. The program’s ultimate goal is for legislators to take what they’ve learned
at the pump and behind the counter and bring it back to Capitol Hill.
If you aren’t familiar with the NACS In Store program, here’s a breakdown: The NACS government relations team works with members of Congress and convenience retailers in their home
22 NOVEMBER 2022 convenience.org INSIDE WASHINGTON
Rep. Mariannette Miller-Meeks (Iowa-2) with the team at Casey’s General Store in Washington, Iowa.
district or state to set up a store visit. Typically, the store is one the legislator frequents most often—whether it be to gas up on the campaign trail or their usual stop to grab coffee and a breakfast sandwich. We pick a day for the repre sentative to stop by, lead them on a store tour and show them the ins and outs of running a convenience store.
The best part? After the tour, we give the member of Congress a name badge and uniform and put them to work be hind the counter checking out custom ers, who are also their constituents.
In April, we hosted Congressman John Rose (Tenn.-6) at Weigel’s in Crossville, Tennessee. “I’ve had the privilege of serving friends and neighbors across
Middle Tennessee as their representa tive for three years, but this was my first chance to serve them from behind the counter of a Weigel’s,” Rose said. “Conve nience stores serve a lot of critical func tions, especially in rural communities.”
Legislators appreciate the opportu nity to participate in the NACS In Store program. Often, we get requests to par ticipate from members of Congress who have heard from their colleagues about how much fun they had behind the counter. Congresswoman Mariannette Miller-Meeks (Iowa-2) got a chance to tour her local Casey’s General Store in Washington, Iowa. “I had a great day with the staff at Casey’s General Store in Washington. I had so much fun being put through the paces and getting a behind-the-scenes look at the day to day for them!” Miller-Meeks said.
Margaret Hardin is the NACS grassroots manager. She can be reached at mhardin@ convenience.org.
NACS NOVEMBER 2022 23
By sharing the industry’s story, we develop meaningful relationships between the retailer and legislator and create champions for the industry.
Senator Roger Marshall (R-Kan.), the Republican sponsor of the Credit Card Competition Act, visited a QuikTrip in Wichita, Kansas, to experience firsthand how a c-store operates.
Rep. John Rose (Tenn.-6) behind the counter at Weigel’s in Crossville, Tennessee.
ONE VOICE
This month, NACS talks to Derek Gaskins, chief marketing officer, Yesway.NACS In Store visits don’t just consist of a tour and behind-the-counter experience. Retailers also get the op portunity to discuss legislative issues with lawmakers and show them firsthand how those issues affect their store.
Swipe Fees in Action
One issue always discussed during these visits is swipe fees. Congress passed debit reform in 2010, which has been successful in helping retailers curtail debit swipe fees, but Visa and Mastercard’s duopoly over the cred it card marketplace has led to skyrocketing credit card swipe fees in recent years (latest numbers show they are up 38% through the first half of 2022).
For the first time, however, groundbreaking bipartisan legislation introduced in September in the House and Senate seeks to bring relief to retailers by tackling those excessive fees head-on. The Credit Card Competition Act would require two unaffiliated routing networks to be enabled on credit cards, meaning Visa and Mastercard would have to com pete with another network for this service. Injecting competition in this space would allow market forces to work, lowering the cost of the transaction and fostering an environment for innovation and security.
In August, NACS was honored to host Senator Roger Marshall (R-Kan.), the Republican sponsor of the Credit Card Competition Act, at QuikTrip in Wichita, Kansas. He donned the QT uniform and put on a nametag with his nickname “Doc,” and saw how swipe fees work in action. Every time he swiped a customer’s credit card, the credit card companies charged 2-3% in interchange fees on each swipe. “It just amazes me that a convenience store like this one is paying more for swipe fees than they are for utilities,” said Sen. Marshall.
NACS continues to aggressively advocate for the Credit Card Competition Act’s passage and encourages mem bers of our industry to ask their members of Congress to co-sponsor the bill. Scan the QR code above to take action.
AHEAD
What role in the community do you think convenience stores should play?
Convenience stores should continue to be pillars in the communities we serve. We provide the fuel customers need to live their lives. Focusing on delivering excep tional service and quality products in a fast manner has long been a hallmark of the channel. We are relied on, and this essential retail responsibility should be embraced.
What does NACS political engagement mean to you, and what benefits have you experienced from being politically engaged?
It means collective action with other leaders to effect real change. We make our voices heard in Washington, D.C., and through the process, get to know our political represen tatives better. This is how good government advocacy should work. NACS is well respected on Capitol Hill, and when all members em brace political engagement, it amplifies our voices.
What federal legislative or regulatory issues keep you up at night?
Your voice can save your business.
Scan the QR code to tell us what’s keeping you up at night and where you’re willing to lend your voice to NACS’ advocacy efforts.
Swipe fees and the need for competition to reduce rates continue to be a major concern. With mounting inflation, record fuel prices, wage pressures and other economic challenges, reducing swipe fees will directly benefit consumers. It also will deliver relief to small and large operators as our expenses have reached unprecedent ed levels. I am hopeful that the proposed bipartisan legislation, the Credit Card Competition Act, will gain support from both legislative branches and create com petition between Visa and Mastercard for retailers’ business, just as debit does today.
What c-store product could you not live without?
This is a tough one. I would have to say sparkling water and an Allsup’s Burrito!
24 NOVEMBER 2022 convenience.org INSIDE WASHINGTON Cunaplus_M.Faba/Getty Images
LOOKING
FOR TRADE PURPOSES ONLY | ©2022 Swedish Match North America LLC Call 800-367-3677 or contact your Swedish Match Rep to learn more. *Source: Nielsen scan data through 5/29/2022 CANS SOLD PER STORE PER WEEK 20 SKUs 12-19 SKUs 6-11 SKUs RETAILERS WHO CARRY THE FULL ZYN PORTFOLIO SELL 5.7x MORE CANS *
NASPAC DONORS
NACSPAC was created in 1979 by NACS as the entity through which the association can legally contribute funds to political candidates supportive of our industry’s issues. For more information about NACSPAC and how political action committees (PACs) work, go to www.convenience.org/nacspac. NACSPAC donors who made contributions September 1-30, 2022, are:
Patrick Abernathy TruAge
Wynne Barrett Jera Concepts
Frank Beard Standard AI
Doug Beech Casey’s General Stores Inc.
Tom Brennan Casey’s General Stores Inc.
Greg Cushard Lockton Insurance Brokers LLC
Jerry Cutler InComm Payments
Jerry Davidson Pete’s Corporation
Michael Deal Moyle Petroleum Company
David B. Ezell Conexxus
Fred Faulkner Jaco Oil Company
George Fournier EG America LLC
Robert Gallo Impact 21
Robert B. Griffith
Golden Pantry Food Stores Inc.
Stephen Griffith
CAF Outdoor Cleaning
John D. Harris Coulson Oil Company
Christopher Hartman Rutter’s
Cara Heiden Casey’s General Stores Inc.
Dan Hennessy
FIFCO USA
Benjamin Hoffmeyer TXB Stores
Brandon Hofmann
The Parker Companies
Angela Holland Georgia Association of Convenience Stores
Raymond M. Huff HJB Convenience Corp.
Thomas Hunt Gravitate Melanie Isbill RaceTrac Inc.
Sharif Jamal Chestnut Market
Joe Juliano United Pacific
Paul Kern NCR Corporation Clay Lambert Holiday #3826
Mia Lambert Holiday #3826
Patrick Lewis Oasis Stop N Go LLC
Chuck Maggelet Maverik Inc.
Wolfgang Manz PWM Electronic Price Signs Inc.
Sean McCaffrey GSTV
Chuck McDaniel QuikTrip Corporation
Doug New Nouria Energy Corp.
John Oakley Taiga Data Inc.
Ralpesh Patel Univer
Anthony Perrine O-Line 50 Inc.
Peter Rasmussen Convenience and Energy Advisors
Robert Razowsky Rmarts LLC
Joe Roenna Core-Mark International Greg Scriver Kwik Trip Inc.
Matt Seymour ADA Inc.
Rajeev Sharma VideoMining
Mike Shultz C.A. Carlin
Frank Squilla InComm Payments
William Larry Stewart 7 Eleven Store #29209
Nick Triantafellou Weigel’s Stores Inc.
Malik Yousif MYS Energy
26 NOVEMBER 2022 convenience.org INSIDE WASHINGTON
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Destination All Its Own
BY SARAH HAMAKER
When in the planning stages to build a convenience store in Lee Vining, Cali fornia, Dennis Domaille knew food had to be part of the service, given its location at the intersection of two highways near Yosemite National Park and the Eastern Sierra Mountains. “My father had the property for years before he decided to build the gas station,” said his daughter, Denise Molnar, who now manages the location. “Origi nally, it was going to be a mom-and-pop gas station, but then they decided to add a restaurant because of the remoteness of the location.”
28 NOVEMBER 2022 convenience.org IDEAS 2 GO
company:
founded: 1996 # of stores: 1 Website: www.whoanelliedeli.com
Tioga Gas Mart and Whoa Nellie Deli draws in tourists and locals with its grub and friendly service.
A
From that humble beginning, Tioga Gas Mart and Whoa Nellie Deli has become a destination for tourists and locals alike, who come as much for the beautiful vistas of Mono Lake and the Dana Plateau as for the popular menu items like wild buffalo meatloaf and fish tacos.
AN ACCIDENTAL MENU
Domaille’s initial idea for foodser vice was more along the lines of what many convenience stores back in the mid-1990s had on offer: hot dogs and sandwiches. “Because of the remoteness of the location, Dad wanted to provide something fresh for people to eat and started with what everyone else in the industry was doing,” Molnar said. “But that quickly got boring, so he added a pizza oven to bake fresh pies.”
Soon, the Whoa Nellie Deli’s menu ex panded even more when the chef asked a simple question. “It’s really evolved into something special,” she said. “The chef asked, ‘Why not make the food good?’ and that’s what he did.”
Fish tacos and lobster taquitos were early additions to the menu, which now also includes wild buffalo meatloaf, pork chops, pizza, sandwiches and halfpound burgers. The restaurant also has a full bar where customers can order draft beers, such as local ales Mountain Rambler Venusian Blonde and June Lake Brewing Deer Beer Brown, and mixed cocktails like a mango margarita, plus wines by the glass.
“We try to have something for every one and have become known as a restau rant with really good food,” Molnar said. “Since we’re pretty far from other retail ers, our clientele comes by usually low on gas and hungry. We want to provide good food on a beautiful property so they can sit and enjoy a meal instead of filling up at the pump and leaving.”
To encourage lingering, the location has indoor seating in the restaurant section as well as a large, outdoor grassy area with picnic tables. “It’s very family friendly with lots of space for the kids to run around and play, too,” she said.
CUSTOMER CONNECTION
The store has grown by word of mouth. “We don’t do much advertising but let our products and food speak for them selves,” Molnar said. While the c-store does run a radio ad, the prime loca tion near an entrance to Yosemite and gorgeous natural setting capture visitor interest.
“Locals come, too, especially when we had free live music, which we had to discontinue during COVID,” she said, adding that they have no plans to restart the live music. “But we cater mostly to tourists by providing quality souvenirs and food in a pleasant outdoor area and super-clean bathrooms.”
Employees contribute to the warm atmosphere. “We’ve also hired most of our employees by word of mouth, such as a trusted staff member recommending a friend to work for us,” Molnar said. Staff also serve as de facto tour guides, talking to visitors about other things to do besides visiting Yosemite, such as hiking in the Dana Plateau or swimming in Mono Lake’s salty water.
In an interesting twist, the majority of the employees live on-site in cabins on the extensive property. “We allow our staff to live rent-free in our cabins. Because we’re in such a rural area, there’s not a lot of housing options close by,” she said. The property also has four duplexes, which the business rents to community residents.
BRIGHT IDEAS
One reason tourists love Tioga Gas Mart and Whoa Nellie Deli is the unique gifts. “We have a big gift shop with Yosemite hats, t-shirts, stuffed animals and other park-themed prod ucts,” said Denise Molnar, store manager. The store created its own merchan dise based on Yosemite National Park and other area attractions.
“Our tchotchkes are wellmade and quite popular,” she said. Molnar estimated overall sales are split evenly among the gift shop, gas and fresh foodservice. “The souvenirs definitely are part of what makes our store a destination by itself,” she said.
“Having a friendly and welcoming staff is huge to making people want to linger,” Molnar said. “We want them to hang out for a little while and make stop ping at the Tioga Gas Mart and Whoa Nellie Deli part of their trip, not just a quick stop.”
Sarah Hamaker is a freelance writer, NACS Magazine contributor and romantic suspense author based in Fairfax, Virginia. Visit her online at sarahhamakerfiction.com.
Ideas 2 Go showcases how retailers today are operating the convenience store of tomorrow.
To see videos of the c-stores we profiled in 2022 and earlier, go to www.convenience.org/Ideas2Go
NACS NOVEMBER 2022 29
30 NOVEMBER 2022 convenience.org NACS Show achieves near-record attendance and Expo square footage. TIME TO TAKE THE WHEEL 24,534 industry stakeholders 73 countries represented 8,841 retail buyers 223 attendees on average per education session
THE 2022 NACS SHOW
delivered four days of learnings, insights, networking and exploring what’s new and exciting for the conve nience and fuel retailing industry. This year’s event took place October 1-4 at the Las Vegas Convention Center and attracted the third-highest attendance in NACS Show history with 24,534 industry stakehold ers from 73 countries, including 8,841 retail “buyers.”
“Our NACS Show theme of Full Speed Ahead cer tainly represented the mood of NACS Show attendees. There was incredible energy throughout the four days, whether in packed education and general ses sions or on the always-popular Expo. I am energized about how our industry will continue to redefine con venience to our customers,” said NACS 2022-23 Chair Don Rhoads, president and CEO of The Convenience Group LLC in Vancouver, Washington.
From food to technology, car wash, electric vehicle equipment and in-store merchandise, the Expo was the
second largest in NACS Show history at 429,200 net square feet. It featured 1,262 exhibitors, 250 of them new to the NACS Show, offering retailers a sneak peek at the new products and services available for their stores.
In addition, the Cool New Products Preview Room helped attendees explore 278 of the newest products, services and line extensions (see page 62 for the top 10 scans).
At the end of the Show, NACS worked with Three Square, a local charity dedicated to providing whole some food to hungry people in the greater Las Vegas area. Food and beverages donated by exhibitors were distributed to a network of community partners to help fight hunger in Lincoln, Nye, Esmeralda and Clark counties.
The 2023 NACS Show will take place October 3-6 at the Georgia World Congress Center in Atlanta. Sign up to be notified when registration opens.
NACS NOVEMBER 2022 31 Dimitris Leonidas/Shutterstock
429,200 net square feet of Expo space 1,262 total exhibitors 250 new exhibitors
GENERAL SESSIONS
GO FULLSPEED
Speakers focused on leadership, advocacy, mobility, community and reigniting the customer experience.
SCOTT STRATTEN,
founder and partner of UnMarketing, kicked off the 2022 NACS Show on October 1 by sharing how indus try leaders should remember three simple words— stop, start, continue—and ask employees what the company should stop doing, what it should start doing and what it should continue doing.
Truly great leaders—whom Stratten calls “unlead ers” because they defy traditional norms—have an ability to clearly view their companies and themselves from the perspective of the employees on the front lines as opposed to those on top.
“Regardless of where you are in the leadership hierarchy,” Stratten said, “the reality is everything is about people. When you can be your authentic self you have no competition.”
Stratten said there are two critical elements to succeeding as an unleader: self-awareness and
32 NOVEMBER 2022 convenience.org
“Ask the people who work for you, what should we stop? What should we start? What should we continue?” Scott Stratten told the opening day general session audience.
empathy. Skills which, until the pandemic, had been thought of as secondary, soft skills, now take center stage. The pandemic, he said, has taught successful unleaders to listen to their employees and realize that customers will see how those employees are treated and will react to it.
Self-awareness is crucial to leadership—and it’s not a new concept, he says. These leaders know what they don’t know, and then let their people do what they do best.
“Ask the people who work for you, what should we stop? What should we start? What should we contin ue?” Let them be honest about what’s working and what’s not. Let them be human, he says.
“I like to surround myself with people who have no filter,” Stratten said. “I want to surround myself with insubordination.” That’s because insubordination breeds disruption, which breeds new ideas.
In a nod to current labor challenges, Stratten disagrees with the idea that people no longer are interested in holding down a job. “They just don’t want to work for you,” he said. “There’s a difference. They don’t want to work for low pay and low morale,” especially younger adults who have grown up with disruption their entire lives.
Leaders need to take care of their teams all the way down to the front line and stand up for them, he says. His most memorable boss as a teen was a movie the ater manager who stood up for him when he was be ing yelled at by an angry customer. The simple act of his manager intervening in a tense situation changed his perspective on work and made him invest himself in his job rather than slacking off.
“Our people are our business. That’s it,” Stratten said. “You can have a competitive advantage—just treat people like humans.”
NACS NOVEMBER 2022 33 Dimitris Leonidas/Shutterstock
L to R: Henry Armour, NACS president and CEO, U.S. Senator Roger Marshall, cosponsor of the Credit Card Competition Act, and Jared Scheeler, 2021-22 NACS chair and CEO of The Hub Convenience Stores, discuss the need to reform the credit-card swipe fee process.
ADVOCACY MATTERS
On October 2, NACS President and CEO Henry Armour and 2021-22 NACS Chair Jared Scheeler led a discussion with U.S. Senator Roger Marshall (R-Kan.) on swipe fee reform.
Swipe fees cost the convenience retailing industry $14 billion a year and remain one of its biggest chal lenges. But there is hope on the horizon in the form of a new bill introduced in both houses of Congress this year.
The Credit Card Competition Act of 2022 is co-spon sored in the House by Reps. Peter Welch (D-Vt.) and Lance Gooden (R-Texas) and in the Senate by Sens. Dick Durbin (D-Ill.) and Roger Marshall (R-Kan.).
Armour said the bill would do for credit card oper ations what a similar bill (also sponsored by Senator Durbin) did for debit cards a few years back. “We have an immense opportunity to fix this broken system,” he said. “The Credit Card Competition Act would bring long overdue competition to the credit card marketplace, significantly reducing these fees.”
Senator Marshall explained the importance of the bill and why he chose to get involved on behalf of con venience store owners. “Once I figured out that there were four global banks and two credit card companies controlling this industry, I said, there’s a problem in here,” he said. “And then once we started having this horrible inflation, I think that’s when it came to my attention that this is an inflation multiplier.”
Scheeler, CEO of The Hub Convenience Stores Inc., said there are multiple problems with these fees, but the biggest one is that people simply don’t know they exist. “These fees are buried. They’re hidden,” he said. “When a customer swipes their card, they don’t think for a second that there’s a fee associated with that transaction. But as business owners, we’re not stupid. Of course, we’re going to build these fees into the prices of our goods and services, and that adds up over time. High prices aren’t good for us. We’re seeing
that with the price of gaso line and diesel right now.”
Fortunately, Senator Marshall said there is plenty convenience store owners can do to make their voices heard on this critical issue. “If you have a relationship with a congressman or a senator or your community bankers, reach out to them and try to communicate,” he said. “I think the talking point is that this is an inflation multiplier that the convenience stores are spending more on than their utility bill.”
Retailers can make their voice heard by texting “NACS” to 50457 or visiting convenience.org/fixswipe to send an email directly to their legislators.
MOBILITY
Armour teed up another discussion focused on the future of mobility, featuring Dr. Gill Pratt , chief scientist and executive fellow for research at Toyota Motor Corp., and Doug Haugh , president of Park land USA.
“We’ve seen the headlines,” Armour noted. “Cali fornia plans to ban the sale of new gasoline-powered vehicles by 2035—and other states say they will follow. And similar conversations are taking place around the world. Our industry sells 80% of the motor fuel sold in the United States—and has equally dominant positions in other countries,” he said.
“EVs are positioned as the future, but there are big questions about how we get to that future,” Armour said. “How do we decarbonize transportation while preserving the current access to affordable and reli able transportation?”
34 NOVEMBER 2022 convenience.org
L to R: NACS President and CEO Henry Armour discusses EVs and the future of mobility with Dr. Gill Pratt, chief scientist and executive fellow for research at Toyota Motor Corp., and Doug Haugh, president of Parkland USA.
DO YOU KNOW WHAT HAPPENED IN YOUR STORES
C-store retailers are rapidly adopting new front-office technologies to keep up with the pace of change happening in our industry. While these systems can deliver a substantial ROI, retailers are struggling to reach that potential because their technology environment is becoming more piecemealed with each new addition.
Taiga’s Front Office Platform aggregates the raw data from a c-store chain’s existing technologies into a single, real-time operating system. This gives convenience retailers incredible visibility across their entire organization and enables them to transform a fragmented technology environment into a single comprehensive and integrated platform.
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Toyota, Armour noted, is investing heavily in battery-electric vehicles but also believes in giving its worldwide customers flexibility and that “there is more than one option for achieving carbon neutrality.”
Hybrids and hydrogen are part of that solution for the automaker. Hydrogen especially makes more sense for large trucks than battery power, Pratt said. Right now, Toyota sees consumers in multi-vehicle families buying EVs mainly as second vehicles, with a gasoline-powered vehicle as their primary car. He expects this dual-structure behavior to continue.
For consumer-level EV charging, Pratt sees the opportunity for convenience retailers to provide high-value goods and services to EV customers while they are on-site, which meshes with the future that forward-thinking convenience retailers envision.
Parkland USA is a subsidiary of Parkland Corpora tion, one of North America’s fastest-growing indepen dent marketers of fuel and petroleum products and a leading convenience store operator with 3,800 sites.
While Parkland is “all in on EV,” Haugh said, “At the same time, somebody’s going to be selling gasoline in 2060.” He agrees that there will be mixed demand for EVs and traditional fuels for decades to come. In Brit ish Columbia, Canada, for instance, 1 in 5 new cars sold are EVs. “That’s a real wake-up call for us,” Haugh said.
He urged convenience retailers to get ready now for the eventual EV switch, driven by climate change regulations and fuel costs. “The infrastructure is important,” he said. “Don’t just put in one charger. That’s a mistake. Go all in and invest in multiple out lets.” High-speed chargers, he adds, are the way to go.
Pay attention to customer amenities, too. “Clean restrooms are more important in this environment,” he said. “If they’re at your site for 30 minutes, eating and drinking, they’ll need to use the restroom.”
So-called garage orphans represent a real oppor tunity to provide away-from-home charging services, coupled with a great food offer, he said. Then there are the service-related drivers and road trippers who will need access to EV chargers and want to take advantage of on-site dining and outdoor eating spaces. To enhance its loyalty program for EV drivers, Parkland is integrating EV charging services into its Journie Rewards program app, too, he said.
The company is especially excited about the results of its international “future of design” contest for a prototype EV charging station of the future, which was won by a Scottish architectural design firm. Parkland plans to build the Electric Charging Desti nation of the Future station in British Columbia as a test-and-learn endeavor. “We certainly learned a ton from this contest,” Haugh said.
Haugh also raised the point that discussion around EVs must take into account the need to decarbonize the electrical grid, which he notes, is “more carbon intensive than EVs.”
COMMUNITY STORES
Speakers at the October 3 general session, including 2022-23 NACS Chair Don Rhoads, focused on the power of community engagement and the impactful role convenience retailers have in making a differ ence. Rhoads, president and CEO of The Convenience Group, said c-stores need to go beyond products, pricing and customer service to provide value to their communities.
“It’s not enough,” he said. “Value is important, and that 25-minute drive to Walmart is becoming more attractive. We need to continue to showcase our value, and we need to be engaged in our communities.”
Convenience stores, Rhoads said, serve three communities. One is the society in which they play a big role, shown in the $1 billion c-stores contribute to charity each year. The second is the people that make the stores work. The third is the industry community.
“I can control what happens inside my four walls— the products we sell, how they’re priced, our custom er service and how we react with our community,” he said. “But I can’t control what’s happening in our economy and in our regulatory environment. This is where NACS comes in.”
Jake Wood , founder of Team Rubicon, a disaster response organization, urged the audience to think
Jake Wood founded disaster relief organization Team Rubi con in 2010 in response to the Haiti earthquake.
36 NOVEMBER 2022 convenience.org
Don Rhoads, 2022-23 NACS chairman and president and CEO of The Convenience Group
about the moments where they can have the greatest impact. Wood, a former Marine with combat experi ence in Iraq and Afghanistan, said life comes down to a series of moments and decisions.
“These moments that we approach, some of them we know are moments of consequence,” he said. “Some of them we don’t realize them for the moments they are until we’re well beyond them, and we can reflect back with the luxury of time and perspective and see those moments for what they were.”
Wood started Team Rubicon in 2010 in response to the devastation he saw on the news as a result of the earthquake in Haiti. The group now has 150,000 volunteers in the U.S. and Canada who respond to hundreds of disasters in communities across the globe.
Some of the moments that can change everything will catch us by surprise, Wood said, but in other moments you might realize you are in the right place at the right time.
“Every once in a while, you find yourself facing a moment,” he said, “and you realize, hey, this moment might be terrifying, this moment might seem a little overwhelming, but this was a moment we’ve been preparing for our entire existence.”
Wood urged convenience retailers to “think about the moments and decisions you face every day. I chal lenge you to make that difference,” he said.
THAT’S A WRAP
The final day of the 2022 NACS Show was all about reigniting the customer experience. NACS Vice President of Research and Education Lori Stillman debuted THRIVR™, a new NACS tool built with SOCi to help convenience retailers build and manage a localized marketing strategy that maximizes their stores’ online presence and meets customers when and wherever they are searching.
“Today, online is how customers define conve nience,” Stillman said. “They use their smart phones and digital devices to discover what’s out there. What they want. And who has it.”
Convenience stores need a strong presence in the digital world—including via social media chan nels—and must respond to the conversations consumers are having about their brands.
“THRIVR gives you more control of your brand—and it tells everyone who you are and what you have, when and wherever people are searching,” Stillman said.
For small operators, managing the process can be daunting. “If you have only one or two stores, you tell yourself you don’t have the resources to do this. If you have hundreds of stores, you know coordi nating all of this is an immense challenge. But with out it, you are missing the opportunity to grow trips, to grow baskets, to thrive,” Stillman said. “NACS can help you thrive. That’s why we’ve launched THRIVR.”
The tool is available to all c-stores, regardless of size, via NACS. “It gives you more control of your brand. With accurate data, compelling content and an ability to keep a pulse on customer feedback and reviews, you can thrive in the digital retail landscape,” she said.
Stillman also highlighted NACS Research tools, including the NACS State of the Industry Report and NACS Convenience Voices shopper insights program. And she recognized the 24 rising stars of the industry who graduated from the 2022 NACS Leadership for Success program.
The October 4 general session also included the de but of the 2022 edition of the NACS Ideas 2 Go video program, featuring six companies that are redefining convenience retail and the customer experience: TXB Stores; The Walk-Off Market, powered by Amazon; Lou Perrine’s Gas & Groceries; Coen Markets; Kwik Trip and Wakepoint LBJ. Each episode is live at con venience.org/ideas2go.
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This year’s NACS Show featured four crowd-pleasing general sessions.
JAKE WOOD URGES LEADERS TO ‘LOVE’ THEIR WORKFORCE.
BY BRUCE HOROVITZ
39 FOLLOWTHE LEADER
IF THERE’S ONE GUY
on the planet who knows what leadership is, it’s Jake Wood.
The day three NACS Show keynote speaker doesn’t just talk about leadership—he lives it.
He served four years in an elite Marine Corps scout-sniper unit, leading Marines in combat in Iraq and Afghanistan. He received three meritorious promotions, with one in combat, and is the recipient of the Navy-Marine Commendation Medal for Valor. He co-created Team Rubicon, a nonprofit organization that mobilizes mili tary vets and others to help people globally prepare for, respond to and recover from the world’s greatest natural disasters from earthquakes to hurricanes to typhoons.
And he’s the author of the memoir “Once A Warrior: How One Veteran Found a New Mission Closer to Home,” an Amazon best seller and a book that former NBC Nightly News anchor Tom Brokaw called, “The book America needs right now.”
Oh, and that’s not to mention he was also an all-state high school football star and played four years for the University of Wis consin Badgers.
In his from-the-gut speech to convenience retailers and suppliers at the NACS Show—
and in his day-to-day life—Wood lives and breathes this overarching message: Leader ship is love. To be a great leader, you must love the people you lead, he says. Demonstrat ing that love requires three critical things: 1) Understanding who they are; 2) Understanding where they came from; and 3) Understanding where they want to go—and helping them get there.
“When people are loved at work, they feel safe,” he said. And it’s only when workers feel safe and wanted that they can find the inner courage to succeed. “This sense of love is not something you can fake as a leader—it must be genuine.”
MORAL COMPASS
His NACS Show speech and message of hope come at a time when the nation and world are taking baby steps to recover from a life-changing pandemic even as the global economy seems to be spinning south amid forceful recessionary winds. Even then, he says, the nation’s 148,000 c-stores can stand strong and prosper if their leadership not only has vision but also demonstrates trust, integ rity and respect for their workers by making decisions through the lens of a moral compass that always puts employees first.
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“When people are loved at work, they feel safe.”
A team of Greyshirts (what Team Rubicon calls its volunteers) helps clean up follow ing one of the many natural disasters they encounter every year.
“It takes a lifetime to build a reputation and a moment to lose it,” Wood said, quoting Will Rogers, the famous social commentator and vaudeville performer.
The way Wood sees it, the very best leaders are essentially auditioning and re-auditioning for their jobs by virtue of every action their employees see them take. “You are reapplying for the respect and understanding of those who work for you every moment of every day,” he said.
If you’re a boss who tends to fly off the han dle—or one who is willing to make question able choices that run contrary to the stated goals of the company culture, your employees will likely watch and mimic this same behav ior, Wood says. “If you lie, cheat or steal, your employees probably will, too,” he said.
Wood has built his reputation through incredibly hard work and perseverance. While his motivational speeches help to bring in income, his day job is notably far less cozy or profitable. Since 2010, Team Rubicon, the disaster relief group that he co-founded and now chairs, has responded to nearly 1,000 disasters and humanitarian crises globally and recruited more than 150,000 volunteers to assist. Its on-the-ground assistance has helped to save lives after disasters from the recent Hurricane Ian in Florida to Hurricane Fiona in Puerto Rico to the recent floods in Kentucky to Team Rubicon’s founding mo ments in 2010 after the tragic 7.0 magnitude earthquake in Haiti.
“We use the skills the military taught us to help people on the worst days of their lives,” he said.
Wood is also the founder and CEO of Groundswell, a software firm that enables companies to make philanthropy an employee benefit. Groundswell launched in 2021 after raising $15 million in venture capital led by Google Ventures.
HANDLING SETBACKS
While great leaders are always striving for the best by creating and sustaining a com pany culture that encourages it, they simul taneously must be preparing for how to deal with unexpected setbacks that all companies ultimately face. For example, he asks, what if you’re a c-store owner at a location near Lake Powell, the nation’s second-largest reservoir
that’s been drying up due to climate change, and you no longer enjoy the vacation traffic that Lake Powell once attracted? You’d need to create a new business plan—perhaps to ap peal more to locals. Establishing that vision— and attracting and keeping the right people to embrace that culture—are key, he says.
Planning for the unexpected is no less crit ical than fostering terrific company culture. That typically requires three steps, he says:
1) Make a plan.
2) Make a backup plan.
3) Make a backup plan for the backup plan.
“Everyone has a plan until they get punched in the face,” he said, quoting former heavyweight champion Mike Tyson, who certainly had to rely on his own series of backup plans after hitting the canvas in the boxing ring.
Great leaders, Wood says, also tend to understand the thinking of Greek philosopher Heraclitus, who believed that for every 100 employees, perhaps 10 of them are so utterly incompetent that they shouldn’t be employed at all; another 80 of them are clock-punchers who are only focused on putting in the mini mal amount of work; and nine are fighters who will totally go to the wall for their employers and can think their way through challenges. That leaves just one worker as the so-called warrior—who consistently has the ability to lead the 99 other employees to safety. “His job is to bring it all home,” said Wood. Great leaders have the ability to consistently find and
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“We use the skills the military taught us to help people on the worst days of their lives.”
Team Rubicon is a veteran-led humanitarian and disaster response nonprofit.
hire the nine fighters—and the one warrior.
At the same time, great leaders also have the ability to envision which of their 80 clock-punchers have the unique ability to evolve (through training and proper leader ship) into fighters.
RETAILERS WITH HEART
On more than one occasion while working on a Team Rubicon emergency mission Wood has seen up-close how the very best c-stores respond to local emergencies. He recalls stopping at a convenience store in Western Kentucky during the recent flooding there so his crew could gas up their trucks. A generous c-store owner at one location encouraged the crew to all fill up their thermoses with what ever they wanted to drink—at no charge. The store’s employees and numerous customers were there to observe how the owner reacted in a moment of crisis. “That’s a powerful statement to make,” said Wood. “Simple acts of kindness in a moment of crisis can go a long way toward building trust.”
Wood says that observing the way a c-store’s staff treats customers is the single most important thing in determining his own repeat business. “You need to treat folks com ing in with respect and dignity—even if they are homeless or mentally ill,” he said.
At the same time—as his high school football coach used to tell him—Wood says, convenience retailers must be laser-focused on controlling the most basic things that they have the ability to control. Broken lightbulbs need to be replaced. The litter in the park ing lot needs to be picked up. Dust on store shelves needs to be cleaned off.
For Wood, such retail basics are the indus try’s equivalent of the lesson he learned in the Marines to wake up and immediately make his bed each morning. “This allowed me to exert control in my life, and it set the tone for the rest of the day,” he said. “Let’s learn to focus on the things we own.”
Great leaders, he says, tend to set a course
that’s different from everyone else’s—and never waver.
His favorite example of that effective course setting: Southwest Airlines. The airline ultimately opted to create an environ ment that fully respects its customers—and its employees. That’s why it has no fees for checked bags. That’s why it has no fees for changing flights. That’s why employees are encouraged to build a rapport with customers by cracking jokes over the intercom system.
His take on what Southwest Airlines has accomplished—and what every c-store opera tor should do—is this simple:
1) Start with a vision;
2) Keep it simple;
3) Make it relatable; 4) Be bold; 5) Don’t waver.
In the end, he suggests, every convenience retailer should think of his or her organization as a book and their employees as characters in that book. The employees are mostly eager to be characters who have an impact on the plot of that book. It’s up to you to give it to them.
And it’s the same for your customers.
Wood vividly recalls his favorite-ever expe rience at a neighborhood c-store as a kid.
He was just seven or eight years old, and he’d just clubbed his first Little League home run. His proud dad stopped at a c-store on the way home from the game to buy him a Charleston Chew candy bar. After all, that’s what his father’s father had bought for him after his first home run, which was hit many decades earlier. The c-store operator was sav vy enough to celebrate along with the family.
Wood had never eaten a Charleston Chew before this moment. That Charleston Chew coincided with one of the most exciting days of his life—and the c-store operator caught on and engaged.
“It was the best candy bar I ever had,” said Wood, reflecting back on one of the most meaningful moments of his childhood.
There’s not one c-store in America that can’t do the same. All it takes, says Wood, is leadership.
Bruce Horovitz is a freelance journalist and national media training consultant. Contact him at brucehorovitz@gmail.com.
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“You are reapplying for the respect and understanding of those who work for you every moment of every day.”
LEARN FROM THEBEST
BY LISA KING AND KIM STEWART
MISS A SESSION? WE GOT YOU!
With NACS Show on-demand sessions, there are learning opportunities for everyone. From embracing new technology to enhancing the customer experience, there’s a chance to learn from real-world industry insiders and retail superstars who are shaping the future of convenience.
The NACS Show education sessions are designed by industry peers to make you and your entire team better. Whether you’re just starting out with a new idea, growing your skill set, or thinking strategically about an expansion, our on-demand education session recordings will help you plan a learning experience that’s tailored to your specific needs and goals. Go to www.NACSShow.com to learn more.
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NACS Show education sessions focused on industry hot topics.
NACS SHOW’S
40-plus education sessions, designed by retailers for retailers, delivered content and engaging discussions that delved into today’s strategic challenges of labor, supply chain, category management, foodservice, technology, fuels, EV infrastructure and leadership. These sessions averaged a record 223 attendees each.
The top three most-attended sessions were:
Promotions Customers Actually Want
Revisiting Store Design for Your Streamlined Workforce
Build a Better Brand
PROMOTIONS CUSTOMERS ACTUALLY WANT
“Promotion is about driving action,” said Eric Sher man, senior vice president, insight and analytics, GSTV. He along with Jim Jacko, senior category
manager, Coen Markets, discussed best practices for creating promotions that move customers to action.
Understanding customer needs is the first step to developing desirable promotions, and research shows that consumers who buy fuel are 5.3 times as likely to go to a QSR and 4.8 times as likely to go to a grocer after filling up, said Sherman.
“A fuel transaction predicts elevated consumer spend, and convenience retailers can use that insight to meet needs in-store and hone their promotional messaging since you kind of know what they’ll be doing next,” said Sherman.
It’s important to tell a compelling story when developing a promotion. Communicate and speak directly to the consumer. Be sure to tailor the message to the environment and use the environment to your advantage, be it the forecourt, in-store digital signs or putting the promotion on an app. Be concise and deliver a clear call to action.
“Make the product the hero,” Sherman said. “I think this is the most important thing that we see. If you really show the product in a clear, compelling and enticing way, you’ll see tons of success.”
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Derek Gaskins, Yesway’s chief marketing officer, gave an overview of the retailer’s newest c-stores.
Jacko discussed using styles of promotions strategi cally to lift sales of a brand or category, or to drive more customers to the loyalty program or into the store.
“We prioritize our promotions by determining the main goal—are you trying to drive traffic or lift up products—and then we examine the products,” said Jacko.
There are the tried-and-true promotions such as two-for-one beverages or buy-one-get-one strategies.
But be sure to review those promotions that have been around for a while. Are they working? For newer pro motions, think of best- and worst-case scenarios.
“We all try to use whatever is in our arsenal for pro motions, but if you use them all it’s hard to say what has worked,” said Jacko.
Take the time to measure results after putting in tremendous effort developing a promotion. “We work with third parties to develop models that allow us to understand the precise impact of any given promo tion,” said Sherman.
Jacko asked, if you had a goal, did you achieve it?
“It’s important to know. On the surface, a promotion looks successful, but in reality, from a net standpoint, it might hurt you more than help. However, a failed promotion can be just as impactful as a successful one because you sometimes learn more from it. You can come back and figure out what went wrong and areas to do better,” he said.
REVISITING STORE DESIGN FOR YOUR STREAMLINED WORKFORCE
Derek Gaskins, chief marketing officer of Yesway, and Kevin Smartt, CEO of TXB Stores, discussed how their companies are approaching new builds and remodels as the convenience landscape changes, along with the labor outlook. Their new designs encourage customer wayfinding and streamline keeping the store clean and well-maintained.
Craig Neuhoff, vice president of new business devel opment for GSP Retail , kicked off the session with an overview of all the ways that the c-store industry has changed during the past few years, from enhancing foodservice to dealing with the pandemic to the “new normal.”
Gaskins shared how Yesway has grown to 425 stores in nine states, taking a multibrand approach with the acquisition of Allsup’s, which it continues to operate under that banner. The newest concept is Allsup’s Express, a bodega-like c-store designed for college towns and focusing on foodservice—particular ly Allsup’s burritos and frozen drinks. The first store is located across from the Texas Tech University campus. It features self-checkout, mobile ordering, third-party delivery services and eat-in seating. Plus, the design is in line with the university’s mascot and colors, and college team sports play 24/7 on digital screens.
Yesway has embraced the philosophy of Allsup’s patriarch, Lonnie Allsup. “Keep it simple. Keep it consistent. Keep it within arm’s reach.” This plays out in the way the stores are designed and remodeled to maximize labor efficiency. “Labor savings have been built in,” Gaskins said. “It’s how we go to market.” For all the c-store brands, “consistency is key,” Gaskins said.
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L to R: Jim Jacko, senior category for Coen Markets, and Eric Sherman, EVP, insights and analytics for GSTV, discussed how to take your c-store sales to the next level in Promotions Customers Actually Want, the most attended education session at the 2022 NACS Show. Revisiting Store Design for Your Streamlined Workforce was the second-most attended education session.
“Simplicity drives sales” at the Allsup’s Market stores, which serve as a fill-in stop for grocery items for many customers in these rural towns.
A new Allsup’s in Wolfforth, Texas, highlights best practices for a streamlined workforce. The store fea tures a central cash-wrap counter that enables shared labor responsibilities. One person can interact with customers, sell tobacco products and do food prep from the same area. The market has an enhanced foodser vice program that’s all crew-served. Dispensed bever ages, from bean-to-cup coffee to a smoothie machine, are automated, and the beverage bar setup is consistent across the brand. The left side of the market is the grocery section, while the right side is convenience. A cold-case wall wraps around the store perimeter.
Private-label products get a prime spot on the endcap just inside the entrance. Large aisles allow for free customer movement and easy restocking. Restrooms are doorless to facilitate touchless entry and maintenance. In the back of the house, there’s a double door to ease intake of new stock.
TXB’s new store concept, which debuted in Georgetown, Texas, last year, is all about the new brand, with its timeless black and white logo that’s carried throughout the c-store and onto the forecourt. A muted color palette inside the store lets the merchandise pop, Smartt said. Just inside the front door, the entrance mat is bolted to the floor, making for easy cleaning, as are the polished concrete floors. Clean emerges as one theme, right down to the handwashing station for guests to use near the foodservice area. On the beverage bar, holes for under counter receptacles to catch used coffee pucks are drilled into the granite, and there are drain troughs to catch dispensed beverage overflow—both help save on labor.
BUILD A BETTER BRAND
L to R: Kevin Smartt, CEO of TXB Stores, Craig Neuhoff, vice president of new business devel opment for GSP Retail, and Derek Gaskins, chief marketing officer of Yesway.
Digital menu boards can be quickly changed out with new messaging. In the cold cases, micro-glide shelves move all the bottles forward, so the cases always appear full. Outside of the building, two builtin power washers simplify cleaning the forecourt, and new stores being built will have a water cistern to help with sustainability. The legacy stores, which used to be branded Kwik Chek, now have TXB sig nage and a unified color scheme.
A brand communicates the identity of a business to the public, so it is more than necessary to get it right. At the “Build a Better Brand” education session, presenters Scott Willy, co-founder, ECD, Three Sixty Group, and Dave Bray, partner, creative and account lead, Three Sixty Group shared how to discover what your brand is, how to make it better and how to promote it both within your company and to prospective customers.
A company’s logo is the cornerstone of its brand, and it’s typically the first thing customers associate with you. It’s your visual identity. It can be difficult to know when to update.
“It’s important to be honest with yourself. You may have your own opinion, but get outside opin ions because what you think may not be what your customers think,” said moderator Keith Broviak, chief marketing officer, Coen Markets Inc.
When creating or updating your logo, anything you create should be clean and visually interesting. The logo should be easily seen and understood, big or
NACS NOVEMBER 2022 47
Top to bottom: Ashley Quint, division vice president for Kum & Go, Jeff Lenard, NACS vice president for strate gic industry initiatives, and Nicole Kuhl, brand director for RaceTrac, talked about how to become an employer of choice in Make Your Employer Brand Stand Out.
small, and in color and black and white. Once you de cide on your logo and colors, develop a style sheet and branding rules, and task someone to oversee the brand use to ensure consistency.
“Pick brands you think really work and compare them to your own. Evaluate your brand, have it evaluated by an outside group or reach out to trusted colleagues,” said Willy.
Typically, after a logo is created, a tagline is added and oftentimes you want to expand with rewards, loyalty or a food program. Be sure not to stray too far from your brand with arbitrary fonts or colors. Write a tagline to marry with your updated logo. Be sure to identify your unique selling proposition. What are you offering that makes you stand out among all the rest?
“A tagline needs to be direct, punchy and to the point, and it always needs to resonate with the compa ny’s mission, vision and values,” said Bray.
The panel reiterated the importance of having a brand guide and someone to maintain brand consis tency. “We call ours the gatekeeper, so even when we use things internally, we make sure staff are using the right logo, tagline with swag product, HR recruitment and even annual meetings. It’s not customer facing, but it keeps things consistent,” said Broviak. Internal messaging keeps employees informed. Additionally, be sure to integrate your updated brand in all channels, both traditional and social media.
Remember, bettering your brand isn’t a quick and easy process. “When you are so tired of your messag ing, your customers are just starting to get it. It takes a long time for things to catch on. Six months is not enough,” said Broviak. “A brand is a living, breathing organism that needs care and tending.”
TURNING PRIVATE LABEL INTO A POWERHOUSE BRAND
More and more convenience retailers are creating their own private-label brand, and it is proving to be an ex cellent opportunity for growth and loyalty building.
“Private label is a big deal. It makes over $200 billion in grocery sales annually, and 17.7% of all sales are private label; however, in convenience retail, only 3.7% of sales are private label. There is a huge oppor tunity to just match up to grocery sales,” shared Roy Strasburger, CEO, StrasGlobal , and moderator of the “Turning Private Label Into a Powerhouse Brand” education session.
Strasburger introduced speakers from TXB Stores and Yesway, who shared their companies’ journeys into private-label products. Despite the difference in size of the two, the foray into private label was similar.
Yesway, which started in 2015, went from zero to
now 92 stores. In 2019, the company acquired Allsup’s stores and its private-label brand. Today, Yesway has 425 stores and a combined private-label brand. The retailer’s challenge was to bring two brands together for all customers, no matter which store they shop.
TXB is a smaller retailer with 26 stores and foodser vice in half of its locations. TXB is in its third year of private-label products, and private-label serves as 2% of overall TXB sales.
The speakers set out a roadmap for starting a private-label journey. Both discussed how important it is to first establish the why for the move into private label and define the reasons for creating the product.
“Our first question was why do we want to do private labels? We wanted to create and grow brand equity, build sales and profit, diversify products and provide unique flavors and products that are unique to Texas,” said Benjamin Hoffmeyer, vice president of marketing and merchandising, TXB Stores.
Part of the journey to private label is to study the financials. Take the time to look at the numbers, and be sure you have what is needed to create a private-label brand.
Alan Adato, merchandising and procurement manager, Yesway, emphasized that when it comes to suppliers, “They will ask you a lot of questions about your business, and you’ll have many questions about their product. Financials, minimums, cost of goods, distribution (how much product can you receive) and shelf life are an important part of the journey that will require lots of spreadsheet work and time in front of the computer,” said Adato.
Minimum-size runs are often a concern. For smaller companies, local suppliers may be ideal. Find creative ways to work with vendors such as paying for labels, plate charges and packaging upfront, making it easier for the vender to say yes. Hoffmeyer shared that by doing things upfront, vendors will just need to find time on the production line and are more likely to say
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On average, 223 people attended each of the education sessions at the NACS Show.
yes because you are less risky to them.
To solve for smaller minimums, TXB has also delved into co-branding, negotiated future breaks and joined share groups. Starting with high-volume, high-velocity products such as waters or teas is a great way to get in the game.
When it comes to private label, “Whatever your brand is today it’s going to evolve over time, so don’t be afraid of change. However, don’t forget brand con sistency,” said Hoffmeyer.
Adato agreed, “You can make your packaging look any way you want, but the key is brand consis tency across all products. Sometimes a particular private-label product isn’t going to work. When that happens, just make the right choice of discontinuing or replacing it, just like any other merchandise.”
Continuous marketing and growing sales are the retailer’s responsibility in private label. Use all the tools you have available, be they promotions, advertis ing or samples. Think through your strategy to ensure you create a sustainable private-label program.
“Have fun with your private label. You’ve invested in this product. Take the time to embrace it. Your custom ers will also enjoy the journey with you,” said Adato.
SELF-CHECKOUT STRATEGIES
Self-checkout is becoming more commonplace in convenience stores but still isn’t mainstream. Josh Birdwell, vice president, guest/retail technology, Pilot Travel Centers, based in Knoxville, Tennessee, and Alan Meyer, CEO, Meyer Oil Company, dba Mach 1 convenience stores, based in Teutopolis, Illinois, joined NACS Magazine Editor-in-Chief Kim Stewart for a fireside chat exploring how these two retail chains are using self-checkout in their stores.
Pilot has more than 800 locations, while Mach 1 has 23 locations in Illinois and Indiana. Both retailers have gone all-in on self-checkout.
Any discussion of self-checkout always comes down to how it can help ease the current labor short age, which every retailer is grappling with now. For Birdwell and Meyer, though, adopting the frictionless technology isn’t necessarily about saving on labor.
“Reducing labor isn’t always what happens,” Birdwell said. Self-checkouts aren’t a replacement for store associates, he stresses.
Meyer agrees. “Reducing labor and labor costs is not the way to look at self-checkout,” he said. “Rather, the question is, ‘What is your labor doing?’”
Self-checkout kiosks need to be front and center and manned by a nearby associate to assist custom ers as needed, handle age-restricted purchases and to deter theft. Having a team member in the bullpen
area as a greeter is key, especially when it comes to enhancing the customer experience. Don’t make your customers wait for assistance, which can clog up the line and only adds to the friction that you are trying to remove in the process.
While some c-stores only accept credit or debit card transactions at the self-checkout, Pilot and Mach 1 both also accept cash, even for fuel purchases, since the c-store customer still primarily pays in cash. Units that accept bills and coins are pricier, but they broaden the access for all customers, making sure that they are welcome no matter what payment method they use.
“The self-checkout needs to do everything that a traditional manual checkout can,” Meyer said. Units that accept cash benefit both the customer and the sales associate, who doesn’t need to stress out about making change, for example. When it comes to the business case for self-checkout, that shows up in increased throughput no matter the time of day and increased transaction counts in relation to labor costs.
CREATING FANS OF THE BRAND: YOUR SOCIAL MEDIA STRATEGY
Retailers looking to find creative ways to gain loyal fans of their brand heard insightful tips on social media strategy from Ariel Norwood, senior director of marketing engagement for Bounteous, who has lead the social media strategy for Wawa for the past 14 years, becoming its full digital partner.
“Sixty-four percent of consumers want brands to interact on social media. It’s becoming an expecta tion. It’s not really something extra,” said Norwood.
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L to R: Kim Stewart, NACS Magazine editor-in-chief, mod erated a panel on Self-Checkout Strategies with Josh Bird well, vice president, guest/retail technology, Pilot Travel Centers, and Alan Meyer, CEO of Meyer Oil Company.
To start building or auditing your social media strategy, define what sets your brand apart or what makes it unique in your region. Consider what con sumers coming to your store want or what need they are filling.
Next is to know your social media audience. You may see generational or economic differences in your digital customers. Consider how each audience might use social media—are they more likely to use TikTok or Facebook? Then, prioritize who you are trying to reach in each area.
“It’s great to have a lot of followers; however, fol lowers in and of themselves are not the be all and end all goal,” said Norwood. “If you have 50,000 follow ers and strong engagement, I’d say you have a strong social media program.”
Norwood shared that when it comes to social media strategy, don’t batch and blast the same content to every channel with one audience in mind, even if that means you focus on one channel and audience. It’s bet ter to get it right with one channel and one audience and scale from there.
Focus on your content’s tone of voice, which you will determine. Stay away from using an in-store tone since it’s a digital experience. Use language that’s appropriate for the forum.
Regardless of your intended digital strategies or goals, three pillars of social medial content are key to success. First, create relatable content from the point of view of customers and what matters to them.
Second, focus on incentives and promotions. In clude not only discounts but also giveaways, sweep stakes or exclusive offers that only happen on social media. Incentives are anything that encourages your followers and visitors to engage with you.
Finally, consider education. Education as a broad definition informs consumers of what’s happening in your store. Inform your audience by sharing products that are available in a relatable way and what custom ers can expect when they come into your store.
Set measurable goals by tracking posts with catego ry content, and look at how that content is performing. Consider if content in one category is stronger. Is there a reason one category is doing better than others, and are you using the tone of voice you intended?
“Motion graphics are a win no matter what, so if you have a category that’s lagging, try it or perhaps includ ing people works better. You can use the people in your company; you don’t need to find models,” said Nor wood. “All of these are things you can track over time.”
SUPERCHARGE YOUR APP
One way to increase customer loyalty is to leverage your mobile app. Successful retailers use their apps to drive foot traffic while making the in-person shopping experience easier, safer and way more fun.
“The role of the app in the customer journey can modernize the customer experience if we are intention al that the entire customer journey is seamless and fric tionless, i.e., a unified commerce experience,” said Lucia Romanello Crater, executive vice president of sales and business development for Impact 21 and moderator of the “Supercharge Your App” education session.
Hayley Thrift, director of marketing for The Spinx Company, discussed how by partnering with a third party, Spinx was able to add functionality to its app and capture data, plus increase engagement. Spinx used the app to streamline its annual chicken cam paign. Customers were able to automatically sign up for the promotion when they scanned the app versus when employees put stickers on boxes and the custom er was expected to keep the box and go online to enter the contest for a year of free chicken.
“Once we engaged a digital strategy, the entry rate rose 5 times in the first year, then it was record-break ing when we hit 10,000 entries, and it made the pro cess easier for the customer and us,” said Thrift.
At Kwik Trip Inc., David Jackson, digital mar keting and loyalty manager, wanted an app that was something more than a location finder, so in 2018, Kwik Trip launched its custom-designed app.
Jackson shared three features that have contrib uted to the app’s success. First is messaging—push, inbox, in-app and pop-ups. The ability to regularly communicate with customers is the foundation of what makes the app so successful. While not neces sarily an app feature, SMS messaging adds to success because it helps drive consistent traffic to the app.
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Attendees could pick from more than 40 education sessions created by convenience retailers for retailers.
“Knowing that our customers have different pref erences on how they want to communicate, using all the channels available are useful for driving traffic to the app and to our stores,” said Jackson. “If you don’t have an app today, look at SMS. It was a great way to get started.”
Mobile ordering was the next feature Jackson highlighted. Kwik Trip launched mobile orders in 2022 with curbside and delivery service. An e-com merce platform and third-party services support KT’s delivery efforts.
“From a project and technology standpoint, imple menting mobile ordering was pretty straightforward. The biggest piece of mobile ordering is execution in the store. It’s a big change for stores,” said Jackson.
The third—and most fun—feature is the gamification of the app. Gamifi cation created a downstream effect that drove customer interaction with the app daily, use of more features and of coupons.
Denise Jenkins, vice president of marketing for United Dairy Farmers discussed what the con venience retailer’s journey has been like during the past four years while evolving its app. Jenkins shared tenets critical to success: Make it personal, make it exclusive and make it unique.
For personalization, the app addresses members by name and sends coupons on the customer’s birthday. The app is also used for two-way communications. “When we do surveys for product development and ask questions about flavors, etc., people really appre ciate the fact that you are asking their opinion. They love being involved,” said Jenkins.
Being exclusive means providing offers or deals in store or offers exclusive to loyalty members, provid ing a VIP experience. That includes features such as gas-price information, cents-off gas and other promo tions that allow customers to redeem things in store.
For UFD, being unique was quite easy. Custom ers can save on gas and get an ice cream only made by the company. App-only giveaways are another unique offering.
REINVIGORATING DISPENSED BEVERAGES
Historically, c-stores have excelled in the dispensed beverage category, so why are they struggling to re capture the market share they had in 2019?
“Things have happened that have made things a little bumpy,” said Chris Rapanick, NACS director of business development. “I’m not going to say the C-O-VI-D word … but obviously business fell off in 2020.
Some places were closed. There were mandates that prevented running dispensed beverages. Consumers were a little wary. So, the business was impacted.”
Rapanick, who moderated “Gulp! Reinvigorating Dispensed Beverages,” said things in this market segment are in the beginning stages of recovery, mainly because of increased prices (partly due to inflation), but still lag in unit sales.
To boost beverage sales, c-stores are doing a num ber of inventive things to reinvigorate the market, including introducing mixology, creating loyalty sipand-save programs, partnering with brands to create store-specific beverages and using social media to promote this category.
Ryan Ratcliffe, dispensed beverage category man ager for Maverik , said consumers seem to be looking for something a little bit different in the beverage category and are willing to wait in long lines to get it. When soda shops began to pop up around him in Utah, he took notice.
“People are paying a premium for this and will line up around the block to get it. That bothers me,” he said. “So, my goal this past year was to find a way to compete with that.”
In response, Maverik has developed its own style of mixology and taken it to social media to create a beverage buzz—and it’s working. “You can create that same soda shop drink here and save yourself some money,” Ratcliffe said.
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Tony Sparks (right), head of customer wow for Curby’s Market, connected with an audience member during the Q&A portion of Prioritizing the Customer Experience.
Merrick Rosenberg is CEO of Take Flight Learning.
For Circle K , boosting dispensed beverages involved working with PepsiCo to create a drink exclusive to Circle K. The result: Purple Thunder and a 360-degree promotion campaign for in-store and social media, said David Hall, vice president of global foodservice for Circle K.
Additionally, Circle K launched a new sip-andsave program to create value and loyalty. For $5.99 a month, customers can get one drink a day.
“We are looking at anything we can do to drive that traffic and create patterns of participation,” Hall said.
Driving consumers toward dispensed beverages instore is also critical, said Jose Salinas, director of C&G Channel for Marmon . Adding screens at the dispens ers is a great way to capture their attention. “There is a 3-19% sales increase when you have that interactive digital screen,” he said.
READY-TO-DRINK COCKTAILS
ARE SHAKING UP THE COLD BOX
Ready-to-drink beverages (RTDs) skyrocketed in popularity during the pandemic as restaurants and bars were shuttered, but demand has remained strong, said Jon Berg, vice president of thought leadership for beverage alcohol at NielsenIQ
“Spirits-based RTDs have seen a particularly impressive growth at 55%, and this trend is likely to continue,”
Berg said. “Consumers enjoy the product sim plicity, and spirits RTDs take the intimidation out of mixing a drink for themselves or for guests.”
Berg expects that double-digit growth rate to continue in the RTD spirits category, although he notes that, in an era of seemingly endless options, hard soft drink and hard seltzer manufacturers may face challenges.
“Hard soft drinks are poised for development,” he said, “but lower cost alternative brands could come into the market just as retailers need to promote more as consumers exhibit recessionary behaviors, such as seeking deals. Also, look for branded private labels to jump into this subsegment.
“Hard seltzer,” he said, “will need new innovation elements. Package type and flavor have been innova tions during the growth period to remain relevant, but new value-added components are needed. Watch for ‘good-for-you’ ingredients and claims seeking to reinvent.”
And what about wine?
“Roughly 30% of RTD purchases are reminded/ impulse purchases that rely on brand affiliation,” Berg said. “Well-known wine brands have leverage here. Creating sparkling wine cocktails—sangrias, mimosas, spritzers and bellinis—should be top of mind, as these beverages are often viewed as adjacent to RTD spirits.”
If variety is the spice of life—and of the liquor cabi net—c-stores that can use their cold vaults to provide customers with a breadth of choices will be wellserved. How to choose your inventory could be as sim ple as considering your retail location. Is shopping a primary mission? If so, having a representation of all key segments is essential, said Berg. Your location may also influence the prima ry demographics of your customer base, which in turn impacts which alcohol you should have on hand. “We tend to see shoppers in the 35- to 55-year-old range skew the highest for purchase of overall RTDs,” said Berg. “Higher income levels also index toward spirits-based RTDs. Hard seltzers have been more appealing to 21- to 44-yearold consumers.”
GLOBAL FOODSERVICE TRENDS AND MENUS
Foodservice is the key to capturing a bigger share of your customers’ wallets. “Customers fuel their cars one time a week, but they fuel their bodies three times a day,” said Frank Gleeson, president and CEO of Aramark Northern Europe and a former NACS chair man. “Customers want to buy food and beverages, and if you create the opportunity for them, you will win.”
In Northern Europe, the current focus is on highend artisan food and cracking the take-home market, Gleeson said. Because of the pace of technology, retail ers must move quickly if they want to keep up—much
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Attendees at the Gulp! Reinvigorating Dispensed Beverages education session heard advice about ways to reignite sales in this key trip driver, which took a hit early during the pandemic.
Mark Wohltmann is director of NACS Global.
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less stay ahead. He advises others wanting to become or stay relevant in foodservice to focus on technology, flexibility and evolution.
“Technology is moving so fast, it’s really about the pace of that change,” he said. “Everyone has raised their game because of the competitive market. The evolution has to move all the time. You cannot sit still. The store today won’t succeed in the future.”
In South Africa, the food focus is all about a diverse range of products. Joe Boyle, managing director for FreshStop South Africa , describes the country as one of extremes. Extreme rich and poor, hot and cold, friendly and violent.
FreshStop stores offer a large variety of foodservice in a small space to give customers what they want. From fried and grilled chicken to sausage and salmon, these APCs account for 30-35% participation in the food area.
Boyle said even stores with little space can enter the foodservice market. “Look at appetite and space, and start with one APC and then build it up,” he said. “Make it as easy as possible by using products that are 90% prepared before coming to the store.”
Central American c-stores offer typical food prod ucts such as pizza, subs and hamburgers, but they also offer traditional local products from independent producers, said Pablo Andonie, president and CEO of AMPM Centro America .
“Each country has different products and typical traditional things, so we offer items that appeal to that market. Diversity is the key word,” Andonie said.
In Georgia, Saba Jishiashvili, COO of Sun Petroleum (Gulf) Georgia , created a market for hotdogs—a completely new food for that region. That market sky rocketed from selling 500 hotdogs per day to 30,000 per day now.
Mark Wohltmann, NACS global director, moderated the panel and noted that he remembers when foodser vice at c-stores was just a concept.
“In the early ’90s, our industry was talking a lot about foodservice as an idea. Now, 30 years later, here we are in a packed room talking about real foodservice.”
FOODSERVICE ANALYTICS: THE RECIPE FOR SUCCESS
Convenience retailers shouldn’t be winging it when it comes to foodservice—even if wings themselves happen to be their specialty. Data and analytics are critical in all profitable enterprises, and food is no exception.
“In addition to the POS and back-office systems, there are specific systems needed for foodservice management,” said Kay Segal, president and manag ing executive of Business Accelerator Team . From managing waste and cost to planning an efficient pro duction and a data-driven menu, these technologies can—and should—support operations at every turn.
“On the equipment side, ovens and other food service equipment with IoT allow you to monitor equipment and push out menu updates from a central location,” said Paul Servais, retail operations food ser vice director for Kwik Trip. “This is huge for chains with multiple stores. From a data standpoint, there are so many ways to gather it, from homegrown systems to purchasing a suite of software that will require 20 or more IT experts to implement and interpret the data. These are struggles we all deal with, and there’s no easy answer,” Servais said.
“A baseline for any strong food analytics platform is a well-organized price book,” adds Steven Turner, vice president of foodservice and strategic sourcing for Refuel Operating Company. “Having consistent item numbers, UPCs and menu descriptions and removing ‘open food keys’ will allow you to accurately measure performance, manage recipes and pricing and build tools to optimize performance.”
Turner also recommends Wi-Fi-connected labeling systems for easy updates of prices and menus, as well as production management tools to guide what to prepare and when to prepare it.
“A well-developed production management tool does two things,” said Turner. “It grows sales by having the right product out at the right time and improves profitability by making sure you don’t have the wrong items out at the wrong time.”
Just breaking into foodservice? Turner has advice there, too.
“The No. 1 thing for anyone just getting into food is sales is this: Are you growing sales units and dollars? Focusing too early on anything else will stifle growth and limit your long-term profitability,” Turner said.
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L to R: Mark Wohltmann, NACS Global; Frank Gleeson, president and CEO of Aramark Northern Europe; Joe Boyle, managing director of Fresh Stop; Pablo Andonie, president and CEO of AMPM Centro America; and Saba Jishiashvili, COO of Sun Petroleum Georgia, discussed global foodservice trends.
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“As you are building out your food program, looking at things like recipe costs and menu margin analysis (how profitable each menu item is at a specific retail price) will help make sure you are setting yourself up for success.
“When we open new stores or add food to new loca tions, we do not set profit targets until after 90 days— only sales targets,” he said. “For those that aren’t new, regular reviews of menu performance is something that often gets neglected. Bottom-performing items in sales (units) and margin (dollars) should be reviewed, reworked and/or removed. In my experience, doing this allows you and your team to focus more energy on the profitable part of your business.”
PRIORITIZING THE CUSTOMER EXPERIENCE
Personalization is the holy grail—in data and how it translates to molding your business to better serve customers. That was the message at “Prioritizing the Customer Experience,” where Tony Sparks, head of customer wow for Curby’s Market , and Peter Rasmussen, CEO and founder of Convenience and
Energy Advisors, tag-teamed a presentation that included a look at data harvesting and how to parlay it into a meaningful and relevant customer experience.
Elevating the customer experience always begins with data, Rasmussen said. Although marketers and operations have plenty of data, they struggle to mine it, surface their most important customer segments and respond to their customer needs in real time. In fact, 95% of data within organizations remains untapped. “In a world with too much data, find the points that matter,” he said. “Customers are going to lean toward brands that do that well.”
Data not only can tell you what your customers want right now but combining it with machine learn ing can add a predictive element that can tell you what they’ll want tomorrow or next week. In fact, predic tive analysis is the future of data, said Sparks.
“Data is the science, but it’s really only half the sto ry,” he said. “There is an art to taking it and actually doing something with it. Data is just things that have happened in the past that reveal customer behavior.”
Apps are a good way for companies to collect data
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SPONSOR SHOUTOUT
New this year, NACS hosted a Food Safety Conference on October 1—the first industry-specific event of its kind for the global convenience retail community. “NACS members have a role to play to move the industry in the right direction and help our businesses reduce their risks and protect their brands,” said Dr. Jay Ellingson, chief scientific officer at Wisconsin-based Kwik Trip and conference moderator.
NACS extends a special thank you to our NACS Food Safety Conference Premier sponsor, Ecosure, a division of NACS Hunter Club member Ecolab, and our General sponsor, Testo, for their dedication and expertise to advance food safety and safe foodhandling procedures and processes in the convenience retail industry. Their support contributed to the success of the inaugural NACS Food Safety Conference. Visit Ecosure at www.ecolab.com/solutions and Testo at www.testo.com to learn more.
while providing a customer experience, but the world is “over-apped” these days, said Rasmussen. It is difficult to get people to use your app, much less add a payment to it.
“Ninety percent of consumers use loyalty apps but are less likely to do so for c-stores,” he said, which is why a multichannel approach can help you connect with your customers. Third-party apps like Upside can help you fill in the gaps during your non-peak hours and bring first-time customers to your c-store.
“I have a lot of respect for Upside and how they have caused a disruption,” Rasmussen said. “They have 30 million users and could ultimately lead them to our stores.”
Lisa King is managing editor of NACS Magazine. She can be reached at lking@convenience.org
Kim Stewart is editor-in-chief of NACS Magazine and editorial director of NACS. She can be reached at kstewart@convenience.org.
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REIMAG
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D REDUCTION
Additionally, enhanced visibility into waste management at a macro level means increasingly efficient action taken toward diversion across locations. Customers can ensure that all locations are participating in and driving increased diversion levels and identify if certain locations need alternative service offerings to help them meet their diversion goals.
Q: HOW DOES THIS CONTRIBUTE TO ESG OR CORPORATE SUSTAINABILITY GOALS?
Waste diverted from landfills (waste diver sion) is a key data point used in reporting on overall ESG goals, specifically for the E (environmental). Organizations with ESG goals—particularly those focused on “The E”—must consider all areas of their business to identify changes that produce measurable results, such as waste diversion and reduc tion of carbon offsets.
To achieve these goals, alternative waste solutions need to be implemented. These include, for example, traditional recycling
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WASTE TRACKING
Find economic value in your waste streams and confidently execute on your sustainability goals.
methods, organics programs, e-waste, reusing hard-to-recycle items and over all focus on circular economy practices to keep material out of landfills. In a circular economy, products no longer have an end of life. When a material is no longer useful in one system, it doesn’t become waste but rather becomes a valuable input in a sepa rate process. Businesses are fundamental in driving widespread awareness and adoption of such practices
Q: WHAT IS RUBICON’S VALUE PROPOSITION—WHAT SETS YOU APART FROM OTHER COMPANIES?
At Rubicon, we are on a mission to end waste. Not just physical waste that busi nesses, government and other organiza tions produce in their daily operations but wasted time, money and energy. Our work is driven by a commitment to keep waste out of landfills and to create a circular economy through recycling and reuse. We help our partners find economic value in their waste streams and confidently execute on their sustainability goals.
Rubicon focuses on developing software solutions that bring new transparency to the waste and recycling industry—encouraging customers to make data-driven decisions that lead to more efficient and effective operations, as well as more sustainable outcomes. Our RUBICONConnect portal is a one-stop-shop for waste collection transpar ency, diversion reporting and cost savings.
Additionally, Rubicon does not own gar bage trucks, landfills or any other waste col lection assets. Instead, Rubicon partners with over 8,000 local and regional waste haulers, which allows us flexibility to make decisions in the best interest of our customers.
In August, Rubicon listed on the New York Stock Exchange (NYSE: RBT). Becoming
a publicly traded company is a tremen dous step forward for Rubicon that will elevate its platform and products, while accelerating our mission to end waste through the reimagining of the waste and recycling category.
Q: DO YOU HAVE PROGRAMS FOR SMALL AND MIDSIZE CONVENIENCE RETAILERS THAT COULD HELP THEM MOVE TOWARD MORE SUSTAINABLE WASTE-DISPOSAL PRACTICES?
We work with many companies of varying sizes. Rubicon has a Key Account division which supports the larger, multi-site/multistate portfolios, as well as a Small Business division, which can support smaller portfoli os of one or more locations.
We recognize that change must be made at all levels in order to effectively end waste. To this end, Rubicon strives to provide the same quality of service to its small and midsize customers as it would a large retail chain, often at a lower cost than their previous pro viders, which allows them to allocate these savings into other areas of their business.
Our Key Accounts onboarding process takes approximately 60 days from contract signature to program start date. Small busi ness clients, however, can be launched in as little as five business days.
Q: WHAT IS THE FUTURE OF WASTE TRACKING AND WASTE REDUCTION?
The application of technology in the waste and recycling space will continue to grow with the demand for visibility as it applies to waste tracking and reduction. I believe the increased focus on sustainability will require providers to continually offer alternative solutions to the traditional trash-to-landfill model, placing increased material volume into the circular economy.
NACS NOVEMBER 2022 61
This interview is brought to you by support from Rubicon Technologies Inc., a NACS member.
cyano66/Getty Images
Jamie DelliSanti Senior Strategic Account Executive www.rubicon.com
esehTerafdnaecneinevnoc u e l r e ta i lers ’favorite new products .
Top 10 Cool New Products of the 2022 NACS Show
The Cool New Products Preview Room at the 2022 NACS Show, October 1-4 in Las Vegas, offered NACS Show goers the chance to check out the latest products, flavors, packaging and technology innovations available to the con venience and fuel retailing industry.
The Cool New Products Preview Room is based on the Show Expo and organized into five categories—Facility Operations, Food service, Fuel Equipment & Services, In-Store Merchandise and Technology.
Retail buyers always get a first look at the latest new products featured in the preview room on the opening day of the NACS Show, one day before the Expo floor opens. Then retailers get exclusive morning access on day two of the Show before the Cool New Products preview room opens to everyone late morning.
“In the Cool New Products Preview Room, retailers can find a snapshot of new products, trends and innovations in the industry,” said Nicole Walbe, NACS director, supplier engagement. “They can use what they see in the preview room as a ‘roadmap’ of what to look for in the Expo when it opens.”
During a visit to the room, Show goers scan their favorite new products using the official NACS Show mobile app, then Walbe’s team tallies the scans each day and shares the top 10 via the NACS Show e-Daily newsletter.
This year, there were 11,435 total scans.
Of the more than 300 products featured in the Preview Room, the final top 10 (based on scans) were:
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Coen Markets TXB Stores Kwik Trip Lou Perrine’s Gas & Groceries 66 NOVEMBER 2022 convenience.org
The Walk-Off Market, powered by Amazon
Redefining the Customer Experience
From technology to food, retailers featured in the 2022 Ideas 2 Go program are raising the bar on what convenience means to their communities.
BY CHRISSY BLASINSKY
Convenience retailers
continue to redefine what convenience means. This year’s Ideas 2 Go program, which made its debut at the NACS Show in Las Vegas, showcases how companies are revolutionizing the customer experience and delivering excitement with new and unique offers—from the forecourt to store shelves to cashierless checkout.
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TXB Stores
TXB—which stands for Texas Born—is a complete 180 from the previous Kwik Chek convenience stores in Texas and Oklaho ma. The reimagined concept begins with a 6,000-square-foot store, located in George town, Texas, an Austin suburb.
“We use the term Whole Foods meets Hill Country,” said CEO Kevin Smartt. “It’s a new convenience store concept, but it’s not any thing radically different—it’s just authentic.”
The emphasis on food is undeniable, with fresh prepared Tex-Mex fare like homemade tortillas, tacos and quesadillas. “We’re trying to be a place that’s easy to get in and out of that serves the freshest, highest quality food that it can serve. Everything we have in the store, food wise, we make here,” said Smartt.
TXB also places a big focus on private-label products, from tumblers to beef jerky. “Pri vate label represents the brand, and our goal is to try to source everything in Texas, and we have so far,” said Smartt, adding that the com pany is creating a lifestyle brand with TXB.
The Walk-Off Market, powered by Amazon
Amazon brought its Just Walk Out and Amazon One frictionless technologies to T-Mobile Park for the first time at a Major League Baseball ballpark. The in novative technologies are featured at the venue’s new Walk-Off Market, which is designed to eliminate lines and allow fans to enjoy baseball.
“This type of buying experience is new for us but desperately needed,” said Malcolm Rogel, vice president of fan experience for the Seattle Mariners. “It’s different than football and soccer where you have a half … so we needed some thing that can get food and beverages to the fans quick so they can be back to their seat in no time,” he explained.
The Walk-Off Market is stocked with a wide selection of beer, from craft to domestic and imports, as well as Northwest wines and ready-to-drink cock tails. The store also features a variety of Coca-Cola products, grab-and-go snacks, hot dogs, nachos, soft pretzels and Mariners-branded merchandise.
Lou Perrine’s Gas & Groceries
Single-store operator Anthony Perrine became a two-store operator in April with the opening of a new Lou Perrine’s Gas & Groceries convenience store in Kenosha, Wisconsin. The location taps into the history of the company that his grandfa ther built with nods of nostalgia in store décor and aesthetics.
“We are a community hub where people come together. My grandpa used to say they’re not just a customer, they’re family. There’s an emotional attachment to them—we want them to feel like family, and we want to get to know them as if they were our family,” said Perrine.
While staying grounded in the values his grandfather estab lished, the second store gave Perrine a chance to showcase his vision for the company.
“This new store gave me the freedom to have fun and get creative, because I think it adds massive value to the custom ers. … I rode the coattails of my dad and my grandpa. I really want to be able to put my name out there and make my bones my way in a unique fashion,” he said.
Coen Markets
About six years ago, Coen was a collection of retail brands in the greater Pittsburgh area that included Co Go’s, Kwik King and Ruff Creek Markets. Today, Coen is consolidating its brands into Coen Markets and estab lishing a unified image and opening next-generation stores in a highly competitive c-store market.
“We’re on our way to consistently doing new builds,” said Charlie McIlvaine, Coen chairman and CEO. “It’s about creating a retail environment that is attractive, inviting and meant to say ‘fresh’ and it’s meant to say ‘food,’” he said.
Coen is also creating a frictionless experience, where customers can take advantage of the Coen Club mobile app, use self-checkout kiosks and touch-screen kiosks for food orders, and soon AI-enabled checkout-free technol ogy by Grabango.
“This is the advent of cashierless checkout, which is taking another layer of friction out of the customer experience,” said McIlvaine. “We are now in data testing mode, allowing this system to learn through AI as peo ple come into the store.”
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Kwik Trip
La Crosse, Wisconsin-based Kwik Trip’s 800th store showcases its third-generation concept. The store, located in Holmes, Wisconsin, is roughly 2,000 square feet larger at about 9,000 square feet and features an updated color scheme, new floor ing and ample space for customers to shop the store.
“Giving guests room to move felt easier and more comfort able than our previous stores, where things were a little tight at times,” said Carl Rick, training manager and owner at Kwik Trip. “We really opened the store a lot, which with COVID-19 helped a lot. People liked more space,” he said.
The new store also allows Kwik Trip to focus on food—espe cially the dinner daypart.
“We have expanded to fresh chicken in all our stores,” said John McHugh, director of public relations. In terms of meal solutions, he says that Kwik Trip wants to be known for more than chicken and pizza, and that includes fresh meats. “For those who still like to grill out in the evening, you can stop at Kwik Trip and get steaks, hamburgers and chicken breasts. We want to be known as the full meal solution for all your options, not just a few,” he said.
Wakepoint LBJ
Fuel. Food. Fun. That’s the tagline for Wake point JBJ, a unique convenience store, bar, barbecue joint and home of live music on Lake LBJ in Kingsland, Texas. Whether customers come by boat or car, Wakepoint is the destina tion for water enthusiasts and those enjoying the outdoor space for live music, festivals or Sunday gospel services.
“The anchor to the concept was going to be the convenience store, but being on the lake, we wanted to add an experience to the traditional convenience store experience. And from there it just blossomed,” said owner Scott Westlund.
The customer experience can be felt from all areas of the lakefront location, a goal Westlund kept in mind while developing the concept.
“We spent a lot of time designing the feel of the store. We wanted to be welcoming, warm, a higher level of offerings and took the idea of wanting that experience and brainstorming other ways we could make this site something unique for everybody who passes through our doors,” he said.
Ideas 2 Go showcases how retailers today are operating the convenience store of tomorrow.
To see videos of the c-stores we profiled in 2022 and earlier, go to www.convenience.org/Ideas2Go
Chrissy Blasinsky is the content communications strategist at NACS and can be reached at cblasinsky@ convenience.org.
72 NOVEMBER 2022 convenience.org
POWERING C-STORE COMMERCE Our dedicated c-store channel experts deliver custom, data-driven solutions that drive demand, increase sales and lower costs for brands, chain retailers, independents, foodservice operators, wholesalers and redistributors. Headquarter Sales Cultivating stronger, more strategic partnerships between brands and retailers Retail Services Providing superior ROI through dynamic routing and custom coverage Analytics, Insights and Intelligence Delivering actionable shopper, market, category and competitive insights Business Process Outsourcing Improving customer relations and cash flow while reducing costs advantagesales.net
74 NOVEMBER 2022 convenience.org Tunnel
by kim stewart; ecco/Shutterstock
BY KEITH REID
NACS NOVEMBER 2022 75 Ricky Rockets uses its unique car wash to lure in customers.
Tunnel of Suds photography
Ricky Rockets features its car wash as a top customer traffic driver.
ou notice it driving down the road—indeed, you can’t miss it. The multistory glass storefront with a 1950s’ style, iconic display of a boy riding a rocket. Then, there is the long line of dispensers. The multiple foodservice operations are in tegrated on the property, some inside the c-store and others as tenants in a smaller-scale strip mall on the property. And then there is the car wash … a tunnel, often conveyor driven, that similarly works to visually draw in the potential cus tomer while providing a core profit center.
“We have this philosophy of being open and bright,” said Nathan Heidner, Ricky Rockets president. “When you come to any of our sites, you’ll see the whole glassed-in front that allows natural sunlight in and visibility into the store and out to the forecourt as well. One of our core ideas is a strong visual appeal showcasing that we offer something different compared to everyone else.”
Ricky Rockets is a family-owned company managed in part by three brothers who as sume various areas of responsibility. Nathan’s brother Zachary oversees much of the devel opment and design. His brother Collin shares in the operational oversight.
wanted to come inside,” Heidner said.
The architectural style serves as a core mar keting mechanism. The real estate tends to be on high-traffic corners and at traffic lights, and the presentation is designed to create word-ofmouth promotion. Each of the core profit cen ters can stand on its own and, at the same time, work together to multiply the spend while on site. There is highly visible Ricky Rocket branding on merchandise and private-branded store products like energy drinks.
“The goal is an upbeat, family friendly experience for people everywhere,” Heidner said. “We wanted to create an all-in-one-stop shop for the safety and convenience of our customers. We provide quick and efficient service, with a positive attitude. We hope to exceed all our customers’ expectations with a family-inviting culture.”
The company operates in nine sites, eight in Illinois and one in Texas. An additional two stores are coming online in Illinois by the end of the year and one more in the first quarter of 2023.
THE CAR WASH
It’s hard to rank the profit centers given how thoroughly they are integrated into a cohesive package. However, the car wash operations tend to be a dominant feature of the site and a core draw run in much the same way as an independent car wash.
Part of this involves the use of a tunnel wash and a move toward conveyor systems to minimize the risk of damage to customers’ cars and to better control the wash process.
“We really like going the full-tunnel route and having a fairly large tunnel,” said Heid ner. “We pride ourselves on delivering clean cars and dry cars. With a shorter tunnel, it
76 NOVEMBER 2022 convenience.org
larly—once a day if they would like with our pass program,” Heidner said. “We like to offer a discount at the gas pump for customers without the monthly pass who get a car wash. It energizes more traffic to the wash and the rest of the offers at the site.”
In keeping with the operation’s core goals, significant effort is spent maintaining wash cleanliness and uptime.
“We have staff that are there all the time it’s running,” Heidner said. “They’re cleaning it out, making sure it’s looking great and that everything’s functioning properly. And we do preventative maintenance to make sure everything’s running smoothly and the cus tomers are getting what they paid for when they go through that car wash.”
Color, scent and lighting are all part of the wash experience. Glass is used as extensively as possible to help market the wash experi ence to passersby. As with all company offers, the goal is to provide a high-end experience that’s priced affordably.
“We definitely believe our washes are com petitively priced in the market,” said Heidner. “They’re not the $3 washes, but we have a lot more bells and whistles than what others have to offer. And the quality is great as well.”
FUEL AND EVs
On the fueling front, Ricky Rockets carries diesel, the common three grades of gasoline and E85. One location offers racing fuel. The company is branded Shell and Mobil, and the forecourt features more than ample fueling positions. For example, the most recent location offers 24 of the latest DFS Anthem UX large format display dispensers. The company works with Prairie State Energy for its fuel supply.
NACS NOVEMBER 2022 77
We wanted to create an all-in-one-stop shop for the safety and convenience of our customers.”
Nathan Heidner, Ricky Rockets president, with Grayson Giroux, general manager of the Buffalo Grove location, and Collin Heidner.
We really like going the full-tunnel route and having a fairly large tunnel.”
All of the new sites feature EV charging stations, and planning is in place to expand the charging footprint as the market dictates. Co-located, large lot fleet fueling that supports Class 8 trucks can be found at some locations.
STORE OPERATIONS
Ricky Rockets supports the usual core store profits centers, but every offer receives special design and branding attention. There’s a beer cave, and coffee and dispensed beverages are presented as “oasis” destinations on the floor plan. Foodservice runs from a roller-grill island to a range of meal replacement and QSR offers, often through multiple outlets at each site, which feature either an integrated or separate strip mall capable of housing multiple tenants.
For example, the Buffalo Grove location will feature a Joe’s Doughnuts, and a Jimmy John’s will offer drive-thru service. A new local franchise foodservice offer called Corned Beef Factory will be a tenant. An indoor dining is also provided.
The company offers a range of private-label
snack and beverage products, which Heidner notes are competitive with the national brands. It also offers a range of branded merchan dise—mascot plushies, shirts and hats. “We have children that get excited with our Ricky Rockets mascot,” he said. “We also have free kids’ rides at almost all of our locations.”
Buffalo Grove store General Manager Grayson Giroux stated that two racks of Ricky Rocket t-shirts sold out within two weeks.
Some locations also feature amusements for adults, such as private gaming rooms. And they offer a range of general merchandise of the type that can be found at a typical travel plaza but with a more curated selection.
It almost seems like too much, but Heidner states going over the top creates a synergy that pays off. “A person stops to get gas or a car wash. They come in and get a Jimmy John’s sandwich or their doughnut. Maybe they get some snacks for the road or anything else they may need for that day, because we really do focus on having a plethora of items. Everything plays off each other. And that’s our main focus.”
Keith Reid is editor-in-chief and editorial director of Fuels Market News. He can be reached at kreid@FMN.com.
78 NOVEMBER 2022 convenience.org
The car wash is designed with the maximum use of glass to help present it as an “event” to potential customers.
Ricky Rockets offers customers free vacuums, part of the car wash operation’s amenities.
A tunnel wash is standard for both the custom er experience and wash quality, by offering a longer drying cycle, for example.
BRAND. HOMETOWN FEEL.
We know that the true power behind the Cenex® brand comes from our locally-owned retailers – valued partners who are invested in their customers and community. That’s why we’re committed to your success and helping you build your business from the moment you become a Cenex® retailer. From flexible brand conversion and marketing, to convenient payment processing and training programs, we can provide your business with the support it needs to help you grow.
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Cool New Products Guide
This advertorial-style guide of services and packaging appears monthly and is an information-packed tour of ideas and approaches that can change how consumers view your store or choose your brand. It spotlights the newest thinking in convenience and fuel retailing and gives you an advance look at ways of staying in front of industry trends. Products are categorized the same way we organize the Cool New Products Preview Room at the NACS Show each year in October— New Design, New to the Industry, New Flavors, Health & Wellness, Green (EcoFriendly), New Services and New Technology Products are considered “new” this year if they’ve been introduced since October 2021. The products featured here also can be seen in the Cool New Products Discovery Center at www.convenience.org/coolnewproducts
World’s Tastiest Party Punch
At 11.1% ABV, BeatBox is the ultimate portable Party Punch. Low sugar, gluten free, eco-friendly, non-carbonated, & resealable so you can take the party on the go. Product line-up includes seven incredible flavors: Blue Razzberry, Fruit Punch, Pink Lemonade, Tropical, Peach Punch, Cranberry Dreams, and our newest flavor Juicy Mango. Also available in Zero Sugar 6% ABV.
Waste & Recycling Software
Rubicon’s smart waste and recycling management products help retailers increase recycling and diversion rates at every step of the supply chain. Enhanced visibility into your operations means deeper insight into your waste streams, informed decision making, and increasingly efficient action taken across locations. A cloud-based platform enables you to cut costs by improving process efficiencies, drive transparency through data visibility, and achieve sustainability goals. Visit Rubicon.com or email hello@rubicon.com to get started.
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Juicy Mango BeatBox Beverages NEW FLAVORS
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The on-the-go tea consumer has never had the chance to enjoy high quality tea served in a convenient solution. We have created the first sustainable convenience tea bag for demanding tea drinkers around the world. Our dedicated tea leaf cut allows quick brew while still using long leaf size cut. Designed for 12-16 oz sizes our premium tea meets the expectations of the modern convenience and coffee shop market around the world. And our product is made with 100% biodegradable, plastic free packaging.
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Designed for customers looking for a rich, up-scale Italian styling for maximum visual appeal, that will drive product sales. Available as a floor standing model with base, or as a drop-in countertop installation. The new Italian Glass heated merchandiser elegantly displays hot foods, including deli and prepared foods. Electronic temperature and optional humidity controls, help food stay fresh longer, which means less waste and maximum profits. Also available in refrigerated & non-refrigerated models, and designed for seamless line-up applications. Visit us at www.federalind.com
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NACS NOVEMBER 2022 81
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cbdMD Inc.
cbdMD Delta 9 THC Gummies - 2 Flavors including Cherry & Blue Razzberry
NEW C-Store PROFITABLE hemp-derived cbdMD Delta 9 THC Gummies
cbdMD hemp derived Delta 9 THC Gummies are the perfect combo of highly effective and highly affordable. Delta 9 THC is very similar to the “raw” THC found in the hemp plant, altered only slightly by the heat applied in the extraction process. Our Delta 9 THC formula combines hemp-derived THC with the power of CBD, and everything else hemp has to offer. As always, all cbdMD Delta 9 products are manufactured from Farm Bill compliant US Grown Hemp and our 10mg Delta 9 THC Gummies contain less than 0.3% THC on a dry weight basis + 50 mg of CBD per gummy. Available in 5-count packets - 2 flavors; Fast growing CBD product segment; Tested by independent ISO 17025 certified labs for quality and consistency. Take advantage to finally sell real, Delta 9 THC in your store and elevate INCREMENTAL profits. For more information contact Brian Marks - Chief Customer Officer, cbdMD via email at brian.marks@cbdmd. com -OR- storehelp@cbdmd.com Open your mind and profits with cbdMD $9.99 Retail / +50% Margins / $119 Retailer Profit Per Sq Ft
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ampm sausages are made with all-natural, high-quality ingredients that don’t need additives to keep them moist and don’t roll for hours on end. Our Smoked Spicy 3-Pepper Sausage is packed with a medley of fresh jalapeños, crushed red chilies, and spicy habaneros, altogether pepper-smoked. The timeless flavors in our Smoked Ultimate Italian Sausage encircle melt-in-your-mouth mozzarella cheese. Customers will have to come back for more, and they’ll only get it at ampm. Explore franchisee opportunities at www.arcoampmfranchisingsouth.com.
Bidi Vapor, LLC
BIDI® Stick
Vaping Device: 11 Flavor Options
Premium, innovative, and sustainable. These are key qualities of the BIDI® Stick, a disposable e-cigarette that is available in 11 flavor variants with nicotine derived from tobacco. After a court ruling in August setting aside the FDA’s marketing denial order, Bidi Vapor is one of the few remaining companies that can legitimately sell non-tobacco flavors. Designed and engineered to deliver adult consumers 21 and over a unique and premium vaping experience, the device comes in a single pack, 10-pack cartons and a 100-pack acrylic display case. Visit http://wholesale.bidivapor.com.
82 NOVEMBER 2022 convenience.org
Smoked Spicy 3-Pepper Sausage & Smoked Ultimate Italian ampm
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CakeBites
FILLED
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The next revolution in cookies are here…Introducing FILLED, by CakeBites. Start with a crunchy cookie shell and FILL IT with mouth-watering fillings and enrobed in array of coatings and toppings! 3 Flavors will be available in Q1 2023, Cookies & Crème, The Peanutter, and TWIX®. All flavors will be available in grab & go pouches and come in a 10ct counter display. Breathe new life into the cookie category with these marvelous cookie creations! Contact fgardner@cookiesunited.com for all sales enquires.
Fire Dept. Coffee
Nitro-Charged, Ready-to-Drink Coffee
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NEW to the ready-to-drink coffee category is Fire Dept. Coffee’s Nitro Cold Brew collection. The cornerstones of the line, Nitro Irish Coffee and Nitro Vanilla Bean Bourbon, are the first-of-their-kind, non-alcoholic, canned nitro cold brews infused with real spirits – using our proprietary infusion process since 2016. The collection also features two additional varieties: Nitro-Charged Latte and Nitro-Charged Shellback Espresso. Each Nitro Coffee comes in 7-oz single-serve cans. For more information, reach out to retail@firedeptcoffee.com.
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Seltzer
True North goes beyond the average seltzer (also known as sparkling water). Our plant-based energy blend is infused with natural caffeine from plants such as Guayusa, Ginseng, Guarana, and Green Tea. But we didn’t stop there. We wanted to give you the added benefit of an immunity boost so you could feel good about fueling your body with everything it needs to keep you going on your journey. We kept all the stuff out that you don’t need, so you won’t find any sugar, nor sweeteners of any kind. We also stayed away from artificial flavors or colors. When we say natural, we mean it. Our products do not contain any chemicals or GMO’s. True North gives you the purest of energy for your next adventure. For more information, call (844) 538-7742 and visit www.truenorthenergy.com
NACS NOVEMBER 2022 83
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ZipTrack® ZipTrack® Trion NEW TO THE INDUSTRY Rubicon 80 OLM Food Solutions 81 BeatBox Beverages 80 Federal Industries 81 Flash Sales.......................................................................... 81 Revolution Tea.................................................................. 81 AMPM 82 Bidi Vapor, LLC 82 CakeBites 83 cbdMD Inc. 82 Fire Dept. Coffee 83 Trion.................................................................................... 84 True North Beverage..................................................... 83 INDEX GREEN NEW TECHNOLOGY NEW DESIGN NEW FLAVORS NEW TO THE INDUSTRY
Stay for Dessert
BY AL HEBERT
Gretchen’s Goodies is a different kind of c-store. John and Gretch en Montgomery met 15 years ago while working on Wall Street. A conve nience store in Riverview, Florida, is a long way culturally and geographically from the world of high finance. They moved from complex financial transac tions to decadent desserts in a cup.
“We moved to Tampa and bought a gas station in Riverview after growing weary of the corporate world and want ing something different,” John said, adding, “It’s a beautiful gas station with high ceilings.”
Gretchen’s Goodies opened in Sep tember 2021. The c-store had an existing restaurant, but the couple wanted to have a food program in which Gretchen could use her passion for her lifelong hobby of baking. “Since I was a teenager, I’ve loved to bake,” said Gretchen.
“We initially planned on serving three different cakes in a cup—choco late, vanilla and red velvet. We liked the idea of dessert in a cup—it’s easier to eat, doesn’t make a mess and is something that can be had on the go, which is per fect for a gas station,” Gretchen said.
“Since John has a good key lime reci pe, we experimented with serving slices in clamshell containers; however, it wasn’t nearly as convenient as the cake in the cup. So, on a whim, I put the key lime pie in a cup with layers of filling and crust. It worked, and people loved it,” Gretchen said.
If they could do this in a cup, then anything could go into a cup. The couple had other pie and cheesecake recipes and converted them into the cup format.
Gretchen and John Montgomery opened their desserts business in 2021.
“For the pies and cheesecakes, we do two layers of crust and then two layers of filling. Most of them have our homemade whip cream on top. We make everything from scratch. For example, when we make apple pie, we peel our own apples,” she said.
It’s the attention to detail and pains taking effort that makes the difference. A good example is caramel sauce.
“We make our own caramel sauce with granulated sugar. It takes six hours to make a huge batch. It would be much easier and faster if we used a simpler method with a different type of sugar. But it wouldn’t taste nearly as good. With our method, you can taste the homemade flavor, and the effort is worth it,” Gretchen said.
“Gretchen comes up with an idea and makes an initial version. Friends
and customers give feedback, and we try several variations at home until it’s perfect. Then we mass produce it at the bakery,” said John.
THE FREEZE TEST
“We want to offer a huge variety of desserts and in order to do this, we have to mass-produce them and then freeze them. However, before we launch a new item, we freeze it and then defrost it over 24 hours. Then we do a blind taste test where we compare it to a non-frozen version. If we can tell a difference, we don’t release it and try again,” explained John.
“The freezer is a big part of our mod el. We tell everyone it’s fresh because it’s frozen as soon as it’s made. It tastes fresh,” he continued.
86 NOVEMBER 2022 convenience.org GAS STATION GOURMET
Gretchen’s Goodies in Riverview, Florida, gives fuel customers a sweet reason to come inside.
Gretchen says busy definite plus for the business she operates with her husband, John.
It can take time to get things right.
“If any mass-produced batch isn’t perfect, then we pull it, analyze what went wrong and update the process. We recently produced 500 goodies for a new keto dessert. Gretchen tasted it, hated it and said to get it out of her bakery. We tossed them and changed the recipe. The new version is amazing and a direct result of our commitment to quality,” John said.
“Customers walk in and the first im pression is you’re in a gas station. There is no way this can be good. We recog nize that our goodies can’t just be good. They have to be great,” he said.
As business increased, so did the inventory of bakery items.
“We ran out of freezer space. We had extra space in the back, and we bought
a giant freezer container like you see on cargo ships. We put shelving in it and can now store 15,000 goodies,” he said.
John and Gretchen work hard to make sure everything works together. They have 10 different crusts. There’s some experimentation when trying to find the right crust for the right dessert.
“We tinker. We found that an Oreo crust makes caramel taste better. We always want to make it better. We want you to walk away saying, ‘This is the best version of that dessert I’ve ever had,’” John said.
The Montgomerys have no formal training, no culinary school experience, just passion. Passion works. How do customers respond to a bakery in a gas station? Sales are over $100,000 a month and growing.
GAS STATION FOOT TRAFFIC Gretchen reflected on the success. “I’m not sure this first location would have been as successful if we had opened in a random strip mall with no previous track record. We’re in a high-volume gas station right off the highway with a wide variety of customers. While many people would view a gas station as a negative. We view it as a positive.”
When they launched, customers were already coming to the store.
“They liked it. They told their friends, and the next thing we’re all over Facebook. The initial growth was helped by location and the foot traffic in the gas station.”
Adds John, “The fact that the gas station is open 24/7 allows the bakery to be open 24/7. The c-store employees are trained to sell in the bakery. So, if someone comes in at 2 a.m. they can get a goody. We get a ton of DoorDash and Uber orders in the middle of the night.”
John is looking at growth.
“While making 70 desserts (and counting) is complex, we believe we can grow sales significantly. We’re ex ploring mail order and additional loca tions, including other gas stations with our commitment to quality,” he said.
“We believe that if executed properly, a franchise model could be successful. For franchisees, we would make core desserts available yearround and then have a rotating menu of new offerings changing every month. We would make the desserts in a cen tral location and then ship them frozen, similar to ice cream.”
In the meantime, John and Gretchen will continue to create goodies that put smiles on customers’ faces when they take that first bite. John sees it simply: “We’re in the business of making people happy.”
A sampling of the made-from-scratch desserts in a cup in clude pumpkin spice, double chocolate, chocolate salted caramel and vanilla bean with berries.
Al Hebert is the Gas Station Gourmet, showcasing America’s hidden culinary treasures. Find him at www.GasStationGourmet.com.
NACS NOVEMBER 2022 87
Grape Expectations
The wine category is gaining interest from c-stores, spurring growth prospects ahead.
BY TERRI ALLAN
Despite a decline in average con venience store sales last year, the wine category is more sizeable and has grown in consumer and retailer interest in recent years. Indeed, optimism abounds that the c-store channel will continue to develop as a preferred outlet for wine for years to come.
“The two-year trend is still positive,” said Tom McGinty, vice president, busi ness and wholesaler develop ment, at Trinchero Family Estates, marketer of brands including Sutter Home, Ménage à Trois and Bandit, of the category’s performance in c-stores.
Moreover, “it’s import ant to note that the conve
nience channel is outpacing other chan nels for wine category growth,” he added.
According to the NACS State of the In dustry (SOI) Report of 2021 Data, average monthly c-store sales of wine fell 7.5% to $1,495, from $1,616 in 2020. But last year’s performance followed a hefty 21% increase in the year prior.
“2020 wine sales were an anomaly for convenience retailers,” explained Jayme Gough, NACS research manager, as they benefited from the closure of bars and restaurants in the early months of the pandemic. McGinty agreed and noted that other trade channels also saw declines in 2021 for the same reason. As a result of last year’s performance, wine’s share of in-store sales fell to 0.53% from 0.58% in 2020. Margins, however, re mained healthy at 31.99%, Gough noted, leading to $478 in gross profit dollars per store, per month. Through early Septem ber of this year, convenience store wine trends improved versus the year-ago peri od, McGinty reported, driven by nontra ditional package types.
was the average gross profit dollars per store, per month for wine sales in 2021.
CATEGORY CLOSE-UP WINE 88 NOVEMBER 2022 convenience.org
$478
Source: NACS State of the Industry Report of 2021 Data
karandaev/Getty Images
RISING INTEREST
C-store operators are increasingly being drawn to the category in markets where they can sell wine. According to the 2021 SOI report, 68.1% of c-stores carried wine, up from 54.3% in 2020, marking the fourth consecutive year of growth. Bill Meissner, president of Splash Beverage, a marketer of sin gle-serve wine brands like Copa di Vino and Pulpoloco sangria, attributes the heightened interest to macroeconomic and trade-development trends. After the pandemic lockdown, “consumers were buying more gas and making purchas es for on-the-go and outside-of-home consumption,” he remarked. “Simul taneously, beer wholesalers servicing c-stores started to bring more wine products into their portfolios,” Meissner added, including single-serve options.
McGinty concurred that distributor, as well as supplier, interest in servic ing the c-store channel is on the rise. “Many suppliers and distributors are building the convenience channel into
their long-term growth plans,” he said. “Consumers are looking to the con venience channel for wine and other product categories that they perhaps didn’t associate with convenience be fore the pandemic.”
Nontraditional wine packaging—par ticularly single-serve variants—has been a key contributor to wine’s momentum in c-stores in recent years. “Wine cans have made for an attractive selling point in convenience,” said Gough, adding that boxed wine has shed its stigma of being low quality and is gaining traction. “It’s popular for transportation purposes, as well as being perceived as environmen tally friendly, since it’s often a recyclable package, similar to many Tetra Paks.”
Splash Beverage’s Copa di Vino—re sealable single-serve glasses of wine— and Pulpoloco—sangria packaged in in novative CartoCans or paper cans—have made inroads in c-stores. The former brand recently expanded into Circle K’s western division stores, while the latter has been rolled out to one-third of 7-Eleven’s U.S. locations. Meissner reported that response from c-store retailers “has been outstanding among those that want to attract more than just the beer consumer to their beverage alcohol sets.” The brands’ convenient packaging is “a perfect fit for on-thego customers or those wanting to pair a food or snack with something other than beer.” A custom seven-shelf rack is used to merchandise Copa di Vino at Circle K, while under-shelf roller racks for both products can be utilized in the cold box, Meissner said.
McGinty believes that while it’s likely new competitors will emerge with al ternative wine packages, the innovation bodes well for the overall wine category long term. “Today’s innovation opens the door for the convenience channel to also win with traditional wine vari etals,” he said, “as shoppers increasingly convert their wine purchase occasions from other channels to convenience.”
Floortje/Getty Images; Maren Caruso/Getty Images
Source: NACS State of the Industry Report of 2021 Data INDUSTRY SALES 2021 68.1% 2020 54.3% % of Stores Selling 2021 $1,495 2020 $1,616 Avg. Monthly Sales/Store 2021 0.53% 2020 % of In-Store Sales 0.58%
Per Store, Per Month Sales
$2,000
$1,500
$1,000
The Power of CSX Data
CSX, the engine behind category metrics and NACS State of the Industry data, provides current and customizable tools for financial and operational reporting and analysis in the convenience industry. Retailers can measure their company by any of the myriad metrics generated via our live database. Contact Chris Rapanick at (703) 518–4253 or crapanick@convenience.
BLURRING THE LINES
Table wine remains the largest subcat egory for wine, accounting for 39.7% of category sales in 2021, according to SOI data. “Other wine,” which includes sangria and new wine innovation, is next at 25.8%. Wine-based coolers and cocktails, including seltzers, meanwhile, are blurring subcategory lines and now represent 17.7% of wine sales in c-stores. According to CSX monthly data, wine coolers and cocktails outperformed all other wine subcategories during the first quarter of 2022. And the space is likely to get more active with the recent introduction of Woodbridge Wine Soda in cans from Constellation Brands.
At Barrels & Vines Shell, a c-store with an emphasis on alcoholic bev erages in Royal Oak, Michigan, the best-performing wine subcategories and varietals are cabernet sauvignon and prosecco, owner Ken Lucia said. “Sau vignon blanc and rosé, which used to be just summertime wines, sell all year long now,” he added.
Lucia, along with other retailers and suppliers, noted that today’s c-store wine shopper generally skews younger than in the past. “Wine is performing better than most categories in our store,” he reported. “We’re selling more wine than ever as younger consumers who started drinking craft beer, then moved to hard seltzers, have discovered wine.”
Minit Mart East in Holland, Michigan, also attracts a younger (legal-drinking age) consumer, thanks to its proximity to local colleges. “We sell a lot of wine,” remarked owner Greg Hill, who noted that the store’s wine shoppers tend to purchase other products, such as snack foods, as well. At Tramway Market in Stateline, Neva da, meanwhile, owner Lynette Stoudt describes her wine customers as varying in age and wine knowledge. “We have those who will spend a lot of time shopping and will pull out their phones to find out about particular wines, and those customers who just come in and grab a bottle off the shelf,” she said.
ATTENTION TO DETAIL
Among the tactics c-store operators have found to be effective in encouraging customers to purchase wine is price pro motions. Minit Mart East, for example, offers a savings on a case purchase, and its “Wine Wednesday” program allows for a small discount on one bottle and a larger discount on two bottles and up. At Barrels & Vine, a purchase of six bottles of wine gets a customer a 10% discount.
CATEGORY CLOSE-UP WINE Cris Cantón/Getty Images
Source: CSX LLC; csxllc.com
n 2019 n 2020 n 2021 n 2022
JAN FEB MAR APR MAY JUN JUL AUG SEP OCT NOV DEC Many suppliers and distributors are building the convenience channel into their long-term growth plans.” $1,969 90 NOVEMBER 2022 convenience.org
Subcategory
Source: CSX LLC; csxllc.com
Other tactics can also go a long way. “Retailers have become more creative in their merchandising of wine,” remarked Gough, “including wine tastings, crossmerchandising wine with other prod ucts and opportunities to learn about the selection.” Ensuring staff are well educated on offerings is key to selling the category, she added.
Wine marketers agree that focused merchandising efforts will help drive category sales. “Dedicate some phys ical space and create an environment where the shopper knows where to find these products,” advised Meissner. In addition to price promos, McGinty recommends materials like window clings and door stickers, as well as an investment in cold space. He also sug gests that convenience retailers reach out to wholesalers and suppliers for guidance. “Challenge us to provide you with more channel-specific insights and recommendations about how to drive the category forward,” he said.
McGinty and Lucia see contin ued growth for the wine category in c-stores. “The future is very promising,” said Lucia. “Wine is attracting new drinkers every day.”
Added McGinty, “Wine has tremen dous
channel
especially as younger demo
are just learning about wine and the many wine-based innovations that are out there.”
Terri Allan is a New Jersey-based freelance
specializing in the
industry.
can be reached at terri4beer@aol.com
at @terriallan.
CATEGORY CLOSE-UP WINE kloromanam-paseven/Getty Images
Performance We’re selling more wine than ever as younger consumers who started drinking craft beer, then moved to hard seltzers, have discovered wine.”
upside for convenience
retailers,
graphics
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WINE Percent of Sales Avg. Sales/Store Avg. GP$/Store Gross Margin % 2020 2021 2020 2021 2020 2021 2020 2021 Table/Varietal Wine 60.9% 39.7% $984 $593 $274 $198 27.87% 33.36% Other Wine 14.2% 25.8% $230 $386 $65 $116 28.21% 30.08% Coolers/Wine Cocktails 9.9% 17.7% $160 $264 $45 $77 28.03% 29.29% Fortified Wine 11.9% 10.7% $193 $160 $65 $58 33.82% 36.37% Champagne/ Sparkling Wine 3.1% 6.1% $50 $92 $15 $29 30.46% 31.29% Total 100.0% 100.0% $1,616 $1,495 $464 $478 28.72% 31.99% 92 NOVEMBER 2022 convenience.org
©2022 BuzzBallz LLC Carrollton T X Please Enjoy Responsibly
© 2022 Southern Champion, Carrollton TX “Enjoy Responsibly ”
ADVERTISER INDEX
Core-Mark
www.core-mark.com
www.addsys.com
Altria
www.altria.com www.tobaccoissues.com
Beam Suntory (OTR Cocktails)
www.beamsuntory.com
Cash
(800) 776-8834
www.cdlatm.com
cbdMD
www.cbdmd.com/d9
CHS
E&J Gallo Winery
www.gallo.com
Taiga Data Inc.
(888) 983-5874 www.taigadata.com
The Hershey
www.hersheysolutions.com
ITG
www.itgbrands.com
Krispy Krunchy Foods LLC 43 www.krispykrunchy.com
Liggett Vector Brands Inc 57 www.liggettvectorbrands.com
Modern Store Equipment 27 (877) 532-8433 sales@modernstoreonline.com www.modernstoreonline.com/cstore
NACS Convenience Matters 4 www.conveniencematters.com
NACS State of the Industry Summit 2023 95 www.convenience.org
NACS Day on the Hill 85 www.convenience.org
NACS
NACS Show 2022 Thank You Inside Back Cover www.convenience.org
OPIS, a Dow Jones Company 59 www.opisnet.com
Petromo – a Gluon Product 53 www.petromo.com
Premier Manufacturing Inc. 5 & 71 www.gopremier.com
Southern Champion (Buzzballz LLC) 93 www.southern-champion.com
Swedish Match North America 15 (800) 367-3677 www.smna.com
Swedish Match North America 25 (800) 367-3677 www.smna.com
Swedish Match North America 55 (800) 367-3677 www.smna.com
Taiga Data Inc. 35 www.taigadata.com
Tyson Convenience 19 www.tysonfoodservice.com/your-channel/convenience
Volpi Foods 56 www.volpifoods.com
94 NOVEMBER 2022 convenience.org
Thank you to these advertisers who have demonstrated their support of the convenience and fuel retailing industry by investing in
Magazine. Contact Information Page Contact Information Page Contact Information Page ADD Systems 58
ADS-Tech Energy Inc. 37 https://go.ads-tec.de/us/hpc/whitepaper Advantage Solutions 73 www.advantagesolutions.net
Group Distribution Company Inside Front Cover AGDCTradeRelations@Altria.com
13
Depot 7
sales@cdlatm.com
17
Inc. (CENEX) 79 www.cenex.com/businessopportunities Cookies United 69 www.cookiesunited.com Cool New Products Guide 80-84 www.convenience.org/Media/NACS-Magazine/Cool-New-Products
Back Cover
91
35
Company 3
Brands 9
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DATA TRENDS INSIGHTS ANALYSIS ANSWERS Data. Insights. Networking. Sharing growth-igniting data and insights is what we do at NACS and the NACS State of the Industry Summit is where it’s all unveiled. We’re gearing up for 2023 — and we’re moving to Dallas! Join us for two jam-packed days designed to help you understand the industry outlook and use it to your advantage. Save the date and be first to know when registration / exhibit space opens: conveneinece.org/SOISummit April 18-20, 2023 Hyatt Regency DFW International Airport, Dallas, TX EVERYTHING IS BIGGER IN TEXAS.
BY THE NUMBERS
Promotions That Work
With product prices swelling and inflation flirting with 40-year highs, convenience shoppers are tailoring their spending habits to maximize resources and value—and retailers are taking note.
For retailers, smart promotions are an essential compo nent of creating appeal among customers grappling with rising prices.
A pillar of an effective promotion is one that prompts the shopper to take notice. In the 2022 NACS Convenience Voices mobile survey, 32.5% of shoppers reported noticing promo tions, up 2.5 percentage points vs. 2021—a five-year high. Yet, noticing promotions alone is not enough for retailers to realize the ben efits at the register. Shoppers must find them relevant before they decide to purchase or engage. According to NACS data, 18 out
of every 100 convenience shoppers noticed and conscientious ly engaged in promotions, another peak over the past five years. At the shelf or on cooler doors was the most effective place to notice a promotion, with 21% of shoppers indicating that this is where they spotted an item they purchased on pro motion, an increase of 1.9 percentage points year over year.
Digital promotions continue to be high priority for retail ers, and customers noticed more mobile retail offers as a result. Mobile promotions were the top acted-on promotion for the second consecutive year at 18.7%. They also have the highest growth year over year at 3.6 percentage points.
Ultimately, rising prices do not just affect shoppers, they also create barriers to in-store conversion from the fuel pump. Promotions located on exterior store windows were the No. 2 noticed promotion at 9.4% for the second year behind mobile promotions.
Regardless of strategic focus, retailers that leverage both traditional and digital real estate have seen the most success with driving promotions in the face of inflation.
96 NOVEMBER 2022 convenience.org
We Are/Getty Images
External Promotional Engagement (Forecourt) Internal Promotional Engagement (In-Store)18.7% Mobile app/phone 9.4% Outside windows of store 7.4% Word of mouth 7.2% Digital screen at pump 6.2% Signage on top of pump 21.1% At the shelf/On cooler doors 15.8% Sale sticker on product 12.8% Big display at front of store 12.3% “I saw it last time I was in the store.” 10.8% “It is always on promotion here.” TOP 5 EFFECTIVE PROMOTIONS NACS Convenience Voices is packed with valuable, proprietary insights you can only get from NACS. Leveraging the ubiquity of mobile technology enables more precise targeting, expanded geographic reporting, powerful multimedia feedback and more. Visit www.convenience.org/voices to learn how to participate.
Revisit all of the highlights, the big moments, and sign up to be notified when registration opens at nacsshow.com THANK YOUFOR A GREATSHOW! SAVE THE DATE FORTHE 2023 NACS SHOW INATLANTA OCTOBER 3-6, 2023
Two leaders in convenience are stronger together. Together as one, Core-Mark and Eby-Brown are delivering a best-in-class experience and innovation at scale to over 50,000 locations across the U.S. and Canada. The perfect combination of To learn more, visit www.core-mark.com and www.eby-brown.com or contact your representative today.