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W H AT ’ S N E X T I N C O N V E N I E N C E A N D F U E L R E TA I L I N G

CATERING TO THE TOBACCO POLYUSER

AT A

CROSSROADS THE CONVENIENCE STORE INDUSTRY’S SMALL OPERATORS MUST ADAPT OR THEY WILL BECOME OBSOLETE.

JULY 2023

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EDITOR’S NOTE

Are You Out of Date?

The c-store business continues to get more complex and competitive THERE IS NO doubt that the COVID-19 pandemic forced the convenience store industry to change its way of doing business and greatly accelerated the adoption of new innovations.

sales vs. the year prior. About six in 10 small operators said their overall sales per store increased in 2022, compared to nearly eight in 10 in 2021. Year over year, a higher percentage reported a decrease in sales: 19.7 percent in this year’s study vs. just 7.4 percent in last year’s study.

Today, the most successful convenience store operators in the United States have evolved into multichannel companies that give their guests multiple ways to transact with the brand, including but not limited to a proprietary mobile app tied to a robust loyalty program, fuel pumps that offer in-store ordering, drive-thru service and home delivery options.

Taking motor fuels out of the mix and looking only at in-store merchandise sales, six in 10 small operators said their in-store sales rose last year, down from 76.9 percent who said the same the year before. The average net increase in in-store revenue was 5.5 percent, which underperformed compared to the industry average. In-store sales at all U.S. convenience stores in 2022 hit a new high, reaching $275.3 billion, which equated to a 6.6 percent increase year over year.

Industry-leading retailers are also building new, bigger stores that make fresh food the first thing customers see when they walk through the door, and they’re investing significant time, money and resources in enabling customers to order the way they want and obtain their purchases the way they want. In some cases, this means fully contactless experiences.

As the c-store business gets more complex and competitive, the industry’s single-store and small chain operators are at a crossroads, as this issue’s cover heralds. While single stores still account for more than 60 percent of the industry, many of these operators are falling behind.

According to the fourth-annual Convenience Store News State of the Small Operator Study (see page 24), fewer respondents this year reported an increase in total dollar

The ongoing advancement of the c-store business is putting the industry’s small operators in a precarious position. The time has come for them to conduct a comprehensive review of their business, look at the competition in their market (other c-stores and restaurants), and ask: Am I out of date? If the answer is yes, then the only option really is to modernize.

I think industry consultant John Matthews, president and CEO of Gray Cat Enterprises Inc., summed it up best when he was asked about his 10-year outlook for the c-store industry’s small operators and he responded: “Adapt, invest, improve or become obsolete.”

For comments, please contact Linda Lisanti, Editor-in-Chief, at llisanti@ensembleiq.com.

EDITORIAL EXCELLENCE AWARDS (2016-2023)

EDITORIAL ADVISORY BOARD

2021 Jesse H. Neal National Business Journalism Award Finalist, Best Infographics, June 2021

2018 Jesse H. Neal National Business Journalism Award Finalist, Best Editorial Use of Data, June 2017

2023 American Society of Business Press Editors, National Azbee Awards Silver, Data Journalism, January/April/June 2022

2022 Eddie Award, Folio: magazine Winner, Business to Business, Retail, Single Article, March 2022 Winner, Business to Business, Food & Beverage, Series of Articles, October 2021 Honorable Mention, Business to Business, Retail, Single Article, September 2021

2023 American Society of Business Press Editors, Upper Midwest Regional Azbee Awards

2020 Eddie Award, Folio: magazine

Gold, Data Journalism, January/April/June 2022 Bronze, Diversity, Equity and Inclusion, March 2022

2018 Eddie Award Honorable Mention, Folio: magazine

2016 American Society of Business Press Editors, National Azbee Awards Gold, Best How-To Article, March 2015 Bronze, Best Original Research, June 2015

2016 American Society of Business Press Editors, Midwest Regional Azbee Awards Gold, Best How-To Article, March 2015 Silver, Best Original Research, June 2015

2020 Trade Association Business Publications Intl. Tabbie Awards

Laura Aufleger OnCue Express

Ray Johnson Speedee Mart

Chad Beck Core-Mark

Ruth Ann Lilly GPM Investments LLC

Edward Davidson Ed Davidson & Associates (7-Eleven Inc., retired)

Business to Business, Retail, Series of Articles, September 2019

Robert Falciani ExtraMile Convenience Stores

Business to Business, Retail, Website Business to Business, Retail, Full Issue, October 2017 Business to Business, Editorial Use of Data, June 2017

2017 Eddie Award, Folio: magazine Winner, Business to Business, Retail, Single/Series of Articles, May 2017 Honorable Mention, Business to Business, Retail, Single/Series of Articles, June 2016

Jim Hachtel Eby-Brown Co.

Vito Maurici McLane Co. Inc. Jonathan Polonsky Plaid Pantries Inc. Greg Scriver Kwik Trip Inc. Roy Strasburger StrasGlobal

Chris Hartman Rutter’s

2016 Eddie Award Honorable Mention, Folio: magazine Business to Business, Retail, Full Issue, October 2015 Business to Business, Retail, Single/Series of Articles, August 2015

Honorable Mention, Best Single Issue, September 2019

2016 Trade Association Business Publications Intl. Tabbie Awards Silver, Front Cover Illustration, June 2015

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VIEWPOINT

Best CFX Ever Retailers are the reason the Convenience Foodservice Exchange shines every year IN MAY, I had the honor of emceeing the 2023 Convenience Foodservice Exchange (CFX) for the fifth time. From Casey’s Chief Marketing Officer Tom Brennan’s opening address on how a giant chain turned foodservice into a focal point of its operations to BandyWorks CEO Tom Bandy’s closing presentation aimed at helping small to medium-sized retailers excel at foodservice, this year’s event in Nashville, Tenn., was the best yet. It was great to see so many familiar and new faces of convenience store industry leaders.

It’s so much more than a typical business conference.

CFX features such variety — keynote presentations, panel discussions, a fireside chat, one-on-one networking, a visit to a new c-store prototype, a local food trends tour and the Convenience Store News Foodservice Innovators Awards reception. It’s so much more than a typical business conference.

Casey’s General Stores Inc. was the 2022 winner of the Foodservice Innovator of the Year award. Brennan’s keynote explained the step-by-step approach Casey’s takes to innovation, especially in making foodservice its centerpiece.

Another speaker was Kevin Smartt, CEO of Texas Born (TXB). He rebranded the 52-store chain a few years ago from its former name, Kwik Chek Food Stores. The rebrand emphasizes the Texan roots and values the brand was built upon: authenticity, hospitality and integrity. These are all represented in the food it sells. TXB was the 2022 winner in the prepared foods category of the Foodservice Innovators Awards program.

My favorite sessions every year are our retailer panels. We had a lineup of some of the most visionary convenience foodservice retailers on hand. Billy Colemire of Stinker Stores, Jac Moskalik of Kum & Go (the 2023 Foodservice Innovator of the Year) and Greg Ekman of BP/Thorntons told the audience about how they make their foodservice offerings stand out from the competition.

I moderated our annual New American Convenience Retailer panel featuring three retailers that are redefining the c-store shopping experience. The panel featured Tony Sparks of 2023 Foodservice Innovator to Watch winner, Curby’s Express Market; Mike Fogarty of 2019 Foodservice Innovator to Watch, Choice Market; and Ben Lucky of 2023 Prepared Foods Innovator of the Year, Dash In. This panel always showcases some of the most innovative ideas in the industry.

If you find yourself near Baltimore or Washington, D.C., I highly recommend you visit Dash In’s new foodservice-forward store in Chantilly, Va. I was so impressed when Ben showed me around last month and I got to try his trademarked Stackadilla quesadilla menu item.

My fireside chat with Kwik Trip Inc. (KT) Retail Foodservice Director Paul Servais was most interesting. Paul talked about how KT built a strong foodservice culture throughout its chain of more than 800 stores. Among the many key points he made was the critical role of KT’s foodservice district leaders, who were instrumental in the chain reaching $1.2 billion in food sales last year. It’s such an important position that only store leaders who have opened new stores and trained other store leaders can become foodservice district leaders, and only foodservice district leaders can become district leaders. What a great nugget of information.

Retailers like Paul, Tom, Ben, Kevin and so many of the other speakers and attendees are the reason why CFX continues to be the best foodservice event for convenience store retailers.

For comments, please contact Don Longo, Editorial Director Emeritus, at dlongo@ensembleiq.com.

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CONTENTS JULY 23

VOLUME 59 N UMB ER 7

COVER STORY PAGE 24

68 90 FEATURES

DEPARTMENTS

COVER STORY

EDITOR’S NOTE

24 At a Crossroads The convenience store industry’s small operators must adapt or they will become obsolete.

3 Are You Out of Date?

The c-store business continues to get more complex and competitive.

10 CSNews Online 20 New Products AN EYE ON D&I

VIEWPOINT

4 Best CFX Ever Retailers are the reason the Convenience Foodservice Exchange shines every year.

68 Future-Fit Your Organization To stay relevant and profitable for the long haul, investing in DEI is a must.

STORE SPOTLIGHT

71 On Your Mark, Get Set, Go… Allsup’s Express Grab & Go store gives Texas Motor Speedway fans a convenient way to snack.

INSIDE THE CONSUMER MIND

20

90 Pricing Pains C-store shoppers cite price as their top reason for making a purchase elsewhere.

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CONTENTS JULY 23

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8550 W. Bryn Mawr Ave., Ste. 200, Chicago, IL 60631 (773) 992-4450 Fax (773) 992-4455 WWW.CSNEWS.COM BRAND MANAGEMENT SENIOR VICE PRESIDENT & GROUP BRAND DIRECTOR Paula Lashinsky (917) 446-4117 - plashinsky@ensembleiq.com EDITORIAL EDITOR-IN-CHIEF Linda Lisanti llisanti@ensembleiq.com EXECUTIVE EDITOR Melissa Kress mkress@ensembleiq.com SENIOR EDITOR Angela Hanson ahanson@ensembleiq.com MANAGING EDITOR Danielle Romano dromano@ensembleiq.com

ASSOCIATE EDITOR Amanda Koprowski akoprowski@ensembleiq.com EDITORIAL DIRECTOR EMERITUS Don Longo dlongo@ensembleiq.com CONTRIBUTING EDITORS Renée M. Covino, Tammy Mastroberte

INDUSTRY ROUNDUP

CATEGORY MANAGEMENT

12 Irving Oil Explores Options for Company’s Future

FOODSERVICE STUDY

15 Fast Facts

40 Building a Delicious Reputation Updated technology and improved marketing efforts are key to making c-store food and beverages a top pick for consumers.

16 Buc-ee’s Secures Site for First Virginia Location

TOBACCO

14 Casey’s Completes Three-Year Strategic Plan

16 Eye on Growth 17 Retailer Tidbits 18 Supplier Tidbits TECHNOLOGY 60 At Your (Subscription) Service The evolution from punch cards to mobile apps has convenience store retailers asking what’s next.

48 Lessons in Multiplication Convenience stores can do more to cater to the tobacco polyuser.

ADVERTISING SALES & BUSINESS ASSOCIATE BRAND DIRECTOR & NORTHEAST SALES MANAGER Rachel McGaffigan - (774) 212-6455 rmcgaffigan@ensembleiq.com ASSOCIATE BRAND DIRECTOR & WESTERN SALES MANAGER Ron Lowy - (330) 840-9557 - rlowy@ensembleiq.com ASSOCIATE PUBLISHER & MIDWEST SALES MANAGER Kelly Fischer - (773) 992-4464 - kfischer@ensembleiq.com ACCOUNT EXECUTIVE & CLASSIFIED ADVERTISING Terry Kanganis - (201) 855-7615 - tkanganis@ensembleiq.com CLASSIFIED PRODUCTION MANAGER Mary Beth Medley (856) 809-0050 - marybeth@marybethmedley.com DESIGN/PRODUCTION/MARKETING SENIOR CREATIVE DIRECTOR Colette Magliaro cmagliaro@ensembleiq.com ART DIRECTOR Lauren DiMeo ldimeo@ensembleiq.com PRODUCTION DIRECTOR Ed Ward edward@ensembleiq.com

CANDY & SNACKS

54 Buzzword: Innovation The convenience channel is well positioned to meet the candy and snack needs of consumers, no matter their preferences.

MARKETING MANAGER Krista-Alana Travis ktravis@ensembleiq.com SUBSCRIPTION SERVICES LIST RENTAL mbriganti@anteriad.com SUBSCRIPTION QUESTIONS contact@csnews.com

CORPORATE OFFICERS

60

CHIEF EXECUTIVE OFFICER

Jennifer Litterick

CHIEF FINANCIAL OFFICER

Jane Volland

CHIEF PEOPLE OFFICER

Ann Jadown

CHIEF STRATEGY OFFICER

Joe Territo

CHIEF OPERATING OFFICER

Derek Estey

CONVENIENCE STORE NEWS AFFILIATIONS Premier Trade Press Exhibitor

The contents of this publication may not be reproduced in whole or in part without the consent of the publisher. The publisher is not responsible for product claims and representations.

Convenience Store News (ISSN 0194-8733; USPS 515-950) is published 12 times per year, monthly, by EnsembleIQ, 8550 W. Bryn Mawr Ave., Ste. 200, Chicago, IL 60631. Subscription rates: Subscription rate in the United States: $125 one year; $230 two year; $14 single issue copy; Canada and Mexico: $150 one year; $270 two year; $16 single issue copy; Foreign: $170 one year; $325 two year; $16 single issue copy; Digital One year, digital $87; two year, $161. Periodical postage paid at Chicago, IL 60631, and additional mailing addresses. Copyright 2023 by EnsembleIQ. All rights reserved. No part of this publication may be reproduced or transmitted in any form or by any means, electronic or mechanical, including photocopy, recording, or information storage and retrieval system, without permission in writing from the publisher. POSTMASTER: send address changes to Convenience Store News, 8550 W. Bryn Mawr Ave. Ste. 200, Chicago, IL 60631.

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CSNEWS ONLINE

TOP VIEWED STORIES

1

Four Finalists Named for 2023 Top Women in Convenience Corporate Empowerment Award

As part of the 10th annual Top Women in Convenience program, these retailers were selected for their commitment to gender equality and the promotion of female leadership and advancement: Alimentation Couche-Tard Inc., BP, OnCue and Yesway.

K Launches Free Membership Program 2 Circle The Inner Circle program allows customers to save on fuel

and merchandise, and offers them the opportunity to join as a premium member after they spend $500 at participating locations. The new rewards program will be available at more than 400 select stores in Florida.

BP Makes Leadership Moves Following

of America Deal 3 TravelCenters Following its acquisition of TravelCenters of America Inc. (TA), Houston-based BP named Debi Boffa as CEO-designate of TA and Babu Rajalingam as chief financial officer-designate.

Casey’s President & CEO Appointed

Chair 4 Board Darren Rebelez was unanimously elected and appointed to the role effective June 2. The board also unanimously elected Judy A. Schmeling, a director since 2018, to the role of lead independent director.

RaceTrac Welcomes Customers at First

Travel Center in Kentucky 5 Drive-Thru The 8,100-square-foot site in Shepherdsville allows guests to pull through a fast food-style drive-thru to order from RaceTrac’s full assortment of in-store items or choose from an abbreviated menu of the retailer’s most popular items.

ONLINE EXCLUSIVE

TXB Tackles the Phygital Space Texas Born (TXB) works to live up to its motto of “Leave ‘Em Better,” which means engaging its customers both in-store and digitally — a.k.a. the “phygital” space.

“At TXB, it is very important that our digital app experience is an extension of the in-store experience. Social media, app, delivery, loyalty and in-store must have a consistent strategy and tactics on how each platform will be used to engage and enhance the customer experience,” explained Benjamin Hoffmeyer, vice president of marketing and merchandising. This means that although each platform has different use occasions, they all need to fit into a well-defined customer relationship management and journey strategy.

For more exclusive stories, visit the Special Features section of csnews.com.

MOST VIEWED NEW PRODUCT

Nutpods Creamy Cold Brew

EXPERT VIEWPOINT

Increase Your Bottom Line by Knowing Your Menu Complexity Scores An individual item’s complexity score is determined by rating the product on seven key factors required to create that menu item, writes Tom Cook, principal of King-Casey. High selling and/or high profitability items with low to medium complexity scores should be given high priority, proactively marketed and merchandised to customers in all menu communications. Low selling and/or low profitability items with medium to high complexity scores should be downplayed with customers and analyzed for simplification opportunities. The benefits of knowing your menu complexity scores include the ability to better manage your staff, reduce the cost of goods by optimizing ingredient usage, identify problems with menu execution and more.

Plant-based coffee creamer brand Nutpods enters the ready-to-drink space with its first coffee-based product, Creamy Cold Brew. Launched in March 2023, the refrigerated, zero-sugar beverages are available in two fan-favorite flavors, Classic and Vanilla Caramel.

Consumers have the option of purchasing either a multiserve, premixed cold brew or a coffee creamer. Both flavors are made using a blend of high-quality coffee and almond/coconut creamer, with the Classic flavor being Whole30 approved.

The current retail price is $5.99.

Nutpods, Bellevue, Wash. nutpods.com

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INDUSTRY ROUNDUP

Irving Oil Explores Options for Company’s Future A strategic review could lead to a full or partial sale, among other possibilities IRVING OIL is undergoing a strategic review

and evaluating a series of options related to the company’s future, according to its leadership team.

No decisions have been made yet about where the strategic review may lead, according to the company. Consideration will be given to a new ownership structure, a full or partial sale, or a change in the portfolio of Irving’s assets and how it operates them.

Based in New Brunswick, Canada, Irving Oil owns Canada’s largest refinery in Saint John at 320,000 barrels per day and Ireland’s only refinery, located in Whitegate, which produces 75,000 barrels per day. The company also operates fueling stations across eastern Canada and the northeastern United States, and sells fuel products throughout the U.S. East Coast.

In a statement, Chairman Arthur Irving commended the company’s employees and customers.

“We are proud of the strong position our company is in today, having achieved significant growth in our core business and making good progress in leading through the energy transition,” he said. “This position is especially thanks to the hard work of our employees and the trust and loyalty of our partners and customers.”

As the organization evaluates its options in the coming months, the company’s focus “remains on our team and continuing to safely deliver quality products and reliable energy for our customers and communities,” the chairman’s statement concluded.

Irving Oil is a family-owned and privately held international energy company. In addition to specializing in the refining and marketing of finished energy products, the company operates more than 1,000 convenience stores and gas stations, as well as a network of distribution terminals spanning eastern Canada, New England and in Ireland, operating under the Top brand.

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INDUSTRY ROUNDUP

Casey’s Completes Three-Year Strategic Plan The retailer moved the needle on guest experience, efficiency and growth

By Melissa Kress IN JANUARY 2020, Casey’s General Stores Inc. outlined three strategic pillars for moving forward: reinvent the guest experience, create capacities through efficiencies and be where the guest is through unit growth.

Now, as the Ankeny, Iowa-based convenience store retailer prepares to lay out a new plan for the next three years, President and CEO Darren Rebelez credited successful execution of the agenda Casey’s set in 2020 to the company’s team members.

“The results speak for themselves and are a reflection of the hard work of the team and their dedication to executing our three-year strategic plan,” Rebelez said during Casey’s earnings call for the fourth quarter of its 2023 fiscal year, held June 7.

“Our team had to navigate through a global pandemic and the effects therein, including restricted traffic [and] labor shortages in an inflationary environment. We adapted to the situation and thrived in it as you can see with our results,” he said.

Zeroing in on the individual pillars, the chief executive noted that the Casey’s Rewards program has been a key driver behind reinventing the guest experience.

“We made a commitment to enhance our brand and drive digital engagement, and we did just that with over 6.5 million members through May of 2023,” he said. “And this helped drive results, as our same-store inside sales were at the high end of our guidance.”

As for the other two pieces of the plan, he pointed out that Casey’s captured efficiency while continuing to grow. According to Rebelez, growth came through a mix of organic growth and acquisitions. “We made a bold commitment to accelerate our growth and we exceeded our own high standard of 345 new units, ending the three-year period with 354 new stores,” he reported.

“Our investment in a standalone M&A [mergers and acquisition] team drove record growth; centralized procurement helped keep our shelves stocked at lower costs, despite supply chain challenges; centralized fuel operations allowed us to balance fuel volume and margin; and countless other teams within the organization helped make these last three years some of the most successful in the history of the company,” Rebelez concluded.

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FAST FACTS

74% 2x Younger consumers snack the most frequently with 74 percent of those under age 35 snacking at least a few times per day.

Road trippers under 40 years old are twice as likely to prioritize finding the snacks they want over clean bathrooms on their stops.

— 84.51° — Frito-Lay & Quaker U.S. Summer Snack Index

TOP

Of the top 10 new food-based products launched in 2022, eight were beverages.

— Circana 2022 New Product Pacesetters

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INDUSTRY ROUNDUP

Buc-ee’s Secures Site for First Virginia Location The Texas-based retailer is eyeing a 2027 opening for the 74,000-square-foot store BUC-EE’S OFFICIALLY owns the future site for its

first convenience store in Virginia. The Lake Jackson, Texas-based retailer closed on the acquisition of 28 acres in New Kent County, where it plans to build a 74,000-square-foot Buc-ee’s location.

The company, which currently has more than 40 locations, paid $6.5 million for the unaddressed parcel near Interstate 64’s Talleysville exit off State Route 609, according to a local news report.

In March, Buc-ee’s submitted a conditional use permit to the New Kent County Planning and Zoning Department, outlining plans for the site, which will feature 120 fueling stations, 24 Tesla electric vehicle charging spaces, 557 parking spaces and 10 bus/RV parking spaces. The county’s board of supervisors approved Buc-ee’s conditional use permit in April.

Eye on Growth

The retailer does not yet have a definitive timeline for the start of construction, according to Jeff Nadalo, general counsel for Buc-ee’s. However, the New Kent County Virginia Economic Development Department shared on Facebook that the store is anticipated to open in 2027.

Buc-ee’s kicked off a multistate expansion plan in 2019.

In addition to expanding its footprint into Virginia, the company is also developing its first Wisconsin store.

The Roam ‘n Stop banner debuted in Las Vegas with three stores. The new convenience channel player plans to open several additional sites starting in late 2024.

This is ARKO’s 24th acquisition since 2013 and its second completed deal in 2023.

ARKO Corp. closed the books on its purchase of WTG Fuels Holdings LLC, owner of Uncle’s Convenience Stores and GASCARD fleet fueling operations. The deal totaled an estimated $140.2 million plus the value of inventory at closing.

QuickChek opened two new locations: one in Nanuet, N.Y., and the other in Union Township, N.J. The Nanuet location stands at 6,752 square feet, while the Union Township store stands at 5,694 square feet.

Gaubert Oil Co. closed on its acquisition of the former Morgan Oil Co. commercial

fuels business from Majors Management LLC. The transaction included a bulk plant facility in Nacogdoches, Texas, and a commercial fuels distribution business.

Royal Farms welcomed customers to its first North Carolina store in Grandy on May 1. A second location in Greenville followed on June 15. The Baltimore-based retailer has plans to open additional locations in New Bern, Lumberton, Kinston and Jacksonville, N.C. Tri Star Energy cut the ribbon on two new Twice Daily convenience stores in Tennessee: one in Clarksville and the other in Springfield. The latter location includes the company’s White Bison Coffee concept.

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Retailer Tidbits

Customers can select from several subscription packages available at the company’s 17 car wash locations.

GPM Investments LLC is partnering with Villa Restaurant Group to launch three Villa Italian Kitchen restaurants. The quickservice restaurants will open inside fas mart, fastmarket and Village Pantry stores in Virginia, Arizona and Indiana by the end of 2023.

Kum & Go LC is rolling out BLK & Bold specialty coffee to more than 300 of its stores, following an initial launch in select stores in January. BLK & Bold is the first Black-owned nationally distributed coffee company dedicated to bringing accessibility and quality to consumers.

Prod ucts

Warrenton Oil Co., operator of the FastLane convenience store brand, launched a monthly subscription option for car and truck washing. The project was designed in partnership with Liquid Barcodes Inc. Pilot Co. partnered with fintech company Relay Payments to launch a digitized diesel payment platform across its network of more than 800 travel centers. Relay Payments are now accepted at Pilot, Flying J and One9 Fuel Network locations.

Stinker Stores is enhancing its customer experience and driving customer loyalty through a new partnership with PAR Technology Inc.’s Punchh loyalty solution.

The retailer will tap Punchh’s customer analytics to measure loyalty ROI as well.

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INDUSTRY ROUNDUP

An operating company of Reynolds American Inc. inked a pact to build a water reclamation plant at the Reynolds Operations Center in Tobaccoville, N.C. The WaterHub installation is projected to reclaim more than 60 million gallons of water a year.

Supplier Tidbits NJOY vapor products will be marketed by NJOY LLC, a wholly owned subsidiary of Altria, and NJOY products will be distributed

by Altria Group Distribution Co.

Flagstone Foods is growing its portfolio with the acquisition of Emerald Nuts from Campbell Soup Co. With this deal, Flagstone expands into the branded nuts segment.

Altria Group Inc. closed on its acquisition of NJOY Holdings Inc. The tobacco company on March 6 entered into a definitive agreement to acquire NJOY for approximately $2.75 billion in cash.

PDI Technologies integrated with touchless self-checkout system Mashgin. The partnership will enable Mashgin to deploy its computer vision self-checkout system with retailers that use PDI.

Five Star Food Service opened a new corporate headquarters and support center in downtown Chattanooga, Tenn. The site also serves as a showcase for breakroom innovation with a modern micro market and kitchen, and has a dedicated room for testing new customer technologies and products.

Paytronix entered into an integrated partnership with customer data platform mParticle that will enable retail brands to connect data from Paytronix to mParticle.

Through the pact, brands can create a 360-degree view of the customer.

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7/5/23 6:18 AM

NEW PRODUCTS

Coca-Cola Flex Dispenser The Coca-Cola Co. unveils Coca-Cola Flex, a new front-of-house beverage dispenser that, according to the company, offers an enhanced guest experience while reducing operational complexity. With more than 40 beverage choices available in the same footprint as a standard six-valve fountain dispenser, Coca-Cola Flex combines the benefits of traditional fountain dispensers with the innovation offered by the high-powered Coca-Cola Freestyle dispenser. In addition to a simple installation process and maintenance, other features include Coca-Cola’s PurePour technology, a 15-inch touchscreen display, easy access to inventory alerts and quicker diagnostics. Commercial launch is slated for the first quarter of 2024.

THE COCA-COLA CO. • ATLANTA • COCA-COLAFREESTYLE.COM

Chester’s Fried Chicken Sandwich Chester’s relaunches its Fried Chicken Sandwich with a new bun, new bird and new sauce. The sandwich is built using a specially marinated and double-breaded whole breast fillet, which is topped with Chester’s tangy signature sauce and crunchy, crinkle-cut dill pickles on a Martin’s Famous potato roll. According to the company, the result is a juicier, crispier, more flavorful version of the chicken sandwich that made Chester’s famous. The updated Fried Chicken Sandwich is now available nationwide at all 1,100 Chester’s Chicken locations.

CHESTER’S CHICKEN • BIRMINGHAM, ALA. • CHESTERSCHICKEN.COM

Hostess Kazbars Hostess Brands debuts its newest innovation, Hostess Kazbars, a candy barinspired treat for the snack cake market. Kazbars come in two fan-favorite flavors — Chocolate Caramel or Triple Chocolate — and combine layers of soft chocolate cake, crème, candy crunch and caramel or smooth chocolate fudge before being covered in a rich chocolate-flavored coating. Kazbars are available in two package sizes: a 10-ounce box containing eight individually wrapped, 1.25-ounce mini bars or a single, individually wrapped 2.75-ounce bar at convenience stores.

HOSTESS BRANDS INC. • LENEXA, KAN. • HOSTESSCAKES.COM

PeaTos Puffs Snack it Forward’s PeaTos brand expands its line of chips and curls with the introduction of PeaTos Puffs in two flavors: Crunchy Fiery Lime Puffs and Crunchy Cheese-less Puffs. PeaTos aims to offer the flavor and fun of junk snacks, but with the added benefit of better-for-you nutrition. According to the maker, it replaces the traditional corn base of other chips with nutrient-dense peas for a unique snack experience that offers double the protein and three times the fiber of the leading salty snack counterparts. PeaTos products are Non-GMO Project certified.

SNACK IT FORWARD • LOS ANGELES • PEATOS.COM

GoodToGo Microwavable Containers Good Natured Products Inc. introduces the GoodToGo microwavable collection, the first Compost Manufacturing Alliance-certified compostable, high-clarity takeout containers that are heat resistant and made with 97 percent plant-based materials. The new containers are designed specifically to meet the requirements of single-use plastics regulations. They are stackable, leak-resistant and have hot/ cold applications. Like all good natured products, the GoodToGo microwavable collection contains no chemicals of concern, like BPAs, that are potentially harmful to human health, especially when heated.

GOOD NATURED PRODUCTS INC. • VANCOUVER, BC • GOODNATUREDPRODUCTS.COM

20 Convenience Store News C S N E W S . c o m

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Lette • PC LAM DESIGN • 06.04.15

1A

12-16g PROTEIN 210-260 CALORIES

ASK U ABOUT S MERCH OUR ANDIS & POS ER PROGR AM

CHEESEBURGER RollerBites® Fill your roller grill or hot case with a new classic. Made with quality cuts of meat and cheese and that grilled-in-the-backyard flavor consumers love—this protein-packed bite is so awesomely delicious—it can’t help but roll customers right through your doors.

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NEW PRODUCTS

BIC Special Edition Supercar Series Lighters BIC offers a new set of lighters for car enthusiasts and racing fans: the Special Edition Supercar Series. The set features an array of brightly colored sports cars, vibrant futuristic concepts and smoke-cloaked muscle cars, allowing consumers to show off their passion for the automobile with each use. The lighters in this series have a suggested retail price of $2.29 per unit and, like all BIC Maxi Lighters, are longlasting, reliable and 100 percent quality inspected.

BIC USA INC. • SHELTON, CONN. • US.BIC.COM

Slingers Signature Cocktails The Boston Beer Co. introduces Slingers Signature Cocktails, a malt-based lineup of 8 percent ABV cocktail-style drinks available in 24-ounce cans.

Debuting in three flavors — Bahama Mama, Peach Screwdriver and Pineapple Punch — Slingers hit shelves in Cleveland, Pittsburgh and select areas of New Hampshire in May. According to the company, Slingers were crafted to capitalize on the triple-digit growth of the ready-to-drink category and the growth of higher-ABV offerings, all with pricing that won’t break the bank and in a convenient single-serve format.

THE BOSTON BEER CO. • BOSTON • MEGAN.BAYLES@DOGFISH.COM • DRINKSLINGERS.COM

Nature’s Garden Sweet Snacks Cibo Vita Inc. presents two new confectionery snacks as part of its Nature’s Garden brand: Oat Milk Chocolate Covered Strawberry Almonds and Probiotic Strawberry Yoggies. The almonds feature Fino de Aroma cocoa from Colombia, wrapped around an almond with a strawberry finish. The snack is kosher-certified, vegan and retails for $4.99 per 5-ounce package. The yoggies feature yogurt-coated, real fruit strawberry morsels infused with probiotics and 3 grams of fiber per serving. They are also kosher-certified and retail for $11.99 per 30-count snack pack. Both new snacks debuted in May at the 2023 Sweets & Snacks Expo.

CIBO VITA INC. • TOTOWA, N.J. • NATURESGARDEN.NET

Frank’s RedHot Mild Wings Sauce & Nashville Hot Seasoning McCormick For Chefs presents two new products under the Frank’s RedHot brand intended for foodservice operators: Mild Wings Sauce and Nashville Hot Seasoning. The sauce offers a mild heat and is appropriate for food items from breakfast to salads to main dishes. Available in a one-gallon jug, it’s ready to use right out of the bottle. The seasoning delivers a hot kick and a bit of sweetness with a blend of cayenne peppers, brown sugar and garlic. As a dry seasoning that doesn’t affect crisp or crunch, it’s tailored for dishes that don’t like getting saucy.

MCCORMICK FOR CHEFS • HUNT VALLEY, MD. • HANNAH_FORCE@MCCORMICK.COM • MCCORMICKFORCHEFS.COM

Facilio Connected Refrigeration Solution Facilio’s Connected Refrigeration Solution is a cloud-based supervisory control platform that enables remote monitoring and optimization of refrigeration systems. According to the company, the solution can optimize existing refrigeration systems and deliver up to 20 percent savings in energy for multisite food retailers, including convenience store operators. Facilio’s other smart building product offerings include the Connected CMMS Suite, a single system of record for operations and management, and the Connected Buildings Suite, an IoT-enabled platform for energy and carbon efficiencies.

FACILIO • NEW YORK • LALITHA@FACILIO.COM • FACILIO.COM 22 Convenience Store News C S N E W S . c o m

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COVER STORY

AT A

CROSSROADS THE CONVENIENCE STORE INDUSTRY’S SMALL OPERATORS MUST ADAPT OR THEY WILL BECOME OBSOLETE

BY LINDA LISANTI & DANIELLE ROMANO SPONSORED BY

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TOTAL U.S. CONVENIENCE store sales reached a record high of $814 billion last year, an increase of nearly 23 percent year over year, as Americans returned to normal living and the nation’s convenience stores benefitted from the bounceback of traditional commuting routines and shopping behaviors. However, not all c-store operators shared in the riches equally.

Among the industry’s single-store and small chain operators, fewer reported an increase in total dollar sales for 2022 vs. the year prior, according to the fourth-annual Convenience Store News State of the Small Operator Study, which looks at how the convenience channel’s small operators are performing vs. their larger chain counterparts. About six in 10 small operators saw their overall sales per store increase last year, compared to nearly eight in 10 in 2021.

Year over year, a higher percentage reported a decrease in sales: 19.7 percent in this year’s study vs. just 7.4 percent in last year’s study. Still, this is much improved from the nearly two-thirds of operators who reported a decline in 2020 during the worst of the COVID-19 pandemic.

On average, single-store and small chain operators reported their average sales per store last year increased by 19.8 percent, slightly below the 21.7 percent increase they netted in 2021. Smaller operators underperformed their larger brethren by about 3 percentage points, as average per-store sales among the whole U.S. c-store industry increased by 22.7 percent last year.

For the second year in a row, motor fuel sales industrywide posted an annual increase upwards of 30 percent. Largely driven by higher gas prices, the industry’s 2022 fuel revenue rose by 32.9 percent to reach $538.7 billion. Fuel volume grew slightly, with gallons up 1.6 percent for the year.

A little more than six in 10 single-store and small operators reported their motor fuel sales dollars increased last year. The average net increase in fuel revenue was 31.4 percent, down from a 37.4 percent jump the prior year. The industrywide increase for 2022 was 32.9 percent, comparatively.

About the same percentage of single-store and small operators — six in 10 — reported their in-store merchandise sales rose last year, down from 76.9 percent who said the same the year before. The average net increase in in-store revenue was 5.5 percent, up just slightly from the year prior when in-store sales among single-store and small operators rose 5.2 percent.

Again, however, smaller operators underperformed compared to the industry average. For the second consecutive year, in-store sales at all U.S. convenience stores in 2022 hit a new high, reaching $275.3 billion, which equated to a 6.6 percent increase year over year.

Across the industry, the strength of in-store sales last year was propelled by the power of the foodservice category. More and more c-store retailers are enhancing their in-store offers to entice customers to visit the store even when they don’t need to fill up their gas tank. Highquality foodservice programs that boast fresh, appealing prepared foods and customizable dispensed beverages are an integral part of this burgeoning effort that is happening industrywide.

Total foodservice sales in the c-store industry were up a whopping 19.5 percent in 2022.

More than three-quarters of the small operators surveyed this year said their prepared food dollar sales increased last year, with a net average gain of 21.1 percent. Not one operator said their prepared food sales decreased for the year, while the rest said sales stayed the same.

J ULY

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COVER STORY

Average Total Dollar Sales per Store

Average Motor Fuel Dollar Sales per Store

2022 vs. 2021

2022 vs. 2021 62.9%

Increased Decreased Stayed the same Net change

19.7% 17.4%

19.8%

The same trend was not evident, though, across the hot, cold and frozen dispensed beverage categories, perhaps indicating that the industry’s smaller operators are not keeping up with the improvements and advancements being made at the larger c-store chains these days.

While more than 70 percent of small operators reported an increase in hot dispensed beverage sales in 2021, only about 43 percent reported an increase for 2022.

Similarly, while 63 percent saw an increase in cold dispensed beverage sales in 2021, this percentage dropped to 56.5 percent last year. And in frozen dispensed beverages, more than 80 percent of small operators reported increased sales in 2021, but this percentage fell to 65.4 percent for 2022.

The most successful convenience store operators have not only committed to foodservice, but they’ve moved it to the forefront of their business. Industry-leading retailers are building new, bigger stores that make fresh food the first thing customers see when they walk through the door. They’re also investing significant time, money and resources in enabling customers to order food and beverages the way they want and obtain them the way they want — think online ordering, mobile ordering, curbside pickup, in-store pickup, delivery, seating and more.

Surviving vs. Thriving

17.0%

Decreased

20.5%

Stayed the same Net change

31.4%

Average In-Store Merchandise Sales per Store 2022 vs. 2021 63.5%

Increased 20.5%

Decreased

16.0%

Stayed the same Net change

5.5%

Average Number of Weekly Transactions per Store

In-store

2022

2021

% CHANGE

2,962

2,774

7.0%

1,808

3.3%

(including merchandise & foodservice)

Motor fuels

Whether operating a single store or a small chain, surviving against the larger convenience store chains is always top of mind for the industry’s small operators, and it can be challenging at times. This is especially true as of late, with the catalyst being the onset of the COVID-19 pandemic, which forced convenience store retailers to adapt by adopting and accelerating new services such as mobile ordering, delivery and contactless experiences.

Fast forward to today and these competitive pressures are combined with a post-pandemic world that includes an unpredictable economic climate, an erratic fuel market, supply chain woes and an inconsistent labor pool, creating a perfect storm for small operators to weather.

62.5%

Increased

1,870

Average Dollar Amount per Transaction

In-store

2022

2021

% CHANGE

$14.82

$14.01

5.8%

$32.55

24.4%

(including merchandise & foodservice)

Motor fuels

$40.49

26 Convenience Store News C S N E W S . c o m

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This is brought to article you is brought to you This article is article brought to youThis

by LP, Sunoco LP, member. a NACS member.LP, a NACS member.

by Sunoco a NACS

by Sunoco

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COVER STORY

Category Dollar Sales per Store 2022 vs. 2021 INCREASED

DECREASED

STAYED THE SAME

NET CHANGE

Cigarettes

57.5%

24.2%

18.3%

-3.3%

Packaged beverages

80.7%

13.7%

5.6%

6.8%

Beer/malt beverages

63.1%

29.2%

7.7%

3.2%

Other tobacco products

74.4%

3.6%

22.0%

4.1%

Edible grocery

50.0%

24.0%

26.0%

15.0%

Candy

62.6%

12.2%

25.2%

11.7%

General merchandise

53.8%

5.8%

40.4%

1.5%

Salty snacks

51.8%

12.1%

36.1%

14.8%

Wine & liquor

61.9%

7.1%

31.0%

5.3%

Nonedible grocery

41.2%

36.1%

22.7%

8.5%

Alternative snacks

56.5%

2.2%

41.3%

3.1%

Health & beauty care

58.0%

6.0%

36.0%

6.0%

Prepared food (prepared onsite or offsite)

77.9%

0.0%

22.1%

21.1%

Hot dispensed beverages

42.9%

33.9%

23.2%

14.9%

Cold dispensed beverages

56.5%

12.0%

31.5%

9.3%

Frozen dispensed beverages

65.4%

18.4%

16.2%

13.3%

MERCHANDISE

FOODSERVICE

This kind of business environment has industry experts split on how they would rate the current health of the small operator. Roy Strasburger, CEO of StrasGlobal, a Temple, Texas-based provider of consulting, operations and management services serving the small-format retail industry, gives single-store and small operators a rating of 7 — an assessment he considers “good.” Strasburger explained that his rating is driven by today’s high fuel margins and convenience retailing being favored by consumers during difficult economic times.

park, while others are going to be out of business within five years unless they adapt. So, a rating would take both of these into account and just muddy the rating,” Matthews stated.

John Matthews, president and CEO of Raleigh, N.C.based Gray Cat Enterprises Inc., which provides retail consulting for multiunit operations, told CSNews that he cannot assign a rating to the current health of the small operator community because of the multitude of factors that come into play, including market conditions, competitive pressures, store location and a retailer’s offering.

These changes, according to Matthews, include:

“Some small operators are hitting the ball out of the

The major obstacle threatening small operators right now is the convenience channel’s accelerated overall change in the marketplace post-pandemic, according to Matthews. “Think about all the changes that have been brought to the forefront in the last three to five years,” he said.

• Product expansion — The need to get into “meaningful” foodservice and create a differentiated offering; • Technology enhancements — From mobile apps, self-checkout and frictionless engagement to overall operational streamlining to minimize labor;

28 Convenience Store News C S N E W S . c o m

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COVER STORY

Top 10 Growth Categories for Small Operators

• Expanded services — Addressing the electric vehicle (EV) charging evolution; expanding seating areas, and getting more involved in the community; • Customer engagement options — Delivery, pickup, food trucks, drive-thrus and pop-ups have all become the norm; and • Investing in more appealing stores — Updating interiors and exteriors, and creating experiences for customers, not just transactions.

The good news is both Strasburger and Matthews agree that one key opportunity small operators have at their disposal to improve their business performance is leaning into the concept of local and putting the emphasis on “convenience” as the industry continues to evolve.

(Net change in dollar sales per store)

21.1% 15.0% 14.9% 14.8% 13.3% 11.7% 9.3% 8.5% 6.8% 6.0%

Prepared food Edible grocery Hot dispensed beverages Salty snacks Frozen dispensed beverages Candy Cold dispensed beverages Nonedible grocery Packaged beverages Health & beauty care

“Some small operators are hitting the ball out of the park, while others are going to be out of business within five years unless they adapt.”

“[Small operators] have the opportunity to be the consumers’ retail location of choice for food, beverage and immediate consumable items.

Convenience retailers have the unique position of being the local purveyors of products to the community and can know their community on a very individual and in-depth basis,” Strasburger pointed out.

Small operators can do this by optimizing their relationship with their supplier and distributor partners. In Strasburger’s opinion, the best thing a supplier can do for an operator is introduce new products to the retailer. Suppliers have earlier knowledge as to what is being introduced and can help assess which new products would work in an operator’s market.

— John Matthews, Gray Cat Enterprises Inc.

“An offshoot to this is sourcing and introducing local products for the operator. The more locally oriented the store is, the stronger the relationship between the operator and the customer,” Strasburger said, predicting that the next retailing state will be hyperlocal. “The more locally oriented a store is, the better it can compete with the large chains, online purchasing and quick-delivery competitors. It’s not just about the products, but also about creating a relationship with local manufacturers that the community wants to support.”

Industry Store Count 39.8%

Chains

60.2%

Single stores

Industry Store Growth Analysis

2022 2021 2020 2019 2018

TOTAL STORE COUNT

SINGLE STORES

CHAINS

150,174 148,026 150,274 152,720 153,237

60.2% 60.4% 61.4% 62.3% 62.3%

39.8% 39.6% 38.6% 37.7% 37.7%

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COVER STORY

Small Operator Spotlight: Additionally, Matthews suggests small operators seek out guidance on how to optimize every part of their business and look at their P&L line by line to find opportunities. Having a local store marketing plan and considering the “store of the future” also can be beneficial.

When asked what his 10-year outlook is for the c-store industry’s small operators, Matthews said it is not hard to see the future. “Adapt, invest, improve or become obsolete,” he stressed.

Should I Stay or Should I Go?

After four years of decline, the number of convenience store industry locations operated by single-store operators rose by 1.2 percent last year as this sector added 1,087 stores. Single stores account for more than 60 percent of the industry.

The number of stores operated by chains also ticked up last year by 1,061 locations, increasing 1.8 percent. The industry ended the year with a total store count of 150,174 vs. 148,026 in 2021.

While the size and influence of singlestore operators remains significant, acquisition activity last year shifted to midsized and smaller operators. For example, Brunswick, Maine-based Rusty Lantern Markets picked up the Mallard Mart chain, adding four stores to its footprint in Maine when the Mallard Mart owners decided to retire. And moving west, the owners of Dino Stop Convenience Stores in the Green Bay, Wis., area exited the industry after more than half a century and sold their six-store chain to 7ECO Holdings LLC, a Denver-based chain of roughly 60 stores.

Foxtrot

Co-founders Mike LaVitola and Taylor Bloom conceived the idea for Foxtrot nearly a decade ago while living in Austin, Texas. Their idea was to redefine convenience by marrying the modern convenience store and café with the best of neighborhood retail and e-commerce technology.

Today, Foxtrot is this idea come to life. The chain of 27 stores across Chicago, Washington, D.C., Dallas and Austin serves as a fun neighborhood destination where locals and visitors alike can gather and celebrate local makers. The retailer’s offering ranges from a signature all-day café experience to local craft beers and fine wines selected by an in-house sommelier to everyday essentials.

All of its offerings are available to enjoy in-store, for pickup, or for on-demand delivery through the brand’s proprietary app.

On June 5, Foxtrot opened its largest location to date. Situated in Austin and boasting 6,000 square feet, the new flagship store was once two buildings, one being an auto repair shop and the other a grocer. Both are now bridged together, pulling in different elements of each to bring an all-day café, market and a courtyard patio to the Bouldin Creek neighborhood.

In the coming weeks, Foxtrot will add its third Austin location at the base of Austin City Hall. By the end of this year, the retailer plans to open 10 more stores, which are already in various stages of the pipeline in existing markets. The team is also scouting for new markets.

What kind of market is ideal for a Foxtrot store? “It can be found all over the country in vibrant neighborhoods — anywhere people want next-generation convenience and a café and coffee shop where they can meet up with other people,” said CEO Liz Williams. “And that’s not just on Main and Main. We already have suburban locations in Dallas, where most people drive instead of walk, and the sites are doing very well.”

English punk rock band The Clash famously asked in the early 1980s, “Should I stay or should I go?” Lately, many independents and operators of small convenience store chains are asking themselves the same thing as the c-store business gets more competitive and complex.

On March 31 of this year, Green Zebra Grocery closed all three of its locations after a decade in the convenience store industry. Founded in Portland in 2013, Green Zebra sought to redefine what it means to be a convenience store in America. The retailer offered customers made-from scratch grab-and-go meals, a full-service coffee bar, kombucha Zlurpees, locally sourced meat, produce and groceries, and local beer. continued on page 36 32 Convenience Store News C S N E W S . c o m

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COVER STORY

Five Year Trend: Industry Store Growth (% change in store count) TOTAL STORE COUNT

CHAINS

SINGLE STORES

3.0%

2.0%

1.0%

0.0% 2018

2019

2020

2021

2022

-1.0% -2.0%

-3.0%

-4.0%

Small Operator Spotlight:

Fuel City

Fuel City, a family-owned and -operated chain of eight convenience stores throughout Texas, has been on a mission since 1995: to create a fun place in which to have positive experiences with expansive offerings and services. Its slogan, “Where Dreams Come True,” is a sort of whimsical embodiment of how the company hopes its business impacts people.

On Dec. 30, 2022, the small operator debuted the next iteration of Fuel City in the city of Wylie, Texas. The new concept incorporates a more transitional take on the exterior architecture and interior, while maintaining the retailer’s “Texas urban ranch” aesthetic.

To create a sense of hospitality and a welcoming environment, the new open, airy store design contrasts industrial exposed ceilings with residential finishes like wide-plank white shiplap. The design features retro pops of color and graphics throughout the signage and interior finishes to deliver the playful touches guests expect to find at a Fuel City store.

The 10,000-square-foot Wylie store also features the company’s flagship, award-winning street taco program and showcases Fuel City’s daquiri program, as well as a new growler bar concept, among other food and beverage offerings. A 24-hour drive-thru is available.

Looking ahead, the company anticipates opening

more Fuel City convenience stores featuring the same concept and design. The retailer seeks to learn and refine every store from each iteration along the way.

Fuel City is growth-oriented and actively searching for properties, but remains focused on developing only the best sites, seeking quality over quantity. For now, Fuel City plans to buildout across the Dallas-Fort Worth, Texas, metroplex and surrounding areas.

“We like to think of ourselves as a ‘Destination Station,’ and I think that may be a new category,” Fuel City CEO Joseph Bickham said.

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COVER STORY

Green Zebra founder and CEO Lisa Sedlar said the company had been “holding on by a thread” since the COVID-19 pandemic started and was “in austerity mode since then.” In a statement posted to the company’s website, she noted that Green Zebra experienced nine straight quarters of increases to its cost of goods, packaging, fuel, insurance, taxes and freight charges, among other expenses. Alongside those price hikes, the retailer also couldn’t overcome obstacles that included supply chain and staffing shortages, as well as “razor-thin” grocery margins.

“We definitely gave it our all and fought the good fight. We are thankful for the opportunity to have been in service to our community,” Sedlar said. “I want to express my deep gratitude and love for our truly awesome team members, loyal customers, vendor friends, landlords, investors and everyone who has helped us along the way. It has been a great honor to serve our local community over the last 10 years, and we’re beyond disappointed that we were unable to overcome the challenges presented by the global pandemic and current economic conditions.”

Industry experts expect to see more small operators exit the business.

“The demand for businesses with good cashflow and good assets is still in demand and will continue to grow,” predicted Terry Monroe, president of American Business Brokers & Advisors, based in Effingham, Ill. “There are many smaller and midsized convenience store chains in the United States that are owned by baby boomers who are at retirement age. Consolidation of the convenience store industry is not slowing down anytime soon.”

He pointed out that his company gets no less than two inquiries a week from qualified financial buyers outside of the industry wanting to purchase convenience stores because of the consistent cashflow the channel has generated over the years.

“The last four years, we have seen more acquisitions in the convenience store space be more aggressive than the first 20 years, and we anticipate the pace for acquisitions to increase due to the fact there are a lot of small chains that are thinking about exiting the business and most of the ‘A’ sites in the towns across the country are already taken,” Monroe added. continued on page 39

Small Operator Spotlight:

Choice Market Choice Market has undergone several tweaks since its flagship convenience store opened in October 2017 in the heart of downtown Denver. Choice (its banner name) debuted as a onestop shop concept that combines the speed of a convenience store with the product selection of a grocery store. The retailer focuses on three key differentiators: fresh, local and on-demand.

In less than a decade, Choice has grown into a chain of five convenience stores serving Denver’s metro area and continues to redefine the convenience store model.

In 2021, Choice debuted one of the world’s largest contactless and frictionless markets with the opening of a 5,000-square-foot store that features the brand’s revolutionary Choice: NOW shopping experience. Located at 939 Bannock St. in Denver, the frictionless experience allows guests to scan the Choice mobile app upon entry, pick up their groceries and freshly prepared meals, and then leave the market without any traditional checkout. Guests receive a receipt directly to their mobile devices moments after they exit the store.

Then, in October 2022, Choice introduced a new format, Choice Mini-Mart, at The University of Colorado Anschutz Medical Campus. Developed in partnership with St. Louis-based Health Hospitality Partners, the model is designed specifically for nontraditional retail spaces and features the Choice: NOW frictionless experience. Earlier this year, the small operator announced plans to rapidly scale the mini-mart format through strategic partnerships with hospitals, apartment developers, venues, airports, electric vehicle charging stations and college campuses.

Despite its focus on digital, Choice Market has big plans to grow its physical retail space. A five-year business plan calls for roughly 30 Choice stores to be in operation across three to four markets.

To date, the company has raised nearly $10 million in funding.

“To us, as an omnichannel player, brick and mortar is the hub. It maximizes our revenue per square foot and creates that brand affinity,” said Choice Market founder and CEO Mike Fogarty.

“I’m a huge proponent of physical retail space, particularly in convenience, because it’s all about proximity.”

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COVER STORY

Small Operator Spotlight:

Hangry Planet Hangry Planet, the brainchild of actor, entrepreneur and philanthropist Bobak Bakhtiari, seeks to redefine the traditional junk food landscape perpetrated by traditional convenience stores with the first-ever fully plant-based c-store.

Inspired to launch Hangry Planet after coming across an undercover investigation into organic dairy farms by Animal Recovery Mission, Bakhtiari said the mission of Hangry Planet is to “transform the compulsive junk food milieu of traditional c-stores into healthy havens of grab-and-go meal yumminess.”

To that end, Hangry Planet offers a carefully curated selection of vegan and plant-based grab-and-go meal options, beverages, sustainable and satiable desserts, and craveable snacks. Each product is vetted to assure that every item in the store is sustainable, animal product free, and cruelty free. In total, the single store carries roughly 3,500 SKUs.

Located at the Tanforan Shell station at 1199 El Camino Real in San Bruno, Calif., Hangry Planet boasts nearly 1,500 square feet and opened to the public in late spring 2022. The San Francisco Bay Area was the ideal location to debut the concept because of the growing momentum and affinity toward plant-based cuisine in the area, and the accessibility of West Coast vendors that offer ample plant-based snacks and meals that are flavorsome.

Since opening, the vegan community has zeroed in on Hangry Planet, making it a destination. With the concept’s growing popularity, Bakhtiari plans to open more locations. He has been in talks to introduce a store to the Ann Arbor, Mich., area.

“While it appears the c-store milieu is a great pipeline for expansion as health takes a greater priority, there’s also talks about opening a larger grocery store that fuels planet- and animal-friendly choices on a grander scale,” he added.

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John Sartory, managing director of North Palm Beach, Fla.-based Petroleum Capital & Real Estate LLC, echoes that the forces that started big consolidation in the convenience channel — notably, the maturing of the industry and generational issues — will persist.

Additionally, he observed that small operators today are being faced with several headwinds, including a heightened focus on technology as consumers demand new levels of tech to speed up transaction time and enable ordering when they want, how they want.

“Technology like self-checkout is great, but it costs money; it’s not cheap,” Sartory said. “You hope to offset labor costs, but initially you have to have the capital. For a small operator, can you compete with Sheetz, Wawa, 7-Eleven or QuikTrip with all the innovations they are bringing to their stores? I’m not saying you can’t compete, but it’s tougher and you have to have access to capital.”

The drivers behind an operator’s decision to sell are different for everyone, according to Ken Shriber, managing director and CEO of Petroleum Equity Group, headquartered in Chappaqua, N.Y. He pointed to business structure, geography, competition and asset stack as considerations.

“If an owner already has a very profitable portfolio of stores and a wholesale business, and they can fund additional acquisitions, rebuilds and build large format ground-up big box c-stores with large forecourts and foodservice, they may be advised to remain,” Shriber said. “If, on the flip side, they do not have the significant capital and expertise needed to develop big-box sites with a thriving foodservice business, they are well-advised to sell and monetize what they have, given the record prices being paid.

When competition builds their bigger, modern sites nearby and impacts the local operator, it will be too late to achieve that outcome.” CSN

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FOODSERVICE

Building a Delicious Reputation Updated technology and improved marketing efforts are key to making c-store food and beverages a top pick for consumers

By Angela Hanson

BUILDING A SUCCESSFUL foodservice program involves more than creating a tasty, appealing menu. Tasty items that fit customers’ preferences and offer value are critical, but they’re also the starting point, not the end goal, for food-forward convenience store operators.

In today’s evolving foodservice industry, it is more important than ever that operators investigate what kinds of technology can improve their program — both because it’s what customers expect and because tech is increasingly able to ease the pain of labor shortages and supply chain snags.

C-store retailers are increasingly making technology that assists with ordering a big part of their plans, and creative and effective promotional efforts are also vital as the competitive lines continue to blur and c-stores are increasingly competing against each other as well as quick-service

More than a quarter of convenience store retailers plan to add order ahead via app and/or in-store touchscreen ordering in the near future.

Foodservice Ordering: Currently Offer 2023

Foodservice Ordering: Plan to Add 2023

2022

53%

Contactless payment in-store

39%

31% 25%

In-store touchscreen ordering

18%

37% 31%

Curbside pickup

18%

At-pump touchscreen ordering

15%

21%

15%

Curbside pickup

26%

Order ahead via app

13%

13% 25% 19%

Order ahead by computer

13%

In-store touchscreen ordering

At-pump touchscreen ordering

26%

Order ahead via app

45%

Order ahead by phone

Pumpside pickup

2022

Contactless payment in-store

13% 10% 12%

Order ahead by computer

13%

Order ahead by phone

5% 10%

Pumpside pickup

21% 12% 8% 10% 13%

2% 2%

Food pickup lockers*

8%

*Food pickup lockers added as a new response option in 2023

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FOODSERVICE

Main Foodservice Competitors 2023

2022

74%

Other c-stores

78% 59%

Chain sandwich shops (Subway, Quiznos)

48% 49%

Fast-casual chains (Panera Bread, Chipotle)

34% 41%

Coffee shops

33% 41%

Grocery stores

27% 39%

QSRs

40% 23%

Food trucks

Drug stores

Other

restaurants, fast-casual chains and other retail foodservice segments, according to the exclusive 2023 Convenience Store News Foodservice Study.

24% 3% 5% 2% 3%

Change in Foodservice Promotions INCREASE

STAY THE SAME

44%

Before customers can enjoy c-store food and beverages, they have to order and pay for them. The use of technology to make these processes easier is rapidly increasing.

Contactless payment in-store is the current top foodservice ordering method, offered by just over half of this year’s Foodservice Study respondents. This method also saw a significant year-over-year jump, going from being offered by 45 percent of c-stores in 2022 to 53 percent in 2023.

Other technology-based ordering methods that c-stores currently offer are order ahead by phone (offered by 39 percent), curbside pickup (31 percent), order ahead via

DON'T KNOW

19%

No matter what menu options and competitive strategy individual retailers embrace, they need to have a plan to put their program’s best food and beverages forward.

The Future of Foodservice Is Tech

DECREASE

61%

43%

8% 5%

18%

2023

2022

2%

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FOODSERVICE

Most Used Promotional Channels 2023

2022

75%

Social media

63% 64%

At-pump signage/signage outside c-store

63% 53%

Loyalty program

51% 33%

Email

31% 31%

Radio

27% 23%

Billboards

24% 20% 18%

Text message

18%

Paper coupons

18%

Direct mail

19% 16% 19%

Proprietary mobile coupons/apps

Third-party mobile coupons/apps

Television

Geofencing push notifications

app (26 percent), order ahead by computer (25 percent) and in-store touchscreen ordering (13 percent).

The importance of technology is even more evident when looking at c-store retailers’ future plans. Nearly all foodservice ordering methods that operators say they plan to add involve technology, with order ahead via app (26 percent plan to add) and in-store touchscreen ordering (25 percent plan to add) leading the way.

These methods have seen a big jump in interest from 2021 when just 16 percent and 12 percent, respectively, reported plans to add them.

“More mobile ordering and third-party delivery options,” one respondent stated.

At-pump touchscreen ordering, curbside pickup and contactless payment in-store round out the top five

24%

15% 13% 13% 13% 13% 10%

Fast-casual restaurants, grocery stores and chain sandwich shops saw the biggest jumps in c-store operators viewing them as their chief competition. foodservice ordering methods that c-store retailers intend to add in the near future.

These investments in ordering technology become even more important as c-stores’ circle of competitors expands to include foodservice retailers that are also diving into alternative ordering and payment methods. This year’s study respondents primarily view other c-stores as their top foodservice competitors (74 percent) and biggest threat to their share of stomach.

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FOODSERVICE

Most Successful Promotions 2023

2022

53%

Price discount

57% 39%

Bundling/meal deal

37%

38%

BOGO

30%

Two-fers

Other

30%

36%

5% 5%

However, the number of c-store operators that cite nonconvenience store outlets as their main foodservice competitor has risen sharply in recent years. Fifty-nine percent cite chain sandwich shops such as Subway and Quiznos (up from 43 percent in 2021) and 49 percent cite fast-casual restaurants such as Panera Bread and Chipotle (up from 31 percent in 2021). Coffee shops and grocery stores have also seen notable growth in the percentage of c-store operators that view them as chief competitors.

To strengthen their reputation as dining and snack destinations, c-store retailers are turning to a combination of equipment upgrades, digital offerings and even new store models that are better suited for serving up fresh food and beverages.

“I want to expand my store’s foodservice area by 1,000 square feet and put a rewards program in place in my store, plus I’m in the process of building another bigger store in the other part of town,” noted one study respondent.

Other respondents pointed to equipment such as self-contained air fryers, vector ovens, new heat-andhold units and dispensers for all beverage types as on their list of planned enhancements. Equipment that can streamline duties for in-store employees is particularly welcome as retailers cite difficulty hiring and retaining employees and the supply chain as their top two obstacles to foodservice success.

Powering Up Promotions Communicating with customers is another key part of foodservice success. C-store operators are stepping up their promotional efforts for the category compared to a year ago, as 44 percent say they plan to increase their number of foodservice promotions in 2023, a significant increase from the 19 percent who said the same last year.

53%

of c-store retailers say price discounts are their most successful promotions.

Additionally, the percentage of retailers that expects their foodservice promotions to stay the same declined year over year from 61 percent to 43 percent, while the percentage that expects to offer fewer foodservice promotions fell from 18 percent in 2022 to 8 percent in 2023.

Social media remains the top promotional channel, and the percentage of c-stores that use it for foodservice promotions grew 12 points year over year to 75 percent.

This outpaced the growth of at-pump signage/signage outside the c-store and loyalty programs, the next two most popular promotional channels. Email and radio promotions round out the top five.

When asked what types of foodservice promotions have been most successful for them in the past year, respondents reported seeing the best results from price discounts, with 53 percent listing these as their most successful promos. However, this marked a slight drop from 2022, when 57 percent said the same.

Bundling/meal deals come in second, cited by 39 percent. The greatest growth, though, was seen in buy-one-get-one deals (up 8 points to 38 percent) and two-fers (up 6 points to 36 percent), indicating heightened consumer desire for value in today’s challenging economic climate. CSN

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TOBACCO

Lessons in Multiplication Convenience stores can do more to cater to the tobacco polyuser

By Renée M. Covino HAVE YOU DONE THE MATH? As the consumption of cigarettes declines, the consumption of other nicotine products increases, but often the consumer is the same, a so-called polyuser that convenience stores are in good position to cater to.

The latest “Global Trends in Nicotine” report noted that cigarettes shrunk from 88.9 percent of the total nicotine ecosystem in 2017 to 84.1 percent in 2020.

This shift has largely been driven by the increase in alternative nicotine products in the market, with one of the main results being an increase in consumers who use multiple products.

Earlier this year, Mike Wilson, vice president of trade strategy and operations for Winston Salem, N.C.-based Reynolds Marketing Services Co., told Convenience Store News that this phenomenon is one of the category’s greatest untapped opportunities of 2023. “Many adult consumers are looking for potentially less risky products and as these consumers continue to navigate away from combustible cigarettes, polyusage continues to rise,” he said.

The decline in cigarette usage over the last decade has led to a proliferation of more novel and alternative nicotine products, driving growth of more dual and poly product use, agreed Don Stuart, managing partner at Cadent Consulting Group, based in Wilton, Conn.

Because of this, the industry is experiencing a slightly different consumer shopping for tobacco these days than 20 years ago, he explained.

“This consumer is more willing to cross over between product groups and try alternative tobacco products than ever before,” he said. “These aren’t buyers of your father’s pipe tobacco or cigars.”

The Particulars of Polyusage Don Burke, senior vice president of Management Science Associates Inc. (MSA), a Pittsburgh-based company focused on analytics and informatics, has also been watching the polyusage trend take shape, with what MSA defines as the two largest nontobacco nicotine product forms — vapor and modern oral — often winding up in the baskets of cigarette users.

“The trend is very much expected to continue as tobacco use restrictions have practically forced the cigarette consumer, who chooses to consume nicotine regardless of their location, to find an additional product form that is allowed/acceptable at that location,” Burke explained.

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“You will see that polyusers often switch between combustible cigarettes and either moist smokeless tobacco or modern oral nicotine based on whether they are at work or at play,” offered Matthew Hanson, chief financial officer/chief growth officer of Chicagobased Black Buffalo.

Black Buffalo launched in convenience stores last year as a modern oral nicotine product designed to deliver the “ritual and experience” of moist smokeless tobacco in long-cut and pouches, but without the tobacco leaf.

“Adult nicotine consumers appreciate products that allow for frictionless experiences or moments of consideration,” Hanson said. “Many products now offer discreet use, which allows adult consumers to enjoy them in more settings, such as professional, commuter and travel.”

Nicotine pouches are one of the most popular products (behind e-cigarettes) to have inspired polyusage. “Smokeless tobacco users are more likely to mix in oral nicotine pouches,” noted Alex Morrison, senior business analyst at Cadent Consulting Group. “Women also opt for pouches at significant rates — females comprise about 25 percent of pouch users.”

Analog Comparisons The question of polyusage in the tobacco category brings to mind purchase behavior and usage in other categories, specifically beer and meat, according to Cadent Consulting Group.

Beer: The growth of nonalcoholic beer, while small in dollar sales, has been phenomenal in percentage terms, according to Cadent Consulting Managing Partner Don Stuart. Many consumers of nonalcoholic beer state that they want to reduce their alcohol intake, live a healthier lifestyle, or believe certain occasions are just better for a nonalcoholic offering. Simply put, they enjoy the taste and many of the benefits, but without the alcohol.

“We believe this trend will continue to grow as consumers balance health and lifestyle needs,” Stuart said.

Meat: Plant-based meat alternatives were the rage up until this past year. The vast majority of plant-based consumers, according to the firm’s research, indicate that they “eat most anything.”

These consumers are not vegans, vegetarians or flexitarians, but they like to try new things and believe in health, environmental or ethical benefits of a plant-based alternative. “Or they just may want a change of pace,” noted Cadent Consulting Senior Business Analyst Alex Morrison.

Bottom Line: Polyusage can lead to an increase in purchases for the overall category, even though it may result in a decline of traditional products.

Even more popular, e-cigarettes form the basis for most poly-purchasing, particularly by younger users, according to Morrison. He pointed to a recent study published in the National Library of Medicine that cited young adults are more likely to have lower risk perceptions for most alternative tobacco products.

Furthermore, the study suggested that the uptake of e-cigarette usage may, in part, be explained by experimentation, which Morrison likens to polyusage.

Next-Generation Suggestions So, how can convenience stores best market to dual or poly product users?

“The best advice is unexciting, but always be in stock with the right items,” Cadent Consulting’s Stuart said. “A lot of the polyusage today is being driven by new items that are viewed as risk-reducing relative to traditional tobacco products.

The hottest trend we are seeing is in tobaccoless nicotine pouches, but this can change on a dime as we have seen in the last few years with JUUL and other e-cigarettes.”

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Morrison shared that he recently spoke with a large chain retailer based in the Midwest who told him that they have traded a lot of e-cigarette backbar space over the last two years in favor of modern nicotine pouches like Zyn, on! and Rogue products. “As it is these products that drive considerable polyuse occasions, it is important to stock the full array of pouch options,” he advised.

offering consumers products at a value that encourages them to try a product that is different from their everyday form, flavor or brand.”

Reynolds’ Wilson echoes that to meet the demands of the polyuser, c-stores should strive for a more robust nicotine portfolio from reputable manufacturers.

“A lot of the polyusage today is being driven by new items that are viewed as risk-reducing relative to traditional tobacco products.”

“Incorporating next-generation products into your backbar provides consumers the option to explore new ways to enjoy nicotine,” he said.

But beyond being in-stock with the right items, driving awareness is crucial for any emerging category with relatively low awareness and share, as many alternative tobacco products are.

Stuart outlined three ways c-stores can drive awareness, starting with signage of noncombustible products, both at the storefront and the backbar.

Promoting noncombustible products is a top suggestion, too. “I recall a c-store a few months back running a three-for-one on Zyns; this is a fantastic way to stimulate interest,” he noted.

The third way retailers can drive awareness is to maximize their facings for products that are on-trend and tailor their assortment to fit the latest trends.

“The optimal way to assess section adjacencies in tobacco is an integrated ‘Logic Lens’ approach that Cadent employs. This involves understanding what shoppers say, assessing what shoppers do through purchase interaction analysis, and quantifying how retailers perform with different sets,” Stuart explained. “Given the importance of tobacco for c-store retailers, we recommend that the major chains conduct this type of analysis to optimize sales and profitability for total tobacco.”

Employee education and interaction also come into play if retailers want to adequately satisfy the needs of polyusage customers. “The connection between store staff and guest is a bond born out of frequency,” Hanson relayed. “Convenience stores can leverage the relationship between adult consumers and their staff by providing staff with education and

Hanson recognizes that marketing these days is typically handled by the manufacturers. “Given the churn of staffing at the retail level, ensuring employees are adequately informed about newer products is one of the greatest challenges of the day,” he said, recommending that retailers strive to be a conduit of new product education nonetheless — what the new products are, what the product features are and why adult tobacco consumers should consider them.

— Don Stuart, Cadent Consulting Group

Evolving Regulation Perhaps the most important advice for a retailer seeking to satisfy polyusers is to only deal with alternative nicotine manufacturers that are playing for the long-term.

“I would make sure I was dealing only with reputable companies that have submitted PMTAs and credible ones backed with scientific data,” advised Bryan Haynes, a partner specializing in tobacco at the national law firm of Troutman Pepper.

He acknowledges that the Food and Drug Administration (FDA) could be more helpful to the industry if the agency was more transparent around this topic. Nevertheless, it behooves retailers to question the companies they deal with regarding their PMTA status.

Despite continually evolving efforts to limit adult consumer choice and options through regulatory means, tobacco consumers still opt to enjoy nicotine. From a harm reduction perspective, polyusage can potentially be a good thing, but these products are still in the early stages and research on their health impact is lacking.

“From a retailer perspective, it is important to stay current on the regulatory environment surrounding the products on shelf. The last thing a retailer wants is to be blindsided should one of the lines fall victim to the latest regulation,” Morrison cautioned. “Modern nicotine products are an exciting opportunity, but from both a harm reduction and a sales perspective, the market is still very young and retailers need to be careful as regulations evolve.”

Hanson believes it is incumbent on the manufacturer community and the regulatory bodies to understand the new polyuser, and for the regulatory bodies to allow products along a continuum of risk for legal-age nicotine users.

“Closing markets to new products and limiting choices forces consumers to use and rely on traditional products,” he reasoned. “New vapor, new modern oral and new functional use products show that legal-age consumers want options that offer different ways to consume tobacco/nicotine. More collaboration is needed between legislative bodies and manufacturers that allow for products that will satisfy adult consumer demand in a responsible manner.” CSN

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Buzzword: Innovation The convenience channel is well positioned to meet the candy and snack needs of consumers, no matter their preferences

By Danielle Romano NOW LIVING in a post-pandemic world, consumers are back to their daily routines and part of that routine is snacking.

Today, snacking is a lifestyle in the United States, as the younger generations fuel sales potential with an uptick in consumption of three-plus snacks per day. And while the nation’s economic situation is impacting what snacks and sizes consumers are buying, many categories continue to be inelastic.

This is good news for convenience store operators, who are well positioned to succeed in today’s snacking boom.

In fact, during the opening session of the recently held 2023 Sweets & Snacks Expo, Sally Lyons Wyatt, executive vice president and practice leader at Chicagobased Circana, referred to the convenience channel as a “snacking superstar.”

While consumers are spending across all retailers, the c-store channel posted one of the largest increases in dollar sales growth year over year from 2021 to 2022

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at 11.9 percent, Circana research found.

Lyons Wyatt attributes this growth to the convenience channel’s “halo effect,” through which consumers are drawn into c-stores for their foodservice offerings, but then make additional snack purchases because operators have snack sizes with entry price points that resonate with buyers, she explained.

So, what should c-store operators consider stocking in their stores in the near future? Some of the top trends on display at the 2023 Sweets & Snacks Expo included:

Nonchocolate Candy Gains Momentum Consumers think of nonchocolate candy as being a fun treat to enjoy or share with others. Consumption is as much tied to everyday treating as it is to special occasions, according to Anne-Marie Roerink, principal at 210 Analytics LLC, headquartered in San Antonio.

Gummies, chewy and hard candy have the highest cross-population engagement, but most consumers purchase across several different segments.

“Variety is our superpower: people who consume candy more often tend to buy a wider range of candies,” Roerink said.

With segment growth being driven predominantly by Generation Z and millennials, nonchocolate candy sales are expected to reach $20 billion by 2027.

Classic fruity flavors are the top preference at 50 percent, although younger shoppers are more likely to prefer unique flavors. “In gummies, 46 percent of Americans equally like both sweet and sour flavors, whereas 43 percent prefer sweet. The sour preference is much higher among Gen Z and millennials,” Roerink revealed.

In an effort to appeal to consumers of all ages no matter their candy preference, Morinaga America Inc., the official distributor of nonchocolate chewy candy HI-CHEW, is launching HI-SOFT, a rich and creamy salted caramel chew that provides consumers with a decadent snacking experience, according to the company. HI-SOFT debuts on the heels of HI-CHEW Bites, which are unwrapped chewlets in bite-size packaging.

"Newstalgia" Takes Hold If anything comforted consumers during the COVID-19 pandemic, it was familiarity, which had them reaching for candy and snacks that provide a sense of nostalgia. Fast forward to today and consumers still want more of their favorite classic treats, except they want them amped up. Thus, suppliers are offering fresh and innovative twists on items consumers already know and love, combining the comfort of familiarity with the excitement of something new.

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Nassau Candy, headquartered in Hicksville, N.Y., aims to bring back candy stix in a big way with the launch of Clever Candy Straws. While the candy powder might look the same, the flavor in Clever Candy Straws is more intense, offering an entirely new experience, according to the maker.

product mashups from Jack Link’s and Frito-Lay North America. Jack Link’s Doritos Spicy Sweet Chili and Flamin’ Hot flavored original beef jerky and meat sticks are hitting the market.

“Newstalgia — new takes on a candy classic — is such a popular trend in the confectionery space right now, we wanted to develop a product that brought new attention to a longtime candy favorite for a new generation,” said Andrew Reitman, executive vice president, national brand confections for Nassau Candy. “Our new Clever Candy Straws line offers all the fun customers remember from classic candy stix like Pixie Stix, but with even more intense flavors to tickle their taste buds.”

While BFY confections have seen accelerated growth for four out of the past five years, there is still more room to grow. And Nathan Johnson, director of better-for-you marketing for The Hershey Co., says the good news for retailers is that all shoppers of BFY confections also purchase conventional confections; there is no exclusivity.

Also combining consumers’ desire for something new yet nostalgic, Kellogg’s will be rolling out Rice Krispies Treats Homestyle Original Bars to the convenience channel in 2024. The bars deliver bakery-inspired, handcrafted taste and are 50 percent bigger than the brand’s original bar.

“These bars remind me of when I was a kid in the kitchen making Rice Krispies Treats with my grandmother,” Jessica Watson, director of portfolio marketing, snacking for Kellogg’s, told Convenience Store News.

Brand Collaborations on the Rise Cross-brand collaborations are playing a bigger role in the confectionery and snack industries as companies look to partner with compatible brands and build consumer engagement and excitement, while capitalizing on each other’s segments.

Aiming to bring bold flavor into new forms, Conagra Brands Inc.’s DAVID Seeds is kicking up the heat with the arrival of DAVID Frank’s RedHot Jumbo Sunflower Seeds. Every bag combines DAVID’s iconic sunflower seeds with the bold taste of Frank’s RedHot. Meanwhile, Conagra’s Slim Jim brand has partnered with SONIC, a registered trademark of America’s Drive-In Brand Properties LLC, for the new SONIC Chili Cheese Coney Monster Stick.

The meat snacks segment is also heating up with a new brand collaboration and

Better-For-You Continues to Grow Nearly two-thirds of Americans are looking for better-for-you (BFY) options, yet the BFY segment is underdeveloped compared to other center-store categories, according to The Hershey Co.

“Shoppers who are buying better-for-you are also buying a variety of other brands, both within confection and across snacking sectors,” Johnson said.

"Shoppers who are buying better-for-you are also buying a variety of other brands, both within confection and across snacking sectors."

— Nathan Johnson, The Hershey Co. To tap into the dietary lifestyles of consumers who seek to bond physical and emotional wellbeing, Hershey unveiled a variety of products at the recent Sweets & Snacks Expo. Lily’s, a premium BFY brand under The Hershey Co. umbrella, unveiled Lily’s Watermelon Slices and Lily’s Peach Rings.

Recognizing the market opportunity surrounding vegan chocolate, Hershey also launched two plant-based confections: Hershey’s Plant Based Extra Creamy with Almonds and Sea Salt, and Reese’s Plant Based Peanut Butter Cups.

Additionally, as more consumers look to add protein to their diets, the ONE brand (already known for its protein bars) announced plans for protein-packed ONE Puffs in cheddar and spicy nacho flavors, and FULFIL bars will launch its newest flavor, Triple Chocolate.

The 2023 Sweets & Snacks Expo, hosted by the National Confectioners Association, took place at Chicago’s McCormick Place from May 22-25. The annual expo brings together confectionery and snack retailers, manufacturers, brokers and suppliers to showcase the latest product innovations, merchandising ideas and supply-side solutions.

Nearly 18,000 people registered for the 2023 Sweets & Snacks Expo, with more than 800 exhibitors on the show floor.

2023 marked the final time the show will take place at McCormick Place. Beginning in 2024, the Sweets & Snacks Expo will cycle through a rotation of two years in Indianapolis followed by one year in Las Vegas until 2032. CSN

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TECHNOLOGY

The 7NOW Gold Pass subscription delivery service is part of 7-Eleven's commitment to bring value to the customer experience.

At Your (Subscription) Service The evolution from punch cards to mobile apps has convenience store retailers asking what’s next

By Melissa Kress FOR SEVERAL YEARS, convenience store retailers have

been working on their loyalty game, building up a fan base through special in-store offers and fuel discounts. By now, following the evolution from loyalty program punch cards to swipe cards to mobile apps, many c-store retailers have it down pat — leading them to ask: What’s next?

For some, it is a continuation of offers and discounts with the addition of getting customers to pay for a loyalty program, even if it’s just a nominal fee.

In early 2022, Irving, Texas-based 7-Eleven Inc. introduced the 7NOW Gold Pass, a subscription delivery service. For $5.95 a month, customers can access the delivery service and have the delivery fees waived on all orders. The 7NOW Gold Pass pays for itself in about three delivery orders per month, according to 7-Eleven.

Subscribers with a basket subtotaling at least $10 receive other perks, including the option to select a free product. Additionally, 7Rewards loyalty members can unlock double the rewards in the 7-Eleven mobile app when they order delivery using the 7NOW Gold Pass.

“Our 7NOW Gold Pass subscription delivery service brings convenience to a whole new level, giving our customers the ability to order what they want, when they want it — and now as often as they want without an added delivery fee,” said Raghu Mahadevan, 7-Eleven’s senior vice president and chief digital officer.

7-Eleven launched delivery in 2018 via 7NOW, and the introduction of new offerings — like the 7NOW Gold Pass subscription delivery service — is part of a companywide commitment to bring value to the customer experience both in and out of the store.

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For $5.99 a month, Circle K customers can sign up for a Sip & Save subscription.

A Familiar Connection Subscription programs are growing in the convenience channel, and it makes sense when you consider today’s consumers are already very familiar with the concept.

From Netflix and Hulu to the daily newspaper, consumers are willing to pay for a service.

“Subscriptions started in media and people caught on that once someone signs up for something, they tend to not turn it off, sometimes getting the value,” explained Jeff Hoover, director of c-store data insights at Newton, Mass.based Paytronix, a provider of customer engagement solutions and loyalty programs for convenience stores, restaurants and retail chains.

Subscriptions have since migrated from the media world to the restaurant world.

Hoover pointed to Panera Bread as an example. With the fast-casual restaurant chain’s Unlimited Sip Club subscription, members pay $11.99 per month and can enjoy a cup of any flavor drip hot coffee, hot tea, iced coffee, iced tea, Charged Lemonade, lemonade or fountain beverage every two hours during regular bakery-café hours, including free refills

of the same beverage at any participating Panera Bread bakery-café in the United States.

“I think it has always made perfect sense for Panera. Panera sells food, and drinks are an add-on. If I can get someone to subscribe to the drink program, obviously you’re hopeful to gain some of the volume on the foodservice side of the business as well,” Hoover noted.

With today’s influx of higher-quality foodservice programs into the convenience channel, it’s a logical next step for c-store retailers to explore the subscription space.

“Convenience stores are trying to become more like restaurants. They are going to have to become more dependent on what their in-store items are, as opposed to gas, in the future,” Hoover said. “I think it only makes sense that they’ll look to restaurants for common technology and practices, and see where they need to compete, where those restaurant brands that they’re effectively competing with for that inside business are having benefits.”

Although the convenience channel to date has been slow to embrace this new avenue, some Paytronix clients are rolling out their own subscription programs, such as Savannah, Ga.-based Parker’s, which operates 76 convenience stores throughout southeast Georgia and South Carolina under the Parker’s and Parker’s Kitchen banners.

In early March, Parker’s introduced Chewy’s Drink Club, a dispensed beverage subscription program that is available to Parker’s Rewards members for $6.99 per month. Subscribers can redeem one large fountain drink per day at any Parker’s or Parker’s Kitchen store across the retailer’s operating footprint.

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“In response to customer demand, we’ve launched Chewy’s Drink Club, so our loyal customers can get their daily fix of Chewy Ice and their favorite fountain drink, freshly brewed southern sweet tea or Parker’s Fancy Lemonade,” said company founder and CEO Greg Parker.

He also noted that the program saves Parker’s customers time and money, and offers them a frictionless experience at checkout.

Food, Beverage & Beyond This year has also seen Altoona, Pa.-based Sheetz Inc. enter the subscription arena. The convenience store chain, which operates more than 600 stores in Pennsylvania, West Virginia, Maryland, Ohio, Virginia and North Carolina, offers two such programs.

Customers can subscribe for unlimited “fryz” for $9.99 a month.

Through this program, they can order fries via the Sheetz mobile app every two hours, and there is no limit on how many times they can use the subscription from month to month.

Sheetz customers can sign up as well for an unlimited selfservice drink subscription for $14.99 a month. Like the fryz subscription, they can get a drink every two hours.

Drinks are also the focal point of a Circle K subscription service.

The global banner of Laval, Quebec-based Alimentation CoucheTard Inc. aims to build on its reputation for extensive beverage offerings and endless flavor combinations with the Sip & Save subscription service. For $5.99 a month, members can choose any one of Circle K’s coveted beverages, including iced tea, iced or hot coffee, Polar Pop or Froster, in any size cup daily.

Since its rollout less than a year ago, Sip & Save has amassed 400,000 active subscribers.

“We have very strong positive feedback from our customers, and we continue to look for opportunities to make it even easier for our customers to benefit from this program,” Couche-Tard President and CEO Brian Hannasch said during an earnings call in March 2022. “While it’s certainly in the short term … impacting our sales in the dispensed category, we think the ongoing loyalty and increase in traffic that we’re seeing is a good move for us over the long term.”

Outside of food and beverages, there are other areas of a convenience store operation that a retailer can tap when it comes to subscriptions, too. Thinking outside the literal box, some are rolling out subscription programs for their car wash customers.

In early 2021, South Florida-based Sunshine Gasoline Distributors launched an app-based car wash subscription program in partnership with Liquid Barcodes Inc., becoming one of the first c-store retailers to offer a subscription program for unlimited car washing.

More recently, Truesdale, Mo.-based Warrenton Oil Co., which operates 59 FastLane stores throughout the state, debuted monthly car and truck washing subscription services. Customers can subscribe through the existing FastLane app and select from several wash subscription packages, all offering a contactless wash experience. Warrenton Oil operates 17 car wash locations and one FastLane Truck Wash location.

Staying outside the store, Atlanta-based RaceTrac Inc. rolled

Getting Started

As more convenience store retailers consider entering the subscription service space, there are some things they should keep in mind before jumping straight in.

First, it is important to take a look at the competition in your market and understand what is out there — and not only in the convenience retail channel, according to Jeff Hoover, director of c-store data insights at Newton, Mass.-based Paytronix.

“Especially when it comes to subscriptions, look at Panera and the other restaurant brands that are offering subscriptions. That will really help inform the right pricing model for you,” he advised. “If you’re in a market where everyone’s at $5 a month, the subscriptions coming out with a $10 or $15 price point are probably not a model that’s going to work very well.”

Hoover cautions c-store retailers not to get caught up in penciling out a higher price point because the average customer is going to come in and use it two or three times a week. Instead, he said “it’s really important to think about and work with your partner to understand the overall impact of pricing and what we expect the attachment rate to be.”

C-store retailers need to understand their competition and their customers, and think about profitability beyond just the redemption, but also the attachment rate and increasing customer visits.

“It’s important to look at the full context of the ROI [return on investment] and the change in behavior that will come with someone in a subscription, as opposed to just individual exemptions of that item and thinking about it from a cost diverse perspective, because there are other benefits,” Hoover added.

He believes operators should consider a free trial period when introducing a subscription service; or if it is a tiered model, giving customers a higher tier access the first month but after that, they have to have a certain number of visits or pay a certain price to maintain that tier.

“A free trial could be a great acquisition method,” he said.

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Chewy’s Drink Club subscribers can redeem one large fountain drink per day at any Parker’s or Parker’s Kitchen store.

out a monthly fuel subscription program, RaceTrac Rewards VIP, in 2020. For $2.49 a month, RaceTrac Rewards VIP members can save 10 cents per gallon on their first 40 gallons and 3 cents per gallon thereafter.

RaceTrac Rewards VIP is a premium add-on to RaceTrac’s standard loyalty program, RaceTrac Rewards. VIP members receive discounts at the pump in addition to various coupons and promotions on RaceTrac’s in-store products.

Paytronix’s Hoover encourages other c-store retailers to explore the subscription space. And he noted that rather than subscribing for a specific product or service, it could be an added benefit like a special pickup location or curbside pickup for premium customers.

especially if it’s a special window or counter that you go to pick up your things that costs nothing for you as a retailer, but as a customer I get to skip the line.”

A Mutually Beneficial Service A subscription program can be a win-win for both the convenience store retailer and the customer. A heavily frequent visiting customer or even a moderately frequent visiting customer who pays between $5 and $10 a month for a subscription service and comes into the store five to 10 visits per month is getting a value, Hoover pointed out.

On the other end of the equation, when a customer signs up for a subscription, they are more likely to continue visiting that retailer for fuel and in-store purchases.

“I think that’s why retailers are doing it. Customers pay for a subscription and make a left instead of a right or drive the extra few blocks to your store,” Hoover explained. “It’s a subliminal message. I think that helps capture more of those visits. I think that’s why the retailers are doing it [based on] what they’re hoping to see and what we’re actually seeing in the data.”

It’s also about driving enrollment into a retailer’s loyalty program.

“I think retailers have to treat this as a true product area that they’re going to grow and expand in the future,” he advised. “At least, consider doing that because I think we’re inevitably going to see c-stores and many other restaurants do similar things,

“Customers who weren’t in your loyalty program before all of a sudden see value in joining a subscription, which entails them to join loyalty,” he added. “We are seeing even mature programs benefit from acquisition of new customers by having new value in the program, even though it’s something they’re paying for.” CSN

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AN EYE ON D&I

Future-Fit Your Organization To stay relevant and profitable for the long haul, investing in DEI is a must

By Danielle Romano DIVERSITY, equity and inclusion (DEI) are

non-negotiables for any business that wants to stand the test of time. Futurefit organizations are committed to keeping employees of all races, cultures, genders, orientations and experiences happy and engaged. They know that focusing on people — and helping them thrive — is the key to staying relevant and profitable for the long haul.

In a recent webinar entitled “Become a Future-Fit Organization by Investing in DEI,” Convenience Store News spoke with inclusion strategist Amri B. Johnson, author of “Reconstructing Inclusion: Making DEI Accessible, Actionable, and Sustainable” about the importance of framing inclusion as a shared purpose, focusing on humanity and embracing our universal aspects.

Following the murder of George Floyd in May 2020 at the hands of the police, organizations of all kinds began making unprecedented investments in DEI. However, as Johnson sees it, these investments are not creating lasting inclusion because the initiatives that are being embraced by businesses are reactionary, supplemental and too often

cosmetic rather than systemic.

“Companies had to react [because] the ground was kind of on fire in a way. … [But] what very few of them did was really think about this as a systemic issue rather than a symptomatic one,” said Johnson, who for more than 20 years has been instrumental in helping organizations and their people create extraordinary business outcomes.

The strategist and author — who hosts a monthly Reconstructing Inclusion Podcast — contends that if modern-day organizations want to be just and fair and give everyone the opportunity to make the best contributions to the business, then those principles need to be built into everything the organization does vs. “window dressing.”

“I use the word ‘cosmetic’ because sometimes we put window dressing on things, and we don’t necessarily understand that if the window dressing is in front of the window and the window’s dirty, we still

“Replace us and them with we. Make sure everybody understands that DEI is everyone and that we can put things in place that create the conditions for everyone to thrive.”

— Amri B. Johnson, inclusion strategist

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aren’t going to be able to see out,” Johnson explained.

“We didn’t necessarily create a system to keep our windows clean — what I would call equity — constantly polishing those windows so that we can see clearly into the organization. And we didn’t do it in a way that could be sustained because it wasn’t aligned with organizational purpose. It was kind of aligned with the emotions and the feeling of the day. Totally legitimate, but incomplete if you wanted to create something that is long term. And what we’re seeing now is a response to that.”

DEI Is a “We Thing” When implementing DEI initiatives, some organizations unintentionally create an us-versus-them dynamic.

Instead of creating belonging, companies can create “othering” for those within the organization who may feel like their identity isn’t necessarily relevant at that particular time, Johnson observed. The goal is to identify DEI as a “we thing” by recognizing that all races, genders, orientations and ability levels should be empowered to become their best self.

At its core, becoming a future-fit organization means utilizing diversity to create agility and to create innovation by empowering employees and providing an encouraging environment.

“If you want to be a future-fit organization, we can have all of our affinities, or what I would say are our identities, but our humanity is the focus. Humanity is the superset; our identities are the subset. All are important, but they’re all interdependent. You need all of them. There’s no conflict or competition. There might be tension, but that tension — kind of like a bridge — is an opportunity to grow and create something extraordinary,” Johnson said.

“Replace us and them with we. Make sure everybody understands that DEI is everyone and that we can put things in place that create the conditions for everyone.

Everyone has a unique situation, but we can always create those conditions for everyone to thrive,” he added.

For organizations that have not yet invested in DEI,

Johnson recommends one basic practice that is often overlooked when rolling out diversity and inclusion initiatives: listening.

Inclusion can be a lot of things, he said, but organizations need to listen, figure out what its people need, and then put those things into actions that create thriving outcomes.

Johnson, who is an epidemiologist by trade, believes in taking a humanity-centric approach to DEI, whereby what is happening in employees’ organizational lives based on their physical appearance, background, cultures and values collectively collide at the same time. Therefore, humanity is what connects everyone and there isn’t a way to separate one person from another.

“When I talk about humanity, that’s something that connects us all and allows us the ability to understand that we’re all in this together. Organizations are interdependent entities, even though we have different identities and lots of intersections and our identities change all the time,” he explained. “A [humanity-centric approach] is dealing with that tension, dealing with that complexity, working through it, listening to each other, making sense of things with each other as you’re making decisions and putting things into action. And as a result of that, you probably can do a lot more for your organization than just make everybody feel like you’re doing a good job at DEI. You actually could help your organization advance.”

A Systemic Approach To create lasting inclusion and empower all stakeholders to thrive, Johnson created a framework that is centered on developing “inclusion systems.” To make inclusion normative, this system-within-a-system strategy puts actionable items in place that can sustain that notion.

These vectors are necessary to make inclusion accessible, actionable and sustainable.

One aspect of this is dismantling meritocracies and changing the way organizations reward employees.

THE 2023 CONVENIENCE STORE NEWS BUSINESS CASE FOR DIVERSITY & INCLUSION PROGRAM IS UNDERWRITTEN BY:

The Business Case for Diversity & Inclusion program is part of The Convenience Inclusion Initiative, a Convenience Store News platform that champions a modern-day convenience store industry where current and emerging leaders foster an inclusive work culture that celebrates differences, allows team members to bring their whole selves to work, and enables companies to benefit from diversity of thought and background.

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Meritocracy is a word coined by Baron Michel Young, a sociologist and social reformist. It combines the notions of merit and aristocracy, whereby affluence sets people apart from each other.

“Meritocracy, when we anchor on it in organizational life, we begin to think that those people who have historically had more means, that they’re better.

The reality is with meritocracy … then you’re missing an opportunity for those people that didn’t have as much access,” Johnson said. “Meritocracy is a myth.

It just is incomplete and sometimes it could have bad outcomes because of its incompleteness.”

Johnson concluded with one final thought: What makes diversity, equity and inclusion non-negotiables for any organization is that diversity is inevitable, inclusion is smart business and equity means companies aren’t always reacting to social dynamics. Instead, they’re proactive about them.

“It’s all about thriving. It’s all about hav-

ing an organization that’s generative,” Johnson emphasized. “Create conditions for everybody to thrive.” CSN

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STORE SPOTLIGHT

On Your Mark, Get Set, Go… Allsup’s Express Grab & Go store gives Texas Motor Speedway fans a convenient way to snack

By Amanda Koprowski THE SOUND of rumbling engines. The roar of an excited crowd. The smell of fuel and rubber. And a sunny summer day to watch some of the best drivers in the world compete. But what’s a NASCAR fan to do when their kids get hungry in the middle of a race?

At a Glance Allsup’s Opened: April 2023 Location: Gate 4, Texas Motor Speedway, 3545 Lone Star Circle, Fort Worth, Texas Size: 1,600 square feet Unique features: Easy accessibility to and from the racetrack stands; signature foodservice items such as Allsup’s World Famous Burritos; Yesway and Allsup’s private label products; mobile checkout conducted by employees using handheld card readers

Convenience store operator Yesway has answered that question with the opening of a new Allsup’s Express Grab & Go concept store that emphasizes the “express.”

The store sits inside Gate 4 of the concourse at Texas Motor Speedway (TMS), home to many of NASCAR’s qualifying races, along with its playoff season.

Located at the northernmost point of Fort Worth, Texas, TMS encompasses a mile and a half of track, fairgrounds and seating that can hold upwards of 200,000 spectators.

Though Allsup’s had first launched an Express version back in August 2022, the TMS site differentiates itself in both size and style. Occupying 1,600 square feet of space, the shop primarily stocks plenty of easy-to-carry snacks and quick foodservice options to ensure fans miss as little of the race as possible. The store also

includes mobile checkout conducted by employees using handheld card readers rather than traditional cash registers to lessen customers’ time in line and get them back out into the stands quicker.

The store departs from the usual Allsup’s design. Its footprint is considerably smaller than the brand’s most recent openings in New Mexico and Texas, which ranged in size from 5,630 to 6,277 square feet, or even from the Allsup’s Express launch location, which measures 3,000 square feet. This has meant a far more targeted selection of products at the Texas Motor Speedway shop.

“This is a unique store,” said Derek Gaskins, chief marketing officer at Fort Worth-based Yesway, Allsup’s parent company. “It is focused on our signature World Famous Burritos and food program, with a saturation of our Yesway and Allsup’s private label snacks, candy and more. We included a handful of other national brands, but the assortment is curated and much smaller than a traditional store.”

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The store primarily stocks easy-to-carry snacks and quick foodservice options, so fans miss as little of the race as possible.

deal between Yesway and Texas Motor Speedway that named Allsup’s the official convenience store of the speedway. From the retailer’s perspective, the agreement not only offers new opportunities, but also makes a great deal of practical sense. “With our corporate headquarters located close to their track, the partnership seemed ideal,” Gaskins said.

The chain has worked with NASCAR in the past — mostly secondhand through its suppliers’ relationships — but this is the first direct partnership between the two. Gaskins believes this direct approach will help better target the retailer’s potential customer base.

“The Texas Motor Speedway draws [crowds] heavily from Texas, New Mexico, Oklahoma, Missouri and Kansas,” he said. “All are states where we operate, so the partnership potential resonates well with our consumers.”

However, Gaskins pointed out that the plan isn’t to market purely to NASCAR fans, but also to take advantage of all the events hosted at TMS, including the Cowtown Fair held in the spring and

noncompetitive footraces such as the Bubble Run. “[In the] longer term, we believe that it is a good way to develop our brand by extending beyond our traditional format,” he said. “Over the past few years, we have grown rapidly to become a chain with nearly 440 stores, so building our brand equity and extending into new venues helps accelerate that even further.”

The response to the store since its April opening has been “tremendous,” Gaskins reported. “The NASCAR race community has embraced the store, and we are excited to operate it.”

As for future plans, he looks forward to seeing Yesway continue to grow. The company has ramped up expansion over the last few years between both new store builds and purchase agreements. In Texas, it acquired nine Tres Amigos stores in 2022, as well as five Ranglers stores this February, rebranding both chains under the Allsup’s and Yesway banners. These came on top of the previously mentioned new Allsup’s locations in New Mexico and Texas.

Additionally, Yesway raised $190 million in new equity in the back half of 2022, with the majority of the structured equity coming from credit-focused alternative investment firm HPS Investment Partners.

The funding will be used to continue building new stores, as well as renovating existing ones throughout this year and beyond.

“Our plan is to grow by a minimum of 25 to 30 stores in the next 12 months,” said Gaskins. “It is truly an exciting time for the Yesway/Allsup’s brands and all our wonderful store associates and corporate team members.” CSN

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INSIDE THE CONSUMER MIND

Pricing Pains C-store shoppers cite price as their top reason for making a purchase elsewhere Even with inflation moderating, higher prices are continuing to influence consumers' spending and eating behaviors this year. When asked what a “positive shopping experience” means to them, convenience store shoppers put the price of products at the top of their list, according to the 2023 Convenience Store News Realities of the Aisle Study, which surveyed 1,500 consumers who shop a c-store at least once a month.

The study also revealed:

A whopping 71% of the shoppers surveyed say they are noticing price increases at convenience stores more now than they did a year ago.

When they deem a product too expensive, shoppers are split between: • Leaving without making a purchase (36%) • Purchasing a different product type instead (35%) • Purchasing the product anyway because they need it (33%)

The perception of prices being too high at c-stores is the leading reason shoppers say they do not purchase certain items from the channel.

The highest incidences for this are: • Nonedible grocery (65%)

• Packaged beverages (60%)

• General merchandise (64%)

• Edible grocery (59%)

• Health & beauty care (61%)

• Packaged snacks (54%)

The percentage of c-store shoppers who report visiting dollar stores and discount supermarkets more often today than they did a year ago jumped 6 points and 7 points, respectively.

Offerings that help customers save money are among the top elements c-store shoppers cite as influencing their decision to visit a convenience store.

A loyalty program is No. 1, followed by word of mouth, a gas price app, a coupon and a mobile app offer.

Loyalty programs, mobile app promotions/deals and promotional signage are also among the top five factors that c-store shoppers say influence their decision to shop for in-store products during a trip where the primary mission is to fill up their fuel tank.

Generation Z is significantly more likely to be influenced by coupons.

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OCTOBER 4, 2023

AT L A N TA , G E O R G I A

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Attendees will include the 2023 Top Women in Convenience winners, retail colleagues, manufacturers, distributors, key industry associations, industry luminaries and thought leaders and solution providers

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CSNEWSTWIC.COM Founding & Presenting Sponsor:

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