CStore Decisions November 2021

CStoreDecisions Solutions for Convenience Retailers

®

Yesway Honored as 2021 Chain of the Year With 403 stores across the U.S., the Texas-based chain is the 32nd recipient of the most prestigious industry award for convenience retailing.

INSIDE Champlain Farms Continues Legacy Hot New Products Contest Winners Cigar Sales Surge

14 38 84 November 2021

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EDITORIAL ADVISORY BOARD Robert Buhler, President and CEO Open Pantry Food Marts • Pleasant Prairie, Wis. Lisa Dell’Alba, President and CEO Square One Markets • Bethlehem, Pa. Raymond Huff, President HJB Convenience Corp. • Lakewood, Colo.

Bill Kent, President and CEO The Kent Cos. Inc. • Midland, Texas Patrick Lewis, Managing Partner Oasis Stop ‘N Go • Twin Falls, Idaho Reilly Robinson Musser, VP, Marketing & Merchandising Robinson Oil Corp. • Santa Clara, Calif.

Bill Weigel, CEO Weigel’s Inc. • Knoxville, Tenn.

NATIONAL ADVISORY GROUP (NAG) BOARD Doug Galli (Board Chairman), Vice President/General Manager Reid Stores Inc./Crosby’s • Brockport, N.Y. Mary Banmiller, Director of Retail Operations Warrenton Oil Inc. • Truesdale, Mo. Greg Ehrlich, President Beck Suppliers Inc. • Fremont, Ohio Derek Gaskins, Senior VP, Merchandising/Procurement Yesway • Des Moines, Iowa Joe Hamza, Chief Operating Officer Nouria Energy Corp. • Worcester, Mass.

Brent Mouton, President and CEO Hit-N-Run Food Stores • Lafayette, La. Peter Tamburro, General Manager Clifford Fuel Co. • Marcy, N.Y. Vernon Young, President and CEO Young Oil Co. • Piedmont, Ala.

REGIONAL SALES MANAGER Jake Bechtel jbechtel@wtwhmedia.com (216) 299-2281

YOUNG EXECUTIVES ORGANIZATION (YEO) BOARD Jeremie Myhren (Board Chairman), Chief Information Officer Road Ranger • Rockford, Ill. Garet Bishop, Chief Financial Officer BFS Cos. • Morgantown, W.Va.

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Caroline Filchak, Director, Wholesale Operations Clipper Petroleum • Flowery Branch, Ga. Cole Fountain, Director of Merchandise Gate Petroleum Co. • Jacksonville, Fla. Kalen Frese, Food Service Director Warrenton Oil Inc. • Warrenton, Mo. Alex Garoutte, Director of Marketing The Kent Cos. Inc. • Midland, Texas Sharif Jamal, Corporate Brand Manager Chestnut Petroleum Inc. • New Paltz, N.Y.

CSTORE DECISIONS does not endorse any products, programs or services of advertisers or editorial contributors. Copyright 2021 by WTWH Media, LLC. No part of this publication may be reproduced in any form or by any means, electronic or mechanical, or by recording, or by any information storage or retrieval system, without written permission from the publisher. Circulation audited by Business Publications Audit of Circulation, Inc. ©

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CSTORE DECISIONS •

November 2021

cstoredecisions.com

CONTENTS november 2021

•

Number 11

•

Volume 32

CStoreDecisions

®

EDITOR’S MEMO

10 Celebrating Yesway and Industry FRONT END

14 Champlain Farms Continues Legacy 24 Quick Bites: ’Tis the Season to Be Spending SPECIAL REPORT

38 2021 Hot New Products Award Winners FOODSERVICE

74 Tried and True Meets Seasonal and New CATEGORY MANAGEMENT

84 Cigar Sales Surge 92 Meat Snack Sales Trend Upward 100 Driving Adult Beverage Sales 106 Cold Vault Sales Climb

COVER STORY

TECHNOLOGY

26 Cover Story: Yesway Honored

114 The Evolving Back Office: Digital Now Does It All

as 2021 Chain of the Year

OPERATIONS

With 403 stores across the U.S., the Texas-based chain is the 32nd recipient of the most prestigious industry award for convenience retailing.

120 Top Estate Planning Considerations 124 Merchandising Your Way to a Touchdown

100

BACK END 131 Product Showcase 137 Ad Index 138 Industry Perspective: Do Ghost Kitchens Have a Role to Play In C-Stores?

The Yesway article was written using previously published interviews. We’ve been advised that anything beyond that would be an issue for Yesway.

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November 2021

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N O I T A R D Y H FAST Y T I N U T R O P P O BIG

PEDIALYTE ® IS GROWING 11X FASTER THAN THE SPORTS DRINK AND ELECTROLYTE CATEGORY AT US CONVENIENCE STORES.* ©2021 Abbott 20219340/October 2021 LITHO IN USA

* Nielsen Connect Total US Convenience L4W ending 07/03/21 – Pedialyte sales +163% vs LY, Total Category sales +15% vs LY.

Editor’s Memo

For any questions about this issue or suggestions for future issues, please contact me at jlofstock@wtwhmedia.com.

Celebrating Yesway and Industry I sat down to write this column after honoring Yesway as our 2021 Convenience Store Chain of the Year at the National Association of Convenience Stores (NACS) Show in Chicago. It felt so good to be out with the industry again and to recognize the hard work all retail chains have done these past 12 months.

In his acceptance speech, Yesway Chairman and CEO Tom Trkla remarked that he looked at more than 300 industries before concluding the convenience store and petroleum industry was the right direction to grow his banking business. The primary reason, he said, was the people.

There is a commitment to excellence and information sharing in this industry that you just don’t see in other industries. Never underestimate how truly rare and how special that is to others outside our industry.

This industry is special because excellence is the rule, not the exception, and over the past 32 years, CStore Decisions has consistently honored convenience retailing excellence.

The companies we have honored as Chain of the Year remain distinguished industry leaders, starting with Wawa, the first Chain of the Year winner in 1990.

Each year, we find that there are more and more chains deserving of this prestigious award, and that’s a testament to all of you. So while we are honoring Yesway in 2021, I want to take a moment to recognize the outstanding work retailers across this industry have done under extraordinary circumstances, the likes of which we had not previously experienced in our lifetime.

Through a deadly pandemic, supply shortages and staffing issues, the one thing our nation can count on is that the lights are always on at your stores. That light signifies so much more than a flash in the night sky. It is a beacon of hope, a ray of sunshine that boldly declares, our doors are open, and here stands a comfortable place to talk to a friend and get a fresh cup of coffee, a place to find some comfort food or a frozen treat. C-stores are the one place where customers can still relax and forget about the world around them, if only for a few moments. And that is what this great industry means to this great country. We are a symbol of hard work, unity, innovation and lifting people’s spirits.

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This year, the light shines on Yesway, but I also want to celebrate the tireless work being done by the entire industry to keep America rolling every day.

BUILDING A BRAND

Yesway, by industry standards, is a relative newcomer; but from an experience and execution standpoint, it ranks right up there with the best the industry has to offer. The company burst onto the scene in 2015 as a chain focused on retail excellence and growth, and it hasn’t looked back. Today, including the acquisition of Allsup’s, it operates 403 stores in nine states.

Beginning mid-2019, the company started evaluating each store in its portfolio to identify older and smaller-format stores that could benefit from a larger format with an expanded fuel presence. The bright, spacious stores being built now represent state-of-theart convenience stores, offering food, fuel, a vast array of private-label products, competitive pricing and an award-winning loyalty program. Combined with vibrant community outreach programs, Yesway boasts the leadership, store programs and customer service to which many other c-store chains aspire.

The entire Yesway team under Trkla’s leadership represents the best the industry has to offer. I have enjoyed the interaction I have had with Yesway these past six years, and I look forward to watching them soar to their full potential.

Many businesses are successful on the product, but falter on the people. Yesway is building a business that leverages the innovation of a startup, while leaning on the deep roots of the Allsup’s brand. It has added decades of experience at the retail level and pushes forward with company-operated stores at a time when others have slowed. It is delivering a complete package. Please join me in congratulating Yesway as the 2021 Chain of the Year.

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FRONT END Profile

Champlain Farms

Continues Legacy

Wesco Inc.’s Champlain Farms remembers its heritage, looks ahead as the third generation prepares to carry the torch.

Erin Del Conte • Executive Editor

Bottom right: Wesco’s first service station in Burlington, Vt. , in 1970. Top left: The Burlington site today.

With fresh prepared foodservice, beanto-cup coffee and newly upgraded fuel pumps, Wesco Inc.’s Champlain Farms is set to open its 41st c-store location this spring as the company celebrates more than 50 years as a family-owned business.

Now, the third generation of the family business is stepping into leadership roles at the South Burlington, Vt.-based chain and preparing to carry the company into the next 50 years.

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FROM THE BEGINNING

Champlain Farms can trace its roots to the 1970s, when Walter Simendinger established Wesco Inc. An industry veteran, Walter had spent 16 years purchasing real estate for Mobil Oil, and he knew a good corner when he saw one. He purchased a gas station in Plymouth, Conn., and moved his family to Hartford. His son, Dave Simendinger, now president of Champlain Farms, remembers growing up in the family business.

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FRONT END Profile “At nine years old, I was pumping gas and building price signs with plywood. Gas was 19.9 cents a gallon,” he said.

Living in Vermont had been a dream for Walter and his wife Jo Ann. In 1970, Walter divested the Plymouth gas station, and they

moved to Burlington, Vt., with their four children. In Vermont, Walter embarked on a new strategy, purchasing key corners, but leasing the gas stations with auto-repair garages to other operators. He quickly acquired five locations in Vermont.

Wesco Inc. was on its way.

retail

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CSTORE DECISIONS •

November 2021

®

In 1978, when Dave was graduating from high school, the operator at their Enosburg Falls, Vt., site left, and the family saw an opportunity to convert the auto garage to a convenience store. By then gas was selling for $1.34 a gallon, and selfservice was just beginning.

With its first c-store up and running, Wesco Inc. shifted its agenda to converting its other auto bays to convenience stores.

Those early c-stores didn’t yet have windows or walk-in coolers.

“We just built a box and put a nice roof line on it,” Dave Simendinger remembered. “We were leasing them and running them by whatever name that individual operator wanted to call them.”

Walter had not planned on his sons joining the business. Bill was off to law school. Dave had gone to college and majored in chemistry, but right when he was graduating in 1982, Gulf Oil exited Vermont, and Wesco Inc. acquired 15 gas stations from Gulf Oil. “Now we’ve got 20 locations, and with that I said, ‘I’m going to jump in and help my dad run this,’” Dave Simendinger said. By the early 1980s, Wesco Inc. had already converted about four sites to convenience stores and began converting the newly acquired sites as well.

Soon after, Exxon also exited the gas station business in Vermont, and Wesco Inc. acquired additional sites from Exxon. Now, with a full fleet of c-store locations, it was time for a name.

“It was about 1983, and I was building a store in Lebanon, N.H. Driving back, I just came up with that name, Champlain Farms. I knew we had to come up with a chain name,” said Dave Simendinger. “Between Lake Champlain, and the farms of Vermont, Champlain Farms just made sense.”

He also designed a logo, incorporating Camel’s Hump, the moun-

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TM

CONGR S N ATULATIO FROM

ON BEING SELECTED CHAIN OF THE YEAR! ®, TM, ©, 2021 Kellogg NA Co.

FRONT END Profile

The Simendinger family opened its first ever convenience store in Enosburg Falls, Vt., in 1978. The station also featured self-service Exxon gas pumps.

tain landmark for which Vermont is known.

In 1986, Dave stepped into the role of president; though, as a member of a family business, he’s used to handling whatever role is needed.

“I still open stores,” he said. “If I drive by one of our stores early in the morning, and it’s not open yet, I’m going to open it. I’m not going to leave it closed.”

Walter passed away in 2009. While Dave focused on the operations side of the business, his brother, Bill Simendinger, an attorney, handled permitting until he passed away in 2014. After his passing, their sister, Kathy Sarvak, also an attorney, stepped up to manage virtually all the day-to-day legal issues for the family business and remains a key partner in the company today.

“It’s wonderful to have an attorney by my side every day to run this ever-so-challenging business, and she’s brilliant,” he said.

Today, Champlain Farms owns 40 convenience stores — 38 in Vermont and two in New Hampshire. Four of the locations are leased to other operators, while 36 are company-owned and operated. The chain has grown mostly through acquisitions, razing and rebuilding stores as needed, or remodeling to create space for walkin coolers and new-and-improved foodservice.

“We built the chain with dozens of very dedicated and hardworking employees, many of whom have been here since the begin18

CSTORE DECISIONS •

November 2021

ning and are very responsible for the success we share today. We have vendor relationships that go back to the very beginning, and many of these dedicated folks helped us in so many ways to become Vermont’s No. 1 chain,” Dave Simendinger said.

Now, the third generation of the family business, Dave’s children Jamie and Kurt, are stepping into leadership positions at the company.

Jamie Simendinger is a vice president and predominantly manages payroll and banking for the company, but as a member of a family business, she’s also used to wearing many hats. “Every day brings something different,” she said.

Kurt Simendinger, also a vice president, spends much of his time out in the field, communicating directly with team members. He noted that one of the keys to being successful in the family business is surrounding yourself with intelligent people, showing employees the utmost respect and demonstrating that you’re just as hard working as they are.

“It means putting yourself in a position to give up a Friday night to work down at a store as a cashier if needed, showing them, ‘Hey, look, we’re all in this together,’” he said. “It’s so motivating for Jamie and me to show our parents that we’re in this — and we’re motivated every day to come to work and give it everything we’ve got.”

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Hostess Congratulates

Yesway on being honored Convenience Store Decisions

Chain of the Year!

FRONT END Profile

From left, Dave Simendinger and his children, Jamie and Kurt, hold the Champlain Farms logo. Both kids currently serve as vice presidents in the company.

WELCOMING DESIGN

In the early 1990s, Champlain Farms found itself in sudden need of a new store design.

“Up until about 1990, the oil companies would pay us to look like their shoebox buildings down in Houston, Texas, with the agenda that every building needed to look the same across America, whether it was Gulf or Exxon or Texaco,” Dave Simendinger said. “We’d use their colors, their stucco, and a lot of them were Southwestern designs. Overnight they said, ‘That’s it. You’ve got to get your own look.’ Every single oil company all about the same time said, ‘You can’t look like us anymore.’ Boy, what a challenge that was, because we’re not architects.

We’re business people.”

Dave started by selecting a roof line he liked that peaked at the top with a slope on all four sides. He decided the roof would slope 11 feet to the overhang, with the total height of the store measuring 21 feet.

At the time, most c-stores had flat roofs and were prone to leaks due to snow and ice, and this roof eliminated those issues.

“Every store has a different shape, but this roof line really helps make them all look the same all the way around,” he said. “I’ve gotten so many compliments on it.”

With their unique roof line, large windows and pale-yellow exterior, the stores resemble New England Cape Homes, all designed by Dave himself, with three feet of brick below the windows and architectural shingles on the roof.

“That design could go anywhere from roadside America into the neighborhoods,” he said. “A lot of our stores are in neighborhoods, so this fit really is aesthetically pleasing.”

Over the past two years, Champlain Farms received a facelift in the forecourt when it upgraded its gas pumps.

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November 2021

“We spent $1 million putting all new gasoline dispensers in to get up to date with EMV,” he said. “We’re also constantly reimaging our major oil standards. Their contracts come up constantly, so every time you reimage, you get a new canopy, new pumps, new signs.” Today, Champlain Farms partners with Shell, Sunoco and Gulf in the forecourt.

Now the chain is set to build a new store in Milton, Vt., which is scheduled to open next spring. The new c-store will measure 2,500 square feet, which is the target size for most of Champlain Farms’ stores today.

Many of the stores contain a unique design feature to help keep them cool. In 2009, Dave and his wife took a trip to Howe Caverns in New York.

It happened to be a blazing hot day, but it was cool underground. It got Dave thinking, “Under my walk-in cooler, it’s 35 degrees year-round.”

The thought set in motion the chain’s first “tunnel store,” where they constructed a cinder block tunnel under the walk-in cooler and used the cold air from underground to cool the store, resulting in energy-efficiency gains and a reduced electric bill. The chain has been adding the feature to new builds and remodeled stores ever since.

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FRONT END Profile

FOODSERVICE-FOCUSED

When guests arrive at Champlain Farms, they’re greeted by a fresh prepared, made-toorder proprietary foodservice program. Breakfast sandwiches are the most popular item for the chain, with breakfast sales double that of other categories.

Champlain Farms looks to keep its food offering simple so it can execute the program across its fleet of stores. Breakfast sandwiches comprise a major part of the food offering, followed by burgers, pizza and chicken, with sides such as french fries and onion rings. Each store has a deli manager who oversees foodservice operations.

“If the deli manager wants to make a lasagna, they can certainly do that. We give them carte blanche,” he said.

Champlain Farms partners with New Englandbased coffee roaster Green Mountain Coffee, which has a big following in Vermont. This summer, it rolled out Green Mountain Coffee’s bean-to-cup coffee program at every location.

Customer response has been positive, and it’s also brought benefits on the operations side.

“There’s no waste. When you open a store in the morning, you don’t have to go make the coffee. It’s all ready to go,” Dave Simendinger noted. “The beans cost less than the ground beans — so you have more margin.”

“Previously, a night employee would have to clean all the air pots, as well, so none of that is even happening anymore. It’s great,” Kurt Simendinger added.

Over the past two years, as restaurants have struggled due to the COVID-19 pandemic and labor shortages, Champlain Farms’ foodservice program has grown.

“Our food business is up 10%,” Dave Simendinger said. “We’re pretty happy with the amount of food we’re doing, but we have to be extremely careful with how we prepare things.

Extra food safety is a huge priority for us.”

GROWING FORWARD

Dave credits his father Walter’s foresight with the chain’s success today.

“My dad was such a real estate guy. He bought some of the most wonderful locations in the state. That was always his focus: Don’t buy any secondary sites, and focus on the interstates. We control high-density areas and high-traffic areas, 22

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Dave Simendinger’s sister, Kathy Sarvak, an attorney, stepped up to manage day-to-day legal issues for the family business after their brother Bill passed away. She remains a key partner in the company today. so we get tremendous visibility,” he said.

As the Simendinger family looks ahead, they’re examining potential loyalty programs for Champlain Farms. Currently, Shell and Sunoco’s loyalty programs help to drive a lot of business for the chain. They’ve also put an increased focus on using technology to streamline reporting and to improve loss prevention, including new cash drawers that weigh the cash, video monitoring that management can access via smartphone and gun safes to protect cigarette inventory.

As Champlain Farms evaluates future expansion, the company is taking a strategic approach.

“We want to grow without it hurting the existing chain,” Dave Simendinger said. “Fast, rapid growth just doesn’t seem to work.”

He noted he’s watched other chains become consolidation casualties, while Champlain Farms has moved up the rankings in terms of chain size without adding a single store, as others drop off the map.

As the next generation picks up the torch, Jamie and Kurt are mindful of the history that brought them to this point.

“I think preparing for the future is a lot about learning the past and how this all started,” said Jamie Simendinger, “and then working to keep the legacy going.”

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Congratulations Yesway CStore Decisions 2021 Chain of the Year

Your friends at

A MODERN BEVERAGE COMPANY

quickBites ’TIS THE SEASON TO BE SPENDING Customers intend to spend more on holiday shopping this year. But as many forgo physical trips for online or mobile shopping, convenience stores miss out on those impulse stops and fill-up trips on the way to and from the mall. Still, c-stores are likely to benefit from the increase in travel this winter as more customers plan to travel for the holidays.

HOW DO YOU PLAN TO DO YOUR HOLIDAY SHOPPING THIS YEAR? COMPARED TO LAST YEAR, HOW MUCH DO YOU PLAN TO SPEND ON HOLIDAY GIFTS?

Percent of those responding “More”

2021 - 25% * 2020 - 13% * 2019 - 11% * 2018 - 12% Source: Tinuiti, “2021 Holiday Consumer Spending Trends,” August 2021 survey of 2,092 online U.S. consumers

PUT IT ON MY ACCOUNT

Internet-active U.S. adults who have used buy-nowpay-later loans:

Online & in-store equally

30%

Mostly online (home delivery)

25%

Mostly in-store

16%

Buy online, pick up in-store, curbside, locker

17%

Not sure

12%

Source: Piplsay, Oct. 12, 2021, nationwide U.S. survey of 30,370 online responses from individuals 18 and older, Oct. 8-10, 2021

PHONING IT IN 80% of shoppers 40 and under will use their phones to find gifts, as will 66% of those over 40.

34% August-September 2021 18% February-March 2020 Source: Packaged Facts, “Buy Now, Pay Later: Point-of-Sale Installment Loans, Sept. 2021

Source: Tinuiti, “2021 Holiday Consumer Spending Trends,” August 2021 survey of 2,092 online U.S. consumers

Percent of customers who plan to travel:

CUSTOMERS SET TO TRAVEL FOR THE HOLIDAYS

October 2020

October 2021

Usually travel, and plan to this year

13%

18%

Usually travel, unlikely to this year

21%

15%

Don’t usually travel, but plan to this year

4%

12%

Don’t usually travel, and don’t plan to this year

62%

55%

Source: CivicScience, October 2021: 6,161 responses from 9/04/2021 to 10/04/2021 October 2020: 4,531 responses from 10/20/2020 to 10/31/2020. Weighted by U.S. Census 18+.

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CSTORE DECISIONS •

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Beyond the Best Congratulations to YesWay, the CSD 2021 Chain of the Year.

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YESWAY HONORED

AS 2021 CHAIN OF THE YEAR With 403 stores across the U.S., the Texas-based chain is the 32nd recipient of the most prestigious industry award for convenience retailing.

John Lofstock • Editor-in-Chief

Chain of the Year

Outstanding leadership, great stores, a distinguished brand and a commitment to treating your people with class and dignity deserves recognition, and CStore Decisions has been proud to shine a light on companies that meet these high standards for the past 32 years.

Over the past two years, Yesway, now headquartered in Fort Worth, Texas, has transformed its retail image with a new store design, a thriving proprietary foodservice program and a growing private-label food and beverage brand. Combined with vibrant community outreach programs, Yesway boasts the exceptional leadership and customer service to which many other convenience store chains aspire.

In recognition of its hard work, dedication to convenience retailing and its firm commitment to employees and the communities it serves, CStore Decisions is honored to name Yesway as the 32nd annual Convenience Store Chain of the Year.

What makes Yesway special is that it continues to cement its presence as a retail leader by evolving to meet and exceed customers’ expectations, all while being one of the fastest-growing chains in the convenience store industry.

“We are honored to be named CStore Decisions’ 2021 Convenience Store Chain of the Year,” said Tom Trkla, chairman and CEO of Yesway. “It truly is a tribute to everyone on the Yesway team — from our senior management team whose collective hard work and dedication have proven critical to our being able to grow our portfolio, to our Yesway and Allsup’s store team members providing outstanding service to customers in the communities we serve every day.

Each of them has helped us to become the exceptional convenience store retailer we have aspired to be.”

Yesway, by industry standards, is a relative newcomer as a retail brand, but from an experience and execution standpoint, it ranks right up there with the best the industry has to offer. The company burst onto the scene in 2015 as a chain focused on retail excellence and growth, and it hasn’t looked back.

With the acquisition of Clovis, N.M.-based Allsup’s in 2019, Yesway tripled its convenience store count.

The company then raised $235 million of capital to invest in its raze-and-rebuild efforts to inprove stores.

Over the past 18 months, while dealing with the 28

CSTORE DECISIONS •

November 2021

CStore Decisions honored Yesway at the 2021 Chain of the Year reception in Chicago. Top: CStore Decisions Editor-in-Chief John Lofstock with Greg Parker, CEO of Parker’s, 2020 Chain of the Year, and Tom Trkla, chairman and CEO of Yesway. Bottom: (From left) Jeff Scarbrough, Yesway’s senior vice president of fuel, Derek Gaskins, Yesway’s chief marketing officer, John Lofstock, and Brian Ashburn, Yesway’s senior vice president of operations.

cstoredecisions.com

Chain of the Year

COVID-19 pandemic, the chain pushed through numerous retail improvement projects, all while promoting its Hospitality Heroes program to recognize and honor the service and commitment of its essential worker team members on the front line, every day, in all of its stores.

“We are elated to receive such prestigious recognition from CStore Decisions, and our entire team will cherish this honor,” said Derek Gaskins, Yesway’s chief marketing officer. “This recognition shines brightly on all the hard work and dedication our team members display every day to build the Yesway brand.

We are grateful to be recognized and inspired to continue to Derek Gaskins achieve growth.”

BUILDING A NETWORK

As of June 30, the chain operated 403 stores in nine states. Brookwood Financial Partners, a Boston-based private-equity firm, founded Yesway with the vision to significantly grow the brand. As it grows, the chain is also committed to strengthening its existing portfolio.

Beginning in mid-2019, the company started evaluating each store in its portfolio to identify older and smaller-format stores that could benefit from a larger format with an expanded fuel presence. The result was a raze-and-rebuild project at 27 locations, resulting in new 5,500-square-foot prototype stores in Texas, New Mexico and Oklahoma.

In addition to the raze-and-rebuild program, the chain has commenced and completed the major remodeling of approximately 100 additional Yesway 30

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About the Chain of the Year Award CStore Decisions’ Chain of the Year award honors a convenience store or petroleum chain that has established itself as a superior retailer and innovator in its markets of operation.

CSD’s first Chain of the Year award was given to Wawa Inc. in 1990. Yesway follows 2020 Chain of the Year winner Parker’s. Past winners of this prestigious award include Sheetz, Maverik, RaceTrac, 7-Eleven Inc., Krause Gentle Corp., Rutter’s and Family Express.

Past Chain of the Year Winners • 1990 – Wawa Inc. • 1991 – SuperAmerica • 1992 – QuikTrip Corp.

• 1993 – Casey’s General Stores Inc. • 1994 – Sheetz Inc. • 1995 – Diamond Shamrock Corp.

• 1996 – Mapco Express • 1997 – Speedway Inc. • 1998 – Krause Gentle Corp.

• 1999 – Dairy Mart Inc. • 2000 – Amerada Hess Corp.

• 2001 – Huck’s Food & Fuel • 2002 – Petro-Canada • 2003 – Exxon Mobil Corp.

• 2004 – Kwik Trip Inc. • 2005 – 7-Eleven Inc.

• 2006 – Valero Inc. • 2007 – Alimentation Couche-Tard • 2008 – Chevron Inc. • 2009 – Nice N Easy Grocery Shoppes • 2010 – Rutter’s Farm Stores • 2011 – Thorntons Inc. • 2012 – Tedeschi Food Shops • 2013 – Maverik Inc. • 2014 – RaceTrac Petroleum Inc. • 2015 – Family Express Corp.

• 2016 – QuickChek Corp.

• 2017 – Sheetz Inc. • 2018 – Kwik Trip Inc. • 2019 – Weigel’s Inc. • 2020 – Parker’s • 2021 – Yesway

cstoredecisions.com

Well Done.

Well Earned.

Congratulations to Yesway for being named CStore Decision’s Chain of the Year.

Chain of the Year

The acquisition of Clovis, N.M.-based Allsup’s in 2019 tripled Yesway’s store count and elevated its overall foodservice offering.

and Allsup’s stores in Texas and New Mexico.

The bright, spacious stores being built now represent state-of-the-art convenience retailing, offering food, fuel, a vast array of private-label products, competitive pricing and an award-winning loyalty program.

The company has assembled a strong leadership team to combine the winning elements of Allsup’s celebrated history with the exuberance of a hungry startup chain eager to take the industry by storm.

“We spent the better part of the past year integrating the Allsup’s chain into the Yesway chain — moving over 401k plans and establishing employee processes and procedures,” Trkla said. “We have established our new corporate headquarters in Fort Worth, Texas, and have moved people over from Clovis, N.M., and down from Des Moines, Iowa, where we previously had Yesway’s corporate headquarters, and we are looking forward to the day when we can get all of our employees back into the office working together, post-pandemic.”

One area Yesway has looked to distinguish itself is through foodservice and snacking. The company has been growing its private-label product portfolio to include water, candy, baked goods, chips, beef jerky and many other categories. The expanded product catalog reinforces Yesway’s brand promise to provide

its customers with a terrific shopping experience with national-brand-quality products at value-driven price points. These products are now available in all Yesway and Allsup’s stores in single and combo deals. Additionally, a portion of the sale of private-label items is used to fund community programs.

On the hot foods side, the company is investing heavily in its popular burrito program, which was a hallmark of the Allsup’s brand, and is diversifying the menu with fresh pizza and hot dog programs.

These products and the fuel program are supported by the award-winning Yesway Rewards program. Yesway Rewards helps the company generate a unique experience that engages customers and motivates them to visit its stores and pumps more frequently. Yesway leverages its loyalty program to run joint promotions with vendors and other supplier partners who often fund rewards. Yesway management believed that a loyalty program was a critical element to building relationships with its customers and differentiating this new brand from its competitors.

RECOGNIZING THE TEAM

Throughout last year and this year, as the pandemic raged on, Yesway promoted its Hospitality Heroes program at all Yesway and Allsup’s locations. Hospitality Heroes was created to recognize and honor the great service and commitment of its people working on the front line.

Dedicated staff at Yesway and Allsup’s who show compassion in their interactions with customers, adhere to company guidelines, remain positive under pressure, keep stores clean, resolve service issues, and, most importantly, wear masks while engaging with customers, are being recognized as Hospitality Heroes and rewarded personally and financially.

Yesway Chairman and CEO Tom Trkla

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cstoredecisions.com

Chain of the Year

Yesway At a Glance “We recognize that in order to live up to the promise of excellent customer service, we must work as a team. We must hold each other accountable and keep each other safe,” Trkla said. “Especially during these challenging times, the spirit of teamwork affects the lives of fellow coworkers, customers and, of course, our loved ones at home. That is why our exceptional Hospitality Heroes at Yesway and Allsup’s ‘mask up’ for country, community and family, every day.”

Yesway and Allsup’s customers can nominate deserving team members to be recognized as Hospitality Heroes through the company’s websites or via Twitter.

One of the biggest challenges that CEOs in this industry have faced over the past two years is determining how to best care for frontline employees through the pandemic. Yesway has devoted time and money to ensure it’s caring for its people.

“We have allocated over $150,000 so far in the first two Hospitality Heroes programs to individual members of our staff in the field, (and) that’s been very well-received,” Trkla said. “We are making sure that we are setting good examples in all of the states in which we operate, abiding by social distancing and Centers for Disease Control and Prevention (CDC) regulations, different state regulations, making our stores clean, spotless, so they’re an inviting place to come to, and making sure that we show our customers how much we care about their health and wellbeing by the examples that we set in the stores.”

GIVING BACK TO COMMUNITIES

As the steward of the Allsup’s brand and the growing Yesway brand, the company takes its role in the community very seriously and aims to make an impact in people’s lives beyond the walls of its stores.

“Supporting the communities in which we have stores is important to us and our corporate culture, as well as supporting our employees in those communities, which we view as one,” Trkla said. “We spend a lot of time and donate a lot of money to local causes. We’re currently doing raze and rebuilds, and every time we have a grand opening, as we have done this year in Texas and New Mexico, we donate $2,500 to the local school districts. In addition, we donated $50,000 last year to the Curry County, New Mexico, School District to support their Dolly Parton Imagination Library Program, which is also important to us. We also empower our district managers and store managers to make donations in their local communities. They have an allocation of monies that can be donated without any corporate approvals.”

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Founded: 2015 by Brookwood Financial Partners Headquarters: Fort Worth, Texas Store Count: 403 States: Iowa, Kansas, Missouri, Nebraska, New Mexico,

Oklahoma, South Dakota, Texas and Wyoming Brands: Yesway, Allsup’s, Allsup’s Market

Yesway Executive Team:

• Thomas Trkla, Founder, Chairman and CEO • Ericka Ayles, Chief Financial Officer • Kurt Zernich, General Counsel • Derek Gaskins, Chief Marketing Officer • Jeff Scarbrough, Senior Vice President, Fuel • Douglas Wald, Senior Vice President, Operations (East Division) • Brian Ashburn, Senior Vice President, Operations (West Division) • Tate Cutrer, Senior Vice President, Human Resources • Jennifer Fermano, Senior Vice President, Finance • Greg Gardner, Senior Vice President, Acquisitions • David Potter, Vice President, Tax

Over the past year, Yesway has also stepped up to raise money for groups such as Operation Homefront, which supports Americans serving in our armed forces and first responders.

“It is very important to us to give back to certain causes that we feel strongly about, and one of the most important causes we see is taking care of active and retired military members and first responders,” Trkla said.

Yesway is a Silver Star donor to Operation Homefront, and Trkla sits on the organization’s executive committee.

“It is a phenomenal organization,” Trkla said.

“Their mission, very simply, is to take care of military families, make sure they are taken care of, that they have good homes and that they are not at risk once they get out of the military. We have a lot of military and ex-military members who are part of our family, so it remains an organization that we will continue to support for years to come.”

As it has shown since 2015, Yesway is not only capable of rising to a challenge, it is skilled enough to exceed expectations with the deftness of an industry veteran. In six short years, the company has built a business that is rooted in retail, but emphasizes people and the communities it serves. This is always a winning a formula.

Yesway has earned a reputation as a company that strives for excellence and pushes the boundaries of innovation. For its commitment to convenience retailing, customers, the community and its team members, Yesway exemplifies the spirit of the Chain of the Year Award, and we are proud to recognize them with this coveted honor. CSD

cstoredecisions.com

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THE MOST AWAITED C-STORE EVENT OF THE YEAR!

Save the date for the LIVE event!

March 27-30, 2022

LA JOLLA CALIFORNIA

For additional information, contact NAG Executive Director John Lofstock at jlofstock@wtwhmedia.com.

Human Resources: Staffing, Recruiting and Retaining Personnel in a Labor Shortage

Culture as a Competitive Advantage

Culture is at the core of winning businesses no matter how large they are. Leading convenience store chains have common traits that contribute to their unique nature. Clear values, a sense of caring, loyalty and humility, and a deep commitment to community are just a few of these common traits. These characteristics often directly affect decision making in the company and the way the company treats its employees, customers and suppliers. Many businesses quite rightly view a values-based culture as a competitive advantage and, as such, it is fiercely guarded. Hear how leading c-store chains are building their winning culture.

Working Breakfast: NAG Custom Research Discussion: What Drives Consumer Behavior for Delivery Services?

Third-party delivery has expanded significantly, but is it here to stay? What is driving consumers’ evolving behaviors and expectations, particularly in relation to convenience stores?

How can convenience operators profitably compete with other channels offering delivery? Utilizing custom research fielded for the NAG audience, we will explore consumer needs and desired interaction with convenience locations when it comes to food and grocery products. Our retailer panel will then explore various data points, uncovering how they are adapting or plan to adapt to customer expectations.

Loading Up for Breakfast

As more commuters return to the office, the breakfast business continues to rise and shine at restaurants.

With consumers typically rushed at breakfast time, it’s no wonder that quick-service restaurants and grab-andgo c-stores items accounted for more than 80% of total restaurant morning meals pre-pandemic, according to NPD. Recapturing a strong breakfast business requires great food and outstanding service, but it’s important to conduct a cost-benefit analysis to make sure investing in the morning daypart makes sense for your brand and your customer base.

How to Build Customer Loyalty Through Engagement

Convenience store loyalty programs are evolving, and they can present a treasure trove of information. Plus, new subscription-based models can help chains grow repeated sales from a captive audience. But as companies gather information on their customers, they must also be mindful of emerging data privacy laws. Learn how leading c-store chains are growing sales through loyalty engagement, while carefully navigating privacy regulations.

The labor shortage exists, and it’s going to get worse before it gets better. The reality that it coincides with a growing skills gap makes for a very challenging time for retail executives and hiring managers. Experts recommend that HR leaders look to and build relationships with universities, recruiters and search firms, allow current staff to take part in external professional activities to help attract new talent, and look for potential employees on job boards and other social media outlets. Hear how top-quartile chains are winning the labor battle.

It’s all About Business Outcomes

Learn from leading convenience and fuel retailers about their approach to creating loyal customer behavior and the investments that drive targeted business outcomes. NAG has partnered with Stuzo to survey convenience store chains and convenience store customers to find out what is driving sales at convenience stores. Topics covered include: • Loyalty, Payment and Cross-Channel Customer Experience (CX) Campaigns • Onsite and Offsite Engagement • CPG-Funded Offers • Security and Privacy

YEO BREAKOUT: Understanding the Future of Retail Payment Systems

Online shopping has become easier through mobile and digital payments, but retailers are slow to see the benefits in brick and mortar stores. How can c-stores join the consumer demand for frictionless payment? In this session, experts on payments will discuss where digital payments are going, and how the convenience industry can abandon cards for digital currencies.

Operations Boot Camp

Best practices and a conference wrap up

BREAKOUT SESSIONS/ INFORMATION EXCHANGE 2 1.

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The Rise of Electric Vehicles: What it Means for C-Stores HR: Unleashing the Power of Mobile Apps for Staffing What’s Next for Tobacco, CBD and Cannabis Foodservice: How to Cut the Partnership on Delivery How to Build a Private Label Business The Business of Coffee: Is Bean to Cup for You? Cryptocurrency and Bitcoin: What C-Stores Need to Know

Store Tours: Stops to include Keg n Bottle Market, Chevron Extra Mile, The UC San Diego Bookstore Sunshine Market, Street Corner, Russell’s Convenience

Lessons from Covid: How the Industry is Recovering from a Pandemic

The impacts of the COVID-19 pandemic on the retail sector and the nation’s supply chains are still unfolding. Retail has experienced massive labor shortages, supply disruptions and price increases. It’s impossible to predict the next pandemic, but retailers have learned quite a few lessons on how to deal with the next catastrophe. Hear from three convenience store retailers that embraced the unique challenges the COVID-19 pandemic presented and learn about the leadership and stability they provided to guide their companies through those difficult days.

NAGconvenience.com

Special Report | Hot New Products Awards

CStore Decisions Announces the

2021 Hot New ProductS Contest Winners

A panel of c-store retailers selected the best new products across 15 categories.

A CStore Decisions Staff Report

Thousands of new SKUs and services are launched each year. Which ones will be successful and gain traction?

CStore Decisions let our retailer panel of judges decide.

In this video-based product contest, winners were determined by a point system that included innovation, packaging, likeliness to carry or implement in stores and more. New products/services are defined as having launched in 2021.

CStore Decisions would like to thank our expert panel of judges: • Joy Almekies, Senior Director of Food Services at Global Partners • Jim Callahan, Geo. H. Green Oil (Retired) • Jeff Carpenter, Director of Education and Training, Cliff’s Local Market 38

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• Brad Chivington, Senior Vice President, High’s of Baltimore • Greg Ehrlich, President, FriendShip • Cole Fountain, Director of Merchandising, Gate Petroleum • Richard Guidry, Category Director, Casey’s • Sharif Jamal, Director of Real Estate and Brand Development, Chestnut Petroleum • John Lofstock, CStore Decisions Editor-in-Chief & Executive Director, National Advisory Group (NAG) • Ken Swain, General Manager, Mercury Fuel • Tim Young, Category Manager, Newcomb Oil Co.

Introducing the 2021 CStore Decisions Hot New Products award winners...

cstoredecisions.com

DELICIOUSLY AWESOME EATS START WITH HOME MARKET FOODS®

Reimagine your menu with our craveable protein-packed meals and snacks. Our blow-away products can work across your entire program. They’re the perfect partner for the roller grill, hot case, and made-to-order applications. Spark curiosity and heat up interest in your c-store with creative hot foods.

Let’s get crafting awesome food together.

NEW! Bahama Mama® Smoked Cheddar Sausage

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CRAFTING AWESOME FOOD TOGETHER.

NEW! Buttermilk Ranch Chicken RollerBites®

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Pizza Toppings

info@HMFfoodservice.com HMFfoodservice.com | 800.367.8325 ©2021 Home Market Foods, Inc. 140 Morgan Drive, Norwood, MA 02062-5013

Special Report | Hot New Products Awards

Foodservice Contest Winners Buttermilk Ranch RollerBites Home Market Foods

Give ranch a home in your hot case or on your roller grill with the new Buttermilk Ranch Chicken RollerBites.

It’s a seriously seasoned, bold bite, packed with zesty buttermilk ranch flavor and juicy 100% all-white meat chicken. Featuring a unique blend of herbs and spices and a light flavorful coating, this savory snack gets the crowd going — in their cars and straight to the convenience store.

No matter the mealtime.

Crispy Chicken Fillet Brakebush

From frozen to ready in just 6.5 minutes, Brakebush Signature Crispy Chicken Fillets are real contenders for foodservice operators wanting to enter the chicken sandwich wars. Available in Classic and Spicy, these 5.7-ounce whole-muscle breast fillets are cut about 20% thicker than other fillets and then tumble marinated to drive juiciness and flavor through every inch. After that, each fillet is breaded in flour, seasoned with salt, pepper, buttermilk and a hint of savory spices, creating a handbreaded texture and appearance. The Spicy Crispy Fillet turns up the heat by adding enough cayenne pepper to be spicy but well-balanced.

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Market Sandwich Hot to Go Breakfast E.A. Sween Co.

Market Sandwich premium breakfast sandwiches are available in four varieties: Sausage & Jalapeño Bacon with Egg & Cheese on a Biscuit; Omelet with Ham & Cheese on a Croissant; Egg, Turkey Sausage & Cheese on a Focaccia Roll; and Egg, Cheese & Green Chile Salsa on a Ciabatta Roll, perfect for whatever customers are in the mood for. With packaging that is microwave and warmer safe with a clear window for product visibility, these sandwiches have what it takes to make c-store breakfast special. cstoredecisions.com

Special Report | Hot New Products Awards

bakery Contest Winners The Donut Hole Individually Wrapped Donuts Baker Boy

More than ever, operators are under scrutiny to provide fresh products in safe, user-friendly packaging. Baker Boy’s The Donut Hole-branded Individually Wrapped Donuts are ideally suited for convenience stores. These doughnuts arrive frozen, and ready to thaw and serve in convenient retail-ready packaging. There are eight unique flavors, including Baker Boy’s signature Magic Ring Filled Donuts — ring doughnuts featuring delicious filling in every bite — and popular classics like the Glazed Donut and Maple Long John. The Donut Hole doughnuts are the same high-quality foodservice doughnuts customers have come to expect from Baker Boy.

Fully Finished Donuts Rich Products

Rich Products has introduced Fully Finished Glazed Donuts that are easy to handle, ready-to-serve and maintain fresh quality over an extended shelf life. The shelf life is 48 hours for yeast doughnuts and 72 hours for cake doughnuts.

Available in tray packaging, the flavors include: glazed yeast ring, glazed cinnamon roll, glazed apple fritter and plain cake ring.

Glazed yeast ring doughnuts come as 48 per case. The glazed cinnamon roll doughnut is made with yeast dough and comes with 32 per case. Glazed apple fritters are made with yeast dough that combines spices and diced apples and come with 32 per case. The plain cake ring doughnut comes as 48 per case.

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Schulstad European Fully Baked Pastries Lantmannen Unibake New Schulstad European FullyBaked Danish pastries use the same recipe and authentic quality as the brand’s Ready-to-Bake Danishes, but no oven is required. The pastries are pre-proofed, pre-baked and iced to perfection. In just a few minutes, you can create a decadent pastry buffet that your customers will come back to again and again. Serve all day as an indulgent breakfast, a tasty afternoon snack or a post-dinner dessert. Small tray sizes allow for waste reduction and convenient storage. It’s never been easier or more convenient to deliver an unforgettable pastry experience. cstoredecisions.com

Simply serve No proofing, no oven, no problem.

Greater Pastry Simplicity.

•

Pre-baked and iced to perfection with 24 layers of pastry dough for authentic European volume and flakiness

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Three delicious varieties: Maple Pecan Plait, Apple Crown, and Raspberry Crown

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All-day freshness allowing pastries to be served as an anytime treat

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Thaw as needed for waste savings

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Small tray sizes for easy storage and portion control

To add European Fully-Baked pastries to your menu, visit

www.SchulstadUSA.com

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10/7/21 3:17 PM

Special Report | Hot New Products Awards

Foodservice Safety & Sustainability Contest Winners Foodservice Surface Sanitizing Wipes Purell/GOJO

Its newest innovation, PURELL Foodservice Surface Sanitizing Wipes are formulated for food-contact surfaces with no rinse required. Packed with powerful efficacy and a worry-free formulation, this wipe kills 99.9% of viruses and bacteria — including norovirus, Salmonella, Listeria, cold & flu. It kills Human Coronavirus (COVID-19) in 30 seconds. PURELL Foodservice Surface Sanitizing Wipes make it easy to sanitize large, hard-to-wash items, are always ready when speed is a priority, and leave a positive impression with customers.

BOHA! Work Station

TransAct Technologies Inc. The BOHA! Work Station is a food safety and grab-and-go label printing solution designed specifically for the commercial kitchen environment.

Featuring market-leading labeling capabilities, centralized menu management and the ability to print wirelessly from an iPad, the BOHA! Work Station saves operations time, labor and money. The BOHA! Work Station is a print station like no other and includes these standout features: • Easily prints FDA-compliant dual-column labels, on-demand (no need to manage and stock hundreds of pre-printed label SKUs) • Seamlessly integrates with ESHA Genesis • Includes a user-friendly label designer to design and modify retail details • Compatible with BOHA! apps and manages other aspects of foodservice operations through one hardware/software .

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Carton Sandwich Wedge proAmpac

ProAmpac’s recyclable carton-board extended shelf-life (MAP) sandwich wedge design and construction offers the best of all worlds: strength and protection, the optimum balance between product visibility and branding opportunities, sustainability, cost effectiveness and ease of use while retaining ultimate product freshness. It features an integral window that removes the risk of window glue gaps and offers product visibility to ensure freshness, as well as a lightweight, flat-pack design for easy storage. It also features the Easy Peel option where film can be separated from board for recyclability purposes. cstoredecisions.com

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Special Report | Hot New Products Awards

General Merchandise Contest Winners EZ Reach Lighter BIC

The BIC EZ Reach lighter features a 1.45-inch extended wand that helps keep fingers further from the flame. Its body is the size of a pocket lighter, so it fits comfortably in your hands, bags and pockets, making it perfect for lighting candles, grilling and everything in between.

The new design lights at any angle. Offered in classic colors and fashionable designs for every consumer. Every lighter is 100% safety tested and offers up to 50% more lights vs. non-refillable wand pocket lighters. BIC EZ Reach is ‘The Ultimate Lighter.’

Focus+

Vitamin Energy

The Vitamin Energy Focus+ shot is the fastest-growing energy shot in the world, according to IRI worldwide. Packed with brainnourishing supplements, Focus+ provides up to seven-plus hours of energy, tastes great, and there’s no sugar crash later.

Hardwood Lump Charcoal McLane

Introducing Hardwood Lump Charcoal: • 100% natural • Hand selected • Mesquite wood It doesn’t contain chemicals or additives. It lights faster, burns hotter and leaves very little ash. Upgraded packaging means less mess. Hardwood Lump Charcoal ships to customers by the bag, so it’s easy for stores to order exactly what they need.

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cstoredecisions.com

HIGHER MARGINS FOR YOU, BETTER VALUE FOR YOUR CUSTOMERS To meet the growing demand for low-cost, high-quality items, Consumer Value Products (CVP) offers premium private label products that drive proven results with educated consumers and value shoppers alike. CVP researches, develops, and distributes a wide range of products in categories such as health and beauty, grocery, general merchandise, candy, snacks, pet products, and automotive. Our brands rival or surpass the quality of name brand alternatives.

To find out how CVP can help increase your profits, visit cvpproducts.com/info

© 2021 Consumer Value Products, Inc., subsidiary of McLane Company, Inc. All rights reserved.

Special Report | Hot New Products Awards

Adult BeverageS Contest Winners LIQS Premixed Cocktail Shots E&J Gallo

LIQS Cocktail Shots are the perfect addition to a variety of party occasions and social gatherings — from tailgates to house parties and everything in between — because the brand offers premium, bartender-quality shots in a range of flavors that reduce the effort and mess of preparation and the cost of multiple ingredients. LIQS brings ‘Less Prep, More Party.’

Uptown Wine Southern Champion Uptown Cocktails premium, ready-to-drink cocktails are expertly blended with wine and natural ingredients and are available in a variety of flavors and size formats.

At 13.9% alcohol by volume, these cocktails are kosher certified and specially crafted without corn syrup or artificial flavors. Discover your flavor and share the possibilities with Uptown Cocktails.

Zero Sugar

BeatBox Beverages BeatBox Beverages, the fastest-selling wine and readyto-drink cocktail brand, is proud to announce the launch of Zero Sugar BeatBox. Weighing in at 6% ABV with only 90 calories per serving, all-natural ingredients and, of course, zero sugar. It has managed to deliver the same great BeatBox flavor — just a tad lighter, so you can keep the party going. Perfect for poolside, lake hangouts and festivals — plus it’s packaged in recyclable and resealable packaging, so you can take the party anywhere.

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cstoredecisions.com

Special Report | Hot New Products Awards

beverageS Contest Winners Coca-Cola With Coffee The Coca-Cola Co.

When it’s time for an afternoon moment of uplift, consumers are often torn between reaching for a soft drink or a coffee. Coca-Cola with Coffee provides a unique way to enjoy the everyday coffee experience without leaving Coca-Cola. It infuses a great Coca-Cola taste with rich, luxurious Brazilian coffee in three signature flavors: Dark Blend, Vanilla and Caramel. With 69 milligrams of caffeine per 12-ounce can, it creates a new “refreshment coffee” category that sips like a Coke and finishes like a coffee, giving Coke fans and java fans alike a refreshing reset to their daily routine.

smartwater+

The Coca-Cola Co.

smartwater+ is a first-of-itskind lineup of infused hydration options featuring unique flavor pairings tailored for specific wellness occasions. smartwater+ clarity features ginseng and green tea extracts and was formulated for those looking to “plus up” their flavorful refreshment during moments of mental focus. smartwater+ tranquility, with ashwagandha and tangerine extracts, is a great option for people who want to “plus up” the taste of hydration during moments of emotional calmness. And smartwater+ renew includes dandelion and lemon extracts to help consumers “plus up” moments of revitalization by enjoying a delicious water beverage.

Each 700-milliliter bottle contains only 10 calories.

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Artesian Water CForce

Unique to the U.S., CForce Artesian Water comes directly from a sustainable aquifer and is naturally alkaline. Unlike other alkaline waters out there, the company does not manipulate CForce. It captures it directly at the source, where it comes to the surface of its own volition (no pumping). Owned and run by Chuck Norris and his wife Gena, CForce is a familyrun business where a portion of all proceeds benefit the Norris’ charity: Kickstart Kids, which helps underprivileged youth and has had over 110,000 kids pass through the program. CForce is an American product and a proud Veteran- and Womanowned company.

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Congratulations on being selected as the 2021 Convenience Store Chain of the Year The Coca-Cola Company raises a glass to thank you for serving your community and providing partnership excellence. Cheers to you!

©2021 Coca-Cola Bottling Company United

Special Report | Hot New Products Awards

Meat Snacks Contest Winners Slim Jim Sonic Chili Cheese Coney Meat Stick Conagra

Introducing Gold Medal-winning Slim Jim Monster Size SONIC Chili Cheese Coney Flavored Meat Sticks. Each of these meat snacks eats like a meal with the delicious flavors of SONIC’s iconic Chili Cheese Coney. These Monster-size smoked meat sticks contain 11 grams of protein per stick, making them perfect for slaying hunger and boredom at home or on the go.

Slim Jim Savage Mild Meat Stick Footlong Meat Sticks Conagra

Country Archer

So meaty, it’s Savage. Introducing Silver Medal-winning Slim Jim Savage Size Mild Flavored Meat Sticks. Savage Meat Sticks are three times bigger than Giant Slim Jim Sticks for appetites that can’t be tamed — until now.

They pack six grams of protein per serving (18 grams per stick) to turn the fiercest belly growl into a whimper. Crush that craving!

OHHH YEAH!

Country Archer Footlongs are made with USDA-inspected 100% grass-fed and -finished pastureraised beef, all-natural and antibiotic-free pork, sure to satisfy the surge in consumers seeking a low-sugar on-the-go snack that’s a good source of protein.

In three varieties including Teriyaki, Classic and new fiery Fuego, each meat stick snack is packed with 15 grams of protein per serving. The new 12-inch sticks were created specifically with c-stores in mind as a better-for-you option that shoppers are looking for. Like all Country Archer products, Footlongs are free of artificial preservatives, nitrates, nitrites, MSG and gluten.

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TYS-29883-NACS-Mag-Snacking-PrintAd-Final-Resize-2-HiRes-PrintersMarks.pdf

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your shelves.

Gratify their cravings.

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MY

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With a full selection of flavorful offerings that appeal to customers at every daypart, Tyson Convenience has your snacking needs covered.

Each product offers the grab-n-go convenience your customers need, along with the popular flavor varieties from brands they know and trust.

Visit tysonfoodservice.com/your-channel/convenience to explore our snacking portfolio.

©2020 Tyson Foods, Inc. Trademarks and registered trademarks are owned by Tyson Foods, Inc. or its subsidiaries, or used under license.

Special Report | Hot New Products Awards

salty Snacks Contest Winners Cheddar Stuffed Soft Pretzel J&J Snack Foods

Pretzel Fillers Stuffed Soft Pretzels combine convenience, portability and mouth-watering flavor, which makes this product the go-to snack for anyone, anytime, anywhere. No need for additional sauces or SKUs — this item is bursting with gooey cheddar cheese already inside the Soft Pretzel. Plus, it comes in an innovative craft-paper wrapping that allows the product to be baked or microwaved directly inside the eye-catching packaging. This product has a one-year frozen, seven-days refrigerated and four-hour heated hold shelf life.

Reese’s Big Cup With Potato Chips Hershey

The Hershey Co. is stuffing Reese’s with even more awesomeness by including America’s favorite salty snack for an afternoon pick-me-up in new Reese’s Big Cup with Potato Chips. This new addition to the Reese’s lineup is sweet, salty and crunchy and will be available in standard size — 1.3-ounce, suggested retail price (SRP) $1.49; and king size — 2.6 ounce, SRP $2.09.

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November 2021

Andy Capp’s Beer Battered Onion Rings Conagra

Introducing Bronze Medal-winning Andy Capp’s Beer Battered Onion Rings. Enjoy a tasty spin on onion rings with this oven-baked snack that’s bursting with irresistible beer-battered flavor. Indulge in these delicious onion rings that hit the spot when you’re craving crunchy, salty snacks. Perfect for on the go, lunches, road trips, or anytime snacking.

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Special Report | Hot New Products Awards

sweet Snacks Contest Winners Snack Cake Hershey

New Reese’s Snack Cakes are the first-of-its kind mid-morning cake treat. Two soft baked chocolate cakes topped with Reese’s Peanut Butter Crème covered in real Milk Chocolate will satisfy your mid-morning sweet tooth and save your morning. Reese’s Snack Cakes — 2.75 ounce, suggested retail price $1.99 — are available at convenience stores nationwide.

Dunkaroos

General Mills General Mills announced the relaunch of Dunkaroos, the beloved cookie and icing combo of the ’90s, earlier this year, creating buzz and anticipation for the dunk-able cookies that became available this summer in the most requested flavor: Vanilla Cookies and Vanilla Frosting with Rainbow Sprinkles. Dunkaroos originally hit the market in 1992 but left U.S. shelves in 2012. Following countless requests from celebrities and nostalgic millennials, the brand returned to 7-Eleven stores in late May and rolled out to other retailers soon after. Individually packaged in 1.5-ounce trays, 12 units per carton, with a suggested retail price of $1.99. Starting this fall, Dunkaroos are now available with chocolate frosting, too.

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November 2021

Ooey Gooey Molten Lava Cakes Prairie City Bakery

Ooey Gooey Molten Lava Cakes are a unique, individually wrapped, indulgent treat sure to satisfy any sweet craving. Each features a rich, fudgy cake filled with an ooey gooey lava center. Available in three decadent flavors — Fudge, Peanut Butter and Salted Caramel — these cakes are a dessert lover’s dream.

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Special Report | Hot New Products Awards

technology Contest Winners Anthem UX User Experience Platform Dover Fueling Solutions (DFS)

Welcome to the future of fuel dispensing. The DFS Anthem UX User Experience Platform helps customers bring the power of promotions to their forecourt. This powerful platform is designed to revolutionize every aspect of the customer experience to make fueling fast, easy, relevant and even fun.

The Anthem UX platform allows retailers to connect with their customers like never before, engage them with targeted advertising and media and generate increased loyalty. With the industry’s largest 27-inch touchscreen, super-intuitive functionality, targeted and personalized content and more, it offers customers and retailers unlimited opportunities. This is refueling reimagined, reinvented and reborn.

IVPN Gift Card Platform

SaaS Screen Messaging Solution

iVertical Payment Networks

WannLynx

Introducing BuyLottoNow, the first national lottery gift program available in 41 states.

Now you can accept debit payments with no transaction fees. It’s the cashless way for your customers to buy lottery draw and scratch-off tickets as a low-cost gift with high impact. What’s more, you can protect in-store traffic from stateoperated iLottery and online sales. Features include 0% payment processing fees. iVertical Payment Networks Gift Card Platform is the next generation in merchantbranded cards and digital gifts. The platform promotes your gas, coffee program, food program and, most importantly, your brand.

Plus, it can help you increase your gift card sales.

With WannLynx, c-stores control their pump screens to create, store and display interactive, customized messaging, increasing in-store sales, revenue and customer loyalty.

Brand screens with your logo and desired font/color, providing a uniform, enriched experience. Customized promotions displayed on the pump result in significant lift on store merchandise. Including third-party ads provides a new revenue stream. Tailored loyalty messages as well as trivia, weather and news create a dynamic experience, increasing customer retention. With WannLynx, c-stores are in the driver’s seat — knowing who is at the pump to send the right message to the right person at the right time.

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Seeing Is Believing See for yourself: doverfuelingsolutions.com/anthemux

DFS Anthem UXTM User Experience Platform

Visit Website

DOVER FUELING SOLUTIONS

©2021 Dover Fueling Solutions. All rights reserved. DOVER, the DOVER D Design, DOVER FUELING SOLUTIONS, and other trademarks referenced herein are trademarks of Delaware Capital Formation Inc., Dover Corporation, Dover Fueling Solutions UK. Ltd., and their affiliated entities, registered or claimed in the United States and various other countries. 5-OCT-21

Special Report | Hot New Products Awards

Store Equipment Contest Winners IBD Bold 30i

Lancer Worldwide

The new IBD Bold 30i from Lancer Worldwide combines variety and innovation into a sleek, eye-catching design. It accomplishes more in less space, dispensing up to 24 brands (16 chilled and eight ambient) from a small, 30-inch footprint. The large, 32-inch digital touchscreen merchandiser displays custom programmable content to drive promotions and customer impulse buys. Also standard with the IBD Bold 30i is Lancer’s IoT platform, Lancer Link, allowing you to collect and analyze beverage dispensing data in realtime for improved performance and guided decision-making.

The IBD Bold 30i will help set operators apart and build a loyal customer following.

Front Counters

Modern Store Equipment

MOCO Tobacco Merchandising Modern Store Equipment

Modern Store’s exclusive line of MOCO modular Tobacco Merchandisers provides busy c-stores with a variety of ways to display, store and quickly restock products. Options range from top-to-bottom push-load shelves displaying 144 brands to styles with a combination of display shelves and convenient drawer storage. For stores with serious space constraints, Modern Store designed a unique unit with a sliding front shelf that allows more display and storage in a compact footprint (pictured). Available in seven woodgrain and solid finishes. Sleek and durable, all MOCO units are proudly made in America.

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Modern Store’s exclusive line of MOCO modular Display-Front Counters let you design your checkout to maximize space and improve the customer experience.

Modular sections combine in straight runs, angles or curves. Display front shelves let you merchandise more products at checkout. Shelves can be used straight or slanted. Glass doors are available for security. Plus, there’s lots of clerk-side storage. Available in a variety of seven woodgrain and solid finishes with your choice of five durable, solid surface countertops. Like all Modern store products, MOCO modular Display-Front Counters are proudly made in America.

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Be Bold.

Welcome to the next generation of beverage dispensing

From the company that has brought you groundbreaking innovations for decades comes the award-winning IBD Bold 30i™. With a sleek design, digital touchscreen merchandiser and Lancer LinkTM IoT connectivity, our breakthrough IBD Bold 30i will propel your customers' beverage dispensing experience into the future – in just 30" of counter space.

24 Brands (16 Chilled/8 Ambient)

4.0 oz/sec Flow Rate

All Common Ice Types

Hygienic Valve & Ice Dispense

Explore our boldest dispenser yet at lancerworldwide.com/CSD

ONE INNOVATIVE COMPANY. MOCO Modular Tobacco Merchandisers Exclusive options range from top-to-bottom push-load shelves displaying 144 brands to styles with a combination of display shelves and convenient drawer storage.

Seven woodgrain and solid finishes.

We offer walk-in coolers specifically rated for c-store needs.

We can help you upgrade checkout, coffee & beverage areas, food prep stations, shelving, tobacco merchandising, and more. Our quality products ship FAST! We also offer full store design through installation across the country. Visit our website to learn more about our unique c-store solutions and three generations of family leadership.

MSE Hot Products ad_M2.indd 1

TWO HOT NEW PRODUCT WINNERS! MOCO Modular Display Front Counters Modular sections combine in straight runs, angles, or curves.

Display front adjustable shelves merchandise more products at checkout. Glass doors available for security.

Lots of clerk-side storage.

Seven woodgrain and solid finishes.

Five durable solid surface countertops.

modernstoreonline.com/cstore | 877.532.8433

10/6/21 12:55 PM

Special Report | Hot New Products Awards

foodservice Equipment Contest Winners Grease Lock

Restaurant Technologies Inc. Grease Lock hood filters from Restaurant Technologies drastically reduces the need for traditional hood and flue maintenance by proactively capturing up to 98% of the airborne grease in the high-efficiency, disposable filter pad. With Grease Lock, users can reduce their hood cleanings by up to 75% of current cleaning frequency, reduce time spent deepcleaning metal hood filters and increase fire safety in their commercial kitchen. Available in most standard industry sizes, ordering and installation is easy. With a built-in filter pad life indicator, knowing when to replace the filter pads has never been easier.

Fast Cup With VT

Touchless Express Dispensers

A profitable, high-performance bean-to-cup system that features an intuitive touchscreen experience and fresh-brewed coffee by the cup, hot or cold, in about 30 seconds. Practically no coffee waste, ensuring all your beans are brewed into the cup and complements dayparts with varying demand for coffee.

Reduce the number of operator touches per day with largecapacity hoppers and spent grounds collection, no paper filters and semi-automated Picture Prompted Cleaning.

Optional touchless beverage dispensing experience with VirtualTOUCH. With three bean selections, a variety of cup sizes and options for hot and iced coffee, Fast Cup delivers the most versatility from a single platform.

Touchless Express Dispensers serve condiments, toppings and sauces safely without any physical contact. They use motionactivation technology to make condiment dispensing completely touch-free and safe for any back-ofhouse or front-of-house foodservice application. Touchless Express Dispensers feature the same footprint as the trusted, reliable Server Express system and offer stainless-steel construction, which cleans easier and lasts longer. Countertop and drop-in units dispense patron favorites from 1.5-gallon pouches with a 16-millimeter fitment for a sealed, sanitary system. Countertop direct-pour unit allows your guests to safely enjoy signature house sauces from a 1.3-gallon food-safe jar within.

Server Products

BUNN

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Special Report | Hot New Products Awards

Tobacco Alternatives Contest Winners High Tea Herbal Wraps Kretek International Inc.

The Evolution of Rolling has arrived!

High Tea wraps are here for your customers looking to take their rolling experience to the next level — without the nicotine buzz of a tobacco wrap. Kretek is proud to offer High Tea non-tobacco herbal wraps.

High Tea wraps are pliable and easy to roll, stored flat in a resealable pouch. Each pouch comes packed with five wraps made from rich mate teas, chamomile and cacao for an experience above all others. High Tea is available in eight delicious flavors and is offered in four-carton and eight-carton pre-packaged display configurations for easy retail placement.

Blood Orange Zero Pouches

Zero Tobacco Wintergreen

Black Buffalo is the world’s only credible smokeless tobacco alternative, creating a substantial, highly differentiated growth opportunity for the convenience store channel.

Black Buffalo has created a modern oral nicotine in moist smokeless form, enabling adult tobacco consumers to enjoy the ritual and experience of MST without the harmful materials found in traditional products. Black Buffalo comes in both long cut and pouches, including nicotine and nicotine-free (ZERO) versions. It has revenue growth of 400% and three Best New Product Awards for 2021.

Experience the latest innovation in nicotine technology with NIIN Wintergreen Zero Tobacco Nicotine Pouches. Made with TFN synthetic nicotine, NIIN Pouches offer adult users a discreet, convenient and 100% tobacco-free way to enjoy nicotine — anytime, anywhere. Available in three milligrams and six milligrams, NIIN Pouches are primed with pre-moistening technology to deliver quick nicotine uptake, maximum nicotine impact and optimal flavoring. Each Primed Pouch features a soft, resilient, micro-perforated paper overwrap to ensure even release and absorption of nicotine and flavor, while allowing the user to freely reposition for maximum comfort. Try NIIN Pouches today and discover the Modern Way to Enjoy Nicotine.

Black Buffalo

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November 2021

NIIN

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8 GREAT FLAVORS | 25 POUCHES PER CARTON | RESEALABLE POUCH

Th e o n ly t h i n g m o re re

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three!

Give Swirl a Whirl IN STORE JANUARY 2022 AVAILABLE IN 2 FOR 99¢ AND SAVE ON 2 FOR MORE INFORMATION CONTACT YOUR SWEDISH MATCH REPRESENTATIVE 800-367-3677 • CUSTOMER.SERVICE@SMNA.COM

WHITEOWLCIGAR.COM © 2021 SMCI Holding, Inc.

Special Report | Hot New Products Awards

Tobacco OTP Contest Winners White Owl Swirl: Chocolate & Vanilla Cigarillos Swedish Match

You’ve never seen a cigar like this before. With Chocolate and Vanilla together in one great cigar, White Owl Swirl is a completely unique experience for your taste buds and your eyes. Featuring an unmistakable, unforgettable two-color wrapper and a flavor that brings chocolate and vanilla together in a combination of our dark and light wrapper. White Owl Swirl: Chocolate & Vanilla is a cigar for the consumer that is consistently looking for the next exciting offering.

White Owl Swirl: Chocolate & Vanilla has been top-rated from consumers and continues the tradition of successful limited-edition offerings from the White Owl line.

CBD Vape Pen

Athenaz Pod Systems

With Forth CBD, adult consumers don’t have to choose between quality and cost — they can get the best and most modern CBD vaping option at an affordable price. Available in flavors such as Mango, Mixed Berry, Mint, Grape, Menthol and Original Hemp, Forth CBD disposable vape pens cater to a variety of adult consumer palettes. Further, the vape pens boast an impressive 150 milligrams of CBD isolate per pen and feature a smooth, easy draw. With no charging required, adult consumers can take their wellness on the go — experiencing CBD vapor like never before.

The Athenaz is an easy-to-use refillable vape pod device that provides an easy transition for disposable vape users to a more cost-effective form of vaping. The Athenaz vape feels like a disposable vape and is specifically designed to work with all vape E-Liquids, Salt Nicotine, Free base and CBD. The highperformance lasercut mesh coil in the Athenaz vape allows customers to use any vape liquid that they prefer. This new device allows stores to sell vape juice, CBD and hardware, instead of simply selling one disposable vape unit.

VaporLax/Mi-One Brands

Forth CBD

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CONGRATULATIONS

ON LEADING THE HERD

We’re proud to be charging ahead with you.

BB_AD_Yesway.indd 3

10/20/21 11:03 AM

Special Report | Hot New Products Awards

CBD Contest Winners CBD-Infused Juice Drinks Forth CBD

With category innovation leading its decisionmaking, and a deep commitment to the success of the brick-and-mortar channel, Forth CBD is spearheading the charge with new CBD-Infused Juice Drinks. These refreshing Juice Drinks are available in two varieties: Mango Orange Pineapple, a delicious blend of tropical fruit flavors, and Strawberry Watermelon, a classic and beloved combination. Each 8.5-fluidounce juice drink contains 10 milligrams of lab-tested, high-quality fullspectrum CBD from U.S.-grown hemp. Forth is proud to launch these new additions to the CBD category at a time when many adult consumers are looking for a reliable and flavorful CBD beverage option.

CBD Max Chill Shot Global Widget

Building on the success of the original Max Chill Shot, an industry bestseller according to IRI data, the new Hemp Bombs Max Chill CBD Shot features an improved formulation. Customers love its Raspberry Dream flavor, 100 milligrams of premium CBD and more functional ingredients. The suggested retail price for each 2.5-fluidounce bottle is $9.99.

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Elderberry Gummies Global Widget

Hemp Bombs CBD Gummies with Elderberry Extract contain 15 milligrams of CBD and 50 milligrams of elderberry extract to help support your immune system. Available in eight- and 20-count packages, with a suggested retail price (SRP) of $9.99 and $14.99, respectively, along with 50- and 100-count bottles (SRP $49.99 and $99.99 respectively).

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Foodservice | Lunch

TRIED AND TRUE MEETS SEASONAL AND NEW

Convenience retailers are finding ways to renew customers’ interest with new and limited foodservice offers through the fall and winter seasons.

Isabelle Gustafson • Associate Editor

C-store staples like subs and pizza remain customer favorites for lunch and dinner alike, while limited menu items keep go-to foodservice forms fresh year-round.

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Foodservice | Lunch

Thanksgiving 47% DATASSENTIAL ASKED CONSUMERS: Which of the Chistmas/Hanukkah/Kwanzaa 44% following seasons or holidays Fall 38% do you associate with flavors Summer 35% or special dishes/LTOs you look forward to ordering?

Winter 32% Halloween

26%

Source: Datassential, “Seasonal LTOs HotShot Report,” 2021

TOP Fall Flavors

Which flavors index highest on fall menus? These flavors either only appear on fall menus or are at least 10x more likely to appear on fall menus:

SWEET Chestnut Apple cranberry Spicy ginger Saigon cinnamon Chocolate pecan

SAVORY Apple cranberry Cranberry sauce Coconut milk Stuffing Stone-ground mustard

Source: Datassential, “INSIDER,” 2021

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That’s good news for Pittsburgh-based GetGo Café + Market, which recently announced the return of its most popular seasonal sandwich, the Pilgrim Sub, made with oven-roasted turkey, gravy, melted Wisconsin white-cheddar cheese, cranberry sauce and secret-recipe stuffing bread.

For many of GetGo’s customers, the annual arrival of the Pilgrim Sub is as much a part of fall as football tailgates and hayrides, said Jon Cox, vice president and chief merchant for GetGo. So this year, the c-store chain, which operates 265 locations throughout western Pennsylvania, Ohio, northern West Virginia, Maryland and Indiana, added two additional ways to try the Thanksgiving offer: the Pilgrim GoBowl and the Pilgrim GoRitto, a stuffed burrito.

Merging a customer favorite meal with new formats just made sense, said Cox.

“

We have seen that our customers like to be able to decide, so we have enhanced our kiosks, giving them the ability to easily remove items from the original (Pilgrim) recipe. The biggest decision point is, ‘Should I add tots?’ Nothing says Thanksgiving like tots on your Pilgrim Sub.

“

Market research firm Datassential confirms limited-time offers (LTOs) have big potential for the channel: Most consumers are interested, yet few c-stores offer them, according to Datassential’s 2021 report, “Convenience Stores: a SNAP! Keynote.” About half (49%) of consumers said they were either very or extremely interested in their favorite c-store offering LTOs, and another 38% are somewhat interested, yet 22% of c-store retailers still say they never offer LTOs. Fall and winter months specifically are prime time for consumers’ favorite seasonal flavors. In fact, according to Datassential’s “Seasonal LTOs HotShot Report,” when asked which seasons or holidays they associate with flavors or special dishes/LTOs they look forward to ordering, 47% of respondents said Thanksgiving, followed by Christmas (44%) and the overall fall season (38%).

– Jon Cox, VP and chief merchant, GetGo Café + Market

November 2021

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Foodservice | Lunch

Pittsburgh-based GetGo uses kiosks in its stores, which enables guests to easily customize their orders.

“The Pilgrim has always been our No. 1 LTO sub,” Cox said. “Last year, during COVID, we launched GoBowls, so we added a Pilgrim bowl as a line extension to that category. When we launched GoRittos, this program was a success in all markets, but in particular Indiana. We decided to try the Pilgrim GoRitto to tie together our two newest offers with our best-ever LTO. The (Pilgrim) Sub is the only item that comes on fresh-baked stuffing bread — that is the secret to the Pilgrim’s success.”

Another secret to success: GetGo’s use of technology, like its order kiosks, allows for customization on its menu items, including the Pilgrim.

“We have seen that our customers like to be able to decide, so we have

enhanced our kiosks, giving them the ability to easily remove items from the original (Pilgrim) recipe,” said Cox. “The biggest decision point is, ‘Should I add tots?’ Nothing says Thanksgiving like tots on your Pilgrim Sub.” While Thanksgiving is known for its dinnertime foods, customers order the Pilgrim across dayparts, including lunch.

“We see the half-sub ordered more at lunch, but we see quite a few whole subs in the evening for dinner,” Cox added.

Later this year, GetGo will reintroduce its General Sub LTO, Cox confirmed.

“This sub is our most-asked-about on social media, and ‘Go Getters’ will be so excited for it to come back,” he said. “It is General Tso’s chicken with an egg roll and spicy Sriracha sauce.”

LTOs lined up for 2022 include a meatball LTO launch as well as the Captain, a crispy cod sandwich, which will make its way back onto menus during Lent in the spring.

Georgia-based Jet Food Stores offers Southern-style foodservice, an Asian offer and Hunt Brothers Pizza, depending on the store.

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Foodservice | Lunch

POSITIONING PIZZA

Sandersville, Ga.-based Jet Food Stores, which operates 53 stores in the state, experienced strong foodservice sales through the pandemic.

The c-store chain offers Southern comfort foods like pork chops, country fried steak, grits, macaroni, home-cooked greens and more. It also launched a new Asian foodservice offer in June at three of its stores, with plans to expand to five to 10 more this month. Menu items include General Tso’s chicken, orange chicken, egg rolls, fried rice and more.

Plus, it’s expanding its Hunt Brother pizza program, thanks to sales gains year over year — with increases across whole pies, hunks (quarter-pie) and slices.

Hunt Brothers’ LTOs do well at Jet Food Stores across all dayparts, noted Director of Food Operations Matthew Turner, including the Pepperoni Trio Pizza, as well as the Buffalo Chicken Pizza, the retailer’s most successful LTO. Overall, pizza’s fared well during the pandemic.

In fact, according to Datassential, 88% of consumers are eating more or the same amount

Jet Food Stores’ pizza sales have been up since last year and even more so since pre-pandemic levels, said Director of Food Operations Matthew Turner.

Source: Datassential, “Convenience Stores: A SNAP! Keynote,” 2021

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T:8" S:7.5"

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Foodservice | Lunch

of pizza this year as the previous year, and 95% of operators believe their pizza sales will increase or stay the same next year.

Grocery and convenience stores specifically were positioned relatively well during the pandemic, and many people traded what would have been visits to restaurants for trips to these locations. Datassential data shows that the percentages of consumers reporting to visit a grocery or convenience store at least once per month to purchase pizza both increased by doubledigit percentages since 2018.

“It has not slowed down,” confirmed Turner. “Our sales this year are up over last year, and we’re up tremendously over prepandemic sales. We sell it at more locations now, and our locations that have always sold it are seeing a lot of growth.” CSD Source: Datassential, “Pizza: A SNAP! Keynote,” 2021

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November 2021

cstoredecisions.com

ANYTIME, ANYWHERE HANDHELD MEALS FOR GRAB ‘N’ GO CRAVERS. PORTABLE PICKS THAT OFFER GREAT TASTE AND CONVENIENCE. Versatile, irresistible and just plain fun, handheld meals from Smithfield Culinary fit the bill for today’s hungry on-the-go customers. Deliciously flavorful and easy-to-prepare, our unique variety of handheld favorites are the perfect choice for snacking or quick satisfying meals.

For more information contact your Smithfield Culinary sales representative, call 888-327-6526 or visit SmithfieldCulinary.com.

CARANDO CALZONES • Fully cooked and microwavable • Individually wrapped with UPC bar codes • Pepperoni, Meatball and Chicken Parmesan

CARANDO RIP-N-DIPS • Fully cooked and microwavable • Individually wrapped with UPC bar codes • Includes a marinara dipping sauce • 5-Cheese and Pepperoni

SMITHFIELD POWER BITES • Sausage, egg, cheese and potato in one bite • Fully cooked – just heat and eat ready • Hometown Original Bites

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©2021 Smithfield

2/4/21 8:54 AM

Category Management | Cigars

CIGAR SALES

SURGE The traditional tobacco product keeps pushing profits despite market and supply shakeups.

Anne Baye Ericksen • Contributing Editor

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CSTORE DECISIONS •

November 2021

Longtime residents on the tobacco back bar, premium and domestic cigars, along with flavored cigarillos, have always fared well for convenience stores. But no one could have predicted just how much this other tobacco product (OTP) segment would prosper under COVID-19 restrictions. For nearly two years, cigars have produced notable profits, and it’s a trend c-store owners and operators hope has no end in sight.

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Category Management | Cigars

Year-over-year comparisons from market research company NielsenIQ show cigars gained 5.1% in dollar sales for the 52 weeks ending Aug. 28, 2021. Albeit a slower pace than the same period in 2020, this posting indicates an ongoing resiliency. Indeed, for some businesses, this past quarter offered even more promising results.

“Domestic cigars climbed 11% in Q3 this year compared with the same period last year.

Premium cigars were trending about a 9% increase over prior years, which is really good because … now that more people are back to work, there isn’t as much flexibility,” said Jeremy Weiner, category director for cigars and premium products at Smoker Friendly.

Headquartered in Boulder, Colo., the company operates more than 181 retail sites in eight states.

Even though cigarillos garner greater sales in the c-store channel, premium and domestic cigars are generating enough consumer interest for some businesses to warrant greater promotional investment. Hy-Vee, a West Des Moines, Iowa-based grocery and convenience store chain, is so keen on the future of cigars that its recent grocery store redesign highlights a walk-in humidor. The new layout is featured at four locations, including Grimes, Iowa, where a Hy-Vee Fast & Fresh c-store sits in the parking lot.

“We see the cigar category sales as complementary to the spirits category, especially with growing segments like whiskey and cognac.

Having a wide variety of cigars and accessories makes our Wine & Spirits departments a destination for cigar connoisseurs, as well as those new to the experience,” said Chris Carrow, vice president of Hy-Vee Wine & Spirits.

OUTSIDE INFLUENCERS

Quarter-after-quarter gains are even more impressive when compensating for the prolonged supply chain disruptions that began with the COVID-19 lockdowns and remain a problem today.

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CSTORE DECISIONS •

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Hy-Vee’s recent grocery store redesign, featured at four locations to date, includes a walk-in humidor.

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Category Management | Cigars

Tobacco Turnout In year-over-year comparisons, cigars kept pace with smokeless tobacco products.

Description

Dollar Sales

1-Year % Change

Latest 52 Wks Ending 08/28/21

Latest 52 Wks YA Ending 08/29/20

Latest 52 Wks – Ending 08/28/21

Latest 52 Wks YA Ending 08/29/20

Cigarette Tobacco

$27.9 M

$33.5 M

-16.8%

-10.2%

Cigarettes

$53.6 B

$52.5 B

2.0%

2.2%

Cigars

$3.64 B

$3.46 B

5.1%

8.4%

Smokeless Tobacco

$7.51 B

$7.12 B

5.5%

9.2%

Tobacco Alternatives, Non-Vapor

$9.68 M

$12.0 M

-19.0%

5.0%

Tobacco Alternatives, Vapor

$4.60 B

$3.93 B

17.1%

12.7%

Source: NielsenIQ Total U.S. Convenience data for the 52 weeks ending Aug. 29, 2020 and Aug. 28, 2021

“

If anything, I think hemp has helped. I think there is dual use. Consumers mix cannabis with cigars.

— Jeremy Weiner, category director for cigars and premium products at Smoker Friendly

“

“We used to have eight-foot cigar sets, but they had to be condensed to six-foot sets because there’s less variety of products (even though) manufacturers are sending to stores what they have,” explained Weiner.

“Without the supply there, we can’t grow the amount of space.”

Instead, he’s chosen to fill the gaps with cannabidiol (CBD) and hemp products in the states where cannabis has been legalized.

Interestingly, research suggests hemp smoking products interest cigar customers.

A Nielsen Global Connect survey released earlier this year concluded one in four cigarette and/or cigar smokers admitted to consuming a hemp or CBD product.

What’s more, nearly 30% of cigarette and cigar users were open to trying a smokeable hemp product.

“If anything, I think hemp has helped,” said Weiner. “I think there is dual use. Consumers mix cannabis with cigars.”

While this and other current market forces bode well for future cigar sales, the Tobacco Tax Equity Act of 2021 could stymie momentum. The legislation seeks 88

CSTORE DECISIONS •

November 2021

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Category Management | Cigars

“

We believe an increase to the federal excise tax of this magnitude will not dissuade users as the bill’s sponsors intend, but instead push them to the illicit market. This undermines the efforts made by convenience store retailers who have invested millions in age verification training, technology and other compliance protocols.

to raise the federal excise tax on OTPs to the same level as cigarettes, which would also be increased. Because cigarette taxes are based on weight and not wholesale prices — which is how most OTPs currently are taxed — analysts predict OTPs could incur a retail price hike up to 2,000% when combined with state taxes. “(The National Association of Convenience Stores [NACS]) opposes the exorbitant and excessive tax increases on tobacco and nicotine products that are currently being considered in Congress. We believe an increase to the federal excise tax of this magnitude will not dissuade users as the bill’s sponsors intend, but instead push them to the illicit market. This undermines the efforts made by convenience store retailers who have invested millions in age verification training, technology and other 90

CSTORE DECISIONS •

November 2021

“

— Anna Ready Blom, NACS director, government relations

compliance protocols,” noted Anna Ready Blom, NACS director, government relations.

At the time of this printing, Congress was still hammering out the details. Many in the industry hope legislators will consider the current version as too burdensome for c-stores and tobacco retailers and recalculate the tax math. CSD

fast facts: • Cigars gained more than 5% in sales for the 52 weeks ending Aug. 28.

• Cigars complement — don’t compete with — spirits and hemp products.

• Proposed federal tobacco tax increases could set new records for OTPs.

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Category Management | Meat Snacks

MEAT SNACK

SALES TREND

UPWARD Despite ongoing supply issues, meat snack sales are on the rise in 2021, with large bag sizes remaining popular post-lockdowns.

Emily Boes • Editorial Assistant

Meat snacks sales are skyrocketing at convenience stores despite ongoing supply disruptions caused by the COVID-19 pandemic. C-store retailers are driving category sales with big bags of jerky, new meat snack styles, tried-and-true flavors and local products.

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Category Management | Meat Snacks

Meat Snack Sales Soar Meat snack total dollar sales grew 17.6% to $1.83 billion for the 52 weeks ending Aug. 28, 2021, per NielsenIQ Total U.S. Convenience data. The most growth occurred in the meat and cheese combo segment, up 27.1%, as well as the jerky segment, up 24.0%.

Description

Dollar Sales

1-Year % Change

Unit Sales

1-Year % Change

Meat Snacks

$1.83 B

17.6%

574 M

7.4%

Dairy Salty Snacks Meat Snack Stick

$7.83 M

7.4%

1.99 M

7.7%

Grocery Salty Snacks Meat Snack Jerky

$694 M

24.0%

90.1 M

15.3%

Grocery Salty Snacks Meat Snack Meat And Cheese Combo

$104 M

27.1%

50.7 M

22.4%

Grocery Salty Snacks Meat Snack Nuggets + Tenders

$13.6 M

3.4%

3.22 M

0.1%

Grocery Salty Snacks Meat Snack Remaining Form

$5.14 M

-17.6%

2.01 M

-9.3%

Grocery Salty Snacks Meat Snack Remaining Meat Combo

$860,681

-11.9%

291,429

-26.2%

Grocery Salty Snacks Meat Snack Steak + Kippered + Bar

$282 M

11.7%

76.1 M

8.1%

Grocery Salty Snacks Meat Snack Stick

$718 M

13.9%

349 M

3.8%

Source: NielsenIQ, Total U.S. Convenience Data for the 52 weeks ending Aug. 28, 2021

Meat snack dollar sales at c-stores totaled $1.83 billion for the 52 weeks ending Aug. 28, 2021, up 17.6% over the previous year, according to NielsenIQ Total U.S. Convenience data.

Jerky sales specifically increased 24% for the same period, totaling $694 million in dollar sales.

Meat-and-cheese combo snacks saw the biggest uptick for the period, up 27.1% with $104 million in dollar sales.

Meat snack sales overall saw an uptick of 38.7%, led by meat sticks (up 43.6%), between July 1, 2021, and Sept. 30, 2021, compared to the same period in 2020, per National Retail Solutions (NRS) data.

C-store retailers agreed that meat snack sales are trending upward in 2021, even as supply challenges linger.

“Unfortunately, supply continues to be an issue,” said Mike Nelson, senior category manager at Beaverton, Ore.-based Plaid Pantry, which operates more than 108 c-stores in the Pacific Northwest. Yet another challenge has been the lack of promotional funding due to inventory constraints.

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CSTORE DECISIONS •

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Nonetheless, sales are looking up.

“Our (meat snacks) category is still very healthy, but we’ve just had to work harder for it,” Nelson said. “We are still lucky enough to see growth in the category.”

Looking toward the future, Nelson believes there is still plenty of room for the meat snack category to expand. “Once the brands are able to get back to comfortable in-stock levels, I expect the category will continue to grow,” he said.

Both traditional and spicy flavor profiles are in high demand among the meat snacks customers. Plaid Pantry is also seeing customer demand for different styles of meat snacks, including Biltong and Landjäger.

Holiday Oil Co, which operates more than 60 Holiday convenience stores in Utah, is also seeing steady growth in the meat snacks category. “Overall, from a numbers perspective, it’s actually really good,” said Devon Nitta, category manager at Holiday Oil Co. “In dollar sales, we’re up a couple digits, and units are up as well.

That’s really promising.”

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Category Management | Meat Snacks

In 2021 customers are gravitating toward traditional and spicy meat snack products, as well as opting for larger bags of jerky that are 10 ounces or larger.

BULK BUYING

During the height of the COVID-19 pandemic, c-store retailers saw big demand for large bags of jerky, as customers began bulk-buying snacks. Both Nelson and Nitta have seen that trend toward large bags of meat snacks continue through 2021.

“Every single manufacturer has gone up in price over the last year, so people are really seeking that value package,” said Nitta.

“Anything 10 ounces and above, that’s really where a lot of the growth is — trying to get that value per ounce. That’s what we’re seeing, at least.”

Nelson agreed. “We have offered large bags for several years now, and the demand continues to increase,” he said. “However, as (prices) rise, we have seen small-bag sales begin to pick up, as well.”

Supply issues have been one of the catalysts behind changing inventory and sales trends.

“Product supply is continually, amongst other things, a big pain point,” Nitta said. “At this point, I’m having to evaluate week to week what manufacturers are struggling to sell to keep our sale dates up and trying to find some other options.”

Sticks Lead Meat Snack Category Growth

Meat snack sales overall were up 38.7%, led by meat sticks (up 43.6%) between July 1, 2021, and Sept, 30, 2021, compared to the same period last year, per data from National Retail Solutions (NRS). Meat sticks also saw an impressive velocity gain of 5.2 units per store per week. Typically, customers purchase soft drinks, confections and potato chips with meat snacks. Meat snacks are purchased with another item more than 86% of the time, and soft drinks are the preferred pairing, appearing in baskets with meat snacks almost twice as much as confectionery products.

Sept 2021 NRS Insights — Independent Small Format Meat Snack Trends Unit % Chg

Units Per Store Per Week Chg

% of Times Purchased Only Within Category

Top Purchase #1

Top Purchase #2

Top Purchase #3

1.8

37.5%

5.2

13.8%

Soft Drinks

Confections

Potato Chips

27.8

-1.8

32.9%

0.7

12.0%

Soft Drinks

Energy Beverages

Confections

31.4%

10.9

-0.6

28.5%

0.5

12.2%

Soft Drinks

Energy Beverages

Cigarettes

Meat and Cheese Combo

49.9%

6.8

0.5

43.6%

0.7

12.7%

Soft Drinks

Energy Beverages

Potato Chips

Total Meat Snacks

38.7%

13.3%

Soft Drinks

Confections

Potato Chips

$ % Chg

$ Shr of Category

Chg

Stick

43.6%

53.9

Jerky

30.4%

Steak + Kippered + Bar

Category

Source: National Retail Solutions (NRS) scan data of 6,200 stores selling meat snacks. All change mesasures are same store sales (3,548 stores) 7/1/21 - 9/30/21 vs 7/1/20 - 9/30/20.

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CSTORE DECISIONS •

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Category Management | Meat Snacks

To offset issues with out-of-stocks, Holiday Oil has reached out to local vendors to fill in gaps in its meat snack sets.

“We’ve actually leveraged a lot of local suppliers in our community — local to our market,” Nitta said. “Just so we can have a good product, a good offering to provide for our shoppers.”

Given the positive response from customers, Nitta expects that Holiday Oil will continue to source local meat snack items even after supply issues subside. “Particularly in Utah, I feel that people love to support local, and we call that out; so that really garners a lot of support from our consumer base.”

“These small guys are poised to have really long-term growth, especially the longer these bigger manufacturers continue to have shortages” Nitta added.

Luckily, for Holiday Oil and Plaid Pantry alike, consumer loyalty has remained steadfast during the pandemic, as customers increasingly turn to c-stores for their one-stop shop.

“We have built a loyal customer base,” said Nelson. “And thankfully, they continue to buy.” CSD

fast facts: • Meat snack dollar sales at c-stores totaled $1.83 billion for the 52 weeks ending Aug. 28, 2021, up 17.6% over the previous year, per NielsenIQ. • Big bags of jerky over 10 ounces continue to trend.

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Category Management | Alcoholic Beverages

Driving Adult Beverage Sales Sales for adult beverages continue to rise at c-stores, with some retailers expanding inventory or developing their own brews to maximize profits.

Howard Riell • Contributing Editor

Alcoholic beverages from wine and beer to hard seltzer and ready-to-drink (RTD) cocktails sold well to millions of Americans during the early days of the COVID-19 pandemic, when restaurants and bars across the country closed and customers flocked to their local c-store to stock up on libations to wait out social distancing orders.

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Category Management | Alcoholic Beverage

Now that life is returning to normal for many Americans, convenience store operators are stepping up their merchandising strategies to maintain that volume growth in the alcoholic beverage category in the months ahead. Given the growth in dollar sales across alcoholic beverage sales this year, the rewards for doing so could be vast.

BY THE NUMBERS

Some 35% of U.S. adults drink alcoholic beverages regularly, while 27% partake “occasionally” and 12% consume them only when socializing, according to analytics and consulting company GlobalData’s latest Q3 2021 survey.

“This reveals a substantial consumer base for alcohol companies,” said Carmen Bryan, consumer analyst for GlobalData, “as well as for accompaniments such as mixers or snacks — products convenience stores are very well suited to cash in on.”

What are customers buying the most? According to NielsenIQ Spokesperson Madeline Burbach, Total U.S. alcoholic beverage dollar sales in the convenience channel for the 52 weeks ending Sept. 11, 2021, broke down this way: Total spirits notched more than $2.9 billion, a 17.3% increase over 2020. Whiskey accounted for just over $1 billion, up 16.8%. Scotch sales were slightly over $32 million, up 26.0%. Sales of tequila came in at more than $218 million, a 38.0% rise.

Beer sales reached $19 billion, declining -0.7%, while Beer, Flavored Malt Beverage and Cider sales combined reached nearly $23 billion, increasing 2.2%. Wine sales totaled nearly $1.5 billion, up 7.4%.

Hard seltzer sales surpassed $1.7 billion, a 44.9% jump. Hard tea sales were more than $476 million, a 27.5% rise. Hard kombucha sales reached over $6.5 million, a 92.9% jump. Sales of hard coffee topped $11 million, a 33.5% increase.

“Because the nature of convenience stores leverages an impulse-buy mentality, it’s important for stores to stock well-known, familiar brands that consumers can trust,” Bryan said. “Striking visuals and packaging designs are also vital to create a shelf presence and catch consumers’ eyes.”

Over the past 12 months, the popularity of fruity and sweet beers has been growing at c-stores, especially among the major chains that have developed their own proprietary brands of beer in the past few years, said Mark Brandau, group manager for market research firm Datassential.

“It looks like Sheetz is a particularly strong performer in this trend,” he said. “Its I Scream, Brew Scream Milkshake IPA (created in partnership with Chicago-based Goose Island Beer Co.) tested as a top performer against all other alcoholic beverages, even those offered at restaurants, for consumers’ ratings of its uniqueness and draw. Wawa took a similar approach (in partnership with Aston, Pa.based 2SP Brewing Co.) with its Sunfest Strawberry Lemonade Shandy, introduced this past June.”

SPIRITS-CENTRIC CONCEPT

Coast to Coast’s merchandising plan includes a large display of Barefoot Wine by the entrance, with a “two for $9.99” deal.

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CSTORE DECISIONS •

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In late July, veteran St. Louis c-store operator Amer Hawatmeh, who divested his 52 Coast to Coast c-stores and recently moved operations to California and introduced his first Coast to Coast Bodega in Santa Clarita. He plans to open another three convenience stores by the end of the year, with further expansion set for 2022.

His new concept places a heavy emphasis on beer, wine and spirits, which are projected to account for more than 70% of sales in the stores, while still stocking traditional c-store items. He calls it a hybrid convenience store/liquor store.

“The premium beer section, including craft beers, is huge,” Hawatmeh noted, citing the growing demand for IPAs and other craft beer varieties. The other subcategory growing quickly is made up of alcoholic seltzers, teas and waters, he said.

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Category Management | Alcoholic Beverage

“

“

Because the nature of convenience stores leverages an impulse-buy mentality, it’s important for stores to stock wellknown, familiar brands that consumers can trust.

— Carmen Bryan, consumer analyst for GlobalData

“Devo, an alcoholic coconut water, is one of my top sellers. That’s kind of the new trend there,” he said. On the liquor side, sales of tequilas and bourbons are surging.

Coast to Coast’s merchandising plan includes a large display of Barefoot Wine by the entrance. “We do ‘two for $9.99,’ so the immediate perception is that there is value in the store,” Hawatmeh said.

Hawatmeh is hopeful the increased sales the adult beverage category experienced in 2020 and 2021 due to COVID-19 will continue into 2022.

And he has reason to be optimistic.

The alcoholic beverage market in the U.S. is expected to grow by $64.01 billion between 2020-2024, expanding at a compound annual growth rate (CAGR) of nearly 5%, per Technavio, a global technology research and advisory company.

Hawatmeh advised other retailers to consider an expanded adult beverage offering, given the opportunity in the category. CSD

fast facts: • Wine sales were nearly $1.5 billion, up 7.4%, while hard seltzer sales surpassed $1.7 billion, up 44.9% for the 52 weeks ending Sept. 11, 2021, per NielsenIQ. • Over the past 12 months, the popularity of fruity and sweet beers has been growing at cstores, reports Datassential.

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Category Management | Packaged Beverages

B M I L C S E L A S T L U A V D L O C

Despite the continued out-of-stocks caused by pandemic-fueled distribution, packaged beverage sales at convenience stores are experiencing healthy sales growth.

Marilyn Odesser-Torpey • Associate Editor

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Category Management | Packaged Beverage

The packaged beverage category at convenience stores is seeing strong sales growth in 2021, driven partly by ongoing beverage innovation, including new flavor options. Retailers are seeing increased customer demand for ready-to-drink (RTD) coffee, energy drinks and sparkling waters, as customers seek out beverages they perceive as healthier or energy-boosting.

Total RTD beverage sales increased in convenience stores by 9.1% within the latest 52 weeks ending Aug. 28, 2021, according to NielsenIQ. The heftiest growth was in the coffee category, with an 18.6% upsurge, followed by sports drinks with a 15.4% rise and fruit juice up 13.2%.

RTD tea sales grew by 1.8%, while its fermented sister segment, kombucha, increased by 6.7%.

Soft drink sales rose 4.5%, sparkling water 10.4% and coconut water 10.7%. Still water sales grew 4.5% and fruit drinks 6.6% for the same period.

CUSTOMERS DRINK UP INNOVATION

At Englefield Oil’s Duchess convenience stores, with 119 locations in Ohio and one in West Virginia, carbonated soft drink sales have demonstrated consistent growth over the past few years, mostly due to the big legacy brands continually coming out with interesting new flavors, said Nathan Arnold, director of marketing, Englefield Oil. These innovations, he said, give Duchess something to build promotions around.

“We prominently display signage to alert customers and generate interest about the new flavors,” he noted.

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CSTORE DECISIONS •

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Duchess convenience stores has seen consistent growth in carbonated soft drink sales over the past few years, and coffee sales are stronger than ever.

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Category Management | Packaged Beverage

Coffee “is huge for us and continues to grow,” Arnold said. Sales are so strong that the company is looking for additional brands to carry.

Like soft drinks, manufacturer innovation is the key to this growth. He cited Starbucks’ introduction of coffee drinks made with almond milk.

Additions of limited-time offer options, such as pumpkin spice for fall and peppermint stick for winter, also appeal to customers.

“People go to coffee shops to get a variety of barista-made specialty drinks,” Arnold said. “With the LTOs, they can get these same beverages in our convenience stores.”

Many customers are switching to loweror no-calorie beverages as they seek out better-for-you drinks. Over the past year, the premium still and sparkling water categories have soared at Duchess stores.

Arnold anticipates that the water catego-

“

ries will continue to gain momentum. He is so confident that he plans to expand the categories in the stores when he does his next reset and to bundle waters with food items for special promotions.

Sports drinks, always a strong category at Duchess, are also a go-to for customers who want something flavorful that’s not soda.

Even though flavored waters are making inroads in this category, Arnold expects it to remain a robust one.

Out-of-stocks have taken a bite out of the stores’ usually dynamic energy drinks category over the past year. However, customers are purchasing more four-packs to take home instead of single units to consume right away.

The RTD tea category was flat all summer at Duchess, which Arnold attributes to outof-stocks and customers substituting flavored waters and other beverages.

People go to coffee shops to get a variety of barista-made specialty drinks. With the LTOs, they can get these same beverages in our convenience stores.

“

— Nathan Arnold, director of marketing, Englefield Oil

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Category Management | Packaged Beverage

Total ready to drink beverage sales increased in convenience stores by 9.1% within the latest 52 weeks ending Aug. 28, 2021, according to NielsenIQ.

Energy drinks and sparkling waters, up 10% and 6% respectively, are the heartiest RTD beverage categories at Cubby’s convenience stores, which has 36 locations in Nebraska, Iowa and South Dakota, said De Lone Wilson, the company’s president. He predicted that these two categories will continue their growth pattern through the end of this year.

“Especially in the energy drink category, there are new entrants that are capturing customer attention,” Wilson said.

Like Arnold, Wilson said trends in the packaged beverage realm may be skewed by the current prevalence of out-of-stocks.

With an ever-increasing variety of flavors available across the packaged beverage categories, retailers must keep a close eye on which ones consumers gravitate toward in their local markets.

Straightforward flavors across the RTD beverage universe generally sell best, Arnold reported. “We’re constantly trying new flavors, but lemon-, lime- and berrybased flavors are always the most popular.” CSD

fast facts • New flavors keep beverage sales growing.

• Consumers are looking for more healthful options.

• Flavored waters remain strong sellers in c-stores.

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Technology | POS & Back Office

THE EVOLVING BACK OFFICE:

DIGITAL NOW DOES IT ALL

As the digital revolution reshapes the way retailers do business, convenience store chains large and small must still focus on the customer.

Thomas Mulloy • Senior Editor

There was a time when digitizing the back office for a retailer meant installing point-of-sale (POS) units to replace cash registers. Today, the term can include nearly the full scope of operations for a store — and a chain.

Art Sebastian, vice president of digital customer experience with Ankeny, Iowa-based Casey’s, which operates more than 2,300 stores across 16 Midwest states, explained that he looks at digital backoffice functions as creating efficiencies in three spaces, making for what he calls a connected store experience. One of those spaces is inventory management. “(Then) there are systems that allow us to serve our guests; that’s where point of sale fits in. And there are 114

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Technology | POS & Back Office

systems that allow our teams to manage their careers, their schedules, their benefits, etc.,” he said.

While the newer digital back-office systems can handle a large variety of functions, the operations of the newer POS units are still fairly simple, according to Perry Kramer, managing partner with Bostonbased Retail Consulting Partners.

“They’ll have the basic punch in, punch out type of things,” he said. “They’ll have the basic loading for employees and securities so that the store manager can override (transactions), and these regular associates can do the normal ringing functionality.”

EFFICIENCY PAYS

By combining all of the functions on a digital platform, an operator’s efficiency level gets a hefty boost. Research and advisory company Forrester Research found the cost savings can be significant. Forrester compiles what it calls a Total Economic Impact Study for digital vendors.

For the retail space, Forrester examined how digital back-office functions affected the efficiency of a hypothetical retailer with 1,000 stores and 50 frontline employees at each store. The results were detailed in a recent National Association of Convenience Stores (NACS) session, titled “Digitizing the Back Office.”

Over the course of three years, digital back-office operations saved the hypothetical chain more than $30 million in staff optimization, employee turnover costs and savings in scheduling hours. The hypothetical company would even save nearly $1 million dollars in reduced paper and ink consumption costs.

But Sebastian stressed that digital efficiencies or any other enhancements all lead to the most important person in the retail space — the customer.

The premise is the same, advised Sebastian. When you make your team members’ lives easier, you’re taking friction out of all the user experiences — anyone who touches the applications and systems. It all leads to a great guest experience.

“How do we take a good look at this, so we can make things go faster, so we can take friction out of the store, so we can create labor slack? Because we’re doing things better, faster, easier, and then ultimately delivering a better guest experience,” Sebastian said.

SMALL CHAIN OPTIONS

But Casey’s is one of the largest c-store chains in the U.S., with a foodservice offering so big that it qualifies as the nation’s fifth-largest pizza operation.

What about smaller operators? Kramer said those retailers have options, too.

He explained that retailers who don’t have a complicated environment can usually find a digital back -office operation that is compatible with what they have in-store today.

“If you’ve got something that’s 10 years old, you’re probably going to have to replace it,” Kramer said.

“But if you’ve got something that you’ve bought in the last five years, in many cases a lot of these software vendors are building their software light enough or thin enough to run on that stuff.”

Today’s point-of-sale systems are easy for employees to operate and offer a digital interface to help simplify transactions.

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Technology | POS & Back Office

Art Sebastian, vice president of digital customer experience for Casey’s, said he looks at digital back-office functions as creating efficiencies in three spaces: inventory management, serving guests at the point of sale and enabling employees to manage their schedules, training, their benefits and their overall careers.

Small chains also have different options when it comes to the software licensing, as well. There are two types of licenses, said Kramer: the perpetual license and the software as a service (SaaS) license.

For large chains, the perpetual license is most likely the best fit. The retailer simply purchases it as part of their package, usually for a flat fee per register. The retailer can have its own tech staff configure the software, maintain the systems, etc., tailored to the store chain’s particular needs.

For small chains, the SaaS license is probably more economical. It’s paid as a monthly fee. The vendor handles the maintenance and upgrades. The system is run either through the cloud or via an on-site master unit — or both.

SELF-MONITORING EQUIPMENT

An impressive piece of the digital back-office functionality system is its ability to monitor itself. Kramer cited a system that will not only warn of an impending problem — say, with a POS unit — but also notify the proper technicians to come and service the distressed unit.

“It looks at the (unit’s) fan speed, it looks at the heat of the main boards, and if the fan starts running too hot, too long, and the motherboard gets too hot, it predicts that register’s going to fail, and they’ll send the maintenance guys out in advance of the 118

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device actually failing,” explained Kramer.

Sebastian said that he talks to many small chain operators who ask his advice on digitizing their backoffice operations, especially when it comes to affordability issues. He advises other retailers to avoid getting caught up in a technology frenzy. Instead, start with the nuts and bolts of retailing.

There’s no cost to creating better processes, he noted. If a retailer doesn’t know how to start, or if they’re concerned about the cost, they should start with the basics, such as staging products, until they’re ready to step up to digitizing. “Over time, as you get good at it … you can think about deploying technology to guide that.” CSD

fast facts: • Digital functionality is reshaping employee training and satisfaction.

• Increased digital efficiencies can greatly trim costs.

• Both large and small c-store chains have affordable digital options.

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Operations | Estate Planning

TOP ESTATE PLANNING

CONSIDERATIONS Proposed rules threaten to eliminate increased estate and gift tax exemptions and could change the treatment of assets transferred to a “Grantor Trust.”

Mark Battersby • Contributing Editor

Congress is planning to make a number of “adjustments” to our basic income and estate taxes, changes that will purportedly impact several commonly used estate planning strategies. That means most convenience store owners, operators, franchisees and executives should get their house in order in preparation for increased federal estate taxes.

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Operations | Estate Planning

After months of proposals for a lower estate tax exemption amount and the possibility that exemption would come down before there was time to make gifts, the time for action has arrived.

Fortunately, only a few of the newly proposed rules will impact moves made before new rules are passed, with many taking effect after Jan. 1, 2022.

The proposed rules would eliminate the increased estate and gift tax exemption created by the 2017 Tax Cuts and Jobs Act that doubled the amount of an estate that is exempt from tax.

Accelerating changes that were already slated to occur beginning Jan. 1, 2026, after Jan. 1, 2022, the unified estate and gift tax exemption would be reduced to $5 million, adjusted for inflation.

Significant changes have been proposed impacting the treatment of assets transferred to a “grantor trust.” Grantor trusts are trusts where the creator, or grantor, is treated as the owner of the trust’s assets for federal income tax purposes.

As an owner, the grantor pays the income tax on the trust’s assets on behalf of the beneficiaries and can sell assets that may qualify for a discount, such as a non-voting LLC interest, without paying any income tax on the sale.

Because the grantor is considered to be the trust’s owner, transactions between the trust and the grantor are “disregarded,” meaning the assets can be sold or exchanged without triggering income tax consequences.

In other words, the grantor can continue to pay income taxes associated with the trust assets without that tax payment being considered a “gift” to the trust, thus allowing the trust to grow incometax free and further reducing the grantor’s estate.

Fortunately, grantor trusts remain available as estate planning tools with all of the benefits continuing.

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Under the proposed legislation, the highest marginal estate tax rate would remain at 40%.

Although no changes will be made to the generation-skipping transfer (GST) tax, the GST exemption would be reduced to $5 million adjusted for inflation.

Most importantly, there is no mention in the proposal of death triggering gain or the elimination of basis step-up at death. Currently, each individual can transfer up to $11.7 million without incurring federal gift, estate or generation-skipping transfer taxes.

Set by the Tax Cuts and Jobs Act of 2017, and adjusted for inflation every year since, under the proposed legislation, the exemption amount would be reduced to $6.02 million after Jan. 1, 2022.

ACT NOW

Any convenience store owner, operator, franchisee or executive with an existing trust who is considering making changes should do so now since the new rules will treat decanting — that is changing the trust terms or pouring the trust’s assets into a new trust with modified terms — as a distribution that might be labeled as a gift and subject to the gift tax.

Fortunately, only a few of the proposed rules will impact transactions or transfers made before it is passed, with many not taking effect until Jan. 1, 2022. While the many benefits of trusts remain invaluable, now is the time to act on estate planning. CSD

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Operations | Merchandising Solutions Column

MERCHANDISE YOUR WAY

TO A TOUCHDOWN C-store operators can strategically merchandise with end caps and promotional zones on the way through ‘the field’ of the store to help customers increase basket size along their journey.

Tom Ross • Ross Co.

It’s football season, so let’s approach in-store merchandising, layout and adjacencies in the context of football.

Guests entering your store most often have a primary need (goal) in mind when they arrive. It’s likely this goal falls into one of three categories — hungry, thirsty or comfort. Think of them finishing the quest to satisfy these needs as the “touchdown” and their journey intercepting prepared food or beverage purchases as a twominute drill. Let’s name our guest Drew.

Drew enters the playing field, and after moving a few paces into the store looks up to determine the targeted objective, which is likely to be a destination and primary purchase occasion tied to either foodservice or the cold vault.

Note that the moment Drew looks up, 124

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she is already well past merchandising space, which should be reserved for low-frequency and sought-out purchases (example: oil/automotive).

Think of the middle third of the store as the red zone and the back third of the store as the end zone.

Destination-driven departments, consisting of high-frequency categories to satisfy hunger, thirst and/or comfort should be strategically placed along the perimeter walls in or close to the end zone. If you have a signature offering, consider placing this under the goal posts (center of the end zone).

Therefore, as Drew breaks from the landing zone inside of the front door to the desired objective, it is incumbent on us, as merchants, to take offensive measures of our own, strategically merchandising end caps and promotional zones on the way through the field.

cstoredecisions.com

Operations | Merchandising Solutions Column

Merchandising along the path to the end zone is best reserved for adjacent products or those secondary to the primary purchase occasion and/ or related impulse items. Examples of this are: single servings of chips or a 12-pack promotion on the way to the beer cooler, healthy snacks and upscale drinks on the way to the foodservice destination, or bakery and healthy snacks on the way to the coffee and hot dispensed drinks.

Once Drew reaches the goal line, satisfying the primary need for the store visit, we need to prepare for the second half — the journey back through the store to the checkout.

thinking of which way to hinge the doors. Swinging the doors properly can drive Drew further into the store and set up secondary purchase occasions.

This is accomplished by carefully planning category adjacencies in the store layout process. A good sightline to the foodservice offering is also desirable in this example, creating the opportunity to change the needs dynamic from thirsty to hungry.

If the primary reason for the visit was foodservice, we should be planning for adjacent dispensed drink purchases (hot and cold) and/or related and secondary food purchases such as healthy snacks, salads, chips, dessert and selective packaged beverages as Drew steps away from the counter THE SECOND HALF with the mission accomplished.

If the primary reason for the store visit was to With the touchdown (primary purchase) and satisfy thirst out of the walk-in cooler, we should be the extra point (secondary/adjacent purchase) in-hand, we should have the return trip to the opposite goal line (cash wrap — or just walkout/checkout) carefully curated to strive for a tertiary purchase occasion. This merchandising can be an assortment of well thought-out and placed adjacent and impulse items.

That leaves us with the checkout counter. This area serves both customers shopping in-store and those only paying for fuel, lottery and/ 5th BI-ANNUAL CONFERENCE or tobacco products merchandised at the counter. In either event, this is a great place to create an impulse purchase. Avoid confusion/clutter here and feature a taste of your signature offer or high ring/margin impulse items on or near the counter. Make it easy to score for a win-win.

Our upcoming Women in Carwash™ Finally, remember merchandising, conference will be held at the beautiful like football, is a team effort — having B Ocean Resort in Fort Lauderdale, Florida the merchandising and operations teams huddle up together to plan category layout and adjacencies can For more information and to register please contact: be a powerful tool.

SAVE THE DATE! January 17– 19, 2022

Andrew Klukas phone: 1.778.772.3057 email: andrew@womenincarwash.com Brenda Jane Johnstone phone: 1.204.489.4215 email: bjj@womenincarwash.com

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Tom Ross managed store design and layout for both Mobil and ExxonMobil “On the Run” convenience stores. He is currently the principal of Ross Co., a consultancy for convenience, foodservice and fuels marketers. He is also a lifelong Green Bay Packers fan — Go Pack Go! He can be reached at tom.ross@rosscollc.co.

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CStoreDecisions.com is geared toward C-Store retailers, convenience store suppliers, and distributors looking to stay abreast of industry trends, new product offerings and category management best practices.

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PRODUCTShowcase

Peanut Brittle Flavored Cups The Hershey Co. is releasing the first Reese’s brand holiday innovation: Reese’s Peanut Brittle Flavored Cups have peanut brittle-flavored creme wrapped around crunchy peanut butter. They come in gift-wrapped-themed packaging. They are available nationwide for a limited time only in a 1.4-ounce big cup with a suggested retail price (SRP) of 89 cents; a 2.8-ounce king size with an SRP of $1.39; a 7.4-ounce bag of miniatures at an SRP of $2.99; and a nine-ounce bag of miniatures with an SRP of $3.49.

The Hershey Co.

www.thehersheycompany.com

Zero-Sugar Winter Spiced Cranberry Soda Sprite is bringing back the Winter Spiced Cranberry flavor nationwide, as well as introducing a new Zero Sugar option for the holiday drink. Sprite Winter Spiced Cranberry will be offered in 20-ounce or two-liter bottles, while Sprite Winter Spiced Cranberry Zero Sugar will be offered in two-liter bottles.

The Coca-Cola Co.

www.coca-colacompany.com

Zero-Sugar Pepper Mini Meat Sticks Werner Gourmet Meat Snacks is expanding its topselling mini meat sticks line with the introduction of a new Zero Sugar Pepper Mini Meat Stick. These new sticks combine the Werner Pepper Smoked Meat Stick flavor with a new zero-sugar formulation. Werner Mini Meat Sticks are a three-inch, twisted meat stick. The new product is available in a 10-ounce big bag packed in an eight-count shelf display case.

On-Demand Cold-Brew Coffee Ronnoco Beverage Solutions is launching the industry’s first ondemand cold-brew coffee powered by its new brewing technology.

Ronnoco’s rapid brewing process continuously pumps water through the coffee grounds, making readyto-drink cold-brew coffee in 60-75 minutes. A multitude of coffee flavor add-ins and recipe cards will be available for customers to create their own unique cold-brew coffee blend. The products are anticipated to hit stores nationwide in 2022.

Ronnoco Beverage Solutions

www.ronnoco.com

Werner Gourmet Meat Snacks www.wernerjerky.com

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PRODUCTShowcase

Lime Flavor Returns Mars Wrigley and Skittles brand announced that, after an absence of eight years, its infamous Lime flavor candies are returning to the rainbow permanently in Skittles Original packs. Original Flavor packs featuring Lime started popping up on shelves in October, with national rollout planned over the next few months. Both Original and Sour packs of Skittles will now contain Lime, joining Orange, Lemon, Grape and Strawberry. Fans can find Lime starting this fall across a variety of pack sizes including 1.8-ounce single packs and 3.6-ounce share size.

Mars Wrigley

www.mars.com

Multigrain Sticks With Chocolate Hazelnut Dip

Low-Carb, Low-Calorie Beer Heineken USA’s Tecate brand announced its new premium beer, Tecate Alta. The Mexican import slim cans boast a sleek, refreshing design and offer drinkers a lowcarb, low-calorie option (2.4 grams of carbs and 85 calories). Inspired by the heights of the mountain of Cuchumá, in the borderland of Tecate, Baja California, Alta reflects Tecate’s Mexican-American pride and roots, matching it with a refreshing, high-quality taste and a light, clean finish. Tecate Alta is the lightest brew in the brand’s lineup of beers that includes Tecate Original, Tecate Light and Tecate Michelada.

Nutella, The Original Hazelnut Spread, is introducing a new way to dip snacks with Nutella & GO! Multigrain, featuring the taste of Nutella on one side and hearty multigrain sticks with oat and blueberries on the other.

Nutella & GO! Multigrain joins the growing lineup of Nutella & GO! offerings, which include breadsticks and pretzels. Nutella & GO! Multigrain is available in multipacks nationwide.

Ferrero

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Heineken USA

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Ready-to-Serve Glazed Donuts Rich Products introduced Fully Finished Glazed Donuts that are easy to handle, ready to serve and maintain fresh quality over an extended shelf life — 48 hours for yeast doughnuts and 72 hours for cake doughnuts. Available in tray packaging, the flavors include glazed yeast ring (48 per case), glazed cinnamon roll (32 per case), glazed apple fritter (32 per case) and plain cake ring (48 per case).

Rich’s Foodservice

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PRODUCTShowcase

Tiki-Inspired Mix Pack Oskar Blues Brewery announced the release of the tiki-inspired CANspiracy Mix Pack, the brewery’s first mix pack to include both craft beer and craft hard seltzer. The adventurous 12-pack features two new beers, Lost Grog Tiki Wheat (7% ABV), which is fermented with coconut cream and apricot, and Can-O-Bliss Tiki IPA (7.2% ABV), which comes from a rotating series with blends of hops. Additionally, Wild Basin Hard Seltzer flavors Mango Mai Tai and Habanero Piña Colada are included. The CANspiracy Mix Pack is available nationwide.

Oskar Blues Brewery

www.oskarblues.com

Soft-Baked Take ON Classic Cookies Nabisco is bringing back Cakesters in two varieties: the Original Oreo Cakesters and a new additional offering, Nutter Butter Cakesters. Cakesters are a soft-baked take on the classic cookies. The signature taste of Oreo and Nutter Butter is baked into each bite of soft cake and creme filling. Original Oreo Cakesters are made with smooth creme filling paired between two soft, chocolate-flavored snack cakes. Nutter Butter Cakesters are made with real peanut butter filling sandwiched between two soft snack cakes.

Snack Works

Chocolate Hazelnut and Pumpkin Harvest Coffee Red Diamond Coffee & Tea is expanding its seasonal limited-time offer (LTO) flavors with a brand-new Chocolate Hazelnut coffee. Operators now have the opportunity to offer customers two LTO coffees made by Red Diamond, including the trending fall staple, Pumpkin Harvest, in addition to the new Chocolate Hazelnut. The coffee flavors are available in 2.5-ounce fractional packs.

Red Diamond Coffee & Tea

www.reddiamondbevservices.com

www.snackworks.com

Hemp Gummies With Natural, Functional Ingredients Utilizing HempFusion’s proprietary broad-spectrum hemp extract, the company’s new gummies feature natural functional ingredients. Its Elderberry CBD Immune Support Gummies include 10 milligrams of broad-spectrum CBD and 100 milligrams of elderberry extract. And its Summer Cherry Gummies are a sweet and tart flavor with 10 milligrams of HempFusion’s broad-spectrum CBD. HempFusion’s CBD gummies retail in 30-count package for $29.99 and six-count packages for $9.99. Single-count packages, priced at $3.49, will be available at c-stores. They contain no THC (tested to be less than .01%), are vegan and free of gluten, gelatin, as well as artificial colors, flavors and sweeteners.

HempFusion

www.hempfusion.com cstoredecisions.com

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PRODUCTShowcase

Rainbow-Colored and Sour Gummies Haribo is introducing two new varieties of gummies — Rainbow Worms and Z!NG Sour Kicks. Each Rainbow Worm has a five-color rainbow effect in a fun worm shape and features three flavors: Black Currant, Lemon and Strawberry. The new Z!NG Sour Kicks boast the classic punch of Haribo Z!NG with an undusted sour experience. The sneaker-shaped gummies will be in five popular sour flavors: Orange, Grape, Raspberry, Strawberry and Lemon. Haribo’s Rainbow Worms and Z!NG Sour Kicks are available in small, medium and large peg sizes.

Haribo

www.haribo.com

Blueberry-Acai and Mango-Peach Fruit and Yogurt Snacks PIM Brands is introducing Welch’s Blueberry-Acai and Welch’s Mango-Peach Fruit ‘n Yogurt Snacks. Welch’s Fruit ‘n Yogurt Snacks are available nationwide in a range of packs and size formats, including 18-count boxes, eightcount boxes, 1.8-ounce tube packs and fourounce peg bags.

Chocolate Porter Collaboration D.G. Yuengling & Son announced the highly anticipated return of its beer collaboration with Hershey’s. The Yuengling Hershey’s Chocolate Porter is now available in bottles and on draft. At a 4.7% ABV, Yuengling Hershey’s Chocolate Porter combines Yuengling’s nearly 200-year-old Dark Brewed Porter recipe with the taste of Hershey’s chocolate.

The limited-edition, seasonal beer uses Yuengling’s brewing expertise to blend Hershey’s chocolate with caramel and dark roasted malts for a smooth and rich chocolaty finish.

D.G. Yuengling & Son

www.yuengling.com

PIM Brands

www.pimbrands.com

Holiday Tube Fan and Dispenser CandyRific released its M&M’S brand Tube Fans and Magic Tube Dispensers for the holiday season. To use the M&M’S Magic Tube Dispenser, the customer must remove the top of the tube and fill it with M&M’S Milk Chocolate Candies. They then need to put the top back on, lift the lid and pull up. When pressed back down a candy will appear through a little circle. Each item contains one fun-size bag (0.46 ounces each) of M&M’S Milk Chocolate Candies. The suggested retail price of M&M’S Tube Fans is $5.99 and $2.99 for M&M’S Magic Tube Dispensers.

CandyRific

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Hussmann

800.592.2060 / insidesales@hussmann.com / Hussmann.com

Jet Brands

59 9

877.822.2214 / JetBrands.net

Kooler Ice Vending Machines

800.858.3025 / www.kookerice.com/fixmyice

Krispy Krunchy Chicken Classifieds 800.290.6097 / www.krispykrunchy.com Liggett Vector Brands

29 17 33

877.415.4100

Swedish Match

21

800.367.3677 / www.zyn.com

Swisher International

Cover, 11, 76

Trion Industries, Inc.

57

Vehicle Wash Systems, Inc.

65

800.874.9720 / www.swisher.com 800.444.4665 / info@triononline.com / TrionOnline.com 800.344.8700 / washngo@rcn.com / www.washngo.com

Vitamin Energy

12-13

800.420.3106 / Sales@VitaminEnergyLLC.com

www.masonways.com

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Statement of Ownership, Management and Circulation of CStore Decisions Publication Title: CStore Decisions Publication Number: 1054-7797 Date of filing: October 15, 2021 Frequency of issue: Monthly Number of Issues Published Annually: 12 Annual Subscription Price: $80 per year Complete Mailing Address of Known Office of Publication: WTWH Media, LLC, 1111 Superior Ave. Suite 2600 Cleveland, Ohio 44114 Contact Person: Bruce Sprague Telephone: (888) 543-2447 Complete Mailing Address of Headquartersor General Business Office of Publisher: WTWH Media, LLC, 1111 Superior Ave., Suite 2600 Cleveland, Ohio 44114 Publisher: John Petersen WTWH Media, LLC, 1111 Superior Ave., Suite 2600 Cleveland, Ohio 44114 Editor: John Lofstock WTWH Media, LLC, 1111 Superior Ave., Suite 2600 Cleveland, Ohio 44114 Executive Editor: Erin Del Conte WTWH Media, LLC, 1111 Superior Ave., Suite 2600 Cleveland, Ohio 44114 Owner: WTWH Media, LLC 1111 Superior Ave. Suite 2600 Cleveland, Ohio 44114 Scott McCafferty, 1111 Superior Ave. Suite 2600 Cleveland, Ohio 44114 Mike Emich, 1111 Superior Ave. Suite 2600 Cleveland, Ohio 44114 Marshall Matheson, 1111 Superior Ave. Suite 2600 Cleveland, Ohio 44114 Known Bondholders, Mortgagees, and Other Security Holders Owning or Holding 1 Percent or More of Total Amount of Bonds, Mortgages, or Other Securities: None Tax Status: Not applicable

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Publication Title: CStore Decisions Issue Date for Circulation Data: September, 2021 Net press run: Average, 42,491 last issue, 42,396 Outside County Paid/Requested Mail Subscriptions: Average, 34,883; last issue, 38,071 Total Paid and/or Requested Distribution: Average, 34,883; last issue, 38,071 Nonrequested distribution by mail outside county: Average, 7,289; last issue, 4,074 Nonrequested distribution outside the mail: Average 170; last issue, 150 Total Nonrequested Distribution: Average 7,459; last issue, 4,224 Total Distribution: Average, 42,342; last issue, 42,295 Copies not Distributed: Average, 149; last issue, 101 Total: Average, 42,491; last issue, 42,396 Percent Paid and/or Requested Circulation: Average, 82.4%; last issue, 90% ELECTRONIC COPY CIRCULATION Requested and Paid Electronic Copies: None Total Requested and Paid Print Copies (15c) + Requested/Paid Electronic copies (16a): None Total Requested Copy distribution (15f) + Requested/Paid Electronic copies (16a) = None Percent Paid and/or Requested Circulation (Both print & electronic copies) (16b dividedBy 16c x100) = None X I certify that 50% of all my distributed copies (electronic and print) are legitimate requests or paid copies I certify that all information furnished on this form is true and complete. I understand that anyone who furnishes false or misleading information on this form or who omits material or information requested on the form may be subject to criminal sanctions (including fi nes and imprisonment) and/or civil sanctions (including civil penalties).

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Classifieds/Ad Index 5-Hour Energy

109

www.5hourEnergyRetailer.com

Abbott

9

linnea.solbrook@abbott.com

Krispy Krunchy Chicken

77

Lancer Worldwide

61

800.290.6097 / www.krispykrunchy.com www.lancerworldwide.com/CSD

ADD Systems

115

Mako Networks

97

Advanced Solutions Communications Corp.

82

Mars Wrigley

33

Altria Group Distribution Company BIC USA LLC

25

MasonWays Indestructible Plastics, LLC

136 127

Black Buffalo

71

Max Distributing McLane Company, Inc.

Brothers Mobile Solutions

65

Modern Store Equipment

800.922.0972 / www.ADDsys.com 724.772.2722 / www.asccinc.com

15

www.BICLighter.com

www.blackbuffalo.com www.MobileSolutions.Brother.com/Shell

888.777.5413 / ussales@makonetworks.com / www.makonetworks.com www.mars.com/made-by-mars/mars-wrigley 800.837.2881 / www.masonways.com

47

www.cvpproducts.com/info

62-63

877.532.8433 / sales@modernstoreequipment.com / modernstoreonline.com/cstore

CB Distributors

The Coca-Cola Company

51

Mondelez International Monster Energy MTI Digital

Coin Cloud

35

NCS Profitable Solutions

121

Commercial Fire

35

North American Bancard

135

Dover Fueling Solutions

59

6-7

888.824.3256 www.cbprices.com / www.hempbombs.com / www.naturesscript.com www.coca-cola.com

www.Coin.Cloud/Hosts 904.990.4372 / www.ComercialFire.com doverfuelingsolutions.com/anthemux

E.A. Sween Co.

41

866.787.8862 / www.marketsandwich.com

E&J Gallo Winery E-Alternative Solutions

49, 101

29 113

305.532.7177 ext. 201 / www.mtimusic.com

www.ncswash.com

866.481.4604 / www.nynab.com

123

Perfetti Van Melle Philip Morris USA

57

Premier Manufacturing, Inc.

91 81

2

www.insightsc3m.com www.gopremier.com

EDGE Petrol

117

Red Bull Reynolods American Inc. Ruiz Foods

Essentia Water

107

Schulstad Bakery Solutions

43

www.EalternativeSolutions.com/Forth 856.441.0894 / www.edgepetrol.com 877.293.2239 / sales@essentiawater.com / www.essentiawater.com

73

31 5, 79

newcustomers@ruizfoods.com / www.RuizFoodservice.com www.schulstadUSA.com

Envysion

21

Smithfield Culinary

83

Fintech

95

SPC Retail

16

GSK C-Store

45

Southern Champion

103

Success Systems

119

877.258.9441 / info@envysion.com 800.572.0854 / info@fintech.com / www.fintech.com Scott.F.Breisinger@gsk.com

Gulfcoast

727.449.2296 / www.gulfcoast.com

3

888-327-6526 / SmithfieldCulinary.com 800.523.6899 / www.spc-retail.com www.UptownCocktails.com 800.653.3345 / www.success-systems.com

Swedish Match

The Hershey Company

55

Home Market Foods

39

800.367.3677 www.zyn.com www.gamecigars.com www.whiteowlcigar.com

Hostess Hunt Brothers Pizza

19

Swisher International

75

800.874.9720 / www.swisher.com

Hussmann

99

800.444.4665 / info@triononline.com / TrionOnline.com

www.HersheySolutions.com 800.367.8325/ info@HMFfoodservice.com / www.HMFfoodservice.com

800-453-3675 / www.huntbrotherspizza.com/csd 800.592.2060 / www.Hussmann.com

Incomm

www.InComm.com

Jet Brands

877.822.2214 / www.JetBrands.net

111

Twang Partners, Ltd.

104

125

800.950.8095 / shale@twang.com

105

www.tysonfoodservice.com/your-channel/convenience

Tyson Convenience Vitamin Energy

JUUL Labs

89

Kellogg NA Co. Keurig / Dr. Pepper Kretek International Inc.

17

800.336.6328 / sales@wenzelsfarm.com / www.wenzelsfarm.com

23 67

cstoredecisions.com

139, 140

Trion Industries, Inc.

800.420.3106 / Sales@VitaminEnergyLLC.com

855.780.7966 / www.juullabsretailer.com

11 85 68-69

53 12-13

Wenzel’s Farm, LLC

93

Women in Carwash

126

778.772.3057 / 204.489.4215

Xcalibur International, Ltd. November 2021 • CSTORE DECISIONS

87

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IndustryPerspective

Do Ghost Kitchens Have a Role to Play in C-Stores?

Ghost kitchens offer an opportunity for c-stores to expand foodservice sales potential in the digital age.

Carl Orsbourn • Contibuting Editor

Many people didn’t know what a ghost kitchen was before the pandemic, but now it seems the word is everywhere. COVID-19 afflicted the restaurant industry in such a limiting way in 2020, that every restaurant was a ghost kitchen for a period.

Ghost kitchens are kitchens that are optimized to fulfill restaurant orders that will be consumed off-premise.

They are called “ghost” kitchens because there is no front-of-house, no order point, no signage and no place to consume the food.

In a sense, ghost kitchens are like c-store kitchens. With many c-store kitchens, 100% of the food is consumed off-premise: In a customer’s car or at the customer’s destination.

The difference with ghost kitchens is that customers order digitally away from the store rather than transacting directly at the store. So, if c-stores are already doing ghost kitchens of a sort, what is left to say?

To answer that question, let’s explore why ghost kitchens make sense and how they could be used by c-store operators.

EXPAND CUSTOMER REACH

The “I want what I want when I want it” mindset means when guests are hungry, they want that hunger addressed quickly and with the least effort wherever they are. Many c-stores rely on being in the right place at the right time to satisfy the customer’s desire in those moments — and many are driven by impulse.

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But this requires the customer to come to the c-store location. The volume of customers hungry within a five mile or 15-minute radius is far greater than those that happen to be perusing a store location. Ghost kitchens expand reach to these customers, wherever they are, and don’t require significant capital outlay — just a great broadband connection and an understanding of digital branding and marketing.

VIRTUAL BRAND SALES POTENTIAL

C-stores have delighted customers over the years because of the variety they offer. Similarly, virtual brands enable a restaurant to layer brands on top of current kitchen throughput or through ghost kitchens located in optimal spots for delivery speed.

Restaurants now realize that they can cook for a brand that isn’t on the front door because the front door is now a smartphone screen. Brands like Wow Bao, which has over 300 virtual kitchens, need just four square feet of space to provide a completely different food brand, with minimal waste or operational complexities (read: no hood requirements). Some locations have seen incremental sales in the thousands of dollars each week for those embracing such a strategy.

These virtual brands are replacing one of the key value pillars of c-stores — variety — but in a way that may be more convenient, i.e. having the food brought to the consumer. Luckily, many c-stores are already serving a

November 2021

wide variety of menu items — all they have to do is add digital access and delivery fulfillment to compete.

LOCATION, LOCATION, LOCATION

The best c-stores share one consistent component: a great location.

Many will benefit from accessible ingress, egress and parking. Getting in and out of a restaurant is one of the biggest challenges for delivery drivers, but c-stores and purpose-built ghost kitchens address this. Better locations get customers the food they desire faster. Faster delivery equals greater loyalty and retention.

Ghost kitchens aren’t that scary, and with the right mindset, c-store operators can grow food sales to greater heights. With the increasing expectation of customers to have food brought to them when they want it, c-stores must respond, and the answer may already be lying behind the roller grill.

C-stores that look at their assets — broad menus, hidden kitchens and great locations — and combine them to serve the digital future have the opportunity to outgrow the category by changing the basis of competition.

Carl Orsbourn is the co-author of “Delivering the Digital Restaurant: Your Roadmap to the Future of Food” available on Amazon and at other fine booksellers. “Delivering the Digital Restaurant” explores the major omnichannel shifts affecting what, where and how Americans eat. Previously, Orsbourn spent nearly 20 years with one of the world’s largest c-store brands: BP/ampm.

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