The ultra competitive market features heavyweight chains such as Royal Farms, along with Pennsylvania’s Wawa, High’s of Baltimore and 7-Eleven. All of the chains are rushing to build new stores, remodel existing ones, boost assortments of meals to go and, of course, gasoline, according to a report by The Baltimore Sun.
Royal Farms, a 151-store chain in four states, opened a dozen new locations and rebuilt six last year, mostly in Baltimore and its suburbs. Known for its fried chicken, it is building nine new stores this year, six in Maryland, the report said.
The chain is bolstering its home front against the likes of a larger and rapidly expanding Wawa and a newly aggressive 7-Eleven. Wawa is opening close to 50 new stores this year in a six-state area including Maryland, about a third more than last year. And 7-Eleven launched a national push into urban areas, with plans to open up to a dozen new stores a year in the Baltimore area.
All three aim to serve time-crunched consumers, who are turning more and more to large-format convenience stores not just for milk and candy, but for a fill-up and dinner.
“People want more convenience, and it just continues to escalate,” said Jeff Lenard, a spokesman for the National Association of Convenience Stores. “The reason that you’re seeing growth of convenience stores is that people are continually redefining convenience. It used to be all that meant was extended hours of operation, then it became about convenient locations.”
Today, it’s all of that plus offering a single spot to fill the tank, withdraw cash and grab a meal, Lenard told The Sun. The new convenience stores are seen as more than a last resort to grab breakfast, lunch or dinner, he said.
“It’s gone from desperation to destination,” Lenard said. “More (stores) are in the food service business, and you know you can get a good meal. You’re seeing where people expect some of the best places to possibly eat can be at a gas station.”
Royal Farms trades on its chicken and Western-cut fries, Wawa on its built-to-order hoagies. 7-Eleven has moved beyond Big Bite hot dogs with an expanded array of ready-to-eat foods.
“We’re expanding and improving our brand, depending on where real estate is available and where it makes sense for us to expand our footprint,” said Ed Stronski, Royal Farms’ marketing manager, told The Baltimore Sun.
The chain is building about 10 to 12 new stores a year, all of them offering gasoline on a busy road. The stores range in size from 4,000 square feet to 5,600 square feet. It’s also remodeling older stores and improving its food service offerings.
It’s all with an eye toward staying ahead of the competition as Royal Farms goes head to head with drug stores, grocers, fast-food outlets, and coffee and doughnut shops as well as other convenience stores such as Wawa.
Fast-growing Wawa operates 570 stores in Maryland, Delaware, Virginia, Pennsylvania and New Jersey and now also operates 21 stores in Florida.
“We’re constantly looking for new sites and ways to serve communities we’re not serving,” said Lori Bruce, a Wawa spokeswoman.
The newer Baltimore Wawa stores feature the chain’s latest design with a larger kitchen area and emphasis on fresh food such as its made-to-order sub sandwiches and espresso-based drinks, Bruce told The Baltimore Sun. The chain tries to differentiate itself, she said, with a variety of food offerings ranging from its hoagies and quesadillas to soups, salads and fruit.
“We think that our offerings really distinguish us in that retail set,” Bruce said.