Creating Loyalty Among Thrifty Customers

Retailers throughout the country are aware that with the current economic downturn, customers are often trying to find the most cost-effective deals. But industry leaders are relying on innovative solutions aimed at getting their customers decent deals while creating brand loyalty. Fuel retailer loyalty programs work similar to loyalty programs in other industries, according to

Get Ready for Gen Y

The international marketing firm Youngster recently reported that for the first time in history, the market group known as Generation Y, those ages 10 to 25, is evenly divided across each of its five age-based subgroups. A short 10 years ago when Generation Y first burst on to the scene, the vast majority of Gen

Shell Games

Maybe there’s still a bit of debate on the medical merits of catharsis, but Bobak Bakhtiari could be the man to put the issue to rest. "Does it further ignite aggression?" asked Bakhtiari, a former counselor at a California psychiatric facility who now runs Tanforan Shell, his family’s convenience store and carwash in San Bruno,

Shoppernomics 2.0: The Not-So-Perfect Storm

There’s a host of ingredients contaminating the retail environment these days, with shoppers dogged by rising costs in energy, food and basic necessities. As a result, shopping habits are being radically reshaped in this new and uncertain environment, said Thom Blischok, president of consulting and innovation at Information Resources Inc. (IRI). "We are living in

Alaskan Energy Crisis Solved

Faced with almost six weeks of daylight when the summer solstice hit their town on June 20, residents in Barrow, Alaska, were finally provided an answer to their age-old question: How do you make it through a 1,992-hour day? In honor of the summer solstice, the makers of Jolt Energy drink airlifted 370 cases of

Reshaping the Convenience Landscape

For some marketers and distributors, Exxon Mobil Corp.’s decision to get out of direct-store operations could present the chance of a lifetime; an opportunity to acquire the rights to stores for an entire market, maybe more. For others, the announcement caused immediate fear and panic concerning the long-term viability of their operations and, in some

Branded Food: Fast Brands Build Business

Branded fast foods are major league players in today’s convenience channel. Indeed, the 45 chains recently surveyed by Convenience Store Decisions rang up some $380 million in branded foodservice sales last year. A pretty impressive figure, and one that is likely to make any c-store owner’s mouth water at the mere thought of adding a

Prepaid: Targeting Niche Segments

According to figures from Mercator Advisory Group, the prepaid market isn’t big—it’s huge, and growing exponentially every year. Mercator’s debit advisory head Tim Sloane said that closed loop prepaid cards grew at a rate of 88% year over year from 2002 through 2006. Sloane predicts that when the 2007 figures are analyzed, they’ll show another

Pizza: Old Tastes Trump New Trends

It seems the future of pizza hinges on just how far retailers are willing to stray from the confines of that traditional pizza box. "If you get too far outside the box, you’ll probably sell less pizza," said Neal Hollingsworth, vice president of marketing at Hot Stuff Pizza. And if you stay cloistered within the

GROCERY: Sales Vary Widely

The line between grocery and convenience channels in the U.S. continues to blur, especially with the addition of mega retailers like the UK-based Tesco (Fresh & Easy) and Japan’s FamilyMart (Famima). Though neither of these retailers sell gas, both consider themselves members of the c-store channel in growing, upscale markets, such as Los Angeles, Phoenix

Chicken: Poultry in Motion with Chicken in Top Spot

One of the most versatile and marketable products in retail foodservice has also become the No. 1 convenience item consumers are choosing in their quest for meat and poultry products. A recent study by the National Chicken Council (NCC) shows that U.S. consumers consider chicken to be the most widely available convenience food product, as

General Merchandise: Competition Impacting Novelty

General merchandise rounded out the top 10 in-store categories by gross profit contribution, according to the National Association of Convenience Store’s (NACS) State of the Industry (SOI) report. Finishing 10th, just behind cold dispensed beverages, on a per-store, per-month basis, stores averaged $2,373 in merchandise sales with a gross profit contribution of $873. The bad

DELI, BAKERY AND PREPARED FOODS: Fresh Remains Key For Customers

The tendency for Americans to want more fresh and fresh prepared food is clearly growing, which is why traditional U.S. convenience stores have been joined by overseas chains like Tesco and Famima. "I think the lifestyle is really changing here," said Hidenari Sato, executive vice president of Famima Corp., the U.S. subsidiary of Japan’s FamilyMart

Isotonics and Energy Drinks: Isotonics Maintain, Energy Drinks Soar

Isotonics and sports drinks maintain strong sales and will probably continue to do so, given consumers’ growing demands for healthful food and drink that meets the body’s needs following physical activity. Energy-drink purchases, on the other hand, are growing exponentially across the country—leading retailers to keep seeking the best strategies for leveraging the category’s popularity.

Technology Driving Safety and Cash Management

Safeguarding c-stores and the people and property in and around them is getting easier and more economical thanks largely to incremental advances in a variety of technologies. Among them: safes that do more, software systems that communicate better and electronic eyes that see more. Theft and mayhem of all types, from gas pump drive-offs and

Hot Dispensed Beverages: Consumers on the Prowl for Premium

The days of battery acid brewing in a pot on a hot plate are long over, and c-store coffee programs will be hard-pressed to win drinkers these days without recognizing that consumers are on the prowl for premium coffees at palatable prices. A shortage of minutes and money among consumers nationwide is driving demand for

Alternative Energy (Shots and bars): Buying Energy by the Shot

Make room for the new kid on the block: Energy shots, those concentrated versions of energy drinks that are beginning to mirror the high sales figures of their parent product. Granted, some customers buy energy shots to add to their energy drink in a kind of shot-and-chaser strategy. But for an increasing number of buyers,

Faith-Fueled and Furious

At a jail in Valparaiso, Ind., there’s a rebel musician who’s probably wishing he’d sung just a little bit louder. At a church in San Francisco, there’s a holy man wishing he and his flock had prayed just a little bit harder. And in a backwater town just outside Kansas City, Mo., there’s a new

Cold & Frozen dispensed beverages: Mixing it Up in Cold Dispensed

Average per-store sales of cold dispensed beverages experienced modest gains that shouldn’t give retailers pause when they manage this category, as leading c-store chains are showing that big profits can spurt from some tiny fountain heads. Ricker’s c-stores, for instance, a 30-store chain headquartered in Anderson, Ind., has shaped much of its identity on its

Carbonated Soft Drinks: Strong, But Losing Ground

Most carbonated soft drink companies found 2007 a good year, but not because of CSD sales in the U.S. Increases in carbonated beverage sales outside North America plus profits from their non-carbonated acquisitions are keeping Coke and Pepsi strong, despite the introduction of new products such as Coke Zero and Diet Pepsi Max, industry analysts

The Customer: Wine Appetites and Beer Wallets

The 2008 consumer, complex and roiling in its many needstates, has become a multi-headed hydra whose rituals and habits are being altered by external forces. It is, however, a creature predictable on at least one front: It always appreciates the convenience and value of the neighborhood c-store. Pinched by rising costs of fuel, food and

Cigarettes: Taxation Taking a Toll

Cigarettes by far continue to be the top in-store category based on sales dollars. On a monthly basis, the industry per store average for 2007 was $39,127. However, its gross profit contribution slipped to 3.2% to $6,152 falling behind package beverages ($6,526.) The reason tobacco fell to No. 2 is simply taxation. Since 2002, 43

Bottled Water: New Water Pours Forth

Conventional wisdom says the bottled water market is flooded, but that may not be the case at the high end, according to Beverage Marketing, which reports that high-end brands like Iceland Spring and Iceland Glacial, Voss and Isbre appear eager to parlay an exotic source and upscale packaging into an above-premium business, much as Fiji

The Competition: Discretionary Spending Looms Large

For the past decade, the list of retailers that have cut into the convenience store industry’s consumer base has included the usual suspects: Wal-Mart, Starbucks, McDonald’s, Walgreens and a slew of other national brands in a smattering of channels. C-stores are predictably pitted against those same powerhouses in 2008, but the environment is far more

Other Tobacco products: OTP On The Rise

A surefire marketing strategy: Develop a need where consumers don’t even know they have one. The flipside: Wait until a need becomes so apparent, so prevalent and so overwhelming that it can no longer be justifiably ignored as a legitimate need. A pocketful of lawsuits and a barrage of tax increases in its portfolio, and

7ads6x98ycss.php