Our Convenience Store Trends Report 2024 – Powering the Next Era of Convenience Store is finally here! This year, we aimed to address three primary questions:
- What motivates customers to visit convenience stores?
- How can C-Store leaders and operators encourage customers to spend more time in-store?
- How can they be turned into loyal customers?
To answer these questions, we analyzed data collected through consumer perception surveys as well as mystery shops and operational audits performed across the US.
This strategic approach has provided insights into the current landscape and emerging convenience store trends, guiding store operators on how to adapt and thrive in this evolving industry effectively.
The convenience store market is anticipated to grow annually by 5.6% until 2028. Are you ready to be part of this growth?
Charging Ahead: Future Fuels
Gasoline, not surprisingly, remains the predominant purchase at convenience stores, accounting for 62% of their overall sales.
However, the automotive fuel landscape is rapidly evolving, and C-store brands must adapt to capitalize on emerging opportunities.
The global market for electric vehicles (EVs) has seen explosive growth, with over 40 million EVs now registered worldwide—a more than sixfold increase since 2018. This shift towards alternate fuels presents both a challenge and an opportunity for C-stores.
As more consumers drive EVs, the convenience of having charging facilities will become a significant factor in their choice of retail locations. This can increase foot traffic and lead to additional sales in-store while customers wait for their vehicles to charge.
Fueling the Rise: C-Store Food Trends
As convenience store brands look to the future, new revenue streams are being explored, tested, and rolled out.
One significant trend reshaping the industry is the growth in food options. No longer limited to roller grill hotdogs and stale coffee, C-stores now offer restaurant-quality food, attracting a wider and more diverse customer base.
More than half of the consumers surveyed in our study believe that the made-to-order food available at C-stores provides good value for their money.
This positive perception highlights the shift towards higher quality, fresh, and customizable food options, which are becoming a staple in many C-store brands.
Another particularly successful strategy for attracting more customers in-store has been enhancing coffee offerings. Selling high-quality, specialty coffee can make C-stores a go-to destination for coffee lovers and boost foot traffic and customer loyalty.
The Future of Convenience Stores
The Rise of Retail Media
Retail Media Networks (RMNs) are a rising convenience store trend. It is also a potential new revenue source for petro-convenience chains that we have recently begun tracking.
According to Convenience Store News, RMNs are expected to generate a predicted $89 billion in revenue by 2026 through the sales of ad space to third-party brands.
Traditionally, RMNs have been focused on digital advertising. Still, in-store RMNs have grown in popularity among C-store brands, with some chains, like Wawa, Casey’s General Stores, and 7-Eleven, launching branded platforms, highlighting the potential of this revenue stream.
With significant daily foot traffic, C-stores are ideal for in-store advertising. RMNs enable convenience stores to monetize this traffic by selling ad space to brands that want to reach a similar audience.
When asked whether digital advertising displayed at a convenience store would impact the shopping experience, 35% of consumers said they had purchased an advertised product.
Contactless Experiences
We have seen the shift towards contactless experiences across various industries, including petro-convenience.
Customers are increasingly seeking control over their shopping experiences, which is driving the adoption of self-checkout and curbside pickup for online shopping.
Data shows that in 2022, two-thirds of millennial consumers in the United States chose curbside pickup when shopping online, highlighting the significant role of the younger demographic in shaping this trend.
46% of North American customers prefer self-checkout for its speed, employee interaction avoidance, and the ability to pack their own bags.
Tech, Personalization and Loyalty
Bringing new streams of income and standing out from the competitors is essential.
Still, operators also have to find a way not just to attract new customers but turn them into loyal brand advocates who will come back.
Mobile apps, which represent convenience and speed, offer a powerful tool for achieving this goal, creating a personalized connection with customers and offering opportunities to drive engagement, loyalty, and sales.
Prioritizing Cleanliness and Store Appearance
As the demand for ready-to-eat options at convenience stores rises, maintaining a spotless environment has also become essential.
The focus on cleanliness not only attracts customers but is also one of the top factors when it comes to choosing a convenience store over another.
By prioritizing cleanliness and store appearance, brands can create a more enjoyable shopping experience, encouraging longer visits and increasing the likelihood of repeat business.
Ready to dive into the full report?
DOWNLOAD THE CONVENIENCE STORE TRENDS REPORT 2024
Extracted in full from: https://www.intouchinsight.com/blog/top-trends-from-c-store-report/
