Family-owned and independent c-store businesses are the backbone of the convenience store industry. But running a family-owned c-store chain and successfully integrating second-generation leadership into the company all while scaling the business isn’t for the faint of heart.
When the convenience store chain is family owned, the owners also have to find ways to separate family time from the business of running a convenience store. One key is to avoid discussing the business outside of work, unless absolutely necessary, shared Hassan Yatim, chief operating officer of Marlborough, Mass.-based Yatco convenience stores. Despite the challenges, building a c-store business and creating a legacy together as a family brings big rewards.
Yatco is featured as this month’s cover story. Tarek and Khadijeh Yatim co-founded Yatco in 1993 after immigrating to the U.S. to escape civil war in Sierra Leone, Africa. Today, their three sons, Hassan, Hussein and Mohamed, are active in the family business. What started as a single store has now grown to a 13-store chain with four new-to-industry stores on the horizon. Now, as Yatco celebrates its 30th anniversary, it’s looking ahead. The chain plans to double its store count through new builds and acquisitions, develop its franchising program and integrate mobile fueling, self-checkout, delivery and more.
This month’s profile article highlights another independent c-store chain, Big Mike’s, based in Lebanon, Ohio, which operates five stores and plans to grow its footprint. Despite its size, the independent c-store chain features a competitive offering with a proprietary foodservice program and drive-throughs. It’s also eyeing future opportunities in loyalty programs and delivery.
Meeting the Competition
Like Yatco and Big Mike’s, many family-owned and/or independent chains are increasingly taking their c-store operations to the next level to compete with larger chains that are setting the bar high. They’re launching initiatives that were once the exclusive domain of much larger chains, such as building new-to-industry stores with an emphasis on modern design, adding quality foodservice programs and integrating technology from loyalty apps and delivery to self-checkout. Bean-to-cup coffee machines are providing benefits in terms of waste, labor and convenience, even for small operators.
Still, as the c-store industry steps up to meet growing customer expectations, it can be hard for smaller chains to keep pace. From sourcing products to funding electric vehicle chargers to launching a foodservice operation, it’s a lot more expensive for smaller businesses to compete. But time and again family-owned and independent chains are stepping up to the plate, and many are finding success.
The National Association of Convenience Stores (NACS) during the 2023 NACS State of the Industry Summit reported that the c-store industry is 150,174 stores strong, having grown 1.5% in 2022. That growth came from an uptick in single-store operators, which grew by 1,087 sites for a total of 90,423 stores. Many of those c-store operators likely have their eye on growth much like the Yatims did when they began by opening their first site 30 years ago. With perseverance, due diligence and a focus on customer demands for convenience, independent and family-owned chains are building a bright future in today’s market.
