Convenience store operators know just how popular and profitable their health and beauty aids (HBA) section can be, but some remain confused over which types of products they should prioritize.
The answer? It depends — on a great many factors. Among them:
Competition: The decision about whether or not to stress HBA at all, let alone which segment of it, can change if the convenience store is located close to a supermarket or big-box retailer, which will almost always offer lower prices, bigger savings, more shelf space and a larger selection.
Time of year: During the summer vacation season, sunscreen, allergy medicines, deodorants and the like will obviously be in far greater demand. On the other hand, the winter months see a stronger consumer demand for cold remedies, analgesics, cough medicine and the like.
Location: Stores that are situated on highways and turnpikes would be wise to prioritize travel-sized products for road trippers on the way to distant locations with their luggage stowed on the roof or in the trunk. By the same token, stores located in vacation areas will need the types of products that tourists often forget to pack enough of, such as cotton swabs, toothbrushes and toothpaste, shampoo, shaving cream, and more. Proximity to elementary schools, colleges, construction sites or office buildings will also help determine the category’s emphasis, as each population has its own specific needs.
Private label: Convenience store retailers whose strategy includes emphasizing private-label products throughout the store — with the goal of maximizing value for the consumer — will want to adhere to it in HBA, as well.
Trends: Consumers love new and trendy items in all categories. Store managers who are attuned to their regular customers’ predilections will know if they have a taste for the new and trendy, and if so, should stock HBA to accommodate.
Statistics: Many operators manage their categories based solely on sales figures, and there is nothing at all wrong with that. For them, gross revenue and top margins will all but make the decision of which items to prioritize for them.
