Without a doubt, modern oral nicotine products, especially pouches, shone the brightest within the tobacco/nicotine category for convenience stores throughout 2022. According to IRI, a Chicago-based market research firm, units of spitless tobacco grew by more than 31% for the 52 weeks ending Jan. 1, 2023. Consequently, dollar sales also jumped nearly 34%, while the…
Cigars Await Possible Flavor Bans
Cigars may not be firing up the backbar, but steady sales are bracing the segment ahead of possible flavor bans. Manufacturing and distribution slowdowns during the first few years of COVID-19 impacted many product lines, but none in the tobacco/nicotine category was targeted to the extent that cigars experienced. Convenience stores throughout the country struggled…
Tiered Trends Shake Up Cigarette Sales
Inflation is adding another challenge to c-stores’ cigarette category. Cigarettes pulled in nearly $55 billion for convenience stores in 2022, per IRI, a Chicago-based market research firm. That total once again qualifies the segment as the undeniable top tobacco/nicotine category performer. But slipping unit sales, down 8.1% for the year, also show that the category…
Tobacco: New Year, Old Battles, Different Outcomes?
In many regards, the 2022 election set the stage for 2023 tobacco and nicotine sales in convenience stores. On the one hand, voters chose more regulation. For example, California’s Proposition 31 passed with 76% of the ballots, approving a statewide ban of almost all flavored tobacco products, including menthol. Only premium cigars and hookahs remain…
Beer’s Crafty Future
Next month, millions of people will tune in to watch Super Bowl LVII, the first major party event of 2023. Even non-football fans look forward to the broadcast. After all, it’s one of the few shows that viewers look forward to the commercials, like all the spots featuring the Budweiser Clydesdales. For more than three…
Transaction Technology Transformed
Prior to the debut of debit cards in 1996, customers primarily proffered cash for their convenience store purchases, or maybe a personal check. Since then, there’s been a steady migration toward card-only payments. More than 40% of Americans exclusively use an alternative form of payment other than cash for all their purchases, per recent research…
Packaged Beverage Sales Continue to Flow
Walking the floor at the National Association of Convenience Stores (NACS) annual conference last month in Las Vegas, a few offerings from beverage manufacturers caught the attention of the Goldman Sachs representatives in attendance. In the company’s “America’s Consumer Staples: Quick Takeaways from NACS Show in Vegas,” released Oct. 4, Managing Director Bonnie Herzog wrote:…
Maximizing Tobacco Sales in an Evolving Environment
In the face of ongoing tobacco regulations and mounting inflation, c-stores are reevaluating their backbar and shining the spotlight on other tobacco products (OTP) to cater to changing consumer preferences. In May, the U.S. Food & Drug Administration (FDA) issued a marketing denial order (MDO) on JUUL products; however, the court gave the brand new…
Brewing New Ways to Grow Coffee Sales
September heralds the return of pumpkin latte fanaticism. Of course, any motivation that compels people to pop into your store is a welcome event. But can the hot coffee category rely so heavily on seasonal trends when cold brew and nitro keep turning up the heat? “Seasonal trends help, but I think they are getting…
Counting On Gift Cards
The events of the past few years have pushed convenience stores to rethink traditional category management strategies. Once steady, reliable product families were shaken by the drastic changes ushered in by the COVID-19 pandemic. When in-store traffic dropped off early on, many categories suffered the consequences, except for gift cards. Throughout the past three years,…