With temperatures dropping and convenience store retailers introducing their iterations of pumpkin-spiced offerings, one thing is clear — fall is upon us, and operators who are not leveraging products that match the season may be missing out on a crucial opportunity.
C-stores have long been known as hotspots for seasonal snacks, often the first stop for customers looking for a quick bite. The change in seasons, however, brings new consumer preferences, and retailers need to pay close attention to their data to ensure they are offering seasonal products that satisfy consumers’ cravings.
“Fall represents a few different shifts,” said Richard Perry, category manager at Worcester, Mass.-based Nouria, which operates 319 c-stores following its recent acquisition of Enmarket. “Changing seasons and cooler weather drive people to hot drinks or comfort snacks like chocolate and pastries.”
Perry also noted that Halloween is a significant sales driver, especially with regards to confection, as well as the football season, which drives snacking and foodservice purchases.
Cashing in on LTOs
To capitalize on this growing audience, Nouria has doubled down on its seasonal snacking efforts, largely within its My Nouria private-label pastry lines.
“We are just finishing up with our My Nouria blueberry coffee cake, which was a big hit with our guests,” said Perry. “We are very excited about the launch of our My Nouria pumpkin cinnamon bun, which we expect to be our biggest limited-time-only (LTO) launch yet.”
Nouria also has a Christmas-themed LTO slated for the end of the year.
For many of its LTOs, the chain works with its manufacturer partners to identify and shelve relevant products, such as pumpkin spice frozen dispensed beverages with Frazil and a pumpkin spice protein bar with Barebells.
Carmi, Ill.-based Huck’s, with 133 stores across Illinois, Indiana, Kentucky, Missouri and Tennessee, is also leveraging its relationships with manufacturers to introduce seasonal snacks.
Randy Adams, category manager/buyer for Martin & Bayley Inc., operator of Huck’s, noted that he has seen success from holiday items from Hershey, Mars and Mondelez but has scaled back the purchasing of seasonal products in recent years.
“I will always jump on Mondelez LTO Oreos. I will probably also do some LTOs around the World Cup,” said Adams.
Also on the seasonal front, Huck’s actively pursues LTOs that have been popularized through social media — a practice that has proven to be crucial for c-store retailers looking to attract a younger, more active consumer base.
“With the ‘Ozempic effect’ happening in the country right now, I think we’re all scrambling, looking for that next big thing,” Adams continued. “Dubai (chocolate) has been great, but that’s probably winding down.”
The aforementioned “Ozempic effect” refers to the growing number of health-conscious consumers who are seeking out nutritional snacks as opposed to indulgent ones, which is a trend that, while gaining steam and stealing some sales from c-stores, should not discourage retailers from stocking traditional favorites.
According to data from research firm Circana, sales of nutritional health value bars increased 9.5% compared to last year, while snacks like potato chips, cheese snacks, popcorn and crackers all took a slight dip, showing that customers are increasingly seeking out these healthier products from their local c-store.
Dry fruit snack sales, for example, notched a 2.5% increase in sales last year, while the historically popular tortilla chip segment saw a 1.5% dip.
Additionally, salted snacks and ready-to-eat popcorn decreased by 6.6% and 10.2%, respectively, signaling a shift in customer expectations and preferences.
However, salty snacks alone still account for $7.86 billion in sales throughout the convenience industry, whereas healthier items like health bars currently hover around $670 million.
The Future of Seasonal
It is now more important than ever to offer customers a well-thought-out, intentional product selection. And when it comes to autumn, apple and pumpkin remain the winning flavor profiles.
“Seasonality surrounding pumpkin or apple flavors drives a lot of LTOs in the industry,” said Perry. “Just look at the pumpkin spice profile that pops up everywhere or apple cider doughnuts. Reese’s or Snickers pumpkins are also always a big hit.”
With a winning lineup in place, then comes the question of marketing — how are you going to get customers into your stores to try your new products?
At Nouria, that’s where its loyalty program and social media accounts come into play.
“We are planning some fun posts teasing future flavors and products,” Perry continued. “We will often feature LTOs through our Freebie Friday program to give our guests a chance to try the newest flavor, get hooked on it and give them a reason to stop by again.”
Looking to the future, convenience store retailers can capitalize on seasonal trends by experimenting with new flavor profiles, monitoring their performance and making actionable plans that benefit the people in the communities in which they operate.
Extending this philosophy across all of the product segments will lead to not only a more satisfied customer base but also a greater return on investment for the retailer.
Nouria, for example, is already planning its seasonal offerings for the coming year.
“We plan on expanding this into other lines next year, including chocolate, mints and potentially salty snacks. We already have some flavor profiles in mind for spring, summer, fall and winter,” said Perry. “For example, the blueberry flavor resonated well this summer, so next year we may look to do something again or look at another similar flavor.”
Additionally, the chain is looking to take advantage of secondary holidays like Valentine’s Day, Mother’s Day, National Candy Day and more.
“There are some great products out there that we don’t normally see in c-store that we may take a swing at,” Perry concluded.
