While frozen dispensed beverages are not a huge portion of the typical store’s overall sales, the product is proving to be quite profitable, thanks to a gross margin north of 50%. Although the slush-style drink was a c-store original, other retailers recognized its potential, and today, frozen beverages with a variety of names and logos…
A Taxing Time for Tobacco
Last year was truly a difficult time for tobacco. The State Children’s Health Insurance Program (SCHIP) increased tobacco taxes from a “modest” 158% increase on cigarettes up to a hideous 2,000 plus percentage increase on roll your own tobacco and small cigars. (RYO went from $1.10 per pound to $24.68 and small cigars went from…
Sweetening Candy Sales
Americans’ love affair with chocolate will never end. That said, sales of non-chocolate candy and gum are rising steadily, fueled by the economy and the search for innovative, flavorful new products. “Yes, people are right in calling this a strong category,” said Bill Singer, a principal in Singer’s Chevron Inc. in Walla Walla, Wash. “When…
Using ATMs to Drive Profits
For many years ATMs were nothing more than large boxes hiding in the corner of convenience stores across the country. Over the years, though, that strategy has evolved as in-store real estate became more valuable and marketers looked for every edge to attract new customers. As such, retailers these days are faced with three distinct…
All in the Family
In these difficult economic times it’s rewarding to meet successful businesses that are doing things the right way. It’s even more gratifying when these businesses are family owned and operated. Such is the case with High’s of Baltimore. There aren’t too many 82-year-old companies in this industry that I’m not familiar with, but I admit…
Breaking Down the PACT Act
Convenience store owners scored a major victory in March when the House and Senate passed the Prevent All Cigarette Trafficking (PACT) Act in a near unanimous vote, which forbids the U.S. Postal Service from delivering cigarettes directly to consumers. At presstime, President Obama was expected to sign the bill into law. The PACT Act aims…
Kum & Go Fights Interchange Fees
Kum & Go, L.C. has collected more than 40,000 signatures from customers wanting to control and reduce credit and debit card swipe (or interchange) fees put on customer transactions. The signatures were collected in one month from all Kum & Go stores as part of NACS’ Fight Swipe Fees petition drive. “Kum & Go joined…
Brothers at the Helm
Jimmy McCarthy III, vice president of sales and operations for Tom Thumb Food Stores, still remembers the Saturday morning his dad, Jim McCarthy Jr., owner and president of Tom Thumb, woke him up to begin his career in the convenience store industry. “He said, ‘wake up, you’re not going to sleep all day.’ I said,…
The Sky’s the Limit
Making your mark in the convenience store industry requires hard work, dedication, great people and outstanding service. Throw in three generations of family-owned leadership and a firm commitment to quality and value, and you’ll understand why High’s of Baltimore Inc. is among one of the most revered operators in its markets. “Our brand has been…
Social Networking Takes Retail by Storm
Speedy Personalized DealsChristianna Frizzell, customer relationship manager for Speedway SuperAmerica, said the best online responses will come from email blasts and text message campaigns if you know your demographic and keep contact timely and relevant. It can also be helpful to look at how customers are contacting you. For example, are they emailing or calling…
