A well-run program can help customers start the day with a smile and bring them back again and again. It can also anchor a breakfast program, serve as a profit center and prove a key point of differentiation—assuming it is done right. Doing it right means starting with top-quality products, having all the condiments and…
Lighting Upgrades Drive Operations Efficiencies
NOCO Express, with 35 c-stores throughout Buffalo and Rochester, N.Y., has been bringing its interior and exterior store lighting to the next level. In the three stores the chain has constructed over the last two years, NOCO has added compact fluorescent dimmable ceiling fixtures that are connected to a light-harvesting program. The buildings gain natural…
Cigarettes Continue to Draw Customers
Under fire now for more than a decade, cigarettes remain among the most important in-store categories in convenience stores. Cigarettes, along with other tobacco products (OTP), combined to account for 40.7% of in-store sales, according to the 2013 NACS State of the Industry Report. However, according to Information Resources Inc. (IRI), cigarette sales in the…
Smokeless Tobacco Still Dominates OTP
The smokeless tobacco category continued its upward trajectory in 2013 thanks to ongoing manufacturer promotions and a growing customer interest in alternative tobacco products to supplement their smoking habits. Manufacturers are capitalizing on the strong sales demand by introducing more products in an array of flavors. For the 52 weeks ended Jan. 20, 2014, the…
Optimism for RYO Tobacco
Roll-your-own (RYO) tobacco will continue to put convenience store operators to the test over the next couple of years—enduring the ongoing legislative assault on all tobacco products while continuing to carry it to provide greater variety and service to loyal consumers. “Roll-your-own tobacco is important for those retailers that are creating a ‘destination stop’ for…
E-Cigarette Sales Set to Surge in 2014
Even though e-cigarette category dollar sales started 2014 with slight deceleration, growth is expected to remain “robust” going forward, according to Wells Fargo Securities. The convenience store channel saw $45.2 million in sales over the four weeks ended Jan. 18, 2014, plus e-cigs accounted for another $12.4 million in national, cross-outlet markets. “This implies about…
Lighters Lead Tobacco Accessories
As turbulent as the tobacco business has been in recent years, accessories, such as lighters, have remained calm and consistent, if not a bright spot on the front counter for most convenience store chains. “This is one of the most profitable parts of the business,” said Tariq Khan, CEO of Sentar Oil Inc., a four-store…
Growing Cigar Sales
Not much has been predictable about the tobacco category over the past 18 months. Huge tax increases have renewed questions about just how much money smokers are willing to invest in their habit, and whether cigarette smokers would merely switch their nicotine fixes to other tobacco products, such as cigars. Amid the upheaval, the cigar…
Cultivating a Loyal Audience
Loyalty programs were once value-added perks. Today, consumers not only expect them, but they also demand good deals. Indeed, an attractive loyalty program can sway a consumer away from a competitor with lower gas prices. “Over the last 10 years, particularly the last three, loyalty programs are playing a large role,” said Pat Lewis, president…
Prepaid Cards Find Wide Appeal
Open loop, petroleum and in-store gift card sales were at $115 billion in 2012, according to Mercator Advisory Group, an independent organization that provides research and advisory services to the global payments and banking industries. This year, the category is expected to increase to $120 billion, then to $124 billion in 2014. And the growth…