Lenny Smith, VP and general manager of Crosby’s and Reid Stores, oversees development and execution of strategies and plans. He credits the fourth generation with leading a food-forward vision for the company.
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the CSD Group
EDITORIAL
VP EDITORIAL — FOOD, RETAIL & HOSPITALITY
Greg Sanders gsanders@wtwhmedia.com
EDITOR-IN-CHIEF
Erin Del Conte edelconte@wtwhmedia.com
SENIOR EDITOR Emily Boes eboes@wtwhmedia.com
ASSOCIATE EDITOR Zhane Isom zisom@wtwhmedia.com
ASSOCIATE EDITOR Kevin McIntyre kmcintyre@wtwhmedia.com
EDITOR EMERITUS John Lofstock
SALES TEAM
VP SALES — FOOD, RETAIL & HOSPITALITY
Lindsay Buck lbuck@wtwhmedia.com (774) 871-0067
KEY ACCOUNT MANAGER John Petersen jpetersen@wtwhmedia.com (216) 346-8790
SALES DIRECTOR Tony Bolla tbolla@wtwhmedia.com (773) 859-1107
SALES DIRECTOR Patrick McIntyre pmcintyre@wtwhmedia.com (216) 372-8112
Derek Gaskins, Senior VP, Merchandising/Procurement Yesway • Des Moines, Iowa
Joe Hamza, Chief Operating Officer Nouria Energy Corp. • Worcester, Mass.
Brent Mouton, President and CEO Hit-N-Run Food Stores • Lafayette, La.
Robin Hunt, Sales Hunt Brothers Pizza • Nashville, Tenn.
Kyle May, Director External Relations Reynolds Marketing Services Co. • Winston-Salem, N.C.
Steve Yawn, Director of Sales McLane Company Inc. • Temple, Texas
YOUNG EXECUTIVES ORGANIZATION (YEO) BOARD
Kalen Frese (Board Chairman), Director of Merchandising Warrenton Oil Inc. • Warrenton, Mo.
Jeff Carpenter, Director of Education and Training Cliff’s Local Market • Marcy, N.Y.
Megan Chmura, Director of Center Store GetGo • Pittsburgh
Ryan Faville, Director of Purchasing Stewart’s Shops Corp. • Saratoga Springs, N.Y.
Cole Fountain, Director of Merchandise Gate Petroleum Co. • Jacksonville, Fla.
Alex Garoutte, Director of Marketing The Kent Cos. Inc. • Midland, Texas
Editor’s Memo
For any questions about this issue or suggestions for future issues, please contact me at edelconte@wtwhmedia.com.
Emerging Leaders Shape Future Success
Next-generation leaders are pivotal in helping convenience store chains adapt to changing times.
While change can be hard, young leaders tend to bring fresh perspectives and open minds when it comes to embracing innovation and new approaches, which can be exactly what a c-store chain needs to position itself to thrive for decades to come.
Whether it’s adopting new technology, modernizing design, developing high-quality foodservice offerings, or expanding through new builds or acquisitions, adapting to industry shifts is essential for c-stores that aspire to continue growing through the generations.
The Reid Group/Crosby’s, featured in this month’s cover story, is now helmed by the fourth generation of the family business and is among a small minority of chains in today’s c-store market that have thrived through four generations of leadership and counting. What The Reid Group has done differently is embrace change and reinvent itself multiple times throughout its 102-year history.
The company transitioned from its initial focus on auto repair to embrace wholesale gas distribution and heating oil sales before expanding into the convenience store business, which later became a primary driver of growth.
Now, the fourth generation is focused on elevating the chain’s foodservice presence, adding new signage that highlights Crosby’s Pizza and Subs on store exteriors and positioning foodservice front and center in stores. Meanwhile, they’re remodeling and reimaging stores to modernize for tomorrow, while keeping pace with changing technology from a loyalty program and mobile app to order ahead and delivery.
Across the industry, I’m seeing more chains recognize the need to adapt to changing market conditions and proactively take steps to meet the moment. As you look to position your company for the future, remember to invest in your young executives, too, to ensure they are ready to contribute to your growth.
CALLING ALL YOUNG EXECUTIVES
CStore Decisions, in conjunction with NAG Convenience, has announced that the Young Executives Organization (YEO) Conference is back with a new name: CStore Momentum.
Hosted by Yesway, CStore Momentum 2024 will take place at the Texas Motor Speedway in Fort Worth, Texas, from Sept. 18–20.
The conference offers next-generation leaders and young executives an opportunity to learn about the industry through workshops, burning issue sessions and networking events with peers in the industry. Attendees will gain a behind-the-curtain look at Yesway’s operations and deep dive into topics like private label, customer engagement through loyalty, how large and small operators are succeeding with foodservice, and leadership and culture. Attendees must belong to a NAG-member company or be a 2023 40 Under 40 inductee. To learn more about the agenda, how to become a NAG member company, pricing or to register visit: https://cstoremomentum. com/pricing-registration/
Erin Del Conte
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QUICKBITES
CONSUMER SPENDING OUTLOOK
Consumers are being more cautious when it comes to spending money as inflation continues to impact their wallets.
SPENDING BEHAVIORS
Customers have been adjusting their spending habits and price pressures are starting to subside, making it easier for shoppers to make purchases they’ve been putting off, Circana pointed out. According to Circana:
• 40% of consumers purchased immediately because there was a discount offer instead of delaying.
• More than 8 in 10 consumers say they will buy a product now if the current price is a good deal compared to typical pricing; urgent need for a product ranked second.
• Amid all of these shifts, consumers aged 55 and older have consistently demonstrated their overall spending strength and continue to be the only age group to increase their spending on discretionary general merchandise.
• Average monthly spending among consumers aged 55 and older was up 4% in the first four months of 2024.
Source: Circana, June 2024
BUY NOW, PAY LATER
With the price of groceries still being impacted by inflation, consumers are relying on "buy now, pay later" methods to purchase these items. Per CivicScience:
• 29% of consumers who make less than $25,000 use "buy now, pay later" services for groceries.
• 23% of consumers who make $25,000-$50,000 use "buy now, pay later" services for groceries.
• 23% of consumers who make $50,000-$100,000 use "buy now, pay later" services for groceries.
• 18% of consumers who make over $100,000 use "buy now, pay later" services for groceries.
Source: CivicScience, June 2024
TRADING DOWN WHILE SPENDING
In order to save money while shopping, consumers are trading down with brands and more.
Consumers continued to trade down — but their behavior was more nuanced.
Source: McKinsey & Co.’s “ConsumerWise Global Sentiment” survey, May 2024
Share of respondents engaged in trade-down action, by type, %
Any trade-down action
Adjusted quantity or pack size
Changed retailers for lower price or discount
Delayed purchase
Changed brand for lower price or private label
Used "buy now, pay later" option
SAVING WITH MERCHANT APPS
Merchant apps have become very popular amongst consumers, as the apps allow them to save money and receive other spending perks. Based on Carat from Fiserv Q2 2024 Gift Card Gauge:
• Merchant apps are an important tool for consumers, as 71% indicated they have downloaded a merchant app.
• 69% of consumers use merchant apps to increase savings.
• 62% of consumers use merchant apps to increase opportunity for loyalty rewards.
• 39% of consumers use merchant apps to have access to past orders/preferences.
Carat from Fiserv Q2 2024 Gift Card Gauge, May 2024
CONSUMER SPENDING OVERVIEW
Consumers will continue to spend on items they need, despite inflation still being in effect. Based on recent data from Statista:
• The total consumer spending in the U.S. is forecast to amount to $19.56 trillion in 2024.
• The consumer spending per capita on food and non-alcoholic beverages in the U.S. is forecast to amount to $3,870 in 2024.
• The consumer spending per capita in the hospitality and restaurants sector in the U.S. is forecast to amount to $4,300 in 2024.
• The consumer spending per capita on alcohol in the U.S. is forecast to amount to $1,080
Source: Statista, May 2024
Source:
Pilot Company Named CSD’s 2024 Chain of the Year
The Knoxville, Tenn.-based chain stands out for operational excellence and a strong forward direction, focusing on continued modernization, innovation and a people-centric culture.
A CSD Staff Report
CStore Decisions is proud to announce Pilot Company (Pilot) as its 2024 Chain of the Year.
Pilot is taking a people-focused approach as it modernizes locations, embraces foodservice, incorporates new technology and creates an employee-centric culture. At the same time, it continues to build an electric vehicle (EV) charging network from coast to coast.
“CStore Decisions’ Chain of the Year Award recognizes retail excellence. From its $1 billion New
Horizons initiative to its people-centric focus, Pilot has earned a place among an elite list of chains as the 35th winner of this prestigious industry honor,” said Erin Del Conte, editor-in-chief of CStore Decisions. “As industry shifts force many chains to reevaluate the way forward, Pilot has been leading by example, working hard to modernize its network of stores for the future, innovating with technology, leaning into foodservice evolution, embracing EV charging and investing in its team members as it elevates the
employee experience at its stores.”
Founded in 1958, Pilot has grown to become one of the leading fuel suppliers and the largest operator of travel centers in North America. A wholly owned subsidiary of Berkshire Hathaway, Pilot’s travel center network includes nearly 900 locations across 44 states and five Canadian provinces.
In March 2022, Pilot announced its $1-plus billion New Horizons initiative to remodel and modernize up to 400 stores across its more than 680
company-owned and -operated locations. So far, the chain completed over 160 store remodels, with more than 200 expected to be completed by the end of this year. It opened nine new-to-industry sites in 2023 and plans to add 10 more in 2024.
The modernization initiative has included bringing foodservice front and center, adding kitchens and expanding Pilot’s signature fresh deli menu. In addition to quickservice restaurants, Pilot continues to expand its fresh deli options with feature programs such as pizza, wings, homestyle meals and graband-go food. The chain also invests in new technology and equipment and develops programs, policies and practices supporting its peoplefirst culture.
Innovation has always been a strong part of Pilot’s culture. It continues to introduce assisted self-checkout options to new and remodeled locations and is rolling out third-party delivery across its fleet of stores. It has been refreshing its forecourts with the latest dispenser technology. On the backend, the chain has been busy simplifying systems and automating tasks while rolling out new tablets and handhelds for its team members. Pilot also features the myRewards Plus app to help guests navigate their Pilot experience.
Pilot serves more than 1.2 million guests per day with help from its 30,000 team members. In 2022, the company began elevating its rewards and recognition program and benefits offerings to make the employee experience best in class. Pilot introduced an updated onboarding program to provide more consistency for incoming team members. In 2023, it launched the Fueling Recognition program, an employee engagement tool that includes in-app points awarded for great work, milestones,
etc. As Pilot remodels stores, it’s also upgrading and expanding breakrooms and workspaces to better suit team members.
Pilot is also committed to building an EV charging network across the country from coast to coast, leveraging its vast nationwide footprint. It is in the process of installing 350-kilowatt EV fast chargers at up to 500 locations in partnership with General Motors.
And those are just some of the many ways Pilot is reinventing itself for tomorrow.
As Pilot prepares for future growth, it welcomed new CEO Adam Wright in May 2023. Wright has over two decades of experience as a leader in the energy sector and brings expertise in strategic planning and operational excellence to help lead Pilot into the future.
“We are humbled and honored to be recognized as Chain of the Year by CStore Decisions,” said Adam Wright, CEO of Pilot. “This award reflects our team members’ hard work and dedication to serve our customers, guests and each other. We’re committed to being the leading energy and experience provider people can rely on to fuel their journeys and meet their needs every time they stop with us.”
Retailers are invited to join us in honoring Pilot on the evening of Oct. 8 at the Strat in Las Vegas during the NACS Show. Retailers can RSVP at: Cstoredecisions. com/24COY.
Supplier companies must be sponsors to attend. Suppliers interested in sponsorship opportunities should contact Lindsay Buck, VP of sales, at lbuck@wtwhmedia.com.
ABOUT THE CHAIN OF THE YEAR AWARD
CStore Decisions’ Chain of the Year Award annually honors a
convenience store, travel center or petroleum chain that has established itself as a superior retailer and innovator in the industry. CStore Decisions’ first Chain of the Year Award was Wawa Inc. in 1990. Pilot follows the 2023 Chain of the Year winner TXB. Past winners of this prestigious award include Sheetz, Maverik, RaceTrac, 7-Eleven Inc., Kwik Trip, Alimentation Couche-Tard, QuikTrip, Rutter’s and Family Express.
PAST CHAIN OF THE YEAR WINNERS
1990 — Wawa Inc.
1991 — SuperAmerica
1992 — QuikTrip Corp.
1993 — Casey’s General Stores Inc.
1994 — Sheetz Inc.
1995 — Diamond Shamrock Corp.
1996 — MAPCO Express
1997 — Speedway Inc.
1998 — Krause Gentle Corp.
1999 — Dairy Mart Inc.
2000 — Amerada Hess Corp.
2001 — Huck’s Food & Fuel
2002 — Petro-Canada
2003 — Exxon Mobil Corp.
2004 — Kwik Trip Inc.
2005 — 7-Eleven Inc.
2006 — Valero Inc.
2007 — Alimentation Couche-Tard
2008 — Chevron Inc.
2009 — Nice N Easy Grocery Shoppes
2010 — Rutter’s Farm Stores
2011 — Thorntons Inc.
2012 — Tedeschi Food Shops
2013 — Maverik Inc.
2014 — RaceTrac Petroleum Inc.
2015 — Family Express Corp.
2016 — QuickChek Corp.
2017 — Sheetz Inc. (Second Award)
2018 — Kwik Trip Inc. (Second Award)
2019 — Weigel’s Inc.
2020 — Parker’s
2021 — Yesway
2022 — Nouria
2023 — TXB
2024 — Pilot
Fourth Generation Leads Crosby’s Transformation
Crosby’s is modernizing with updated branding, remodels and a focus on foodservice to drive growth.
Erin Del Conte • Editor-in-Chief
With the fourth generation of the Reid family at the helm, Crosby’s is in growth mode as it reimages stores with a new logo and color scheme and redesigns sites to bring its Crosby’s Pizza and Subs foodservice program front and center.
Today, Crosby’s operates 88 stores in New York and Pennsylvania. Headquartered in Lockport, N.Y., its
parent company, The Reid Group, is celebrating 102 years in business. Steve Reid, president of Reid Stores dba Crosby’s; his sister Meredith Harris, president of Reid Cos.; and her husband Alexander Harris, president of Reid Petroleum, represent the fourth generation of the company and now hold the reins as they lead the business into the next decade and beyond.
There aren’t many c-store chains that thrive through four generations of leadership and more than a century in business, but The Reid Group has consistently adapted as the landscape has shifted, growing from its early focus on auto repair to wholesale gas distribution and heating oil sales to convenience stores. Now, the chain is once again adapting to a shifting market, embracing
a food-focused future, with an eye on store design and technological advancement, including a mobile app and loyalty program, order ahead, and delivery.
FOUR GENERATIONS
Crosby’s can trace its roots back to 1922.
“My great grandfather, James Ward Reid Sr., started the company,” noted Steve Reid. “He was a trained machinist, as was his father, who came over here from Scotland in the 1860s after the Civil War.”
Reid Sr. worked for Sterling’s marine engine plant in Buffalo, N.Y., making engines for naval vessels and other ships.
“He was well established in his trade, but he saw an opportunity with the advent of automobiles,” Reid said.
Reid Sr. put his machinist and mechanic skillset to work and opened a small service station in Lockport, N.Y., focused on vehicle repair. In the 1920s, he invested in gas pumps after receiving a visit from a Standard Oil salesman and began selling Esso-branded gas, beginning what became a 95-year relationship with Exxon Mobil. From there, Reid Sr. continued opening additional service stations around the Lockport area featuring auto repair, tire sales and gasoline.
“After the end of the Second World War, my grandfather, J. Ward Reid, Jr. came back from Europe, went to college, and started a hotdog stand and a custard stand (before joining the family business),” Reid said.
Under Reid Jr.’s leadership, in the 1960s, the company formed
Reid Petroleum Corp. to operate the service station business, which had grown to 16 stations. In 1972, Reid opened its first self-service convenience store and fueling outlet. The company began transitioning away from the traditional service-station model and toward a retail-fuel model, which involved buying convenience store properties, leasing them to third parties and supplying fuel.
Reid Petroleum was also involved in the HVAC (heating, ventilation and air conditioning) business and heating oil business for a time during the 1950s to the 1980s.
Reid Jr.’s son, Paul Reid — Steve Reid’s father — who serves as executive chairman today, joined the business in the 1970s and was responsible for streamlining and modernizing the company’s
operations in the 80s and early 90s, positioning it as a major player in retail and wholesale fuel transportation in western and central New York from the mid1990s onward.
“In the late 90s we made a strategic decision as an organization, that if we were going to continue to be competitive within a retail fuel landscape, we needed to control our own convenience stores,” explained Reid. “We wanted to make sure that we were in a position to control our destiny, and the best way to do that was to get into the convenience store business directly.”
In early 2002, the company set its plans in motion by purchasing K&K Food Mart stores.
“We knew when we got into the c-store business that it wasn’t going to be just another c-store with cold drinks and roller dogs,” Reid said. “We wanted to make sure there was a foodservice component and that it was a food-forward-focused c-store chain. … K&K was a very foodfocused chain at that time.”
Kevin Noon, president of K&K Mart from 2002 to 2005, who Reid called the father of Crosby’s pizza program, helped develop the core of Crosby’s foodservice program today.
In 2004, Reid Petroleum acquired Crosby Dairy Mart stores, and Reid Stores was established as the retail arm of the company. The company felt that Crosby’s was a valuable brand that was well positioned in parts of southern New York and northwest Pennsylvania, where Reid Stores was looking to expand. In 2006, the company unified its fleet of stores under the Crosby’s banner. Crosby’s acquired Erie Petroleum in 2010 and MWS Enterprises in 2017, which doubled the chain’s footprint from 40 stores to more than 80. Paul Reid helmed the business during this time as president and CEO from 1986-2006 and CEO from 2007-2021.
“Paul Quebral (PQ) was the president from 2006 to 2024, and my father and PQ were instrumental in the strategic decision to enter the c-store space,” Reid said. “PQ has been the only non-family member
who has served as president of the organization in our 102-year history and was a vital part of the Reid/ Crosby’s executive team for the last 25 years.”
Today, the fourth generation continues to eye expansion, whether through new-to-industry builds, raising and rebuilding existing sites, or through acquisitions. In the last two years, Crosby’s acquired a store in Spencer, N.Y., and a second site in Amherst, N.Y., and converted several previously owned sites to the Crosby’s brand.
Reid credits his family’s values, work ethic and requirement that each generation learn the business from the bottom up with helping the business prosper for over a century.
“I think the most important piece on behalf of my grandfather — and that has stayed true to our family over the years — is the adage ‘work first, play later,’” Reid said.
Steve Reid first started working for the company in 1998 when he was 14 years old, first mowing lawns before working his way up into
As Crosby’s remodels stores, it’s upgrading its coffee section with bean-to-cup coffee equipment and adding ice coffee, a fountain program, standalone craft beer cases and beer caves.
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construction and maintenance.
“I did environmental inspections, tank work, concrete pouring and fire suppression work, and so I spent a lot of time in the field over the years, and a lot of it was focused on developing a work ethic, but also learning the business from the ground up,” he explained. “So you’re not going to just start at the top, you’re going to have to understand the intricacies and how this business works and how it functions in the field. … Because if you don’t have a full appreciation for how this business actually works, what actually drives the business and how things get done, there’d be no way you could manage it.”
Reid’s father had a similar entry into the business, driving transport trucks through college, and his grandfather helped at the service station when he was growing up.
Reid noted his family has found a lot of benefits to operating a family-owned business. “Not a lot of families can say that, and we were very fortunate.”
The fourth generation today is continuing to evolve the business with the food-forward vision of Crosby’s Pizza and Subs.
“In the past year we went through
a transformation of our logo; we’ve changed our colors from a burgundy and blue to a brighter red and changed the hue of the blue to overall give a brighter color in the stores and also on the street. And we’ve introduced (the name) Crosby’s Pizza and Subs,” said Lenny Smith, vice president and general manager of Crosby’s and Reid Stores, who joined the company in 2021, overseeing the development and execution of strategies and plans within the organization.
The exteriors of the c-stores are now branded with “Crosby’s Pizza and Subs” to highlight the foodservice offering within the stores.
“This is really the fourth generation of the family — Steve, Meredith and Alex — embracing that what’s going to set us apart as we continue to move into the fifth generation is that pizza and sub sandwich program and additional offerings, instead of just the traditional c-store selection,” Smith said. “So they’ve been a big force in growing the overall food business.”
REFRESHING LOCATIONS
Crosby’s celebrated its latest grand reopening of a remodeled Albion, N.Y., location on June 28.
Lenny Smith, vice president and general manager of Crosby’s and Reid Stores, oversees development and execution of strategies and plans for the organization. Before joining Crosby’s he spent 25 years with western New York grocery chain Tops Markets, where he oversaw the analytical department. Smith has played a key role in helping Crosby’s develop effective data collection and management strategies.
Refreshing stores is a major priority as Crosby’s looks to the future. The chain is in the process of reimaging its entire fleet of stores, which includes updating colors to bring in brighter reds, painting, and upgrading décor and graphics. As part of the reimaging, each store will feature historical photos that showcase the market in which that store is located.
Crosby’s has plans to reimage 15 stores per year. The reimaging also includes updating the exterior signage on the building.
“Instead of just saying ‘Crosby’s’ on the outside, we’re putting additional outside signage that says ‘Crosby’s Pizza and Subs’ to alert customers to the foodservice offering inside,” Smith said.
Crosby’s is also repainting the outside of the buildings to reflect the new colors.
“Some of the stores will have a red and a blue stripe on it that matches our pump design. … The thought is that the forecourt is the welcoming experience to the inside of the store, and it’s one continuous journey from when you’re filling up to coming in. …” Smith said.
Beyond reimaging, the chain is also focused on remodeling stores,
which often includes moving the foodservice counter to the front of the store so when customers enter they walk into the pizza and sub production area, where they can now watch the food being made. It also includes updated graphics and messaging that highlight the chain’s foodservice offering.
“Our plan over the next four years is to have every single one of our stores either remodeled or reimaged,” Smith noted.
Crosby’s has also decided to add fountain programs to these remodeled locations.
“Now, if you go down South, everybody will be like, ‘Oh, what are you doing without fountain to begin with?’ Well, in New York, fountain is not as strong as what it is down South. But we are bringing in fountain, and we’re going after it full
force,” Smith said.
As part of this program, Crosby’s is focused on elevating a dispensed tea program and driving tea sales. It’s also focused on craft beer.
“We’re putting in standalone craft beer cases and really trying to focus on that local brew for that market,” he said.
In other words, stores near Rochester will feature different brews compared to stores near Buffalo, based on what’s popular locally.
Redesigned stores are also receiving beer caves, allowing more space for the beer category and a chance to increase variety and the craft presence. The beer cave exterior design features bubbles shaped like the letter C for Crosby’s. “We have seen a good increase in craft beer sales in these stores that we’re doing it in,” Smith said.
Crosby’s is also planning eight to 10 remodels per year. For the fiscal year November 2023 to November 2024, Crosby’s is on track to complete 11-12 remodels.
Having grown through acquisitions, Crosby’s stores measure anywhere from 1,700 square feet to 4,200 square feet.
“I would say, typically, a 4,200-square-foot store is probably where we’re going to be as we move forward,” Smith said.
In the past year, Crosby’s completely remodeled its Amherst, N.Y., store, taking it down to the four exterior walls and redesigning it. The revamped site reopened on Nov. 1, 2023. That store now serves as Crosby’s prototype for future remodels. The Amherst store features Crosby’s first-ever drive-through where customers can order pizza,
Crosby’s newly remodeled Amherst, N.Y., store reopened on Nov. 1, 2023, and serves as the chain’s prototype for future remodels. The site is the first to feature a drive-through where customers can order food and beverages.
breakfast, dispensed beverages and some packaged beverages.
“The goal is to drive foodservice sales,” Smith said. “For our first drive-through, it’s been a lot of learning, and we’ve had a lot of growth over the seven months or so that it’s been open now.”
Another Crosby’s location in Hamlin, N.Y., features a pickup window — which debuted two months ago — where customers can drive up to the window to collect their food.
“At that location we’re having some fun continuing to market to potentially a different customer,” Smith said.
FOOD-FOCUSED BUSINESS
Foodservice remains a major focus at Crosby’s. The chain features a proprietary breakfast program that includes breakfast pizza options, which are made on Crosby’s own dough.
“You can’t buy our dough anywhere else,” Smith said.
Its signature breakfast pizza includes a garlic-butter sauce; mozzarella and cheddar cheeses; scrambled eggs; and a choice of bacon, ham or sausage. Its Western Breakfast Pizza includes a garlicbutter sauce, mozzarella and cheddar cheeses, peppers, mushrooms, onions, scrambled eggs, and ham.
The breakfast menu also includes a range of breakfast sandwiches on different carriers, including muffins and croissants. Customers can also select from a range of sides.
During the lunch and dinner dayparts, Crosby’s offers several signature pizzas. One of its main fan-favorite pizzas is called the Mafia Pizza, which rolls out during the Buffalo Bills’ football season. The pizza includes Crosby’s signature mozzarella cheese, pepperoni, salami, capicola, sausage, mild banana peppers and buffalo sauce.
A portion of those sales benefits the Patricia Allen Fund at Oishei
Children’s Hospital. In 2024, Crosby’s donated $91,000 to the cause.
During March Madness, Crosby’s runs a contest where its customers can pick their favorite limited-time offering (LTO), and the winning pizza is brought back later in the year. This year the Chicken Ranch Buffalo Pizza won, and Crosby’s is in the process of reintroducing it to the menu.
Beyond pizza, customers can choose from a wide range of sub sandwiches, including turkey, ham, veggie, Philly Cheesesteak and meatball, just to name a few. Crosby’s also offers chicken wings and chicken bites. The latter was brought in as an LTO in 2023 and did so well it was added permanently to the menu.
For customers looking to grab and go, Crosby’s features its Fresh to Go cases that include salads, parfaits, fruit and healthier options.
Crosby’s also operates 12 Subways and three Tim Hortons — two at its c-stores and one standalone loca-
As Crosby’s reimages and remodels stores, it’s adding fresh signage that says “Crosby’s Pizza and Subs” to draw focus to its foodservice offering, which is now positioned front and center in remodeled stores.
tion. Additionally, it leases space to Dunkin’ at a couple sites.
Crosby’s embarked on a beanto-cup coffee pilot in three stores a year ago with good success. Now as it remodels stores, it’s replacing the coffee equipment with bean-tocup equipment. Currently about 11 stores feature bean-to-cup.
“It really is a great offering. It allows us to better offer that fresh cup of coffee,” Smith said.
Crosby’s is also rolling out an ice coffee program along with the bean-to-cup. “It really is helping us to expand our offering,” he added.
Stores featuring Tim Hortons or Dunkin’ don’t feature Crosby’s breakfast program or bean-to-cup coffee program.
TECHNOLOGY MINDED
As Crosby’s grows, it’s focused on integrating technology.
Before Smith joined Crosby’s he spent 25 years with a local grocery chain out of western New York,
called Tops Markets, where he oversaw the analytical department. Smith has played a key role in helping Crosby’s develop effective data collection and management strategies, positioning the convenience store chain for significant growth in the coming years.
Crosby’s introduced first-party delivery alongside mobile ordering three years ago and is now exploring the integration of third-party delivery platforms to further drive convenience for its customers.
The chain’s My Crosby’s Rewards app rolled out in 2020, and in addition to mobile ordering and delivery, it features deals and promotions. Through the rewards program, customers can earn points, save on purchases and redeem points for free items — such as a slice of pizza, a cup of coffee, a packaged beverage or breakfast sandwich — or cents off gas. Rewards members receive five cents off per gallon of gas every day and receive a free pizza offer on
their birthday. The loyalty program also features a Sub Club, where after a customer buys eight subs, they get one free.
Crosby’s is testing electric vehicle (EV) chargers at one location and plans to add EV chargers to some of its highway sites going forward.
LOOKING AHEAD
Looking ahead, Crosby’s is committed to growing both organically and through strategic acquisition, Smith said.
“Our goals are simple: We’re going to continue to exceed customer expectations every day, every time by offering the best food program and offering high-quality fuel,” Smith said.
When it comes to acquisitions, Smith noted, “We’re always looking
for that potential to growth mode.”
Crosby’s continues to stand by its slogan “Add a Smile to Your Day.”
“We’re in the people business of providing services to people. Adding that smile to the day of every customer that walks in is extremely important,” Smith noted, adding that the family leadership remains highly focused on finding ways to enhance the experience of its customers and associates.
One benefit that has served the Reid family throughout 102 years of evolution has been a strong sense of trust within the family, which is sure to help carry the chain into the future. That trust in your family members and fellow business partners is “extraordinarily important,” Reid said.
“It makes decisions much easier.
It makes delegating to one another easier because we can trust that someone’s going to make the right decision in the best interest of the organization — not for them individually, but for the organization and for the family,” Reid said.
Reid credited the whole Crosby’s and Reid Petroleum team for making Crosby’s what it is today from its store teams and office support to its transport drivers.
“We’ve had a lot of input from a lot of great people, a lot of talented people, over the years, and I think it’s important to recognize, because if it was just us (the family) trying to make this happen then we wouldn’t be where we are today,” Reid stated. “It’s all been possible — this past 102 years — because of their contributions.” CSD
on Smokeless Tobacco Trends
Smokeless tobacco products continue to be the main attraction in the tobacco category, and retailers are taking notice and rearranging their backbars to keep up with trends.
Zhane Isom • Associate Editor
With rules still pending for the proposed ban of menthol cigarettes and flavored cigars, as well as vape product legality causing convenience stores to remove products from the backbar, smokeless tobacco continues to be the ray of sunshine for the tobacco category.
Due to these regulations, consumers are beginning to look at smokeless tobacco, causing retailers to see an increase in sales and purchases for these items. The smokeless segment brought in $10.6 billion in dollar sales, a 14.7% increase for
the 52 weeks ending June 16, per Chicago-based market research firm Circana. Unit sales for the category also significantly increased by 10.7% for that same period.
“From the way we are trending with smokeless tobacco so far in 2024, we expect to end the year up 20%,” said Sean Bumgarner, vice president of Scrivener Oil Co., which has 12 Signal Food Stores in Missouri.
Scrivener Oil Co. is not the only c-store company seeing an influx of consumers buying smokeless tobacco products.
Nathan Arnold, director of marketing for Englefield Inc., operator
of 120 Duchess convenience stores throughout Ohio and West Virginia, mentioned that he expects the smokeless tobacco category in his stores to trend well for the remainder of 2024.
“We have seen some good growth in this category. When comparing to other types of tobacco, this has been an area of growth,” he said. “From data we can see of our customer base, growth has come from new customers but also some transitioning from a different tobacco category to smokeless.”
SMOKELESS TOBACCO RULES
As smokeless tobacco products continue to make great strides in convenience stores, spitless tobacco products, in particular,
have received much attention from these consumers.
For the 52 weeks ending June 16, spitless tobacco earned $3.67 billion in dollar sales, which resulted in a 65.7% increase, according to Circana. Spitless unit sales, too, have seen exponential growth, reaching 655 million, a 50% increase for the same time frame.
Aside from spitless, chewing tobacco alternatives have also seen growth in sales at convenience stores. These products brought in $18.6 million in dollar sales, resulting in a 55.1% increase for the 52 weeks ending June 16, noted Circana. Unit sales for the segment grew by 41.4%, reaching 3.62 million for the same period.
However, within these subcategories of smokeless tobacco, oral nicotine products, specifically nicotine pouches, remain a top pick amongst c-store consumers.
“The amount of nicotine in their pouches is something customers are considering when making a purchase,” said Arnold. “Customer preference in our market has been for higher-nicotine-strength items.”
Nonetheless, as smokeless proceeds to perform well, inflation still has an impact on consumers’ purchasing decisions and the way retailers offer these products.
“Our customers are demanding
Spitless Stands Out
Out of the many segments of smokeless tobacco, spitless tobacco takes the lead, reaching $3.67 billion, a 65.7% increase in dollar sales, and 655 million in unit sales, a 50% increase, for the 52 weeks ending June 16.
Source: Circana OmniMarket Convenience Outlet, Total U.S. Convenience data for the 52 weeks ending June 16, 2024
fair pricing and multiple-unit offers,” said Bumgarner. “We have offers for loyalty members and two-packs-forone offers as well.”
NAVIGATING THE BACKBAR
With the high demand for smokeless tobacco comes the tough decision of which products stay on the backbar and which go. Retailers are taking more time to evaluate what customers are buying behind the counter so they can rearrange products accordingly.
“Our challenges are the same as with other products that must be merchandised behind the counter,” explained Bumgarner. “How do we find space? We must be proactive and willing to discontinue slowermoving items in order to place newer, promising items.”
To make decisions easier regarding which products will stay at most Signal Food Stores, additional space has been added for smokeless tobacco products.
Duchess, too, continues to analyze its smokeless offerings and make changes as needed.
“Focusing on category blocking within the tobacco set has helped our customers and store team members find products quickly,” said
Arnold. “We updated our set to include a two-foot-wide vertical block of all our nicotine pouch brands.”
Retailers must also watch for state and federal regulatory updates for smokeless tobacco. For instance, ZYN continues to gain attention on the federal level.
“Senator Schumer and other federal officials have held press events over concerns. In the fall, the Annual National Youth Tobacco Survey will be released,” stated David Spross, executive director of the National Association of Tobacco Outlets. “Regulators will be looking at the youth usage numbers across all categories, but in particular, nicotine pouches.”
At the state level, no state has passed a ban on all flavored tobacco products, including smokeless tobacco, in 2024. States where legislation failed include New York, Vermont, Maine, Minnesota, Colorado, Hawaii and New Mexico. Flavor ban legislation remains pending in Michigan and Pennsylvania, as those states hold year-round sessions, according to Spross.
“A continued challenge in our market has been citywide flavor bans and the discussion of bans in additional communities,” added Arnold.
Smokeless tobacco demands are not looking to slow down any time soon, especially as more consumers gravitate toward these items while they await a menthol cigarette and flavored cigar ban.
Moving forward, convenience store retailers must keep their eyes and ears open for new trends and regulations and their backbars open and available for change. CSD
FAST FACTS:
• Spitless tobacco has been receiving a lot of attention. For the 52 weeks ending June 16, spitless increased 65.7% in dollar sales and 50% in unit sales, per Circana.
• Consumers are demanding more nicotine in pouches, affordable prices and multiple-unit offers.
• Smokeless tobacco continues to be a hit in c-stores, bringing in $10.6 billion in dollar sales, a 14.7% increase for the 52 weeks ending June 16, per Circana.
The Food Service One C-Store Swears By
Helping convenience stores remain competitive while fostering community engagement.
Bringing a nationally branded pizza program to smaller communities is a great return on investment for c-stores and a boost to entire towns. Hunt Brothers Pizza is the country’s leading convenience store pizza brand. W ith 9,500 locations across 32 states, it offers high-profit margins, easy operations, high-quality ingredients, and free marketing, all with no royalty fees.
Hunt Brothers Pizza is found in urban markets but is also popular in food desserts, where a convenience store might provide the area’s only hot food option. Determined by location and population density, gauged by gas gallon usage, convenience store success is a changing equation that must solve for many variables.
That’s certainly the case with Cenex Zip Trip, a chain of 39 c-stores, 28 throughout Montana, and the rest in Wyoming, North Dakota, South Dakota, Minnesota, Nebraska, and Colorado. Adding this pizza program to its fleet of c-stores since 2019 has allowed Cenex Zip Trip to cater to local preferences and adapt innovations with the spare time and ancillary sales Hunt Brothers Pizza generates.
“Even if your competitors are doing a full food service program, if you don’t do something, then you’re behind. [Hunt Brothers Pizza] offers us extremely high margins. Let’s say 65 percent margins on pizza. They’re making it financially beneficial for us. The program pays for itself quickly,”
Jon Fleck, merchandise manager for Cenex Zip Trip.
Fleck says shuttered larger chains have created an even greater demand for Hunt Brothers Pizza. The Red Lodge, MT, store, for instance, offers the only pizza in town. Conversely, in Billings, MT, with 100,000 of the total 1 million Montana population, Hunt Brothers Pizza competes even with McDonald’s and Dairy Queen right up the street.
Hunt Brothers Pizza’s fast turnaround operation allows existing staff to easily transition from task to task. “A year ago, 90 percent of our 39 stores were open 24 hours. Now, approximately 80 percent of our stores are closed on that graveyard shift, not for any other reason except we just can’t get anybody to work. We’re just that shorthanded,” Fleck says.
The simplified program delivers flash-frozen 12-inch dough, topped
with cheese and sauce. Choose from four meats and six veggies—one price for one or all 10— for a total of 1,024 combinations. Hunt Brothers Pizza offers thin or original crust, and made-to-order full pies or Hunk-aPizza quarter slice. “About 80 percent of the sales are in slices,” Fleck says. “We’re giving them a custom pizza opportunity without the time, effort, and cost that goes into other programs, and people in smaller markets can feel like they’re getting the big city deal,” Fleck says.
Hunt Brothers Pizza supports its partner c-stores at every turn to help give back to communities, from free tastings, pizza donations, and launch giveaways to sponsoring a NASCAR racecar. Fleck summarizes: “It’s all family-oriented, and a great opportunity to support our local communities and Hunt Brothers Pizza supports us 100 percent.”
says
Mastering Mobile Ordering
C-stores are applying online ordering, delivery and drive-through programs to their foodservice operations, using these means to entice new customers and increase efficiency.
Emily Boes • Senior Editor
With each passing year, consumers become more accustomed to increased convenience. Restaurants of all types are launching online ordering platforms, delivery programs and more to accommodate the demand for frictionless shopping, and convenience stores are no exception.
At Clifford Fuel’s Cliff’s Local Markets, customers have been able to go to the chain’s website to order food and general merchandise online for over a year.
It partners with Vroom Delivery, which hosts the online ordering platform, allowing customers to order for delivery or pickup. Cliff’s operates 21 locations, 19 of which have delivery and pickup capabilities.
“There are only a couple locations currently not offering our delivery/pickup option due to limitations on third-party delivery network strength,” said Jeff Carpenter, director of education and training for Cliff’s.
Cliff’s customizable foodservice selection features some of the most popular items ordered through its online ordering platform, such as pizza, wraps, subs and melts. With these menu items customers often also order add-ons, including chips, candy, soda or beer.
“Already coming from a food environment, our teams were used to fulfilling made-to-order pickup requests over the phone,” Carpenter said. “Preparing and executing digital pickup/delivery orders from a printed receipt in many cases was found to be more simplistic, as there was less to be potentially lost in communication or in the order process.”
Sheetz, too, with 720 c-stores in six states, offers online ordering for pickup and delivery and recently made upgrades to its delivery program.
Customers who order through the Sheetz app or website have a variety of options: appz, sidez, sandwiches, burgers, saladz, breakfast, pizza, Mexican, specialty drinks and more.
Through a partnership with DoorDash, customers can also purchase grocery items, snacks, candy, household items, and personal care and beauty products for delivery. Where permitted, tobacco is available for delivery.
In 2022, Sheetz launched alcohol delivery in Ohio and North Carolina. Virginia joined these states in 2023, and, most recently, Sheetz announced in July that alcohol delivery is available for Pennsylvania.
“We continually evaluate state and local regulations to determine what we can offer,” said Nick Ruffner, public relations manager at Sheetz.
To verify the ages of customers who order alcohol from Sheetz online, customers enter their information in the Sheetz app and answer personal identity questions. A third-party database will verify their identity, and DoorDash will verify they are of legal drinking age.
“On these deliveries, Dashers are required to scan the front of a customer’s ID with the DoorDash app to verify their identity prior to handing off and completing the delivery, ensuring alcohol is delivered to customers of legal age,” Ruffner continued. “By law, Dashers can’t deliver an order containing alcohol if the customer is underage in that jurisdiction, the customer ID is expired or the ID photo doesn’t match the customer collecting the order, or the customer appears to be intoxicated.”
LOOKING AHEAD
With 56% of customers seeing c-stores as options for food over quick-service restaurants (QSRs), an 11% increase over 2023, according to Intouch Insight’s “2024 C-store Trends” report, more c-store chains than not are at least considering flexible ordering methods.
Online ordering and delivery aren’t the only advancements in foodservice with which consumers are becoming accustomed, however. Drive-through, too, is no longer only a QSR staple; some c-store chains are looking into or already running successful drive-through operations.
Sheetz, although offering 21-plus-aged items for delivery, does not allow these items to be ordered online for in-store or curbside pickup. However, it’s currently testing offering these items for drive-through pickup, Ruffner noted.
GetGo Café + Market, with 266 stores in five states, opened its first new-to-industry store with a drivethrough in 2023 in Ohio. February of this year saw the chain’s first drive-through location in Pennsylvania.
Wawa, another large c-store chain, with 1,050 stores in eight states, has also begun expanding with drive-through.
That said, it’s not just chains with hundreds of stores experimenting with drive-through. Up-and-coming c-store chains have also implemented the service. Curby’s Express Market, for instance, with a location in Lubbock, Texas, and two more coming soon, included a drive-through with the opening of its first store. The drive-through lane splits into two depending on the customer’s order (smaller vs. larger orders) and is used for foodservice, beverage and convenience items.
As technology expands, so will online ordering, delivery and drive-through services.
“I feel this segment will continue to grow with c-store operators and become more personalized and frictionless,” said Carpenter.
Carpenter recommended others looking to create this type of platform ensure they’re operationally sound and that their teams can execute well.
“Ordering delivery is usually a decisive position — it’s just a matter of where it’s coming from … and you must have a presence to be considered,” Carpenter said. “These opportunities (can draw) customers that convenience operators historically were not able to capture. We know, as a result of feedback from our digital offering, that we have welcomed new customers that love our food. With this said, we feel we’ve also solidified our presence as not just a gas operation, but, in many cases, as the preferred local eatery.” CSD
FAST FACTS:
• Digital ordering can be more simplistic than taking orders over the phone, as less might be lost in communication.
• Age-verification software allows c-stores the potential to deliver 21-plus-aged items.
• Some c-stores have begun implementing drive-through at certain locations.
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Weckstein Elevates Foodservice at SunStop
From introducing new food offerings to implementing high-quality foodservice equipment, Michelle Weckstein continues to find innovative ways to improve SunStop’s foodservice program.
Zhane Isom • Associate Editor
Running a c-store foodservice program and developing a rotation of tasty food offerings that drive customer traffic requires a lot of hard work, dedication and creativity. It takes a special someone to spearhead new food items while overseeing staff to ensure every task is performed safely and properly.
CStore Decisions caught up with Michelle Weckstein, director of food service and beverage brands at Southwest Georgia Oil’s SunStop, which operates 81 locations throughout Georgia, Florida and Alabama, to learn more about how she is continuing to take SunStop’s foodservice program to the next level.
CStore Decisions (CSD): How long have you been the director of food service and beverage brands at SunStop convenience stores, and what attracted you to this position?
Michelle Weckstein (MW): I started my career as the director of food and beverage brands for Southwest Georgia Oil in 2017. I came to the company for the challenge to do something new and the opportunity to build a brand. The first challenge started with the conceptual design of a proprietary food program.
The company was positioned to open five new locations in 2018 in Florida, Georgia and Alabama, and they needed someone to create the menu and standard operating procedures for Eat’s Southern Cookin’. In addition to southern cuisine there was also a need for a made-to-order sandwich menu and a pizza program.
CSD: Tell me about your background in foodservice. How does it serve you in a c-store setting?
MW: My first career was in human resources in the restaurant industry. I specialized in restaurant recruiting, training and development before advancing to a director
Michelle Weckstein
level. Somewhere along the line I fell in love with backof-house foodservice operations. Although it was not part of my job description, I learned how to cook and expedite food in high-volume casual dining concepts. It was that hands-on experience that allowed me to create training programs, kitchen systems and best practices that were used to improve the financial performance of restaurant locations. I use these skills in the c-store industry every single day.
CSD:
foodservice for a convenience store platform?
MW:
try continues to evolve and grow, and I love that dynamic about our industry. There are so many quality companies that have pushed their food brand forward so that now c-stores are considered a destination for a good, quick meal or snack. My favorite thing about overseeing food service for a convenience store platform is teaching retail managers basic restaurant operations. It is very reward ing to see the light bulb come on when you show them how following recipe adherence, periodic automatic replacement levels, portion control and continuous sug gestive selling improves the foodservice category.
CSD:
What are some noteworthy meal options?
MW:
livers and gizzards. But our customers rave over our homemade meatloaf, baked fish, American goulash and chicken n dumplings.
We have recently expanded our menu to include flat breads and toasted hoagies in our new-format SunStop stores. We offer pepperoni flatbreads for guests looking for something traditional, but we also have a variety of more trendy options like Baja Chicken, Pesto Chicken and Chicken Bacon Ranch.
CSD: What do you wish you had known when you were first getting started in c-store foodservice?
CSD: Are you adding anything new to SunStop’s foodservice offerings?
MW: We introduce 12 new limited-time offers six times a year. In July, we introduced a new Hawaiian roll to our breakfast sandwich lineup. For lunch, we introduced the Southern Bird Dog, which features our jumbo, hand-breaded chicken tender drizzled with our famous Sunny Sauce.
CSD: In your opinion, what are some of the must-have kinds of equipment for a c-store foodservice program and why?
MW: We love our combi ovens. This oven is easy to program and even easier for our kitchen staff to use. We
MW: The resources are endless. There are an incredible number of resources for foodservice professionals in the convenience store space. In the beginning, I received a lot of guidance from food brokers and food manufacturers about trends in the industry and menu development. I had absolutely no idea that foodservice equipment manufacturer reps existed to support the end user. One of my biggest pain points seven years ago was learning how to use some of the equipment and understanding all the capabilities of the equipment we had purchased. These relationships have been crucially beneficial to myself as well as the rest of my food and beverage team. CSD
Finding Success as an Independent Operator
Independent c-store operators face challenges that larger chains may avoid, but finding creative solutions and leveraging the benefits of their size are keys for prosperity.
Emily Boes • Senior Editor
In a time when mergers and acquisitions are sweeping the convenience store landscape and, as a result, large companies are growing even larger, independent c-store operators must be savvier than ever to determine the best moves to make for their stores.
Retailers looking to add to their store count or enter the market for the first time need to be strategic about their process.
The question, Ray McIntosh, president of McIntosh Energy, which operates four MacFood Mart sites in Fort Wayne, Ind., said, is whether a retailer is looking to build a convenience store from the ground up or purchase an existing location from somebody else.
“If you’re going to buy bare ground and build, then obviously you’re talking millions of dollars of investment, so you’ve got to make sure the location is right demographically, traffic count-wise; you really can’t afford hitting less than a homerun,” he continued. “Now, if you’re acquiring another store, provided it’s a decent store, then your cost of entry could be less. … Make sure if you’re going to build to have one that can provide the cash flow that you need to pay the bills.”
SMALL-CHAIN PERKS
Whether independent retailers are looking to expand or maintain the status quo, their smaller footprint is advantageous in certain areas.
For example, upper management is able to work closely with employees.
“The personal attention we can give to our staff allows us to nurture their strengths and help them build from weaknesses,” said Kim King, owner, Go Time, which operates eight locations in Kentucky.
McIntosh Energy operates four MacFood Mart sites in Fort Wayne, Ind.
McIntosh agreed. He’s created a bond with his employees, and when they go to him, they know they’re speaking with ownership. “I know them, and they know me,” he said.
Additionally, running a smaller number of stores can allow c-store retailers to engage with customers more intently.
“There are a lot of rewarding factors about running our own stores. One of the most rewarding is seeing the impact our stores have on the communities we are part of and hearing the complementary stories we get from our customers. We love seeing growth and progress at all our locations, watching the business grow and be successful,” said King. Being a smaller chain allows Go Time to better
Each of Go Time’s sites are located in a different area, which means community needs are also different. Go Time provides each of its stores with distinct attention and a more personal touch.
cater to individual stores, too. With each site located in a different area, community needs are also different, and Go Time provides each store with distinct attention and a more personal touch, as opposed to implementing standardized plans that might not suit each store.
At MacFood Mart, an advantage to its size is that adjustments can be made in stores more quickly, if needed. Independent operators, McIntosh noted, can monitor vendor arrangements daily and make changes swiftly.
Babir Sultan, president of four-store chain FavTrip in Missouri, concurred that faster decisions can be made as an independent.
“If we like something (a corporate store) is doing,
it’s research and development (R&D) for us, and we can replicate that,” he said. “Where they take years to do R&D — something that’s working for us — we follow along; we just do it in a matter of weeks.”
OVERCOMING CHALLENGES
Being an independent c-store operator doesn’t come without its challenges, however.
“Our biggest challenge in some areas is brand recognition. All our locations are non-branded, and sometimes people are reluctant to switch to a brand they aren’t familiar with,” said King.
To combat this, Go Time focuses on its image as a small chain. Having clean stores with a modern look is important, and Go Time strives to keep its signs and graphics fresh and updated.
For MacFood Mart, as far as competition from other c-store chains goes, it isn’t feeling the pressure just yet.
“As of right now, I’m mainly dealing with local competition,” said McIntosh. “… I don’t feel that I can’t compete.”
However, one of the chain’s biggest challenges is
At MacFood Mart, an advantage to its size is that adjustments can be made more quickly, if needed. The c-store is also able to monitor vendor arrangements daily and make changes swiftly.
labor, which McIntosh attested is an issue for retailers of all sizes.
Sultan too, noted there could be days where the chain is overstaffed, allowing other problems to be handled, but there can also be days where there isn’t enough help.
“Any given day, I think you’ve got different challenges, whether it’s dealing with vendors, fuel supply. …” he continued. “You can never know what you’re going to see, but you’re just going to come up with a system and processes and try to tackle them accordingly.”
When it comes to vendors, independent operators might have to shop around, especially if pricing becomes an issue. Many chains have felt the effects of inflation in the past year.
FavTrip can’t always be tied into one vendor, Sultan explained, since that may be counterproductive to its goal to do what’s best for customers and employees. This also allowed the chain to be able to maneuver more quickly during the pandemic.
Despite these challenges and others, independent operators must be ready to invest time into the business. Time and consistency, King said, are crucial to being successful and keeping customers coming back. CSD
FAST FACTS:
• Independent operators can interact closely with employees and customers.
• Independent operators can pay better attention to individual stores and make decisions about them more quickly.
• Brand recognition and pricing can pose challenges for independent operators.
wednesday, september 18
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Retail Case Study: Yesway Overview and Outlook Derek Gaskins | Yesway
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John Matthews | Gray Cat Enterprises, Inc.
9:30 - 10:00 AM Networking Break
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Burning Issues Session: Grab QSR by the Horns: What Foodservice Competition Looks Like in Texas
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PRODUCT Showcase
Mystery-Flavored Milkshake
F’real has launched its new Mystery Flavor Milkshake. The limited-time offering promises an indulgent and nostalgic experience for consumers, inviting them to relive memories of visiting their favorite childhood ice cream shop with a fruity and familiar flavor that celebrates the heyday of summers past and present. F’real’s Mystery Flavor is available nationwide at select retailers for a suggested retail price of $3.99.
f’real Foods LLC www.freal.com
Limited-Edition Reese’s Cup
Delighting fans with its new limited-edition product, Reese’s Jumbo Cup offers fans more of what they love. This mega-sized treat is equivalent to four Reese’s King Size Cups in one while still maintaining the ratio of chocolate to peanut butter enthusiasts adore. Reese’s Jumbo Cups are available now at select retailers nationwide while supplies last.
The Hershey Co. www.thehersheycompany.com
Ranch-Flavored Crackers
This summer, Cheez-It is taking the ultimate flavor pairing to new heights with the first-ever Cheez-It Hidden Valley Ranch Crackers. Featuring the 100% real cheese-baked goodness that superfans know and love, this latest innovation balances the bold, zesty taste of Hidden Valley Ranch with the crunchy, cheddar Cheez-It flavor that will keep fans coming back for more. Superfans can now find the new Cheez-It Hidden Valley Ranch Crackers at retailers nationwide for a limited time.
www.kellanova.com
Chicken Breakfast Sausages
Under the Jimmy Dean brand, Tyson Foodservice has introduced a new range of chicken breakfast sausage products, available in both links and patties, including low-sodium options. Offering a natural and lower-fat alternative to traditional pork-based breakfast sausages, Jimmy Dean Fully-Cooked Chicken Breakfast Sausage is crafted with quality ingredients and the signature flavor customers love yet boasts 60% less fat per serving compared to U.S. Department of Agriculture fully cooked pork sausage. These new chicken breakfast sausage products align with evolving consumer demands and provide a guilt-free indulgence for breakfast enthusiasts.
Tyson Foodservice www.tysonfoodservice.com
IndustryPerspective
Negotiating Supply Contracts
C-store retailers need to know what they’re looking for when entering into a new supply contract, taking new trends, existing contracts and relationship standards into consideration at all times.
One of the most important facets of operating a c-store is determining which vendors to work with. As new products enter the market and vendors reach out, retailers need to decide where best to focus their time and money. It’s crucial to take careful consideration when negotiating supply contracts.
CStore Decisions reached out to Mario Spina, owner and CEO of The PRIDE Stores, which has 17 stores in Illinois and Indiana, to get his take on entering into new supplier contracts.
CStore Decisions (CSD): What factors do you consider when deciding to enter into a contract with a new supplier?
Mario Spina (MS): The most important items are necessity and profitability. Well over a dozen new suppliers reach out monthly to work with The PRIDE Stores, but we already have numerous long-term suppliers in our network. Convenience stores are receiving more “first to market” plus new/hot items, but some are from suppliers we do not currently work with. If it is determined that these items are necessary, we will bring in a new supplier if the pricing is in line.
CSD: Are there specific criteria or trends you look for when selecting new products?
MS: In short, no. We are seeing more and more customers wanting to try an item once, then move to the next new thing. In order to keep our customers engaged, we can’t follow one trend. We need to keep our fingers on the pulse of every single trend, from foodservice, to alcohol, to nicotine and now tetrahydrocannabinol (THC).
CSD: What qualities or attributes do you value most in supplier relationships?
MS: Pricing and service. We have great relationships with many suppliers that span over two decades, and as long as they can keep their service and price in line, we can work with the rest.
CSD: What are some typical terms and conditions included in your supply contracts?
MS: That’s quite a loaded question. Nothing is ever “typical” with supply contracts aside from they want (us) to commit to buying as much as possible, sell as much as possible through us and have the largest footprint in the store.
Mario Spina
CSD: How do you collaborate with suppliers on marketing and promotional activities?
MS: Every supplier is different.
CSD: What role does technology play in optimizing your supply chain operations?
MS: It has been a difficult conversation; many of our suppliers are now pushing us to use their software to place orders vs. utilizing their sales force. Some are great, while others are proving to be a difficult learning experience. When the product can’t get purchased properly, it can leave holes in the sets along with price fluctuations that both severely affect the bottom line.
CSD: What trends do you foresee impacting how you negotiate and manage supply contracts in the future?
MS: Everything has gotten a lot tighter — from marketing funds to margins.