The5For

Hey C-Store Operators!

Welcome back to The 5 For, your dose of the most interesting news impacting our industry. It’s Friday, May 9th, and we’ve got a great lineup of stories that touch on everything from digital engagement to what’s driving sales in aisles just like yours.

Staying informed is key in this fast-paced world, and these 5 items caught my eye yesterday as particularly relevant for anyone running a convenience store. So let’s dive in!

1. Minuteman’s App Refresh: A Digital Front Door

First up, we saw news about North Carolina-based retailer Minuteman Food Mart unveiling a redesigned app and a refreshed brand icon. Now, you might think, “Just an app update?” But this is more than just a fresh coat of paint. This move marks the start of a “refreshed era” for the company and its customers. In today’s market, your mobile app is increasingly becoming a primary way customers interact with your brand outside of the physical store. It’s your digital storefront, loyalty hub, and a direct line for promotions.

The updated Minuteman app includes an improved design and streamlined navigation. It offers new ways to access deals, redeem rewards, and stay updated on limited-time promotions. A Minuteman spokesperson confirmed the app features many promotions and deals, including limited-time offers exclusively for rewards members. They’ve even expanded to 14 members-only clubs, covering categories like beverages and share-size candy, where buying five or 10 of an item earns a free one. Customers can also earn coins on in-store purchases redeemable for freebies or applicable towards club rewards. This kind of specific value proposition can significantly boost customer engagement and drive repeat business.

Alongside the app, the new icon reflects Minuteman’s values of motion, reliability, and clarity and is part of a broader visual refresh. The icon will appear in the app, in stores, and in advertising materials. As Ed Bitondo, Minuteman’s vice president of convenience store operations, put it, “From the new icon to the improved app experience, we’re focused on enhancing how we serve our guests and move the brand forward”. Minuteman, which operates over 60 stores across North and South Carolina, joins other retailers like TXB and Onvo who have recently updated their apps to enhance loyalty programs and offers.

It’s a powerful reminder that investing in your digital presence is just as crucial as maintaining a clean and well-stocked store. Think about how your app (or lack thereof) is shaping your customer experience. Is it making it easier for them to choose you? Check it out here.

2. Report Highlights Key Trends Driving Convenience Retail Growth

A new report released today pointed towards key trends that are expected to fuel growth in the convenience retail sector. Specifically, the IGD Global Convenience Trends Report 2025 reveals significant changes ahead. While I don’t have the full report in front of me, it projects that global convenience retail sales will exceed $1 trillion by 2029, driven by a compound annual growth rate (CAGR) of 4.1%.

This growth is expected to be fueled by 5 key trends:

• Tech Evolution: Leveraging technology to adapt to changing shopper behaviors.
• Food Mission: Expanding convenience offerings to include dine-in, on-the-go, food for later, and drinks.
• Shifting Space: Efficiently reallocating store space to boost revenue and enhance the customer experience.
• Targeted Value: Evolving promotions and loyalty programs to be more personalized and targeted.
• Striving for Better: Making sustainability and health initiatives crucial for meeting consumer demands.

The report notes the convenience channel remains the third-largest modern trade channel but faces strong competition. It’s growing slightly slower than the global grocery market (4.1% vs 4.2%), leading to a small loss in market share, largely due to the faster growth of discount and online channels. Supermarkets with smaller formats are also increasing competition.

What does this mean for you on the ground? It likely reinforces what many of us are already seeing: a growing demand for fresh food options, the importance of a seamless shopping experience (both in-store and digital), and the need to cater to diverse customer needs. As Sneha Haria, IGD insights manager, said, convenience retail is evolving from quick transactions to smart, seamless experiences. To stay competitive, retailers must differentiate through enhanced in-store experiences, strategic space allocation, and value-driven promotions. Staying ahead means paying attention to these shifts and being willing to innovate your offerings and operations. Keep an eye out for more details on this report – understanding these trends is vital for planning your next move.

3. Private Label Brands Outpace National Brands in Sales

Here’s a trend that continues to gain momentum and one you should definitely be leveraging: private label brands are reportedly seeing sales growth that’s outpacing national brands. This is huge for convenience store operators! According to Numerator’s Private Label Perceptions analysis, in 2024, sales of private label store brands hit a record $271 billion, increasing $9 billion from 2023, and their dollar sales growth outpaced national brands, which grew 1%.

Why is this happening? Consumers are increasingly looking for value without sacrificing quality, and private label products often deliver on both. Prices play a significant role, with consumers on average paying over $2 more for a nationally branded product than for a private label product. This price gap has grown by a considerable 38% since 2019. Consumers primarily associate private label brands with being budget-friendly (65% of respondents).

For you, this means potentially higher margins compared to national brands, greater control over your product mix, and the ability to build customer loyalty around your own unique offerings. While consumers sometimes cite limited variety as a reason for not buying more private label, exploring expanding your private label selection, especially in high-traffic categories, is a smart move. We even saw news last month about BP launching its “EpicGoods” private label brand with over 50 products across its U.S. convenience banners. This trend clearly has momentum.

4. Murphy USA Shows Growth in Merchandise Categories

Murphy USA’s latest results highlighted growth in several merchandise categories. While their net income in Q1 2025 was lower than Q1 2024, which President and CEO Andrew Clyde noted was slightly short of internal expectations partly due to temporal factors, the business performed “admirably”. And here’s the good news for our side of the business: Merchandise contribution dollars for Q1 2025 increased 2.3% to $195.9 million, up from $191.6 million in Q1 2024. Average unit margins also saw a slight uptick.

Clyde specifically called out continued share gains in all nicotine and most center of store categories, including packaged beverages, candy, and general merchandise, as factors that should help drive results through the rest of the year. This is generally great news for the industry. It shows that despite economic pressures, consumers are still making those impulse buys and relying on c-stores for more than just fuel, especially in core merchandise areas.

This underscores the importance of a strong merchandise strategy. Are your shelves stocked with the right mix of products that appeal to your customer base? Are you effectively merchandising those high-margin items, like candy and packaged beverages? Murphy USA’s success here is a good indicator that focusing on your in-store offerings beyond fuel and basic necessities can significantly impact your bottom line. The company also plans to build up to 50 new stores and begin 30 raze-and-rebuilds, showing continued investment in their retail footprint. Read more here.

5. Sheetz Is The Only C-Store on List of America’s Most Innovative Companies

Finally, a tip of the hat to Sheetz, which was recognized today as the only c-store chain on Fortune and Statista’s list of America’s Most Innovative Companies. Sheetz has long been a leader in pushing the boundaries of what a convenience store can be, particularly with their foodservice and technology. They were selected based on three key pillars: product innovation, process innovation, and innovation culture.

Their inclusion on this list isn’t just about fancy gadgets; it’s about a culture of innovation and a willingness to experiment and evolve. Sheetz demonstrated this pioneering spirit by opening an office space in Pittsburgh in 2019 specifically focused on new lines of business, next-generation customer experience, and envisioning the future of convenience, doubling its size in 2023. They were also ahead of the curve in supporting electric vehicles, surpassing two million EV charging sessions in 2023. The evaluation for the list involved surveys of both employees and external experts.

For the rest of us, Sheetz serves as an inspiration. What aspects of your operation could benefit from a fresh perspective? How can you use technology to improve efficiency or the customer experience? Innovation doesn’t always mean a massive overhaul; sometimes, it’s the small, smart changes that make the biggest difference. Sheetz, operating over 760 stores, shows that even at scale, a focus on innovation culture pays off. See the story.