The5For

Hey C-Store Owners and Operators,

Let’s face it—industry headlines often feel like they’re written for the big chains with deep pockets. But at The5For.com, we know the real story: independent and small-chain owners are the lifeblood of convenience retail and the heartbeat of local communities. Our mission? To break down the biggest news and deliver practical, actionable insights that help you compete, grow, and thrive.

On May 23rd, 2025, several key stories emerged that might seem like distant corporate maneuvers. But trust me, understanding these shifts isn’t just “nice to know” – it’s absolutely crucial for your store’s growth, your operational compliance, and ultimately, your bottom line. Let’s break down what happened, why it matters specifically to you, and most importantly, the practical steps you can take starting today.

1. Beyond the Pump: Smart Marketing Lessons from Memorial Day

Memorial Day isn’t just about the unofficial start of summer; it’s the kick-off to peak road trip season, meaning more customers stopping at your store for fuel and snacks. This year, the industry giants pulled out all the stops, and their strategies offer valuable clues for your business.

What the Big Chains Did:

We saw major retailers like 7-Eleven and Love’s Travel Stops unleash aggressive fuel discounts, often paired with enticing in-store deals directly tied to their loyalty apps. 7-Eleven even rolled out new, nostalgic products, like a Blue Raspberry Slurpee-inspired Mini Melts flavor, to boost in-store sales. Meanwhile, Circle K added a powerful community touch, offering a deep fuel discount while donating 10% of the profits to a military children’s charity.

Why This Matters for Your Store:

You might not have a national marketing budget, but these trends show us what resonates with customers and where consumer expectations are heading.

• Digital Connection is Non-Negotiable: The reliance on apps and loyalty programs isn’t just about discounts; it’s about building direct relationships with customers, understanding their purchasing habits, and rewarding their loyalty. For you, this means converting those one-time visitors into repeat business.
• Experiences Drive Value: 7-Eleven’s product innovation proves that offering something unique and enjoyable can be as impactful as a price cut. In today’s competitive landscape, giving customers a memorable reason to choose your store over the competition is a powerful differentiator.
• Local Roots are Your Superpower: Circle K’s charitable campaign highlights that consumers increasingly want to support businesses that reflect their values. This is where your local store shines – you are part of the community, and aligning with local causes builds genuine goodwill and attracts a loyal customer base.

What You Can Do About It:

• Start Small with Digital Loyalty: Explore simple digital punch card apps or text message clubs. Focus on gathering customer emails or phone numbers to send exclusive offers. This builds a direct line to your best customers and encourages repeat visits.
• Craft Your Own “Experiences”: What makes your store unique? Could it be a locally sourced snack, a signature coffee blend, or a themed weekend? Even small touches can create a memorable experience.
• Embrace Local Causes: Partner with a local school, food pantry, or animal shelter. A small percentage of sales from a specific item, or a donation jar at the counter, can resonate deeply with your local customer base and differentiate you from the big guys.

Table 1: Memorial Day Promotions Overview (May 23, 2025)

Retailer Name	Type of Promotion	Specific Deals/Discounts	Eligibility/Mechanism	Duration	Additional Offerings/Notes
7-Eleven	Fuel Discount, Product Launch	15 cents off per gallon (10c doubled + 5c everyday)	7Rewards & ID.me members, 7Rewards app	Through end of May	New Mini Melts (Blue Raspberry Slurpee inspired), 7-Select Fusion Energy Rocket Pop
Love’s Travel Stops	Fuel Discount, In-Store BOGO	10 cents off gasoline, 15 cents off auto diesel; BOGO on select food/drinks	Love’s Connect app, AAA members can link account	May 22-27 (BOGO)	BOGO: Little Debbie, Hostess, Hershey, Love’s Chips, Love’s Water, Share a Coke
Circle K	Fuel Discount, CSR	40 cents off per gallon	All customers	May 22, 4:00 p.m. – 7:00 p.m.	10% of profits during promo donated to Children of Fallen Patriots Foundation

2. Local Impact: What M&A Activity Means for Your Neighborhood

Mergers and acquisitions (M&A) are a constant force, reshaping the retail landscape. While Poppy Markets buying 11 stores might seem like big business, these deals have very real implications for your local market.

What We Saw:

• Poppy Markets made a significant move by acquiring 11 convenience stores in California. This is a clear play for deeper market penetration in a specific region, which can intensify local competition.
• Separately, the Hames Corporation, a multi-generational family grocery business in Sitka, Alaska, including a convenience store and liquor store, was put up for sale. This highlights how succession planning in family-owned businesses can also drive M&A.

Why This Matters for You:

These M&A activities directly affect the competitive pressure you face. When a larger entity acquires stores nearby, they often bring more resources, new strategies, and potentially different pricing models.

• Increased Local Competition: Be prepared for new marketing pushes or operational changes from newly acquired stores in your area.
• Shifts in Supply Chains: New ownership might mean changes in local distribution or supplier relationships, which could indirectly affect your access or pricing.
• Future Opportunities: For some, this trend also means opportunities. If you’ve been considering selling, the market might be ripe with buyers looking to expand.

What You Can Do About It:

• Hyper-Local Monitoring: Keep an even closer eye on M&A news and local business listings. Understand who your new neighbors are and what their typical operating strategies might be.
• Double Down on Your Niche: As big chains get bigger, they often lose the ability to be nimble and hyper-focused. This is your advantage! Excel in unique product categories, offer unparalleled local customer service, or cater to specific community needs that larger players overlook.
• Proactive Succession Planning: If you’re a family-owned business, think ahead. Having a clear plan for your store’s future, whether it’s passing it down or selling, puts you in control and ensures a smooth transition when the time comes.

3. Navigating the E-Cigarette Minefield: FDA’s Stricter Stance

The FDA is not playing around when it comes to e-cigarettes, especially with the proliferation of unauthorized products and concerns about youth access. Recent events highlight a significant crackdown.

What Happened:

The FDA, working with U.S. Customs and Border Protection, seized nearly two million units of unauthorized e-cigarettes in Chicago, valued at an astonishing $33.8 million. These products, mainly from China, lacked the mandatory premarket authorization orders (PMTAs) required for legal sale in the U.S. The FDA isn’t stopping there – they’ve sent warnings to importers and issued over 800 warning letters to retailers for selling illegal products, along with civil money penalty complaints against hundreds of manufacturers and retailers.

Why This Matters for You:

This is a HUGE deal for every c-store owner. The FDA is actively policing the supply chain from the border inward, and ignorance is no longer an excuse.

• Massive Financial & Legal Risk: Stocking unauthorized e-cigarettes is like walking through a minefield. You face hefty fines, immediate product seizures (meaning lost inventory and revenue), and severe reputational damage.
• Supply Chain Diligence is Critical: You can’t just trust your distributor. The onus is on you to verify that every e-cigarette product on your shelf has the required FDA premarket authorization.
• Market Shift Coming: The primary target of these seizures has been flavored, disposable e-cigarettes. If your store relies heavily on these products, you must adjust your inventory and sales strategies quickly.

What You Need to Do About It:

• Fortify Your Compliance Protocols: Implement rigorous internal checks for all regulated products, especially e-cigarettes. Demand proof of PMTA status from your suppliers for every product.
• Intense Staff Training: Your team is your first line of defense. Provide ongoing training on product legality, identifying unauthorized products, and strict age verification.
• Proactively Adjust Inventory: As unauthorized products disappear, explore authorized alternatives or different nicotine delivery systems. Stay informed about the FDA’s approved list and adapt your offerings to remain compliant and competitive.

Table 2: FDA E-Cigarette Seizure Details (May 23, 2025)

Seizure Location	Estimated Retail Value	Number of Units Seized	Primary Origin Country	Key Reason for Seizure	Related Enforcement Actions	Date of Seizure Operation
Chicago	$33.8 million	Nearly 2 million	China	Lack of Premarket Authorization Orders (PMTAs)	24 import informational letters, 800+ warning letters to retailers, 87 manufacturer & 175+ retailer civil penalty complaints	February 2025
Miami (Previous)	Over $7 million	628,000	China	Lack of Premarket Authorization Orders (PMTAs)	(Part of broader enforcement)	January 2025

4. Fair Play? The FTC Drops the PepsiCo Lawsuit

The Robinson-Patman Act (RPA) is an old antitrust law designed to ensure fair competition by preventing suppliers from giving unfair price advantages to big chains. A recent development regarding a rare RPA lawsuit against PepsiCo Inc. offers some telling insights.

What Happened:

The Federal Trade Commission (FTC) had filed a lawsuit against PepsiCo, alleging they gave “side payments, such as discounts or services, to favored customers” – essentially, price discrimination. However, on May 23rd, 2025, the FTC unanimously voted to dismiss the complaint. A commissioner’s statement hinted that the case was a “losing battle”.

Why This Matters for You:

This dismissal, especially with the commissioner’s comments, sends a strong signal: proving price discrimination under the RPA remains incredibly difficult for the FTC.

• Potential for Uneven Playing Field: This outcome might inadvertently embolden large suppliers to continue offering preferential pricing or marketing support to big retail partners. This could make it even tougher for independent stores to compete on price or access the same level of marketing resources.
• Shift to Private Action: While the FTC might be less likely to intervene with the RPA, the “dismissal without prejudice” means private parties (like you, or your industry associations) can still bring lawsuits if you feel you’re being unfairly disadvantaged.

What You Can Do About It:

• Join Forces & Advocate: Strong industry associations (like NACS!) are your best bet for collective action. Work with them to advocate for clearer guidelines or alternative legislative updates if you see systemic unfair practices impacting small businesses.
• Know Your Rights (and Limits): While private litigation is an option, it’s often costly and resource-intensive for individual small businesses. Focus on building strong relationships with distributors and seeking out local advantages.
• Compete on Value, Not Just Price: If competing solely on price becomes an uphill battle, double down on what you can control: unique product offerings, exceptional customer service, a clean and welcoming store, and community engagement.

5. Spirits on the Rise: A Golden Opportunity for C-Stores

Beyond your traditional offerings, the spirits category is rapidly becoming a major growth engine for convenience stores. This isn’t just a trend; it’s a significant opportunity for your profit margins.

What Happened:

Despite liquor stores still dominating, convenience stores are the top performers in growth for spirits sales, driven by consumer demand for quick, “on-the-go options”. Ready-to-Drink (RTD) cocktails and agave spirits are leading the charge, with over 40% of all RTD purchases happening in c-stores. Small-format bottles (like 50-ml “nips”) are also top sellers. Successful brands like Surfside and High Noon are booming, with Surfside even benefiting from using beer wholesalers for distribution, which is ideal for limited c-store storage. Retailers like Casey’s and Grub Mart are investing in exclusive releases and dedicating significant space to spirits.

Why This Matters for You:

This is pure opportunity! Spirits offer higher profit margins than many other categories, and consumers are increasingly looking to convenience stores for their beverage alcohol needs.

• High-Margin Category: Spirits can significantly boost your overall profitability.
• Consumer Demand for Convenience: Your store is perfectly positioned to capture sales of RTDs and small-format spirits because you offer exactly what today’s on-the-go consumer wants: quick, single-serving options.
• Transform Your Store: By expanding and enhancing your spirits section, you can attract new customers and change the perception of your store from just a quick stop to a curated beverage destination.

What You Can Do About It:

• Prioritize RTDs & Small Formats: These are your best entry points into the spirits market. Dedicate prime shelf space to these growing segments.
• Optimize Distribution Relationships: Seek out distributors who can offer frequent, smaller deliveries – similar to how beer is distributed. This is crucial for managing limited storage and keeping popular items stocked.
• Elevate Your Merchandising: Don’t just stick spirits on a dusty shelf. Invest in dedicated shelving, eye-catching point-of-sale materials, and a well-lit, organized display. Consider curating a selection of premium or unique local spirits to draw in new customers.

Table 3: Spirits Category Growth Highlights in C-Stores (May 23, 2025)

Metric/Category	Details	Impact/Significance
C-store Share of Off-Premise Spirits Volume	12% (vs. Liquor stores 57%, Food outlets 21%)	Indicates significant growth potential despite smaller current share.
Leading Product Types	Ready-to-Drink (RTDs), Agave Spirits, Small Formats (50-ml “nips,” 375-ml)	Aligns with convenience and on-the-go consumer preferences; RTDs account for over 40% of c-store purchases.
Key Growth Drivers	Consumer demand for convenience, on-the-go options, higher profit margins for retailers.	Fundamental shift in consumer purchasing habits favoring accessibility.
Examples of Leading Brands	Surfside (4.7M cases, quadrupled sales), High Noon (nearing 25M cases, market leader).	Demonstrates successful brand strategies and market acceptance within the channel.
Example Retailer Strategies	Casey’s exclusive Buffalo Trace releases, Pride Stores’ focus on 50-ml “nips,” Grub Mart’s dedicated spirits space (650-1000 sq ft).	Shows proactive efforts by retailers to curate offerings and enhance merchandising.
Customer Behavior	Average shopper visits 3x/week (165M daily visits); c-stores becoming source for new beverages.	High traffic and evolving perception create fertile ground for spirits sales.

The Bottom Line: Your Store, Your Future

The news from May 23rd, 2025, isn’t just about what big chains are doing; it’s a blueprint for your success. The convenience retail world is constantly adapting, and as independent owners, your agility and connection to your community are your greatest strengths.

Here’s the simple truth: The stores that thrive will be those that embrace digital engagement, prioritize customer experience over just price, rigorously ensure compliance, understand their competitive landscape, and aren’t afraid to diversify into profitable new categories like spirits.

This isn’t about competing dollar-for-dollar with the giants. It’s about leveraging your unique position, understanding these broad trends, and applying them in smart, achievable ways that work for your business.

Remember: You have the local advantage. Use these insights to strengthen your store, build deeper customer relationships, and set yourself up for long-term success.

Works Cited:

1. Retailers Offer Memorial Day Deals | NACS, https://www.convenience.org/Media/Daily/2025/May/23/4-Retailers-Offer-Memorial-Day-Deals_Marketing
2. Summer-Themed Survey Offers Good News for Convenience Stores, https://www.cspdailynews.com/company-news/summer-themed-survey-offers-good-news-convenience-stores
3. Create Unique In-Store Experiences to Drive Convenience-Store …, http://www.cspdailynews.com/beverages/drive-convenience-store-traffic-unique-store-experiences
4. NACS Daily News, https://www.convenience.org/Media/Daily
5. FTC Drops PepsiCo Lawsuit | NACS, https://www.convenience.org/Media/Daily/2025/May/23/5-FTC-Drops-PepsiCo-Lawsuit_GR
6. FDA Seizes $33.8 Million Worth of Illegal E-Cigarettes | NACS, https://www.convenience.org/Media/Daily/2025/May/23/3-FDA-Seizes-33-Million-Worth-of-Illegal-E-C_GR
7. A Sitka grocery with a five-generation history goes on the market – KCAW, https://www.kcaw.org/2025/05/23/a-sitka-grocery-with-a-five-generation-history-goes-on-the-market/
8. C-Stores Emerge As Growth Channel For The Spirits Category …, https://www.shankennewsdaily.com/2025/05/23/37546/c-stores-emerge-as-growth-channel-for-the-spirits-category/