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Good morning and happy Wednesday! Keeping your finger on the pulse of what’s happening in the convenience store world is more critical than ever. I dug through the headlines to bring you the 5 news items. I think you, as a busy owner or operator, absolutely need to be thinking about them. On Tuesday, we encountered a mix of challenges and opportunities. Let’s dive in to see how you can stay competitive. It’s important to determine what actions you should take to remain profitable.

1. Beer Sales Seeing a Bit of a Slowdown

So, the first thing that caught my eye was the report over at Brewbound about convenience store traffic slowing down in July, and with that, a deceleration in beer sales. Now, for many of us, the beer cooler is a significant draw and a consistent revenue generator. When those sales start to soften, it’s time to pay attention. This isn’t necessarily a sky-is-falling scenario, but it does signal a potential shift in consumer behavior or spending habits. Maybe people are tightening their belts a bit, opting for other beverage choices, or simply making fewer trips.

Why Should You Be Interested? Beer is often an impulse buy, and slower sales could indicate a broader trend of reduced foot traffic or a change in what customers are reaching for when they do come in. It directly impacts your bottom line and inventory management.

What You Should Be Doing:

• Analyze Your Sales Data: Take a close look at your beer sales trends over the past few months. Are specific segments or brands seeing a more significant dip? This will help you understand if it’s a category-wide issue or isolated to certain products.
• Evaluate Your Merchandising: Is your beer cooler layout still appealing and easy to navigate? Are you highlighting seasonal or promotional items effectively? Consider a refresh to recapture customer attention.
• Explore Alternatives: Are you maximizing sales in other beverage categories? Sodas, energy drinks, ready-to-drink cocktails, and even non-alcoholic options might be worth further emphasis if beer sales are lagging. Think about cross-promotions and bundled deals.
• Consider Local Events & Promotions: Tap into local events or create your own promotions to drive traffic. Tie-ins with sporting events or weekend specials can help boost beer sales.

More Information: You can read the full article here.

2. How the Grocery Landscape Impacts Your C-Store

Next up, I saw a thought-provoking piece on Grocery Dive. It looks at some of the big questions facing the grocery industry in 2025. Now, you might be thinking, “What does what’s happening in grocery stores have to do with my convenience store?” The answer, my friends, is “more than you might think.” We’re all competing for a share of the consumer’s wallet. Understanding the challenges and shifts in the grocery sector can provide valuable insights for your own strategy.

Why Should You Be Interested? Grocery stores are often a primary destination for many consumers. Shifts in their pricing strategies, product offerings, and consumer expectations can influence where and how your customers choose to spend their money. Understanding these dynamics can help you identify opportunities to differentiate and attract customers.

What You Should Be Doing:

• Monitor Grocery Competitors: Keep an eye on what the grocery stores in your area are doing. Are they expanding their grab-and-go options? Are they offering more prepared meals? How are their prices comparing to yours on staple items?
• Focus on Convenience and Speed: This is where we shine. Emphasize the speed and convenience your store offers for those quick trips and immediate needs that a larger grocery store can’t always match.
• Highlight Unique Offerings: Do you have a fantastic coffee program, a wider selection of snacks, or services like bill pay or lottery that grocery stores might not? Promote these differentiators.
• Consider Partnerships: Could you partner with local businesses or offer services that complement what grocery stores provide? Think about things like dry cleaning drop-off or local delivery options.

More Information: You can explore the grocery industry questions here.

3. The Buzz Around “Dirty Soda” Continues to Grow

Restaurant Dive highlighted the ongoing trend of “dirty soda,” with both Coca-Cola and PepsiCo jumping into the market. For those not familiar, dirty soda typically involves customizing soft drinks with flavored syrups, creamers, and fruit purees. What started as a regional phenomenon has clearly caught the attention of the big players.

Why Should You Be Interested? This trend presents a significant opportunity for convenience stores to tap into the demand for customized and indulgent beverages. It can drive traffic, increase basket size, and position your store as a destination for a unique treat.

What You Should Be Doing:

• Consider a Dirty Soda Station: If space and resources allow, install a dedicated area. This area will let customers customize their own sodas. Offer a variety of syrups, flavorings (like vanilla, cherry, coconut), creamers, and fruit options.
• Offer Signature Dirty Soda Creations: Create a menu of your own unique and appealing dirty soda combinations. Promote these on in-store signage and social media.
• Partner with Local Suppliers: Explore opportunities to source unique or locally made syrups and flavorings to further differentiate your offerings.
• Train Your Staff: Ensure your team is knowledgeable about dirty soda options and can make recommendations to customers. Friendly and helpful staff can enhance the customer experience and drive repeat business.

More Information: Learn more about the dirty soda trend here.

4. The Rise of Fourth-Tier Cigarettes

Convenience.org reported on the growing trend of consumers seeking value in the cigarette category, leading to increased interest in “fourth-tier” or deep-discount brands. In an environment where prices for many goods are rising, consumers are clearly looking for ways to save money where they can.

Why Should You Be Interested? This trend directly impacts your tobacco sales and inventory strategy. Ignoring the demand for value-priced cigarettes could lead customers to purchase these products elsewhere, potentially taking other business with them.

What You Should Be Doing:

• Review Your Tobacco Offerings: Ensure you are stocking a sufficient range of fourth-tier cigarette brands to meet customer demand. Don’t just focus on the premium and mid-tier options.
• Monitor Sales Trends: Track the sales of different cigarette tiers to understand which segments are growing and which might be declining in your store. Adjust your inventory accordingly.
• Consider Promotional Strategies: Explore opportunities to offer value on multi-pack purchases or bundle deals within the tobacco category (where regulations allow).
• Communicate with Your Suppliers: Stay informed about the availability and pricing of fourth-tier brands through your tobacco suppliers.

More Information: You can find more details on fourth-tier cigarettes here.

5. What Quick-Service Restaurants Have Planned for Fall

Finally, Convenience.org also took a look at what quick-service restaurants (QSRs) are gearing up for this fall. We are in the convenience store business. However, observing the strategies of QSRs can provide inspiration. It can also highlight potential consumer trends in foodservice. They often have significant marketing budgets and can influence consumer expectations.

Why Should You Be Interested? The foodservice segment within convenience stores is increasingly important. Understanding what QSRs are promoting can give you ideas for your own prepared food offerings and seasonal promotions.

What You Should Be Doing:

• Analyze QSR Fall Menus and Promotions: Observe the flavors and ingredients. Note the types of promotions that QSRs focus on for the fall season. Consider elements like pumpkin spice, comfort foods, and limited-time offers.
• Evaluate Your Own Foodservice Program: Can you incorporate any of these trends into your own prepared food offerings? Consider seasonal flavors for your coffee, pastries, or even grab-and-go meals.
• Promote Your Fall Offerings: Ensure your customers know about any new food items. Highlight the seasonal beverage offerings you have. Use clear signage and consider social media promotion.
• Focus on Quality and Convenience: Just like QSRs, your foodservice must prioritize high quality. It should also be convenient for customers on the go.

More Information: See what QSRs are planning for fall here.

The Bottom Line

There you have it, 5 key areas that should be on your radar this week. Navigate shifts in beverage preferences. Understand the broader retail landscape. Capitalize on emerging trends like dirty soda and the demand for value. Staying informed and proactive is the name of the game. Remember, this business is all about adapting and finding those little edges that keep your customers coming back.

Keep analyzing, keep innovating, and keep serving your communities. You’ve got this!