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Industry Trends

Foodservice No. 1 Driver for C-store Stops

NACS Daily
February 28, 2018

NEW YORK CITY – Convenience stores should focus on foodservice, including healthy options, according to a new survey from AlixPartners, Chain Store Age reports. Foodservice (27%) came in first for what consumers bought at convenience stores, followed by packaged beverages (17%) and cigarettes (13%). Foodservice included prepared foods as well as hot, cold or frozen dispensed beverages.

Foodservice eating and purchase frequency has been increasing, with a compound annual growth rate of 13.2% since 2012. However, the survey recommended that retailers who offer more choices for breakfast, lunch and dinner will be best able to continue that growth. To that end, healthier foods will be necessary because 45.6% of consumers want “better for you” options.

Other findings from its Convenience-Store Consumer Survey include that factors going into stopping at a convenience store for a meal are location (21%), price (18%) and food quality (14%). However, older consumers favor location and convenience, while Gen X and millennials point to price and food quality as deciding factors.

Consumers also like convenience stores that offer in-store dining areas, drive-thru windows and delivery, as well as self-checkout, mobile coupons and mobile loyalty programs.

SAS meets the demands of a growing foodservice category.

SAS is continually adding new items and programs that help retailers build sales across all day parts. We are proud to be working with The Partnership for a Healthier America to bring to market healthy and delicious meal and snacking items.

Please check our weekly SAS New Item Packet for new convenience foods opportunities.

Source: NACS Daily and Chain Store Age

 


How Do You Take Your Coffee?

Technomic data reveals how c-store beverage menus are trending toward iced, cold brew and other specialty coffee drinks. Let’s take a look at some of today’s trends, and discover how retailers can benefit from offering them in their stores.

Iced Coffee

Consumer demand for iced coffee is growing. There has been a 57% year over year increase in the number of iced coffee items on c-store menus, according to Technomics menu monitor.

By simply maintaining one of these dispensed beverage machines and ordering easy to change refills, retailers can expand their coffee bar with minimal investment.

  • Java Creations Kona Iced Coffee by Goodwest in Salted Caramel, Mocha, or Vanilla (FOODSERVICE DISPENSED BEVERAGE)
  • International Delight Iced Coffee in Mocha or Vanilla (FOODSERVICE DISPENSED BEVERAGE)
  • Coffee-Mate Iced Coffee in Mocha or French Vanilla (FOODSERVICE DISPENSED BEVERAGE)

Cold Brew

Retail sales of cold brew have grown a whopping 580% from 2011 to 2016, according to Mintel. Cold brew sales are expected to grow another 149% by 2018, showing no signs of slowing down. At the retail level, cold brew sales saw their strongest growth last year.

Given the increase in ready to drink (RTD) cold brew options, as well as the minimal equipment needed to prepare the beverage, c-stores now have the opportunity to get into the cold brew game. With higher price points and profit margin potential, cold brew can easily help c-stores boost their beverage bottom lines.

  • Ready to Drink STOK Cold Brew Coffee in three varieties – Mocha, Vanilla and Black (13.8-ounce BOTTLES, RETAIL)
  • Java Creations by Goodwest, Cold Brew Black & Bold or Café Au Lait (FOODSERVICE DISPENSED BEVERAGE)
  • STOK Cold Brew Coffee*, in Mocha, Vanilla, and Coffee flavors (FOODSERVICE DISPENSED BEVERAGE) *currently only available for Indiana customers

Coffee Shots

A new player on the market are Forto Coffee Shots – made with super premium Organic & Fair-Trade Arabica beans that are cold brewed for 20 hours. Ready to drink, this 2-ounce double shot of organic coffee delivers 200mg of natural caffeine.

  • Forto Coffee Shots (Mocha, Vanilla, Hershey, or Pure Black)

Coffee Pouches

Grinds Coffee Pouches contain no nicotine and no tobacco, just small pouches of flavored coffee, packed with B-Vitamins for energy along with other important nutrients to keep you bright and alert throughout the day. Pop a pouch or two between the teeth and gums just like you would use smokeless tobacco and let the flavors brew. Each pouch is equal to ¼ cup of coffee, or approximately 20-25mg of caffeine.

  • Grinds Coffee Pouches, available in 8 flavors – black coffee, caramel, cinnamon, mint chocolate, mocha, peppermint, vanilla, and wintergreen.

 

Chewable Coffee

How about storing a chewable “cube” of coffee in your pocket to combat the mid-day slump? GoCubes combines the kick of coffee with the relaxation of green tea. Made with cold-brew coffee and premium ingredients, along with a pectin base for perfect texture and mouthfeel, each cube packs half a cup of coffee (50mg caffeine) into a single cube.

  • GoCubes Chewable Coffee cubes, available in Latte, Mocha, and Pure Drip