Convenience Store Decisions articles from May 2004

Convenience Store Decisions archives from May 2004

Shift the bull's eye.(Editor's Memo)
May 1, 2004... A peculiar news item found its way its to my desk the other day. It was one of those weird stories that gets passed around by e-mail, like the tale of the family that spent $800 on surgery to save the life of a pet hamster, only to take the...

Miller's time: retailers often retire as consultants. But Keith Miller, who heads Miller Consulting & Retail Development, remains active in his family's retail business.(Front End)
May 1, 2004... Keith Miller and Mel Gibson have a little something in common. Like the controversial actor-turned-director, Miller has assumed the title fide road warrior. Over the past year Miller has spent his share of nights away from home, logging...

Conversation starter: 7-Eleven's new Web-based tool opens communication lines with vendors and improves speed to market for new items.(Front End)
May 1, 2004... Retailers have come to expect the occasional supplier gripe about how this channel moves too slowly in responding to new product inquiries. But a recent complaint from a prospective business partner took 7-Eleven by surprise. Apparently, the...

Safety first: innovative safety tools help retailers prevent injuries--and their related costs--to employees and customers.(Front End)(Brief Article)
May 1, 2004... Perhaps no other worry keeps retailers awake at night more than a customer or employee getting injured on store property. Philadelphia-based Sunoco Inc., which operates 750 stores nationwide, has a new type of disposable utility knife--the...

Eating on-the-go on the rise.(Front End)(Brief Article)
May 1, 2004... The popularity of on-the-go foods is more about convenience than portability, as most consumers (72%) say they consume "on-the-run meals" in the home, according to a survey of 500 grocery shopping Americans, conducted online by professional...

CSD feedback.(Front End)(Letter to the Editor)
May 1, 2004... * I appreciated the Editor's Memo from Jay Gordon in the February 2004 issue of CSD. As a Christian I am challenged to live my faith all the time (work and home), but struggle to find the balance in how to live and share that faith at work....

All about broadband: a broadband-based DVR system helps MAPCO Express streamline operations--and make some new friends.(Front End)
May 1, 2004... Broadband capability and a new digital video recording system have given MAPCO Express division managers an alternative to late night TV. Together, the two components have also helped the company reduce shrink, enforce uniform and store...

Results-driven loyalty: Childers Oil is just getting started with a new tech-driven loyalty program. Another retailer has taken it to the next level.(Front End)
May 1, 2004... Childers Oil Co. thinks it might have an ace in its back pocket. The Whitesburg, KY-based chain has chosen Visible Results USA's revolutionary GraphiCard card technology and Customer Relationship Management (CRM) system as the base of a rewards...

King of the castle.(Trend Trakker)(Brief Article)
May 1, 2004... Convenience retailers can take some satisfaction in the fact that their channel remains the hands-down leader among all others in regard to cigarette volume. Convenience stores continue to grow their share of the total retail tobacco market,...

New York Association of Convenience Stores.(Decision Makers)(Brief Article)
May 1, 2004... Albert Smith, co-owner/operator of Shortstop Deli (Ithaca, NY), and Don Case, retired vice president of Paul de Lima Coffee Co., have been elected to the New York Association of Convenience Stores' Hall of Fame. Smith and his wife Cindy have...

Eddie R. Humphrey, chief financial and administrative officer for CITGO Petroleum Corp. (Tulsa, OK), has elected to retire effective the end of this month.(Decision Makers)(Appointments)(Brief Article)
May 1, 2004... Eddie R. Humphrey, chief financial and administrative officer for CITGO Petroleum Corp. (Tulsa, OK), has elected to retire effective the end of this month. Jerry Thompson, CITGO's chief operating officer, will act as interim CFO until the...

7-Eleven Inc.(Decision Makers)(Brief Article)
May 1, 2004... 7-Eleven Inc. (Dallas, TX) has elected R, Randolph "Randy" Devening to its board of directors. Before retiring as president, chairman and CEO of Foodbrands America in 2001, Devening was the vice chairman and chief financial officer of Fleming...

The Pinnacle Corp.(Decision Makers)(AppoiNTMENTS)
May 1, 2004... The Pinnacle Corp. has promoted Heather Killough to vice president of sales. Killough, who for the last three years has served Pinnacle as manager of business development, now leads Pinnacle's national sales team and sales-support marketing...

Don Rogers, president of Rogers Petroleum Inc. (Morristown, TN), who has played an active role in the Morristown community since coming to the town in 1980, has been nominated for the town's Junior Achievement Hall of Fame Award.(Retailer Spotlight)(Brief Article)
May 1, 2004... Don Rogers, president of Rogers Petroleum Inc. (Morristown, TN), who has played an active role in the Morristown community since coming to the town in 1980, has been nominated for the town's Junior Achievement Hall of Fame Award. Rogers...

Professional Datasolutions Inc.(Decision Makers)(Appointments)(Brief Article)
May 1, 2004... Professional Datasolutions Inc. (PDI) has added Jim Cornette as vice president of professional services. Before coming to PDI, Cornette worked in several management roles for Petro Stopping Centers, in various marketing and management roles for...

Sargento Foods Inc.(Decision Makers)(Brief Article)
May 1, 2004... Sargento Foods Inc. has promoted Bryan Birling to account sales manager, alternate channels, for the consumer products division. Birling will oversee customer relationships, broker management and overall sales management for the convenience...

One idea can make a difference.(ROI-deas)(National Convenience Store Advisory Group Conferences )
May 1, 2004... Retailers that attend National Convenience Store Advisory Group Conferences invariably take home at least one idea that covers the cost of their trip. At NCSAG's Spring Conference in Myrtle Beach, SC, they had plenty to choose from: *...

Cultivating growth: part grain marketer and food processor, fuel supplier CHS Inc. plans to grow its Cenex-branded retail network by 75% in the next five years.(Cover Story)
May 1, 2004... Krause Gentle Corp. doesn't mind going against the grain every once in a while. Last month Krause Gentle (W. Des Moines, IA), which operates 340 Kum & Go stores in 13 named CHS Inc. its 2003 Supplier of the Year. In years past the honor has...

Giant's big idea: Giant Stores makes a splash with a new candy and snack set, offering new choices to carb-conscious customers without cannibalizing existing sales.(Candy/Snacks)
May 1, 2004... In mid-April, customers found something a bit different by the coffee bar in about half of Giant Retail Stores Group's 125 convenience stores. The chain, a division of Giant Industries (Scottsdale, AZ), launched a new snack section featuring...

Sandwich spread: Danny & Clyde's is famous throughout Louisiana for its deli offer. Now it's getting ready to let other operators have a taste of that success.
May 1, 2004... For New Orleans-based Danny & Clyde's Food Store Inc., convenience retailing plays second fiddle to its foodservice business. "Most convenience stores approach the business as if gas and cigarettes are their top categories and, by the way,...

Tough choices: Worsley Cos. implemented a low-carb set in 100 of its Scotchman and Young's stores. In addition to low-carb items, the chain is seeing success with an old-time candy set.(Low-Carb Playbook)
May 1, 2004... Retailers are purveyors of choice, and Rich Mione knows it. At one end of 100 of his chain's Scotchman and Young's stores lies a low-carb set, and at the other lies the Memory Lane Candy Shoppe, a collection of candies and snack foods whose...

Self-starter: Zoomerz and its vice president of retail operations are committed to low-carb. The Tennessee chain launched a low-carb set in one store and plans to branch out.(Low-Carb Playbook)
May 1, 2004... Mitch Robinson has been following a low-carb lifestyle for a few months. By no great coincidence, one of his company's 11 Zoomerz stores just outside of Knoxville started offering a Low Carb Nutrition Center soon after he started cutting carbs...

Teaching low-carb: Steve Carlson's success with low-carb hinges on his store's ability to educate customers. After some initial "hiccups," his 1,700 sq. ft. store has done well.(Low-Carb Playbook)
May 1, 2004... For all the momentum the media buzz created for the low-carb movement, it also did a disservice to retailers and manufacturers. Much of the reported information was inaccurate, says Steve Carlson, owner/operator of Cravin' Low Garb, a 1,700 sq....

The lowdown: the FDA gets ready to crack down on carb-related issues, adding more heat to the low-carb debate.(Low-Carb Playbook)
May 1, 2004... Bubba, it appears, is trying to slim down. But even if he's not, convenience retailers have made great strides to at least give him the option. Convenience stores, restaurants, supermarkets and just about every other retail channel under the...

Low-carb dining.(New Low-Carb stuff!)
May 1, 2004... Quiznos Sub launches the next phase of Low-carb living: more than 20 Low Carb Toasty Flatbread sandwiches under 10 grams of net carbohydrates. This unique line of low carb sandwiches are prepared similarly to Quiznos' toasted sub sandwiches....

Sweet dreams.(New Low-Carb stuff!)
May 1, 2004... New Blue Bunny Carb Freedom Yogurt is a way for carb counters to reap the nutritional benefits of yogurt while watching their wastlines. Carb Freedom's four flavors--Strawberry, Raspberry, Peach and Vanilla Creme-are sure to please the palate....

Bar none.(New Low-Carb stuff!)
May 1, 2004... Think Thin Low Carb Diet Bars are available in nine delicious flavors including Peanut Butter, Chocolate Fudge and Brownie Crunch, and contain only two grams of net carbohydrates. Think Thin bars also come in a line of gourmet coffee flavors...

For calorie and carb counters.(New Low-Carb stuff!)
May 1, 2004... Coca-Cola Co. looks to capture more low-carb business with the launch of Coca-Cola C2. The soft drink will have half the sugar, carbohydrates and calories of regular colas. It will debut in the United States this summer and will be available in...

Low-carb lager.(New Low-Carb stuff!)
May 1, 2004... Coors Brewing Co. announces Aspen Edge, its super-premium, low-carb light lager, which is available in Delaware, New Jersey, New York, Pennsylvania, New Hampshire, Massachusetts, Vermont, Maryland, Virginia, Maine and Texas. Crafted from a...

Sweet bites.(New Low-Carb stuff!)
May 1, 2004... Innovative Candy Concepts kicks off its "Guilt Free" segment with Sinfully Delicious, miniaturized candy bites of decadent desserts like Mocha Cappuccino Cake, Key Lime Pie and Strawberry Cheesecake that are sugar free, fat free and contain...

Better-for-you Doritos.(New Low-Carb stuff!)
May 1, 2004... Frito-Lay launches a line extension of Doritos and Tostitos that has less than half the carbohydrates of its top selling tortilla chip brands. The new great-tasting products, which are named Doritos Edge and Tostitos Edge, have a total of six...

Sandwich sensation.(New Low-Carb stuff!)
May 1, 2004... MarketFare Foods introduces three delicious heat and-eat sandwich varieties to provide a satisfying eating experience for carb-conscious customers, while making a healthy contribution to retailers' bottom lines. CarbFriendly products include a...

Lean line.(New Low-Carb stuff!)
May 1, 2004... The Hain Celestial Group launches Carb Fit, its new food brand designed for consumers seeking to reduce their carb intake. The initial Carb Fit launch includes: Carb Fit/Hain Pure Snax Twirls, a corkscrew-shaped soy snack available in Nacho and...

Jelly bean freedom.(New Low-Carb stuff!)
May 1, 2004... Jelly Belly Candy Co, introduces a sugar free version of its popular 10-flavor Jelly Belly Sours. Now sugar-free jelly beans weigh in at 90 calories per 35-bean serving--about one-third fewer calories than regular Jelly Belly beans. The new...

Carb cunning.(New Low-Carb stuff!)
May 1, 2004... Turtle Mountain, Inc. introduces its new Carb Escapes line, the first all-natural frozen dessert that contains no artificial sweeteners, bulking agents or flavors that are commonly found in other low net curb frozen desserts. Available in seven...

Sumptuous salads.(New Low-Carb stuff!)
May 1, 2004... Subway Restaurants now offers customers even more choices to maintain a healthy and balanced diet with the introduction of two Atkins-Friendly Subway Fresh Salads. The Classic Club Salad carries only nine grams of net curbs while the Grilled...

Taking it to the edge.(New Low-Carb stuff!)
May 1, 2004... Pepsi-Cola North America launches Pepsi Edge, its first full-flavored cola with 50% less sugar, carbohydrates and calories than regular colas. Pepsi Edge delivers its full-flavored cola taste through a unique blend of Splenda (sucralose) and...

Food fest.(New Low-Carb stuff!)
May 1, 2004... Low Carb Creations introduces a full line of frozen Italian food entrees under the Bella Carb label. Bella Carb is the first line of frozen low-carb Italian food entrees available for retail sale and includes Cheese and Pepperoni Pizza, Cheese...

Sweet treats.(New Low-Carb stuff!)
May 1, 2004... Hershey's 1g Sugar Carb bars deliver the great Hershey's taste in a sweet snack that's compatible with the increasingly popular Low-carb lifestyle. Hershey's 1g Sugar Carb bars are formulated with sugar alcohols and fiber in place of...

Dunk this.(New Low-Carb stuff!)
May 1, 2004... For carb-watching cookie lovers, Otis Spunkmeyer has a new line of fresh-baked cookies that have only seven net carbs per cookie, no sugar added and zero trans fats. The new line appeals not only to the carb-counting consumer, but also to...

Mug your customers! A sleek, oversized mug custom-made for "Bubba" has drawn reactions ranging from laughter to awe at BP's ampm stores.(Back room: "stuff you need that we didn't have room for anyplace else")(AMPM stores )(Brief Article)
May 1, 2004... One of the most noticeable hot beverage additions at BP's ampm stores isn't poured into a mug; it's the mug itself. BP has introduced into most of its 975 ampm sites the Steele Mug from vendor DrinkWorks (www.drinkworks.com). The rugged,...

The changemakers.(Editor's Memo)
May 15, 2004... Whew, it's done! That's usually the first thought that goes through my head as the CSD editorial team wraps up the final pages of the Sales Trend Handbook--including this year's edition, our 11th. My second thought after finishing the Handbook...

One size fits one: the phrase "no man is an island" does not apply to retail. Consumers crave customization, freedom and a sense of discovery in the stores they shop.(The Customer)
May 15, 2004... Today's customer no longer wants his hand held. More than ever, consumers crave freedom, independence and convenience. In the convenience channel, it all began with self-service gasoline; customers outside of New Jersey and Oregon have pumped...

Losing convenience? Every retail channel is finding ways to mimic what a convenience store does best. Fast-growing dollar stores represent the newest threat.(The Competition)
May 15, 2004... Dollar stores had another great year in 2003. It was the only retail channel to grow in the face of the big boxes. Dollar stores have done so well, in fact, that retailers in every other channel have added dollar-store sections. Even the mighty...

A banner year? A rebounding economy has retailers bullish on new technology. Many plan to put that optimism into action by increasing their IT investments.(Technology)
May 15, 2004... You know the convenience channel has gotten more technology-savvy when Coke cans in the cooler double as cell phones and global positioning systems. The space-age cans might just be part of a summertime promotion to spur sort drink sales, but...

The dish on dining: while low-carb has everyone jumping through hoops, the truth is that burgers and fries still reign supreme. The experience makes the sale.(Branded Fast Food)
May 15, 2004... After a year of preparing more meals at home, NPD World reports that Americans are ready to return to restaurants in 2004. Data also shows that 74% of all restaurant meals are purchased at fast food operations, versus about 25% for mid-scale...

Low-carb seesaw: while low-carb dieters are abandoning carb-heavy crusts, chicken programs are enjoying the benefits of being crowned the preferred protein source.(Pizza/Chicken)
May 15, 2004... Gallop polls show that about 40% of the U.S. population (18 years old or older) have tried or are experimenting with a carb-controlled diet. Polls conducted by Atkins show that 50% of consumers are attempting the diet. The bad news is that...

Health dictates the mix: "healthy" and "fresh" will get a customer's attention, but meal solutions at the deli have to taste great, too.(Deli & Bakery)
May 15, 2004... Foodservice sales in the convenience channel have shown steady growth over the past several years. Consumers are taking advantage of time-saving "alternatives, like quick meals in portable packaging. Technomic Inc. projects foodservice sales of...

Coffee alternatives: most customers will never go without their cup 'o Joe, but consumers more than ever are seeking other dispensed beverage options.(Dispensed Beverages)
May 15, 2004... As convenience stores step up their coffee programs to provide coffee-house-quality experiences at conveniences store prices, they are in a good position to win over disillusioned coffeehouse customers. After achieving its greatest level of...

Sticks and stones embattled convenience retailers endure challenges--some new, some quite familiar--on the road to cigarette category dominance.(Cigarettes)
May 15, 2004... Class-action lawsuits. Increases in legislation. Rising taxes. Depressed volume. Rumors of forthcoming regulation from the Food & Drug Administration. Gathering threats from the Internet. Clearly, 2003 proved another challenging year for...

All fired up: growth in cigars and smokeless fueled non-cigarette tobacco sales in 2003. Retailers may soon find more value-priced cans on their shelves.(Tobacco Products)
May 15, 2004... Non-cigarette tobacco sales in the convenience channel experienced a solid 11.1% increase in 2003. Sales reached $3.2 billion, according to the National Association of Convenience Stores' most recent State of the Industry report. One...

Snack shift: health-conscious consumers turn their snacking needs to low-carb, high-protein options. Even candy has begun a shift to "diabetic-friendly.".(Candy & Snacks)
May 15, 2004... For the past year, the nation's hunger for all things low-carb has been in overdrive, with retailers catering to Atkins and South Beach diet devotees. In no category has low-carb dieting been more influential than candy and snack. Mintel's...

Unbanked and beyond: as more consumers choose prepaid as a means to manage their finances, providers are helping retailers alter their product offerings and merchandising.(Prepaid Services)
May 15, 2004... Prepaid products were once believed to be an option mainly for "unbanked" consumers, but those days are all but gone. In 2003, 49% of prepaid wireless customers said the ability to manage their costs was the main reason they chose prepaid,...

Margin builders: as sales of traditional GM items decline, retailers need to use their limited space to their best advantage. New opportunities come from unexpected sources.(General Merchandise & HBC)
May 15, 2004... Leo Vercollone, president of 20-store VERC Enterprises (Duxbury, MA), sees the convenience store industry going the wrong way with the general merchandise category. "There's too much talk about dollar stores when we should be talking about...

Meal time is go-time: consumers are willing to trade convenience for price, but they demand meal solutions that fit their taste profiles.(Grocery & Automotive)
May 15, 2004... According to PARADE Magazine's What America Eats research study, 24% of Americans purchase more convenience foods then they did just two years ago. Even though they're perceived as more costly, 61% say it's worth the price. But despite...

Back to basics: flavored milk continues to drive growth in the milk doors. Consumers too busy for breakfast are seeking convenient, portable meals in the frozen doors.(Dairy, Ice Cream & Frozen)
May 15, 2004... Flavored milk has been the dairy door's "flavor of the week" for two years running. Whole milk maintained its leading position atop the category in 2003, but it lest some share to flavored milk, which has been responsible for the bulk of the...

Soft target: new products from the category leaders will drive growth in summer 2004, but other segments continue to chip away at sales from the CSD door.(Soft Drinks)(carbonated sort drinks)
May 15, 2004... Last summer, the carbonated sort drink superpowers went head to head with vanilla-flavored colas. This summer, the two behemoths will use new carb-conscious colas as their weapons of choice. Vanilla Coke, Pepsi Vanilla and their diet...

How low can you go? Sales of flavored-malt beverages slowed in 2003. Light beers positioned as "low-carb" brews are poised for a surge.(Beer & Wine)
May 15, 2004... Most retailers outside the convenience channel would call 2003 the year that malternatives died. While the segment by no means disappeared in the convenience channel, its growth certainly trailed off after the strong volume increases of years...

Rising water level: although its meteoric rise has slowed a step, bottled water continues to make inroads in the cooler doors--and could dominate them within the decade.(Bottled Water)
May 15, 2004... In late 2003, bottled water manufacturers could be heard bellowing the enthusiastic chant, "We're No. 2! We're No. 2!" Last year, bottled water officially surpassed beer, after blowing past coffee and milk in years past, to take sole ownership...

Beaten to a pulp? Low-carb took its toll on 100% juice and juice drink volume, too. The good news? Value-added juices are generating new excitement for the category.(Juices & Juice Drinks)
May 15, 2004... Most juice manufacturers didn't have what you'd call a banner year in 2003. Last year, scores of carb-cutting consumers reduced their purchases or orange juice and other highly nutritious (yet high in sugar) juices. Despite chatter of a...

Still high energy? After another strong year, some expect energy drinks to cool off in 2003. Meanwhile, sports drinks and teas continue to perform solidly.(Teas, Isotonics & Energy)
May 15, 2004... This could be the year that tamed Red Bull. After yet another strong year of growth and the introduction of scores of dynamic new energy drink products from new and old faces alike-the infamous "Pimp Juice" brand from hip-hop mogul Nelly comes...

What's fueling growth? Rising gasoline prices have slapped a bull's eye on retailers of motor fuels. Smart marketers are digging deep for new profit sources.(Motor Fuels/New Profit Centers)
May 15, 2004... It's a tough time to be a fuel marketer, no matter where you fall in the mix. Even though the National Association of Convenience Stores' State of the Industry report provided a glowing review of 2003--total sales up 16%, fuel sales up 21.8%,...