2018CONVENIENCESTOREREPORTABOUTTHISSTUDY:Thespaceconveniencestoresoccupyinourmindsisnotproportionatetotheirutterubiquity.Conveniencestoresareeverywhere(literallyeverywhere—that'swhatmakesthemsoconvenient).Yet,inbusinessandpopularnews,theydonotoccupythesamemindshareasbiggerboxretailandgrocerylocations.ForallthetalkofAmazon'sWholeFood'sacquisition,wehaveyettoencountersimilarnewsinthec-storeworld,andinafarmorefragmentedlandscapeofindependentandcodependentbannersamidstnationalbrands,itisnotasfaciletodiscusseither.Sowesetouttobetterunderstandthenationalc-storemarket,butnotfromabrandperspective.Wearenotheretomakeclaimsaboutwhethercustomersprefer7-11toStore-24—thereareveryfewnationalconveniencestorechains,andregionalpeculiaritiessuchastheyareprohibitanytrulyin-depthstudyofbrandlevelcompetitionwithinthisspace.Instead,weareofferinganearnestassessmentofcustomers',anddifferentclustersoflike-mindedcustomers',values,concerns,andpathstopurchase.Segmentingforgender,generation,community(rural,urban,suburban),andfrequencyofvisits,weareuncoveringwhatcertaincustomersalreadyloveaboutc-stores,whattheywouldliketoseeimproved,andwhatthenextgenerationofconveniencestoresshouldlooklike.Theseinsightsshouldalertoperatorsofopportunitiesforadditionalproductofferingstoincreasemarketandbasketshare,idealmessagingtoreachcertaingroups,andwaystoincorporatetechnologytokeeppacewiththechangesbefallingretailwritlarge.BetweenJanuary17andFebruary8,wesurveyed2,173respondentsabouttheirpreferences,priorities,andpainpointswhenitcomestoconveniencestoreshopping.Meetusatregistertwofortheresults!ABOUTTRENDSOURCETrendSourceisafull-servicemarketresearchandstrategicconsultingfirmbasedinSanDiego,California.Weworkwithsomeofthetopbrandsintheworldtohelpgrowtheirbusiness,offersupportforenteringnewmarkets,integratenewmarketingmaterials,worktoimprovecustomerservicestandards,andvalidatepromotionsandpreviouswork.Contactusaboutdevelopingacustomplanforyourconveniencestoreorgrocery.www.trendsource.comCONVENIENTSHOPPINGHOWOFTENDOYOUMAKEPURCHASESATACONVENIENCESTORE?OVERALLNever1%OnlywhenI'mtravelingAcoupleoftimesperyearOnceamonthMorethanonceamonthOnceaweek2-3timesperweek10%8%9%12%17%29%Daily.(i.eormoretimesperweek)10%HOWOFTENDOYOUMAKEPURCHASESATACONVENIENCESTORE?BYGENDER�Male�FemaleTheclearmajority(29%)ofrespondentsmakepurchasesatconveniencestoresroughly2-3timesperweek,withlargeswathsofrespondentsalsoindicatingtheymakepurchasesonceaweek(17%)anddaily(10%).Regardlessofwhethertheyliveinruralorurbanareas(self-reported)andregardlessoftheirincomelevels,wefoundthatpeoplegenerallyfitintothisfrequencypattern.Yetinterestingthingshappenwhenweconsiderpurchasefrequencybygenderandgenerationalsegmentations%28%19%16%11%5%9%9%9%7%12%11%11%%1%1%NeverOnlywhenI'mtravelingAcoupleoftimesperyearOnceamonthMorethanonceamonthOnceaweek2-3timesperweekDaily.(i.eormoretimesperweek)Menarenotablylikeliertomakefrequentconveniencestorepurchasesthanwomen.Someofthishastodowithtraditionalgenderrolesascribingdomesticandpublicresponsibilitiesdifferently—despiteallthesocialchangesaroundus,men(probablybothmarriedandsingle)arelikeliertogasthecarupandgrabthekidsaquicksnackthanwomenare.Butthereissomethingbiggergoingonhere,somethingthatshouldbecomparativelyeasyforconveniencestorestoaddress,andthatisthequestionofsafety.Wealreadyknowthatmenmovemorefreelythoroughtheworldwithlessconcernfortheirphysicalsafety.Thus,women,inbothruralandurbanareas,areperhaps(appropriately)morecautiousaboutventuring.Thisisbackedupbyalaterquestionweaskedinwhichwefoundthatwomenweresignificantlymorelikelythanmentoselectalocationbasedonitssafety(4vs).Wewillemphasizethisinourkeyfindingsaswell,butthesenumbersshouldprovebothfascinatingandinstructivetoconveniencestoreoperatorswhoclearlyshouldprioritizeemphasizingtheirlocation'srelativesafety|www.trendsource.com05101520253005101520253035GENERATIONSOFCONVENIENTSHOPPERSAlso,whenwebreakthisdownbygeneration,acoupleofthingsstandout.First,andnobigsurprisehere,thesilentgeneration'smostcommonrelationshiptoconveniencestoresisthattheyonlyvisitthemwhentraveling(19%).WeallcanpictureMee-MawandPee-PawpilingintotheWinnebagoforaretireeadventure,wheretheywillnodoubthitupconveniencestoresfromseatoshiningsea.Butwealsocanthinkabouttheiroverallreducedmobility,bothintermsofphysicalactivityanddrivingprivileges,andunderstandhowthisanswermakessense.Onafixedincome,oftenhavingsurrenderedtheirdriver'slicenseandsomeautonomy,theSilentsarenotinapositiontorollthroughthe7-11everydaytogetsomecoffeeandscratchers.HOWOFTENDOYOUMAKEPURCHASESATACONVENIENCESTORE?�Millennial1�Millennial2�GenerationX�BabyBoomer�SilentBYGENERATION19%14%11%10%9%6%9%8%8%6%11%11%8%9%7%2%1%1%2%0%NeverOnlywhenI'mtravelingAcoupleoftimesperyearOnceamonth31%30%30%26%19%20%19%16%15%12%14%13%10%16%15%12%11%11%7%5%MorethanonceamonthOnceaweek2-3timesperweekDaily.(i.eormoretimesperweek)3|www.trendsource.com0510152005101520253035Themostfrequentconveniencestorecustomersalsoshouldnotsurpriseus:Millennial2sandGenerationXersarethelikeliesttovisitconveniencestoresmorethanonceperweek.Thevanguardofthehipstergentrificationbrigade,theseindividualshavelikelyrelocatedtourbanareaswhereconveniencestoresareespeciallyconvenient—oftenjustablock'swalkaway.Addinthefactthattheyarelikelyhittingthepeakoftheirdisposableincomeanditisrathereasytounderstandhowthesegenerationscanmakeon-demandpurchasesinthemostconvenientwaypossible.LOCATION,LOCATION,LOCATIONIMPORTANTFACTORSINCHOOSINGACONVENIENCESTORETheprimaryconcernforconveniencestorepatronsis,unsurprisingly,theconvenienceoflocation.OVERALLAVERAGESCORE4LocationSafetyGasPricesHoursProductPricesRestroomsProductOfferingsBrand1=notatallimportant2=slightlyimportant3=moderatelyimportant4=veryimportant5=extremelyimportantFortheaggregaterespondent,therearethreetopprioritieswhenchoosingaconveniencestore,andthenawholebunchofsecondary,andeventertiary,concerns.Theprimaryconcernforconveniencestorepatronsis,unsurprisingly,theconvenienceoflocation:proximityiseverything.Liketheoldrealestateadageregardingaproperty'sthreemostimportantfeatures(location,location,location),ouraveragerespondentratedlocationasthemostimportantdeterminingfactorforaconveniencestorepurchase.Closelybehindlocation,andcloselyrelatedtoit,consumersprioritizesafety.Thismakessenseandrequireslittleexplanation.Itistrueforruralandurbanconsumersalike,andholdstrueacrossgenerationandincome:peopledon'twanttoshopwheretheydon'tfeelsafe.Aspreviouslydiscussed,thisisamoreimportantconsiderationforwomenthanitisformen.Followinglocationandsafety,thetoppriorityforconsumersisgasprices,andthisrequiresabitofthoughtandexplanation.Onceconsumershaveestablishedtheproximityandsafetyofaconveniencestore,theirnextconcernisitsgasprices.ConsidertheexpensefuelrepresentstotheaverageAmericanconsumer,andalsohowfrequentlyitspricefluctuatesfromday-to-dayandlocation-to-location.Itisthemostvariablypricednecessityinthetypicalconveniencestoreconsumer'sdailylife.Soagooddealongascanovercomealot—no,peoplewon'tdriveentirelyoutoftheirwaytosaveafewcentsonfuel,andtheylikelywon'tgosomewheretheydon'tfeelsafe.Assumingtheyappearequallysafe,consumersaregoingtochoosetheonewiththelowestgasprices.ThepriceofDoritosdonotgenerallyvarybylocationandareonlyafractionofaconsumer'smonthlybudget.Thesameisnottrueforgasoline|www.trendsource.comTIMINGISEVERYTHINGIMPORTANTFACTORSINCHOOSINGACONVENIENCESTOREFREQUENCYOFPURCHASE1=notatallimportant2=slightlyimportant3=moderatelyimportant4=veryimportant5=extremelyimportantOverallaveragescoreOnlywhenI'mtravelingAcoupleoftimesperyearOnceamonthMorethanonceamonthOnceaweek2-3timesperweekDaily.(i.eormoretimesperweek)LocationSafetyGasPricesHoursProductPricesRestroomsProductOfferingsBrand4Acoupleuniqueattributesemergewhenweconsiderthesedecidingfactorsbytheconsumers'frequencyofconveniencestorepurchases:howdoconsumers'prioritieschangewhentheyvisitconveniencestoresdailyormultipletimesperweekvs.infrequentlyandonlyduringtravel?Shopperswhoonlyvisitconveniencestoresduringtraveldisproportionatelyprioritizethetwothingsyouwouldexpectthemto:gaspricesandrestrooms.Onlongroadtrips,conveniencestoresareone-stopshopsthat,inadditiontobeingfreewayproximate,musthavefood,restrooms,andgas.Thattravelerswouldrequirethismakessense,andalertsproprietorstothedistinctprioritiestheymustrespectdependingontheirlocationandtheamountoftravelerstheyreceiverelativetoregulars.Ontheflipsideofthecoin,regularsdon'tcarenearlyasmuchaboutrestrooms—theylikelyliveafewblocksawayandcanusetheirown—andwhiletheystillprioritizegasprices,thefrequencyoftheirvisitsmeansthateverytripisnotaboutgassingup(unlessyoucounteatingC-Storepreparedfoodsas“gassingup”).Instead,regularsdisproportionatelyprioritizehoursandproductprices,twofactorsthatcangoalongwayindistinguishingmultiplesimilarstoresfromoneanother.Whoisopen,andwhohasthebestdealonkombuchaandOldeEnglish40s?5|www.trendsource.com
