Channel: Independents

General Merchandise
A look at highlights from our latest print issue (infographic)
CSP Magazine
The image of the convenience-store industry continues to change and more readily address the changing market. Market leaders are building bigger and brighter stores and offering higher-quality food products. These competitive forces elevate the entire industry.
CSP Magazine
Many gas stations have evolved to sell packaged foods and ultimately became c-stores that sell gas. Many of those will become a food retailer first that also sells gas. But if you’re among the readers who cringe at the idea of retailing anything with a shelf life shorter than a candy bar, there’s another direction: becoming a professional car wash first that also sells gas.
CSP Magazine
When Stan Alvey started Stan’s Shake Shak in 1984, it was a literal shack of milkshakes. Today it’s a destination restaurant and expansive c-store on a highway packed with summer traffic.
CSP Magazine
Aggressive price positions on mainstream teas, juices, energy drinks and flavored waters have often been de rigueur. But as competition percolates across single-serve subcategories, it’s not uncommon to see aggressive pricing for premium and superpremium brands, too. This troubles some retailers.
CSP Magazine
When Hess Corp. filed for a tax-free spinoff of its retail business in January, could deal makers ever have imagined that the convenience store brand as they knew it would completely cease to exist in just three short years? The iconic bold green-and-white logo will soon make way for another icon, albeit a Midwestern one: Speedway’s red-and-white logo.
CSP Magazine
There are new books, ideas, pamphlets, white papers and studies on leadership coming out all the time. Going by the publishing industry, you would think that what it takes to be a good leader changes constantly. But I believe there are core qualities of leadership that transcend all of that.
Corporate News
But individuals may still be prosecuted over diesel rebate scheme in $92 million federal deal

The True Profit of Foodservice

Published in: 

CHICAGO -- A recent Willard Bishop SuperStudy report found some new advantages of embracing foodservice in convenience stores.

Specifically, the report, is based on an analysis of three different convenience-store retailers operating in geographically dispersed markets across the United States, found:

  • Foodservice categories generate just over 26% of total store unit movement and true profit contribution.
  • Foodservice is covering its fair share of costs. In fact, foodservice generates the same penny profit ($0.32) per unit sold as in-store merchandise.
  • This strong penny profit comes from a significantly lower starting point ($1.32 vs. $3.02 retail price).

Department Performance Per Store

(Merchandise departments vs. foodservice)

 Weekly Dollars Per Unit Share of 
FinancialsMerchandiseFoodserviceMerchandiseFoodserviceMerchandiseFoodservice
Dollar sales$32,412$5,147$3.02$1.3286.3%13.7%
Adjusted gross profits$8,898$2,656$0.83$0.6877.0%23.0%
Activity-based costs$5,456$1,421$0.51$0.3679.3%20.7%
True profit$3,442$1,236$0.32$0.3273.6%26.4%
Unit movement10,7433,896NANA73.4%17.0%
Adjusted gross margin27.5%51.6%NANANANA
True profit margins10.6%24.0%NANANANA

Kit Dietz of Dietz Consulting presented the results of the Willard Bishop SuperStudy during a CSP's recent Driving Impulse Sales meeting in Chicago.

Source: 
Willard Bishop SuperStudy

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