Foodservice

Bite, Gulp, Select...Value

7-Eleven creates meal deal with private-label rollout; Wal-Mart repackages Great Value
DALLAS & BENTONVILLE, Ark. -- 7-Eleven Inc. and Wal-Mart Stores Inc. have both enhanced their private-label offerings. 7-Eleven is bundling old and new proprietary items, bringing together the Big Bite, Big Gulp and new 7-Select lines, coinciding with the company's rollout of more than 100 new and redesigned private-label products. Wal-Mart is rolling out reformulated versions of many of the more than 100 products in its Great Value proprietary U.S. brand, with new packaging for the entire line.

7-Eleven is bundling two of its most popular proprietary items, the Big [image-nocss] Bite Oscar Mayer quarter-pound hot dog and Big Gulp fountain drink, with one of its new private-label kids on the block- 7-Select chips in a $2.99 meal deal that runs through the summer. The value meal coincides with the company's scheduled rollout of more than 100 new and redesigned private-label products during the next few months.

The extensive lineup of products sold under the 7-Select brand crosses all store categories-from juice to jerky, animal crackers to Gummi worms, paper goods to personal care items, sports drinks to sandwich bags, office supplies to batteries and cooking oil to motor oil, to name just a few.

"7-Eleven has aggressively launched a complete lineup of 7-Select products and is testing a third wave of private-label products in select stores," said Kevin Elliott, 7-Eleven's senior vice president of merchandising, marketing and logistics. "We believe consumers are already appreciating the quality and value the 7-Select brand offers."

While 7-Eleven has offered nonfood items like bottled water under the Classic Selection brand for 16 years as well as 7-Eleven-branded nonfoods items, the company introduced 26 snack items last November bearing the new 7-Select brand name. This month Classic Selection water joins the 7-Select family.

Quality Classic Selection Water already garnered a loyal following and is one of the company's biggest private-label success stories. Introduced in 1993, the store brand now accounts for more than 25% of total bottled water sales at 7-Eleven and continues to grow, the company said.

Customers who purchase 7-Eleven's $2.99 meal deal introduced this month can choose from seven varieties of kettle-style potato chips: Regular, Barbecue, Sour Cream and Onion, Cracked Pepper, Salt and Vinegar, Jalape ao and Haba aero, and either Salted or White Cheddar popcorn. The featured chips will be prominently displayed at the grill. In addition to special displays, 7-Select products are stocked where customers would expect to find them, alongside brand-name goods where price, value and quality can be easily compared.

"We believe that once people realize how great the chips taste, they will be more receptive to trying other 7-Select items," Elliott said.

Dallas-based 7-Eleven operates, franchises or licenses approximately 7,800 7-Eleven stores in North America. Globally, it operates, franchises or licenses more than 35,600 stores in 17 countries. During 2008, 7-Eleven stores worldwide generated total sales of more than $53.7 billion.

Meanwhile, Wal-Mart has released new details about the expansion and enhancement of its Great Value proprietary U.S. brand. The new, improved Great Value products will begin appearing on shelves this month. The brand, first introduced in 1993, spans more than 100 categories and is the country's largest food brand in both sales and volume, the Bentonville, Ark.-based company said. The product relaunch is beginning this month with the majority of products appearing on store shelves by the end of May.

Wal-Mart worked with several hundred suppliers and product testing facilities to test more than 5,250 products against leading national brands; conduct more than 2,700 consumer tests to compare the flavor, aroma, texture, color and appearance of Great Value products against leading national brands; change the formulas for 750 items including breakfast cereal, cookies, yogurt, laundry detergent and paper towels; and introduce more than 80 new products, such as thin-crust pizza, fat-free caramel swirl ice cream, strawberry yogurt, organic cage-free eggs, double-stuffed sandwich cookies, teriyaki beef jerky and more.

The company also redesigned Great Value packaging graphics to create a consistent, recognizable look throughout the store, making it easier for customers to find their favorite products. The new Great Value packaging offers easy-to-read nutrition labels and more appetizing food photography. Walmart also reduced packaging when possible as part of the company's sustainability goals.

The retailer said it plans to continue its focus on quality through a new Quality Monitoring Program, which will provide ongoing evaluation of the quality of products from the factory to the shelves. And Wal-Mart is asking customers to share their favorite Great Value items by encouraging them to rate the products and offer reviews at www.walmart.com.

Wal-Mart operates Walmart discount stores, supercenters, Neighborhood Markets and Sam's Club locations in the United States, It also operates stores in Argentina, Brazil, Canada, Chile, China, Costa Rica, El Salvador, Guatemala, Honduras, India, Japan, Mexico, Nicaragua, Puerto Rico and the United Kingdom.

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