Robert Byrne, director of consumer and industry insights at CSP sister research arm Technomic, Chicago, recently rolled out data to support his belief that there is opportunity for convenience stores in the dinner daypart.
Technomic data shows that since 2019 through the last four quarters, 8% of c-store occasions are for dinner—and has held steady.
“That is remarkably consistent,” Byrne said. “People aren’t really changing their behavior, even from pre-pandemic to now.”
Dinner makes up about 50% of destinations at restaurants, he said, adding that going toe to toe with restaurants “is where the opportunity is.”
In looking at the more than 20,000 consumers in a Technomic survey profiling their most recent occasion at one of 41 top c-store banners tracked, one thing that stands out is ordering for delivery either by phone or online, Byrne said. “It’s still a small percentage, 14%.” This means there’s room for c-stores to grab more delivery business, he said.
Also interesting is where people are consuming c-store dinner daypart food, Byrne said. Half is consumed at home versus 19% in all other dayparts.
‘You have to think like a restaurant.’
This data means “dinner can be items that are fork and knife items,” he said. “So, if you’re thinking about innovating for dinner, you have a lot more latitude in what the plating of that food can be. It’s less of an issue because half is getting consumed at home.”
Looking at the number in the dinner party is also important, Byrne said. In all other dayparts, 58% said they eat alone, but at dinner it’s 48% in the last four quarters because of spouses and children; this translates to about 35% who dine with family, compared with about 27% during all other occasions.
These numbers mean retailers can think more broadly in terms of innovation and product development.
“Now I have a different set of considerations when it comes to how I bundle that food,” he said. “Is it more of a family meal or is it a larger portion that people might be inclined to split?”
He added, “These are things that become available to the c-store operator from a foodservice perspective to think more like a restaurant in terms of portion, in terms of innovation for dinner.”
The Occasion
Another area Byrne highlighted was the occasion, with 62% in all other dayparts, versus 56% at dinner, saying their c-store visits are unplanned and spontaneous.
Conversely, 33% say their dinner daypart visit is routine/everyday meal versus 30% in all other dayparts.
“This allows from a marketing perspective the idea that c-stores can be factored into meal planning for a day, for a week,” he said.
Byrne also said other c-stores are less of a competitive factor during dinner, with 24% saying an alternative is another c-store, versus 36% for all other dayparts.
Instead, competitive pressure at dinner is from places such as restaurants, at 22%.
If c-stores want to compete in dinner, “You have to think like a restaurant,” he said, adding that c-stores also are competing most with those who make a meal at home, 38%.
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