Millennial's Abandon Restaurants for C-store Foodservice

The lines between food sectors continues to diminish as Millennials continue their quest for grocerant niche fresh food discovery.  It’s that journey of discovery, trial, and migration that is confounding legacy chain restaurant leaders according to Steven Johnson, Grocerant Guru® at Tacoma, WA based Foodservice Solutions®.

A new GasBuddy survey found that “43 percent of millennials purchase more food from c-stores today than three years ago.”  The simple fact is in our time starved world, where we count a full-time job as 23 hours and up.   Millennials are in search of fresh food fast and for less.  They are finding that at C-stores.

The new study found

1.       Approximately 56 percent of Americans purchase meals at gas station c-stores at least once a month, while younger consumers purchase food at c-stores more frequently,

2.       A quarter of those aged 30-44 purchase food five or more times per month,

3.       While 20 percent of those aged 18-29 purchase food at c-stores three to four times per month,

4.       Three quarters (75 percent) of respondents believe c-store foodservice has improved in the past five years.

Frank Beard, convenience store trends analyst at GasBuddy  stated "Convenience retailers with compelling foodservice programs are a growing threat to quick-service restaurants," … "Data show that people choose convenience stores over fast food locations because of the convenience of an all-in-one stop for fuel and food, followed by a preference for the taste of the food at c-stores. Couple this with leading convenience brands like Wawa and QuikTrip rapidly expanding across the country, and fast food brands will be forced to find innovative ways to catch up."

So, why should legacy restaurants worry? Well, along with frequent visits to c-stores to purchase meals comes increased dollar spend. The study found that one in four Americans spend $6 to $10 per week on c-store foodservice, with nearly 20 percent of those aged 18-29 spending $10 to $15 per week.

There are undercurrents of commonality that chain restaurants over look but the consumer has not. The most-preferred meals at both c-stores and quick-service restaurants include sandwiches or wraps; fresh salad; pizza; burgers and fries; and fried chicken.

Beard continued "Convenience brands are well-positioned to cater to consumer's tastes because they aren't pigeon-holed into one type of cuisine,". "Our study found that younger Americans prefer more variety, particularly with newer menu items like burritos and pizzas."

Speed is a concern, as nearly one third of consumers are only willing to wait five minutes for their meal. When asked what they dislike about fast food establishments, consumers named unhealthy options as their top concern, followed by food quality, restaurant cleanliness and limited food and drink options.

Interested in learning how Foodservice Solutions 5P’s of Food Marketing can edify your retail food brand while creating a platform for consumer convenient meal participation, differentiation and individualization? Email us at: Steve@FoodserviceSolutions.us or visit:  www.FoodserviceSolutions.us for more information.