Tuesday, January 3, 2023

Gen Z and Millennials Drive Traffic at C-Stores


Fresh food fast with a twist of discovery is what Gen Z and Millennials are looking for and a food industry success clue.  They are finding that discovery more and more at convenience stores according to Steven Johnson Grocerant Guru® at Tacoma, WA Based Foodservice Solutions®.

Today more and more Gen Z and Millennials consumers are seeking out food and beverage item options that are easy to eat while on the go, the convenience store channel is increasingly benefiting, according to recent research from The NPD Group.

Let’s see what NPD has found; “Visits to c-store for foodservice items, including beverages and prepared foods, were up 2 percent in the three months ending in November 2022 compared to one year ago, while consumer spending on foodservice menu items at c-stores was up 8 percent for the combined months of September, October and November compared to the same time period in 2021.

Additionally, both units and dollars of foodservice products shipped from broadline foodservice distributors to c-stores increased by 3 percent and 13 percent, respectively, compared to one year ago.

NPD found that the breakfast and morning snack periods, or morning meal daypart — which accounted for nearly a quarter of foodservice visits to c-stores — grew traffic by 3 percent and served as a key contributor to total visit growth during the most recent quarter. The evening snack period increased by 4 percent and was a vital component of foodservice traffic growth at c-stores during this time.

Lunch and dinner foodservice visits both grew 2 percent year over year, while traffic during the afternoon snack daypart was flat compared to one year ago.

Although beverage-only orders make up more than half of c-store food service visits and drive growth for the channel overall, the popularity of burgers and breakfast sandwiches ordered at c-stores throughout the day is also proving to be a growth driver. Burgers are a popular item at lunch, dinner and during the afternoon snack period, with burger servings increased by 12 percent during the quarter ending November compared to one year ago. Servings of different varieties of prepared breakfast sandwiches from c-stores rose by 8 percent year over year.

David Portalatin, author of "Eating Patterns in America" and NPD food industry advisor, stated, "Convenience store foodservice is benefitting by more people commuting to and from school and work and generally out and about more," ... "The growth in convenience store foodservice visits is a positive sign for the U.S. foodservice industry overall."

Looking for success clues of your own? Foodservice Solutions® specializes in outsourced food marketing and business development ideations. We can help you identify, quantify and qualify additional food retail segment opportunities, technology, or a new menu product segment.  Foodservice Solutions® of Tacoma WA is the global leader in the Grocerant niche visit us on our social media sites by clicking one of the following links: Facebook,  LinkedIn, or Twitter

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