Brazil’s AM/PM is a Grocerant Meal Solution

 

Steven Johnson Grocerant Guru® at Tacoma, WA based Foodservice Solutions® likes to identify, quantify, and qualify success with the reasy-2-eat and Heat-N-Eat fresh prepared food grocerant niche around the world and recently he was looking at Brazil and sound some success he would like to share. The second-largest convenience store chain in Brazil is AM/PM, which operates primarily within the network of Ipiranga gas stations. Since its launch in 1994, AM/PM has steadily grown to become a leading player in the convenience store market, thanks to its strong affiliation with Ipiranga, one of Brazil's largest fuel distributors. Over the years, AM/PM has capitalized on its strategic locations at service stations, offering an array of products and services that cater to busy consumers looking for quick, convenient solutions.

Historical Perspective: How AM/PM Became the Second-Largest Convenience Store Chain in Brazil

AM/PM’s journey began when Ipiranga saw an opportunity to offer more than just fuel at its service stations. Recognizing a growing trend toward convenience shopping, Ipiranga introduced the AM/PM brand in 1994, providing travelers and commuters with a quick-stop solution for snacks, beverages, and essential items. At the time, convenience retailing was still in its infancy in Brazil, but AM/PM's strategic alignment with Ipiranga's nationwide network gave the brand an instant foothold in the market.

Throughout the 2000s, Brazil experienced economic growth, urbanization, and a rise in disposable income, which shifted consumer behavior. People became more focused on time efficiency and convenience, leading to a boom in the convenience store sector. AM/PM expanded its offerings, introducing a wider variety of products and services, including hot food, fresh sandwiches, and coffee, catering to consumers’ evolving preferences.

In the last decade, AM/PM further solidified its market position by leveraging Ipiranga’s loyalty programs and integrating technology for seamless shopping experiences. Today, AM/PM operates over 2,500 locations across Brazil, making it the second-largest convenience store chain in the country.

Four Consumer Touchpoints That Resonate With AM/PM Customers

1.       Strategic Locations AM/PM’s integration with Ipiranga gas stations provides unmatched convenience for consumers. Located along major highways, urban centers, and residential areas, AM/PM stores are easily accessible to commuters, drivers, and local residents, allowing them to combine refueling with quick, hassle-free shopping.

2.       Variety of Offerings AM/PM’s product range is designed to meet the diverse needs of its customers, from snacks and drinks to fresh food and daily essentials. The availability of both ready-to-eat items like sandwiches and hot meals, alongside beverages and groceries, makes AM/PM a preferred stop for those seeking variety in one location.

3.       Fast and Efficient Service Brazilian consumers value time-saving solutions, and AM/PM delivers with its fast checkout processes and self-service options. Many stores feature quick-serve coffee stations and grab-and-go counters, ensuring that customers can complete their shopping quickly, which is crucial in the fast-paced lifestyles of urban consumers.

4.       Loyalty and Promotions AM/PM benefits from its connection to Ipiranga’s Km de Vantagens loyalty program, one of the largest in Brazil. Consumers earn points not only from fuel purchases but also from their convenience store visits, which they can redeem for discounts, rewards, and promotions. This loyalty program creates strong brand attachment and repeat business.

Five Reasons Why AM/PM Is Positioned for Growth

1.       Expanding Consumer Demand for Convenience The demand for convenience retailing in Brazil continues to grow as urbanization increases and consumer lifestyles become more fast-paced. AM/PM’s ability to offer quick, diverse solutions for everyday needs keeps it well-positioned to attract more customers. As more people seek time-saving shopping experiences, convenience stores like AM/PM will see rising foot traffic.

2.       Integration with Fuel Stations The ongoing growth of Brazil’s vehicle population and the consistent need for fuel means that AM/PM’s location strategy remains a strong advantage. Being tied to Ipiranga gas stations ensures a steady flow of customers who can easily stop for food, beverages, or essentials while refueling. This natural synergy between fuel and convenience continues to drive footfall.

3.       Diversification of Product Offerings AM/PM has steadily expanded its product range to include fresh food, beverages, and even prepared meals, meeting the growing demand for quick yet high-quality food options. This diversification allows the brand to compete with both traditional convenience stores and fast food outlets, appealing to a broad spectrum of consumers.

4.       Leveraging Digital Channels AM/PM is tapping into Brazil’s growing adoption of digital payment solutions, mobile apps, and e-commerce. The brand has incorporated mobile ordering and digital loyalty programs, which attract tech-savvy consumers who appreciate the convenience of pre-ordering and earning rewards through digital platforms. This investment in technology enhances customer engagement and drives repeat business.

5.       Sustainability Initiatives Like many modern retailers, AM/PM is responding to consumer demand for more sustainable practices. The chain has begun incorporating eco-friendly initiatives, such as reducing plastic use, sourcing local products, and promoting responsible waste management. As environmental awareness continues to rise among Brazilian consumers, AM/PM’s commitment to sustainability helps differentiate it from competitors and aligns with the values of a growing customer base.

Think About This

AM/PM’s ascent to becoming Brazil’s second-largest convenience store chain is rooted in its strategic partnership with Ipiranga, consumer-focused offerings, and a keen understanding of the changing marketplace. With its unmatched location advantage, diverse product range, and loyalty-driven customer engagement, AM/PM is well-positioned for future growth. By expanding digital capabilities, embracing sustainability, and continuing to adapt to consumer trends, AM/PM is set to remain a leader in Brazil’s dynamic convenience store sector.

For international corporate presentations, regional chain presentations, educational forums, or keynotes contact: Steven Johnson Grocerant Guru® at Tacoma, WA based Foodservice Solutions®.  His extensive experience as a multi-unit restaurant operator, consultant, brand / product positioning expert, and public speaking will leave success clues for all.