Foodservice Continues to Step Forward

by | May 4, 2018

The number-one reason consumers shop at convenience stores is not convenience. Nor is it even for competitive gas prices or, less surprisingly today, cigarettes. In this post, BATeam shares some statistics and insight about the key drivers behind this surprising trend.

According to a recent survey by the global consulting firm AlixPartners, the number-one reason consumers shop at convenience stores is not convenience. Nor is it even for competitive gas prices or, less surprisingly today, cigarettes.

No; the number-one driver of consumers’ purchases at convenience stores, the survey says, is foodservice, including hot/cold/frozen dispensed beverages in addition to prepared foods. While 21% of the survey respondents indicated location was they top driver, 27% said foodservice was the key driver, with 14% making specific reference to food quality.

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This is a notable change in how consumers of previous generations viewed the convenience store’s role in their shopping patterns. When accounting for age, the survey revealed older consumers are focused on location and convenience while Millennials and Gen X consumers identified price and food quality as their top considerations.

In the results, the survey continues to shine a light on the need and opportunity for convenience retailers to reduce their reliance on snacks and late-night shoppers and service the nearly 50% who say they are seeking “better for you” options.

Echoing these results, a recently released report on the foodservice category in convenience stores by the NPD Group points to Millennial shoppers as seeking transparency in foodservice offerings – access to ingredient information and demonstration of a product’s freshness – in where they will wield their increasing spending power. According to the NPD study, Millennials will account for nearly 30% of CPG purchasing by 2020. Given that, they are a segment worth listening to.

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Business Accelerator Team is an outside-in catalyst assisting with insight, strategy, marketing and connections. Our consultancy provides business-development expertise derived from a deep understanding of what has worked with suppliers, retailers and media in retailing and foodservice. If you would like to learn more about how Business Accelerator Team can help you improve your foodservice offering, contact us for more information.


  1. Van Tarver

    Excellent review of the power of Food Service, great opportunity for our industry to continue, it’s incredible growth.

    • Mike Flebotte

      Thanks for reading our post, Van! We’re just as optimistic about the role of foodservice in c-store growth!


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