HEAS Energy: BATeam Helps Increase Profitability at Store Level
About HEAS Energy
HEAS Energy operates 17 stores branded Express Lane in Richmond and Lynchburg, VA. These stores have typical c-store layouts and product assortment, and all stores have fuel (3-5 MPDs) branded by 76, Shell, Mobil, and Exxon. A total of 10 stores operate with a full kitchen, offering a wide variety of breakfast, lunch and dinner made-on-premise offerings. Express Lane is known for it’s fried chicken and associated daily specials, entrees and side dishes.
Why BATeam
Shiv Patel, Owner and Operator, has been operating successfully for a few years with a skeletal staff and is now interested in store growth. In addition, Express Lane is competing with Wawa and Sheetz, both with very successful operations. There is a need to source outside expertise to provide direction beyond the current business skillset.
Areas of Need
HEAS Energy’s primary need is to improve merchandise sales and margin to generate significantly more top-line gross profitability. Although over 50% of Express Lane profit is generated from merchandise sales, current bottom-line net income success is driven by gaming.
Business Challenges
HEAS Energy is facing challenges with improving top-line sales and profit while competing for market share with strong retailers such as Wawa and Sheetz.
Objective
HEAS Energy has set a goal to increase top-line gross profit by $400 per day, per store. This is a very aggressive goal, but a necessary one to enable the business to be less reliant on gaming.
Approach
BATeam deployed a multi-tiered approach focused on:
- Concentrated effort behind what to promote for greater loyalty and c/ctns,
- Updating exterior POP placement to organize and clean-up the outside look
- Improving interior messaging to be more strategic and targeted against high velocity items
- Removal of all unnecessary vendor signage which adds to the cluttered and unorganized appearance.
- Target Electrom sign-ups and push out messages to drive loyalty.
Results
BATeam helped HEAS Energy to increase top-line gross profit by $400 per day/store.