A combination of low gas prices, strong consumer confidence and warmer weather is expected to continue the year’s already strong sales at convenience stores into the second quarter of 2017. That’s according to a recent survey of convenience store owners conducted by the National Association of Convenience Stores (NACS.)
A sizable percentage of retailers surveyed say that low gas prices have grown sales in 2017: 47 percent say that low gas prices helped grow in-store sales and 42 percent say that low gas prices grew fuel sales over the first three months of the year. A full 80 percent of convenience retailers expect in-store sales to increase this summer compared to last year, and 57 percent expect their fuel sales to increase compared to last summer.
Other factors also point to stronger sales at convenience stores.
John Clark of Alpine Mart in Stowe, Vermont, expects sales to increase because of strong consumer confidence and the warmer weather. Nearly three in four retailers are optimistic about the economy (76 percent), the convenience store industry (73 percent) and their own business prospects (73 percent) over the next three months.
An increasing percentage of retailers are optimistic about food sales: 53 percent of all retailers optimistic about their business prospects cite food sales as the reason. Overall, 57 percent of retailers say that sandwiches and meals will grow their sales, with 35 percent citing healthy packaged snacks and 28 percent citing fruits and vegetables.
Convenience stores also sell more beverages as the weather heats up, and retailers are expecting the same to happen this quarter: 63 percent say packaged beverage sales (soda, bottled water, teas) will increase, and 43 percent say that fountain drinks (both cold and frozen) will increase.
“Planning is the key. We expanded our fueling locations to help drive traffic inside the store to our new healthier choices in our foodservice area like fresh fruit smoothies and salads on demand. Couple that with strong consumer confidence and we expect to have a great second quarter,” said Dennis McCartney of Landhope Farms in Kennett Square, Pennsylvania.
