How convenience stores can maintain loyalty in today’s market

KEY FINDINGS:

• 69% of U.S. consumers plan on taking an overnight trip via car this summer.
• The convenience store industry must deliver on post-COVID-19 consumer expectations, such as providing hand sanitizing stations throughout store areas.
• Convenience stores should remain flexible while maintaining focus on the basics.

Experts continue to predict the global economy is nearing a recession, and a recessionary economy can have a sizable impact on the retail petroleum and convenience store industry and consumer consumption.

Despite these economic indicators, Ipsos research finds that 69% of U.S. consumers plan on taking an overnight trip via car this summer.1 That stat puts pressure on the convenience store industry as brands strive to adapt to consumer expectations while continuing to home in on the basics. But where should they start?

Communicating cleanliness

Convenience stores and gas retailers must look to deliver on newer expectations, such as providing hand sanitizing stations throughout the retail, fuel dispensing and transition areas.

The forecourt is typically the first, and possibly only, touchpoint with a consumer, so it is critical to always meet base expectations there. Those basics include safety and lighting, access to amenities and restrooms, fueling completion and speed of delivery/transaction. Lacking any of these can make or break what would otherwise be a premier experience.

Squeegees in frozen and dirty water, missing paper when requesting an auto-receipt at the pump or standing in spilled diesel while refueling are just some of the “make or break” experiences a brand can avoid with a disciplined, monitored, and visible approach to maintenance and experience oversight.

Brands doing it right

Based on Ipsos’ latest Shopper Experience Benchmark study,2 Maverik leads in the pack in providing “make or break” forecourt amenities (windshield washing supplies and garbage disposal) and Thorntons ranked highest for transaction speed.3

Safeguard your sites

Consumers are also concerned with safety and security. Being a “safe place to visit” was ranked second of eleven attributes most important to consumers when choosing a fueling location, according to the latest wave of Ipsos’ Shopper Experience Benchmark study.

Stores must demonstrate their site is the “safe place to stop” for consumers through thoughtful store design and basic site maintenance. Ensure the complete site remains well-lit, windows are more than 50% or more clear of view-inhibiting signage, backcourt aisles are clear, employee-only and storage areas are controlled, and the forecourt is free of debris and abandoned vehicles are ways to offer customers piece of mind.

Among site elements that most deter crime, location lighting was one of the lowest rated categories across all brands within the Shopper Experience Benchmark study, indicating a huge opportunity for brands to differentiate.

Brands doing it right

Wawa came out on top for both “feeling of safety” and “location lighting” for this latest wave of the Shopper Experience Benchmark.

Restrooms as ‘bestrooms’

Consumers may joke about avoiding gas station restrooms, but word of mouth around a brand having dirty restrooms will not increase sales. Consumers consistently rank the availability and cleanliness of the restroom among their top priorities when choosing where to fuel.

Some brands have even attempted to avoid the poor commentary about their facilities by allowing locations that have historically neglected their restrooms to close them down. This does not leave a positive impression on consumers. And as for keeping them clean? Checklists for employees and “Please alert management if this restroom needs attention” signage in the restroom are recommended to show consumers there is an intent to provide a great experience.

Customer retention is a result of customer satisfaction and taking care of the restrooms is an aspect of your business that should never be neglected.

Brands doing it right

QT and Wawa consistently score well with consumers in this area, and it shows. These brands both rank in the Top 3 for Likelihood to Return in the most recent Ipsos Shopper Experience Benchmarks.

1 Ipsos Omnibus, Data_Tracker_2023 W72, 638 US Consumers

2 Ipsos Omnibus, Data_Tracker_2023 W70, 221 US Consumers

3 All respondents (n=1963) from Ipsos Shopper Experience Benchmark® Q1 2023, a recurring survey based on the recent fueling and c-store experiences of 2,000 US consumers across 20 fuel and c-store brands. For the full Ipsos Shopper Experience Benchmark results, please contact [email protected].

WHAT’S NEXT: ‘Not All Doom & Gloom’

• The good news? We’re still seeing fuel consumption and associated travel spending, somewhat attributed to consumer desire to break free of the earlier COVID restrictions, still continue at near record levels (although there are some signs of slowing consumer exuberance due to the overall effects of inflation).
• Consumer expectations remain consistent in 1) obtaining quality fuel, 2) at a reasonable price, 3) in a safe, clean, and convenient environment. Ensure your network is delivering on these back-to-basics expectations by setting clear standards for your teams and providing a third party measurement program to confirm the execution of those brand standards via a site experience audit solution or mystery shopping program. Reach out to us for best practices in designing and executing a best-in-class program for your brand or site network.