Inflation continues to affect the convenience store channel more dramatically than the larger multi-outlet landscape. As U.S. inflation accelerated and gas prices rose in Q2 2022, c-store shoppers opted for less-expensive items and decreased the number of items in their basket.
IRI’s new report, “U.S. Convenience Store Inflation Impact,” explores the latest key trends in the convenience channel and the most effective ways that retailers can respond to them.
- 16% of c-store shoppers are visiting the channel less, citing higher prices. They’re looking for more promotions but see fewer items they want being promoted.
- Price increases are being partially offset by a shift to private label products, which are outperforming national brands and grew 12.2% YOY in Q2.
- Lower-income shoppers lead the trends of declining dollars per basket and the shift to private label.
- Money-saving promotions and value-focused marketing are the best bets to attract c-store shoppers right now.
- Retailers should shift assortments to increase value offerings, especially private label products with low opening price points in key categories.
- It’s important to react quickly to competitive pricing and manage price gaps on key items.