Opportunities for convenience retail services in environments that have not traditionally offered them are expanding as technology advances. Elliot Maras, editor of Kiosk Marketplace and Vending Times, made this statement in an article. It offers a distinct perspective on the current condition of convenience stores.
In essence, the c-store retail environment is characterized by a constant state of transformation and evolving consumer behavior.
According to a study conducted by PDI Technologies and GasBuddy, inflation and prices are the most significant concerns for c-store owners and operators, as there are a multitude of factors that influence the industry. The report also indicated that c-stores are rapidly transitioning to retail locations, and consumers anticipate a superior physical experience in addition to the efficacy of the purchase and payment process.
The U.S. Commerce Department recently reported a 0.6% increase in retail sales, primarily due to spending at fueling stations. C-stores have the opportunity to enhance touch points, generate enduring brand loyalty, and boost the bottom line by increasing store traffic.
Consequently, numerous discount retailers are conducting the same. 7-Eleven Inc. intends to establish one of the most extensive fast-charging networks for electric vehicles in North America.
A gas station in Clearwater, Florida is currently conducting a pilot program for self-ordering technology. The objective of this program is to improve the customer experience, increase the purchase level, and increase profitability for c-stores and fueling stations while customers are at the pump.
RetailCustomerExperience conducted an email interview with Michael Jaszczyk, the chief digital transformation officer at GK and CEO of GK Americas, to obtain an understanding of the strategies that c-stores are employing to improve the purchasing experience. GK is a global provider of cloud services for retailers. Jaszczyk has a wealth of experience in the retail industry, having served as a manager at international IT companies such as Pironet AG, SA2 Retail AG, and MCRL AG. Additionally, he has a strong background in software development. He was designated CTO (until 2018) and CEO of GK Software USA in November 2011, following his appointment as the OpenScale business leader at GK Software SE in late 2010.
Jaszczyk emphasized that the key to enhancing the customer experience by implementing c-store technology, whether it be at the pump, in the aisle, or at the cashier, is to avoid racing in without considering what customers want.
Q. Consequently, the purchasing experience at a convenience store has witnessed a significant transformation over the past decade, as c-stores are enhancing their offerings with dynamic content at the pump and loyalty programs. In your opinion, what has been the most significant aspect of that transformation over the past decade?
A. The most substantial transformation in convenience store purchasing over the past decade has been the heightened personalization of loyalty programs. C-store retailers can now offer personalized promotions that are based on customer preferences by utilizing AI-driven technology. This change is crucial for c-stores to continue to generate the necessary purchasing activities to remain competitive. With the ongoing economic pressures, consumers are increasingly anticipating rewards from their loyalty programs, and the creation of personalized experiences only serves to increase this value.
Q. In your opinion, what are some of the most thrilling developments, and what should convenience stores be doing to improve the purchasing and fueling experience?
A. In order to improve the purchasing and fuelling experience, c-stores can concentrate on a few key strategies. Initially, ensuring that fuel and in-store rewards are seamlessly incorporated through a unified POS system enables customers to accumulate rewards in a seamless manner, thereby enhancing the overall purchasing experience and encouraging loyalty.
Furthermore, convenience retailers may enhance the customer experience by incorporating distinctive product assortments, cafés, restaurants, and prepared food options into their stores, thereby establishing convenient and engaging contact points for consumers. Another essential component of providing customer service is the implementation of mobile payments, which simplifies the process of order processing, pre-ordering, purchasing, and contactless payments for consumers who are on the go.
Q. Why is customer loyalty so important for convenience stores at this time, and what should they be doing and not doing?
A. The increasing quantity of time that individuals are spending at convenience stores necessitates that c-stores prioritize customer loyalty. For instance, the presence of electric vehicle (EV) owners who spend extended periods at convenience stores while their vehicles are charging presents a distinctive opportunity for convenience stores to enhance their customer experience and enhance customer loyalty. Additionally, the holiday season is on the horizon, and c-stores frequently serve as indispensable destinations for travelers visiting family and friends. Consequently, it is imperative for these businesses to implement loyalty programs that will satisfy customers and promote return visits.
Comprehensive loyalty programs that incorporate all types of transactions, including those conducted in-store and at the pump, should be implemented by convenience stores. These programs should leverage data and customer insights to provide personalized recommendations that are aligned with the preferences of each customer, thereby enhancing the value of each customer by suggesting products or promotions. Additionally, they should connect with customers in the manner in which they prefer to interact, such as through mobile devices, card-based systems, or in-person at the register.
C-stores should refrain from hastily implementing this new technology without considering the specific needs of their consumers. C-stores are required to guarantee a user-friendly and seamless experience for loyalty programs at every stage, from sign-up to reward redemption. It is imperative to comprehend the precise requirements and preferences of their target audience, and the effective customization of loyalty initiatives can be achieved by utilizing the appropriate data to extract insights.
Q. The c-store pump has made significant strides in the dissemination of new content to gas consumers and the utilization of this point of interaction to direct the customer into the store aisles. What is effective and what is not?
A. The integration of advanced ordering and payment technology has enabled C-stores to make substantial progress in personalizing customer interactions at the pump and attracting them to the store corridors. For example, a unified point-of-sale (POS) system enables customers to order food at the pump, thereby increasing the overall convenience and promoting in-store visits. Nevertheless, the implementation of a siloed approach to these contact points is ineffective due to the fact that legacy POS systems are unable to facilitate the seamless integration of these consumer interactions. C-stores must guarantee a seamless and cohesive customer experience that bridges the divide between their in-store offerings and the pump in order to achieve maximum success.