Convenience distributors are charging forward – despite the poor economy

by Bob Gatty

Key Takeaways
•    ROA continues to improve, but distributors are still unhappy with profits.
•    Distributors are not moping, but are actively seeking ways to generate profits.
•    The majority of respondents are optimistic about their company and the industry’s future.

In the current economy, c-stores are finding that focusing on merchandising, value and profitable product categories are vital to success.

by Lisa White

Key Takeaways
•    Retailers are targeting profitability and the right store mix in tough economic times.
•    Value for consumers remains a top priority.
•    Some are expanding their offerings and store sizes to compete with grocery/mass merchandisers.
 

The unlikely link between tobacco taxes and regulations, criminal cartels, and terrorism

by Bob Gatty

The huge federal tobacco tax increases that took effect April 1 and potential new regulations and restrictions still to come are expected by some experts to spur increased sale of illegal cigarettes and other tobacco products, perhaps helping to finance much more sinister and dangerous criminal activities -- even terrorism.

Turnkey suppliers help distributors capture hefty margins without investing in costly proprietary programs.

by Bob Gatty

Key Takeaways
●  Distributors are looking to the leaders in branded foodservice for guidance.
●  Retailers are more likely to take on a program if it is easy to implement.
●  Proprietary programs still hold promise, but face more challenges.

Tobacco faces many challenges but continues to evolve

Key Takeaways

• Pressures on other channels to stop selling cigarettes may drive even more sales to c-stores.
• Premium brands are showing growth and have not been fully developed yet.
• Other tobacco products hold promise for new areas of growth, whether it’s snus, sticks, tablets or strips.
  

By Cecelia Blalock