The annual National Association of Convenience Stores (NACS) Show just wrapped up its 30th anniversary with some southern hospitality at the Georgia World Congress Center in Atlanta.
The NACS Show is convenience and fuel retailing’s premier industry event and attracts more than 23,500 industry stakeholders, such as PWM, from around the world.
“I have been to many NACS Shows as a retailer and then as CEO of NACS, and I have been amazed by every single one. Every year, I meet new people, learn from other leaders in the industry and take home notebooks full of great ideas to execute over the coming year. We have a special industry in which people help make each other better, and that’s on full display at the NACS Show,” said NACS President and CEO Henry Armour.
The 4-day event, spread out over a massive 425,000-square foot convention center floor, is a chance for the c-store industry to discover the latest products and services across categories from fuel equipment to foodservice.
The 2023 NACS show included:
- 4 general sessions and 49 education sessions led by industry leaders covering a wide range of topics, including customer experience, foodservice, leadership, technology, and more.
- The second-ever Food Safety Forum and NACS Advanced Category Management Certification Course.
- Expo with exhibits and cool new products from 1,200 companies.
“Now that the 2023 NACS Show has come to a close, the industry can reflect on the trends and ideas highlighted at the year’s biggest C-store event,” writes Brett Dworski in C-Store Drive. “While topics like hiring and inflation remained at the forefront, the c-store industry’s increasing focus on artificial intelligence was notably stronger at this year’s show.”
Labor and AI Dominate the Conversation at NACS 2023
It won’t come as any surprise to many employers that in today’s continued historically tight labor market and uncertain economic conditions, hiring and retention continue to dominate the industry conversation.
“Stability in the workforce to create a great customer experience is top of mind for me,” Chris Stewart, vice president of merchandising for Casey’s General Stores, told a panel.
It was noted that turnover remains very high among Casey’s 40,000 employees with one in four store managers leaving the company each year.
Some C-store retailers are confronting new minimum wage laws, such as the $15 per hour mandate in Maryland, that complicates hiring and retention.
Not far behind labor on the lips of show attendees was the hot-button issue of artificial intelligence (AI).
“As expected, AI was a hot topic at this year’s NACS Show,” wrote Dworski.
It appears that the C-store industry is taking note of the use of AI by other larger retailers.
“If you walk through a Walgreens or Sam’s Club or Walmart or Kroger, you don’t have to go very far until you see AI and technology in action,” Brian Ferguson, vice president and chief merchant for Pilot Company, said in an education session.
AI is making inroads in c-stores in various operations such as:
- Labor forecasting.
- Stock loss analytics.
- Demand and seasonality profiles.
New Tech Products Show Off Bells and Whistles
Like any NACS Show, plenty of new technological innovations were displayed for attendees.
“From self-checkout kiosks to automated point-of-sale systems, vendors flocked to Atlanta to showcase their innovations for c-stores,” wrote Dworski.
One product that jumped out at showgoers was The Smart Café from Cantaloupe, which uses computer vision and AI technology to charge the consumer for products they select out of a refrigerator or shelving unit.
“Cantaloupe’s technology is the next step in moving the self-service economy forward by providing safe, secure, and convenient options for all store owners,” said Brent Parkinson, commercial director at Imbera Cooling.
The Smart Café, one of Cantaloupe’s newest products, is expected to be made commercially available in early 2024.
Consumers simply present their payment, grab the item, and walk away. Business owners also reap the benefits of having locked coolers for added security on high-ticket items such as razor blades, cosmetics, OTC medicines, and more.
“Our technology elevates the c-store experience for businesses and consumers alike by enabling consumers to quickly and easily grab and go with their purchases,” noted Elyssa Steiner, CMO of Cantaloupe, Inc. “Our innovative solutions, such as the Cooler Café and the Smart Café allow consumers to simply make a payment, unlock the cooler, grab their item(s) and walk away! This advanced technology provides greater security for the store owner and a faster buying experience for the consumer.”
Merchandise Sales Challenged by Inflation
Inflation, which stubbornly refuses to go away, remains a topic for c-store owners.
“Convenience retailers have made strides in merchandise revenue over the past couple of years, but with inflation continuing to rise, expenses remain difficult to rein in. That’s why every retailer has their own strategy to optimize their assortments,” wrote Dworski.
NACS Magazine noted in July that despite the recent downward trend, inflation’s ripple effects will be felt for months or even years to come.
“The convenience store industry is strong and fluid, having adapted to a changing consumer, and some industry experts see a light at the end of the inflation tunnel,” said NACS Magazine.
Snacks are Getting Buffaloed Over with Flavoring
Every year at NACS a flavor for snacks sweeps the exhibition hall and this year, reports Dworski, it was Buffalo-flavored snacks having a Super Bowl-like party!
Wrote Dworski: “Buffalo-flavored snacks seemed to be at every other booth on the expo floor. Some products included buffalo-flavored wild boar jerky from Pearson Ranch Jerky; Wild Buffalo Puffzels — a crossover between cheese puffs and pretzels — from Unique Snacks; and two soon-to-be-released snacks from Kellogg and Pepsico, Scorchin’ Buffalo Pringles and Buffalo Cheetos, respectively.”
Food and drink were also well-represented in the Top 10 Cool New Products at the NACS Show, highlighted by the NACS including:
- Lunchables Crispy Grilled Cheesies, KraftHeinz: Microwaveable pouch creates a crispy outside and melty cheese inside in a minute.
- Sow Good Freeze Dried Candy, CB Distributors dba Fenix: Flavors include Rainbow Bites, Crunchy Worms, Crunchy Bears, Sweet Geeks, Peach Perfect, Sour Bites, and Mini Bursts.
- New Products from Drink Blocks, Drink Blocks: Zero sugar, zero calorie drinks with the empty containers doubling as toys.
- Freeze Dried Crazy Candy, Smithco Distributing DSD Express: Flavors include Rainbow Bites, Berry Bites, Taffy, Tangy Tarts, Carmel Apple Sucker, Lemon Bursts, and Peach Rings.
- New Products from Hatcheri Foods, Hatcheri Foods: Brands include Sonoma Gourmet (organic sauces), Sukhi’s (Indian street food cuisine), Snapdragon (instant noodles), and Fra’ Mani (gourmet Italian meats).
