Back in the day, a visit to Wawa or 7 Eleven meant buying a bag of chips, a candy bar, soda or sports drink. Never would we think about buying actual food.

 Today, the Wawas and 7 Elevens of the world, convenience stores or c-stores, are intensifying their focus on foodservice offerings to drive foot traffic, in-store sales growth and frequency of repeat visits. Strong consumer interest in prepared foods have c-store competing much more aggressively with other outlets that have traditionally been the go-to for these types of offerings.

The focus on offering a wider variety of prepared and ready-to-eat food items has clearly paid off, as c-stores across the country have seen record sales in recent years. According to Circana, there was 8 percent year-over-year growth in both 2022 and 2023, well ahead of overall inflation numbers for both food at and away from home. While sales appeared to soften in 2024, it is expected that two-thirds of c-store retailers predict total sales per store will grow in 2025.

According to a new report from CoBank’s Knowledge Exchange, the line between grocery stores, quick-service restaurants and c-stores will continue to blur, intensifying competition across the foodservice and retail grocery spectrum. C-store chains are increasingly viewing QSR and traditional fast-food chains as their chief competition and tailoring their food offerings to match if not exceed competitors’ menu options.

“Convenience stores have evolved from their gas-fueled beginnings to become true food and beverage destinations,” said Billy Roberts, food and beverage economist with CoBank. “Food service is the future for c-stores, and we expect they’ll continue to emulate their competitors with a greater variety of freshly prepared items, along with more attention to signature menu items and private label products.”

Some of the c-store success can be attributed to customer loyalty programs, something not usually associated with the c-store model. Several c-stores have developed loyal followings on a near-nationwide scale. The 2024 Loyalty Trend Report from Paytronix finds at least 80 percent of c-stores’ loyalty program members in the top half of loyalty transaction visits per store every month.

“This enthusiasm for loyalty programs will be a tool that c-stores look to sharpen as they attempt to claim more traffic from restaurants, which have seen weak results of late,” said Roberts.