Here’s what we know about consumers today: They’re clearly in a better mood compared to last year, but they’re certainly not in a great mood. They are greatly concerned about issues like inflation and safety (check out “What Consumers Say About Prices, Crime and C-Store Jobs” from the April issue). And consumers will actively seek out your business for food and fuel if you present them with the right price and the right customer experience (see the May 2024 feature “A Parting of the Clouds”).

This article wraps up our three-part data-driven series of consumer insights by examining two topics directly linked to our industry’s present and future: foodservice and food safety.

Foodservice Sales and Quality Are Up

The NACS State of the Industry Report® of 2023 Data shows that total industry foodservice sales in 2023—which includes prepared food; commissary; and hot, cold and frozen dispensed beverages—represented 26.9% of in-store sales, up 1.3 percentage points from the year prior. Profits from foodservice were even more impressive: 37.3% of total in-store profits.

Prepared food, which is about 75% of the foodservice category and includes sandwiches, meals and other food prepared onsite, jumped 12.2% in sales to $51,500 per store, per month, making it the No. 1 category for all in-store sales in 2023.

That is quite a change from a few decades ago, when our locations were often perceived as a place of last resort for eating. Today, convenience stores have become destinations for meals, sandwiches and all kinds of prepared food. Photojournalist Kate Medley, author of “Thank You Please Come Again,” celebrates the great food that she found driving through the South. The telling line is in the foreword: “My favorite restaurant served gas.”

Celebrity Chef Andrew Zimmern, a four-time winner of the James Beard Award (the Academy Award of the restaurant industry), agrees. On a recent NACS Convenience Matters podcast, he said, “The regional foods that you’re able to taste in these convenience stores are equal or better than anything that you’ll find anywhere else.”

Consumers agree too. One in four drivers (25%) who went into the store the last time they bought gas say they also bought a sandwich or meal. This is nearly double the response (13% of consumers) from last year’s NACS consumer poll. The even better news is that these food purchasers tend to come from two of the most coveted age groups: 18-34 and 35-49.

Looking beyond their most recent fill-up, more than half of all drivers (54%) purchased a sandwich or meal from a convenience store in the past 12 months. There are clear splits by gender, age and region. Men and younger consumers are especially more likely to have purchased a sandwich or meal, while drivers in the West were noticeably less likely.

How much of the sandwiches and meals sold at stores become dashboard dining? Quite a bit, it turns out. More than 6 in 10 customers are consuming their meal in their car, while just 1 in 10 are eating inside the store.

Healthy Options

Consumers are always in search of delicious food, though convenience stores and gas stations have witnessed—and helped influence—a shift towards healthier options too. More than one in four drivers (29%) say they choose healthier products “always” or “very often,” and men are more likely than women to seek out these options—as are younger customers.

Though many are seeking out these healthier options, the challenging news is that many consumers don’t believe there are enough healthy food options available in c-stores. Two in three American adults (67%) say the selection of healthy food options in c-stores is very or somewhat “inadequate”—while one in three (33%) say the options are very or somewhat “plentiful.” Consumers are most likely to say selections are adequate in the Northeast (41%) and in urban areas (39%).

Competing on Value

The current economic climate has hard-pressed consumers seeking out convenient and affordable options. The variety and value of convenience store offerings has become more enticing as consumers face rising prices at all channels, including grocery stores and QSRs. Making your store the literal one-stop-shop destination where consumers can fill up their vehicle—and recharge themselves—is a great way to win and retain customers.

About the NACS Consumer Survey

NACS has conducted national consumer sentiment surveys since 2007, with a specific focus on fueling issues. NACS conducted two separate consumer surveys in 2024. One was solely focused on the issues of crime, prices and jobs. This article is the second of a broader two-part series looking at consumer sentiment based on a survey conducted by national public opinion research firm Bold Decision (bold-decision.com) on behalf of NACS; a total of 1,200 U.S. adults nationwide, including N=990 drivers, were surveyed from March 8-12, 2024. The overall margin for error for the study is +/- 2.83% at the 95% confidence level.