Convenience Store Business
Our market is booming. Convenience store industry sales rose 8.6% for 2002. Overall U.S. retail sales grew by only 6.3%, and grocery sales followed with 2.4% growth, proving once again that the convenience store industry has become a powerful force in U.S. retailing.
Convenience stores serve the entire purchasing population of its geographical area but focuses on customers who need to purchase items outside of normal working hours such as swing shift employees and quick shoppers looking for snacks and related items. Therefore we have segmented our market into night shoppers, quick shoppers, and others. Growth rates for these three segments match the population growth for the surrounding area.
Our main competitor is 7-11 which holds approximately 30% of the industry. Other competitors include Circle K, Fastrip, and any of the 85 grocery establishments on the east coast.
Convenience stores serve the entire purchasing population of its geographical area but focuses on customers who need to purchase items outside of normal working hours such as swing shift employees and quick shoppers looking for snacks and related items. Therefore we have segmented our market into night shoppers, quick shoppers, and others. Growth rates for these three segments match the population growth for the surrounding area.
Our main competitor is 7-11 which holds approximately 30% of the industry. Other competitors include Circle K, Fastrip, and any of the 85 grocery establishments on the east coast.
-Our target market for our test store encompasses a five mile radius in which the approximate population is 150,000 (based on census information).
The majority of the residents in this area are Caucasian (58.8%) Black (23.6%) and Hispanic (19%) with occupations classified as professional/technical, homemaker, or retired. The majority of household incomes range from $20,000 - $30,000 (50.3%), yet there are also affluent household incomes ranging from $50,000 - $100,000 (15.4%).
The median income in this area is $48,096, compared to the whole New York area which is $34,248. The typical "head of household" age is 25 - 34 (22.4%) or age 34 - 44 (23.1%) with a median age of 44.4 years old and an average age of 32 years old.
Target market segmentsConvenience stores serve the entire purchasing population of its geographical area but focuses on customers who need to purchase items outside of normal working hours such as swing shift employees and quick shoppers looking for snacks and related items.
The majority of the residents in this area are Caucasian (58.8%) Black (23.6%) and Hispanic (19%) with occupations classified as professional/technical, homemaker, or retired. The majority of household incomes range from $20,000 - $30,000 (50.3%), yet there are also affluent household incomes ranging from $50,000 - $100,000 (15.4%).
The median income in this area is $48,096, compared to the whole New York area which is $34,248. The typical "head of household" age is 25 - 34 (22.4%) or age 34 - 44 (23.1%) with a median age of 44.4 years old and an average age of 32 years old.
Target market segmentsConvenience stores serve the entire purchasing population of its geographical area but focuses on customers who need to purchase items outside of normal working hours such as swing shift employees and quick shoppers looking for snacks and related items.
Convenience Store Business
Convenience store industry sales rose 8.6% to $86.3 billion for 2002. Overall U.S. retail sales grew by only 6.3%, and grocery sales followed with 2.4% growth, proving once again that the convenience store industry has become a powerful force in U.S. retailing.
Pre-tax profit margin in the convenience store industry was the highest since 1988 (1.8%). The 2002 results confirm that a new, upward trend is emerging. This upward trend is based on several factors, and occurred along with a slow rebound in the general economy.
Merchandise sales per customer increased 7.4% in 2000 suggesting that convenience stores are placing higher priority in filling the customers' needs. Companies that align themselves properly to fill those needs will be successful in the future.
Pre-tax profit margin in the convenience store industry was the highest since 1988 (1.8%). The 2002 results confirm that a new, upward trend is emerging. This upward trend is based on several factors, and occurred along with a slow rebound in the general economy.
Merchandise sales per customer increased 7.4% in 2000 suggesting that convenience stores are placing higher priority in filling the customers' needs. Companies that align themselves properly to fill those needs will be successful in the future.
-Asian Convenience Store - Industry Analysis (2005-2009)” report provides extensive research and objective analysis on the growing convenience stores market, its product sales, and technological trends in Asia. This report helps clients to analyze the leading-edge opportunities critical to the success of the convenience stores market in Asia. It reviews the stores and industry practices across the globe and provides an insight of how convenience-retailing business is shaping up seeking to address the gamut of issues raised by this new standard-bearer of world retail.
In recent years, convenience stores operators have initiated strategic moves to improve operation; enhance performance and differentiate from the competitors to position themselves in the market.
In recent years, convenience stores operators have initiated strategic moves to improve operation; enhance performance and differentiate from the competitors to position themselves in the market.
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