The Convenience Factor

When someone thinks about a convenience store how could they not think about convenience? It is in the name isn't it?

Well the convenience factor is much more than fresh donuts and hot coffee to say the least. Convenience is 100% relative to the customer base that frequents the facility as well as the target geographic base that does not.

Typically convenience stores depend on major product suppliers to tell them what their customers need. While this is better than no targeting it falls short of true targeting for your facility. Each facility has its own special needs for products and services. Obviously taking the proper time and effort to analyze your customer base is seen in some circles as an unwarranted expense or cannot be quantified for budgetary reasons. I am here to tell you that it is much easier, faster and produces better results than you can imagine.

Lets look at this from three levels; Single Store, Small Chain and Large Chain.

As a single store you have the very best possible situation. You get to know each of your customers on a more personal basis, normally you live in the area of your store which gives you more insight and your employees are from the area. You and your staff are more likely to participate in community functions and affairs as well as be more aware of the communities financial stability.

As a single store you have some disadvantages though. You may not be exposed to new products and services as fast as larger chain stores. You normally do not have the buying power and clout that larger chains have.

So how do you maximize the convenience factor of your single store? Armed with all the personal knowledge available from your community call your product reps and look for products and services that your facility can offer your community. Attend national and state conventions and shows. These give you an expanded look at the industry and allow you to get some ammunition for new products and services that your community may need or desire. If you have a question about a product or services application to your community ask! Ask your customers their opinion before you commit to a product or service that you are not 100% sure of.

As a multi store chain you have a lot of past understanding about the communities that you have stores in as most started as one or more stores to begin with. You now have gained some more clout with product and service providers that you did not have as a single store operator. As well your name is more widely known throughout your geographic footprint.

The disadvantages of this size chain is not only that normal growing pains tighten the budget, you are also in a more technically diverse and dependent climate now. You are just starting to understand the power of collected data from the stores and you are starting to lose the very personal touch associated with a single store operator.

So how do you maximize the convenience factor at each store in your chain? First of all get your store managers and employees involved with the local community. BBB mixers, community development committees, local sporting events, and more keep your store employees in touch with their customer base. Take the time to collect and analyze your data from sales. Become dependent on your own data and not just that of product and service suppliers. Become more aware of product turns. Pay strict attention to turns on individual products, product subcategories as well as major categories. But most of all be open to suggestions from employees and customers. Try to find new and fresh ways to get opinions from customers.

As a large chain you have the maximum exposure to new products and services available. Everyone wants to sell you something. You normally have huge databases of collected data and reports upon reports generated from the data. You are in the drivers seat when it comes to getting products developed just for your customer base and have the clout with the providers to maximize your profits.

But you are also have the largest handicaps when it comes to community knowledge. You have become very dependent on supplier controls and when it comes to knowing your customer, the vendors speak from a higher level of authority. Your product mixes have become "cookie cutter" from store to store as your planograms will show and you feel that you know more about your stores than anyone else as you are the big kid on the block. You have investors to answer to and their opinions get more play than your customers opinions.

So how can you maximize convenience in a large chain? First of all hold supervisors responsible to grow community awareness within a stores local community. Make sure to leave opportunities in the planograms for store managers and supervisors to add products and services that are specific to a stores needs. Have employees assigned to specific categories at each store to watch, monitor, analyze and gather customer suggestions for. Have them meet with their peers to discuss their findings periodically and to look for new and exciting products that will apply to their local market. Give out prizes or bonuses semiannually or annually to the store that comes up with the best new products and/or increases in profitability and top line sales based on specific categories. Use your data gathering abilities to assist these groups in monitoring their progress and setting their goals. But most of all you will really have to strive and be creative when trying to get feedback from customers. This issue needs to become a priority as the personal service that is well known in a single store is normally hard to find in large chains.

So what does this all have to do with convenience? Everything! If you have the product and/or service available for a customer your customer will stay your customer. As well they will spend more each time that they are in your store as you are addressing their real needs. If you have the product and/or service that the customer wants, at a fair price, and your employees are upbeat and having fun you will have a customer for life. And isn't that what it is all about anyway?