Historically the convenience store/petroleum industry has had a limited number of destination drivers. They included fuel, beer, cigarettes and packaged beverage. C-store companies have learned that there can be a fifth destination driver, if done right, and that is foodservice. The National Association of Convenience Stores (NACS) reported that foodservice now contributes 22.5 percent of in-store sales and 33.9 percent of gross profit dollars.

The industry’s changing emphasis has not gone unnoticed by the QSR industry which now sees c-stores as a legitimate threat to their business. This is evidenced by their focus on the thirst occasion as shown by McDonald’s coffee and fountain drink standalone promotions.

QuickChek has always been a great c-store chain but it is not alone with its attention to foodservice. Others included Wawa, Sheetz, Rutter’s, QuikTrip and many other lesser known brands. All have realized that foodservice is a key component of the industry’s future.

QuickChek has always been a good c-store in the middle to northern New Jersey market. To a certain extent its competitive array to date, consisting of 7-Eleven and local bodegas, have not provided significant challenges to its market dominance.

The encroachment of Wawa and perhaps Sheetz changes the paradigm for QuickChek. Both have transitioned from traditional c-stores selling convenience grocery, snack and beverage products to a focusing on convenient meal solutions. QuickChek needs to look no further than the latest Wawa or Sheetz concept stores to see the future of the c-store business. In fact, Wawa’s current model reflects its learnings from the Florida expansion that fundamentally changed the nature of its business. The new QuickChek stores appear to mirror the Florida Wawa stores.

In the words of Picasso, “Good artists copy, great artists steal.” Dean Durling and his terrific team have learned from Picasso. Now we will see how the rest of the landscape develops.

Most convenience stores are more alike than they are different: cold drinks, pizza, beer, cigarettes and snacks sold in a place where you don’t tend to linger.

But a bright and open layout, fresh food, free Wi-Fi and no-fee ATMs, mobile device chargers, self-checkouts, plus a comfortable place to sit inside and out? I think more than Millennials are going to like QuickChek’s new concept store.

Fresh food service has become the number one differentiator in the convenience store industry. The leading brands have realized they can bring competition to the quick-service restaurant space. QuickChek is only the latest c-store brand to enact this level of change, following in footsteps of established brands like Wawa. Consumers have lost interest in the “old-fashioned” pre-packaged convenience foods and want to replace them with healthier and fresh options. This is a great move by QuickChek and we should expect to see them open more of these new format stores and eventually remodel existing locations to favor this new design. This trend will continue and we should see very convenience store brand move in this direction in the near future.

The difference between good and great depends on the consumer but generally speaking for “convenience” stores, customers expect quality products at reasonable prices that are convenient to find and purchase. Making the shopping process fast and frictionless is imperative.

Many convenience stores have moved into fresh and prepared foods to compete with fast food chains. Making fuel and food a one-stop shop makes sense. The challenge is to make the food better than fast food chains and streamline the checkout process. QuickCheck appear to be on the right path by offering products and services that appeal to the needs of time-starved consumers.