The Rise of Convenience Stores as Dining Destinations: Capturing Changing Consumer Preferences
Discover how convenience stores are seizing the opportunity as dining locations amidst changing trends in consumer preferences for quality food and value.
Photo by Tom Barrett on Unsplash
Quality Over Cost: A Shift in Consumer Behavior
Recent reports indicate a significant trend in consumers changing their preferred quick-service restaurant (QSR) choices in favor of better quality food. While concerns about high prices exist, it is the quality of the food that has been the primary driver of these changes. According to a survey, nearly half of respondents modified their favorite dining spots because they found better food elsewhere. The concept of 'better value' closely followed, indicating that quality and taste are paramount for modern diners.
Changing Dynamics in Consumer Choices
The study highlighted that an increasing number of consumers, particularly from Generation Z and Millennials, are open to dining at convenience stores and grocery chains. This shift in behavior signifies a departure from traditional fast-food and fast-casual restaurant visits. The rise in popularity of convenience stores for quick meals can be attributed to the introduction of more made-to-order options, enhancing convenience and catering to evolving consumer demands.
Challenges for Convenience Stores: Perceptions of Food Value
Although convenience stores are gaining traction as dining destinations, there is a prevalent perception among consumers that they do not offer good food value compared to QSRs. The survey revealed that a significant portion of respondents still believe QSRs provide better value for their dining expenditure. This discrepancy can be attributed to the perception that convenience store menus primarily consist of individual grab-and-go items or made-to-order selections, missing the appeal of bundled meal deals.
Strategies for Enhancing Food Value Perception
Recognizing the need to address consumer perceptions, convenience stores with a food focus have already begun implementing strategies to enhance food value. Retailers like 7-Eleven are revamping their store formats to emphasize food offerings, aiming to expand their quick-service restaurant network. Additionally, limited-time and bundled meal deals have gained popularity among convenience store chains like Rutter's, EG America, Tri Star, and Jiffy Trip, providing customers with enticing choices and value-driven options.
