There are not many single stores or chain operators at this level of foodservice in the convenience store industry, but quite a few intermediate players aspire to step up to this level. These players view fast feeders and other restaurants – not convenience stores – as their primary competitors.

To bump up to this level of execution, operators must invest more heavily in advertising and technology. When advanced-level operators develop new menu items or new programs, they broadcast it to every corner of their marketplace in the most efficient manner possible. And they are reinforcing all that messaging inside their store(s) and on their websites. Some even have mobile applications (apps). Technology and advanced communications tools to engage with customers (i.e. websites, social media, external and in-store advertising), can help single-store owners operate at a more sophisticated level.

High-performing foodservice operators tend to invest heavily in all forms of technology – scanning, touch-screen kiosk ordering, item-level inventory management, data warehousing, electronic data interchange – that yield important data so they can make informed decisions. For these players, foodservice is a science as much as it is art.

The Offering
Menu differentiation is vital – advanced operators rarely, if ever, add menu items that every other convenience store operator has. They aspire to restaurant-quality food and will rarely offer self-serve foods where they can't control quality, image and presentation. This is likely the group that will successfully develop and execute dinner and home-meal replacement.