The Art of Merchandising: Insights from Kellanova®

In the bustling world of convenience stores (C-Stores), the art of placement and promotion is everything. With customers spending an average of just 2.32 minutes in the store, every second and every product placement counts. Below are optimal merchandising strategies that could revolutionize the way C-Stores operate.

Snacking: The Heartbeat of C-Stores

According to Kellanova®, snacking is a key occasion for C-Store shoppers. It reveals that customers snack 2.7 times per day on average, with a notable increase among those who snack five times or more since 2016. But what does this mean for C-Store merchandising?

Priority categories such as salty snacks, portable water solutions (PWS), bars, ready-to-eat cereals (RTEC), and crackers should take center stage. The data suggests these categories align perfectly with consumers’ snacking habits, both as standalone snacks and as lunch accompaniments.

Location, Location, Location

Kellanova® emphasizes the importance of strategic product placement. Four key areas within C-Stores are highlighted:

• Perimeter: With snacking as the occasion, the perimeter areas should feature priority categories, such as salty snacks.
• Impulse Checkout: Since only 25% of customers venture down the aisles and 100% pass through the entrance and checkout, this space becomes crucial for impulse buys. Here, salty snacks, crackers, bars, and PWS are recommended for promotion.
• Foodservice/Prepared Foods: Shoppers seek food combo offers, with 27% considering it a key factor in their store choice. Hence, salty snacks, PWS, bars, crackers, and RTEC should be readily available.
• Fountain Beverage Area: With chips and salty snacks dominating category sales, they deserve prominent placement here, where they can act as both a lunch alternative and an afternoon snack.

Harnessing Shopper Traffic Patterns

Understanding and leveraging shopper traffic patterns is essential. For instance, secondary display options for salty snacks could be located near coffee or hot beverage stations, cold vaults, or roller grills—ideal spots to capitalize on high foot traffic.

Timing and Occasions Matter

Kellanova® outlines specific occasions when certain product categories should be featured more prominently:

• Morning Rush: A time when all day parts are seeing growth, positioning items such as PWS, bars, and RTEC near the coffee bar or beverage station caters to breakfast needs.

• Afternoon and Late Night: Snacking during these times appears to be on the rise. Therefore, making sure salty snacks are visible and available can cater to these afternoon cravings and fill-in trips, which often result in a basket size 75% higher than an average grab-and-go trip.

Conclusion: A New Era of Convenience Store Merchandising

Kellanova® provides us with a glimpse into the potential for strategic merchandising within Convenience Stores. By prioritizing specific categories and adjusting display locations to maximize shopper exposure, Convenience Stores can enhance their customers' experience while boosting sales.

Remember that in the fast-paced environment of convenience retail, understanding customer behavior and leveraging it through smart merchandising can make all the difference. The future of C-Store success lies in the ability to adapt, innovate, and cater to the ever-changing landscape of consumer needs.