The Road Ahead: Have fun with your marketing — and sell some merch, too

Business


Frank Beard is a longtime convenience retail enthusiast who currently works in marketing and customer experience at Standard AI. His column, The Road Ahead, examines innovation in the c-store industry. 

Three thoughts have been on my mind a lot this past year. 

First, it strikes me that many of the new innovations in convenience store marketing are designed to extract short-term value from customers. From personalized loyalty marketing to retail media networks, it all boils down to placing ads and promotions in front of customers or selling against the ability to do so.

I’m not saying there’s anything wrong with these things or that they shouldn’t be done. They can certainly drive results at scale. I just find it fascinating that these activities are often described with warm language about rewarding and nurturing loyalty, engaging customers and connecting with them in a meaningful way.

Do you feel engaged or rewarded when your day is interrupted by a push notification for a twofer on a major brand of soda? Do you like being screamed at by an advertisement on a fuel pump while you put gas in your car? Somewhere around 40% of consumers install ad blockers on their computers or mobile devices to prevent precisely those kinds of experiences — and the other 60% should probably ask their millennial and Gen Z kids and grandkids for help installing one. 

This isn’t to say there’s anything wrong with ads either. It doesn’t escape my attention that some of the most successful consumer-facing companies — like McDonald’s — built their brands, in large part, on a foundation of aggressive advertising campaigns. But these were often part of concerted efforts to build meaningful brands. 

And they were effective. Bagel Bites, anyone? I’m sure many readers can recall that classic jingle word for word. Or consider 7-Eleven’s iconic 1979 song. Give it a listen and tell me that it isn’t stuck in your head for a good part of the day.

Nearly thirty years later, I still feel all the emotions whenever I see the early-1990s McDonald’s commercial about a runaway girl in YouTube compilations. Telling Ronald she wants to leave home and go to “McDonaldland,” Ronald reminds her how amazing her family and home are. It makes you feel things in a single minute that Hallmark struggles to do in an hour and 45 minutes. I know they’re just trying to sell grilled animal patties, and I don’t even mind.

When done well, marketing and advertising has the ability to completely transform a company’s brand, create a sense of fun or meaning and ultimately make it larger than the sum of the products they sell. And while I completely understand the need to drive short-term results, increase click-through rates, tap into CPG marketing dollars, or bribe customers to perform an immediate action based on a clever discount or trigger, nobody will look back in ten or twenty years and reminisce about their favorite personalized push notifications. That’s because those things — as important as they may be — don’t build brands.

Moreover, as convenience retailers find themselves facing an uncertain outlook for fuel demand amid rising electrification — and continuing to push into foodservice — they’re increasingly competing with companies that are very good at marketing and brand-building. 

Which leads me to the second thing I’ve been thinking about: Convenience retailing, as an industry, is sitting on a treasure-trove of brand equity just waiting to be leveraged.

This industry is full of old companies — at least by American standards — that entire generations of families have grown up around. Companies like High’s of Baltimore, which has been around for nearly one hundred years and was once the world’s largest ice cream retailer. Or Jim Dandy Stores, which traces its roots back to 1939 and has served North Carolina’s Crystal Coast community for over seventy five years.

The regionality of many c-stores also enables them to serve and connect with their customers in ways that are distinctly different from what the national brands are able to do. From a marketing perspective, this can give them an edge. 

Regionality has also fostered a sort of sports-team-like dynamic. You see this all the time on social media. Whenever a post goes viral about some amazing thing that happened at a convenience store, people from around the country chime in. Texans react like, ‘Have you ever heard of Bucee’s?’ while folks from the East Coast talk about Sheetz and Wawa. Midwesterners roll in with comments about Casey’s, Kum & Go, Kwik Trip and QuikTrip

And despite the old stigmas about dirty gas station restrooms and other issues, the truth is that this industry has delighted customers for many decades. Rarely is anyone ever upset that they visited a convenience store — well, maybe the fuel pumps, given the high price of gasoline recently.

Convenience stores are the places we wanted our parents to take us to when we were kids, because that’s where we could get our hands on sweet snacks and sugary drinks. They’re the places we sometimes turn to for comfort food if we have a bad day. They can even be part of a morning coffee routine. My wife and I both agree that some of our favorite memories are the late-night Kum & Go snack runs from the few years we dated before getting married. 


Convenience retailing, as an industry, is sitting on a treasure-trove of brand equity just waiting to be leveraged.


Besides, there’s just something quirky, fun, and not entirely logical or easy to articulate about the appeal of convenience stores that enables this sort of attachment to certain brands. Maybe it’s the association with fuel pumps, the old stigmas that contrast with modern realities, or something else entirely. But it’s there, and it feeds into the way that brands have an ability to connect us to each other and provide pieces of community in a world where many of us feel simultaneously more connected and isolated than ever before. 





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