COVID-19’s Impact on Convenience Stores - What to Expect 4/17
In 2019, foodservice accounted for 25.4% of in-store sales. With many retailers suspending or altering their programs due to the coronavirus, stores have seen hits to their bottom line.
With in-store revenue slowly rising after a 2020 low-point the week of March 30th, dollars usually reserved for foodservice items have shifted to other in-store merchandise categories, like grocery items. When stores resume foodservice programs, we can expect to see in-store revenue rise even further.
See below for a few additional data highlights from this week:
Average Weekly Revenue per Store
In-store revenue is up 8.5% from the previous week, while fuel sales continue to decline, this week dropping 5.3%. Good news - this is the first time since the US national health emergency announcement that in-store sales have increased WoW. Weekly fuel revenue also saw its lowest decrease in over 5 weeks as demand stabilizes.
% Change in Unit Sales per Day - Energy Drinks
Prior to the US national health emergency announcement, energy drink sales were trending positively. Starting March 13th, 4 out of 5 top energy drink brands saw a decrease in units sold per day, with all 5 brands hitting their peak drop in unit sales between the weeks of March 22nd and March 29th. Similar to overall in-store revenue, we’re seeing sales start to climb back up in this category.
% Change in Gallons of Gasoline
National fuel consumption continues to slide, with the number of gallons purchased per week declining 39% since January 6th. This represents an average decrease of 3.27% per week, with peak decline rates in regular, mid/plus, and premium occurring the week of March 23rd. As travel ramps back up once stay-at-home orders are lifted, gasoline demand will increase.
Between January 6th and April 6th, gallon purchases are down, nationally:
And to close, we know that it can be tough to wade through all of the information out there these days. That’s why we enjoy reading stories like these, highlighting all of the great work that the industry is doing to help and support those in need.