SUMMARY

U.S. inflation lessened in the closing months of 2022, but price-per-unit increases continued in the convenience and multi-outlet retailer (MULO) channels. Convenience channel YOY dollar sales growth slowed in Q4 2022 to 3.3%, far lower than the 9.5% MULO growth that outpaced all other channels for the quarter.

IRI’s new report, “The Convenience Store Landscape Q4 2022,” explores the latest trends in the convenience channel and takes a detailed look at how those trends compare to the broader MULO landscape. It also shares the most promising growth opportunities for c-store retailers in this environment.

Highlights

1. The convenience channel increased YOY sales dollars by 3.3% for the year, but its dollar share of MULO+C decreased to 17.6% in 2022 from 18.2% in 2021.

2. As in previous quarters, the convenience channel outperformed MULO in Q4 2022 versus Q4 2021 in cigarette (-4.5% vs. -6.3%) and beer (+5.1% vs. +2.2%) sales.

3. Customers averaged 7.5% more c-store trips in 2022 versus 2021, but dollars and units per trip are down for most recent months.

4. Promotional depth and frequency will be critical in 2023 as consumers prioritize sales and deals.

5. Private label dollar share in c-stores grew YOY from 9.4% to 9.9% but lags other retail channels. Increased assortments and low opening price points in key categories can spur additional growth in 2023.

6. Growth in c-store foodservice breakfast traffic outpaced QSR restaurants in 2022. Expanded fresh offerings and combo meals can further boost share in this valuable daypart.

Report no longer available