WILTON, N.Y. – The Saratogian Business reports that Cumberland Farms is making its second foray into the Saratoga, New York, market this year, with a new store opening planned.
The nearly 5,000 square foot convenience store will employ about 12 full and part-time workers. The news source notes that nationally, convenience stores are a $575 billion industry. Cumberland Farms, based in Framingham, Massachusetts, has 560 stores in New York, New England and Florida, and has six other projects in various stages of planning or approval.
Also seeking to grow in the Saratoga region is Stewart’s, with 337 stores in New York and Vermont, and with gross annual sales of more than $1.5 billion, notes the news source. In 2016, Stewart’s spent $50 million on new stores and remodeling projects, and has similar plans for 2017.
Stewart’s is targeting new Capital Region locations, and from the lower Hudson Valley to Central New York. “We look at each shop location individually to determine what the needs are,” Stewart’s spokesperson Maria D’Amelia told the news source. “Do we see a need to grow, in size [or] product offerings, to meet the needs of our customers? Or redesign the flow of a shop to make the shopping experience easier? When it comes to a brand new location, is it somewhere we can fill a gap?” D’Amelia said.
Despite what may appear to be two convenience store chains going head-to-head, notes the news source, NACS spokesperson Jeff Lenard said the competition between Cumberland Farms and Stewart’s isn’t what it might seem.
“Convenience stores don’t just compete against other convenience stores, they compete against everyone,” Lenard said. “Best Buy and Home Depot sell drinks and snacks, too. The reason these stores continue to grow is because the value of convenience continues to grow. People want it now. Eighty-three percent of the items people buy in a convenience store are consumed within the hour, quite often before they even get back in their car.”
Single people now comprise 28% of U.S. households, a dramatic increase from the 1950s when families sat around the dinner table at day’s end. This demographic includes millions of young adults who are getting married later and would rather “grab and go” or “heat and eat” instead of cooking their own meals or dining out alone, Lenard said, adding that it’s this demographic many c-stores are catering to.
“Foodservice is one of our biggest opportunities right now and it’s fueling our growth,” D’Amelia of Stewart’s told the news source. “Along with our identities as a coffee, dairy and ice cream shop, we’ve been discovered as a destination for easy food options. We see an increase in customers grazing—eating smaller meals more often, throughout the day. People want fresh, quality food that they can grab on the go.”
Cumberland Farms entices motorists with its unique Smartpay payments program, where participants pay 10 cents less per gallon and earn points toward free store items.