The Pantry Overhauls to Provide More Fresh Foods

The North Carolina-based retailer is "following a national trend" where convenience stores are becoming more like restaurants that sell gas.

August 06, 2010

CARY, NC - The Pantry is stepping up to offer fresh foods at its 1,600 convenience stores, reports newsobserver.com.

"In a major overhaul, The Pantry is remodeling stores by getting rid of clutter, adding a better coffee selection and offering more fresh-food options. It's a risky gamble...It will cost millions of dollars. The competition is fierce ?" from other gas station chains and small 'quick serve?? restaurants," the news source writes.

Considering razor-thin fuel margins and the profit potential of a well-executed foodservice program, the shift for the Pantry "is natural."

"It is a profitable venture if you do it right," NACS spokesman Jeff Lenard commented. "If you do it wrong, you can literally get handed your lunch."

Pantry CEO Terrance Marks told the news source that the goal is simple: "Eighty-five percent of gas purchasers leave without going in the store. You've got to give them a reason to come in."

So far the Pantry has converted two-thirds of its 46 Triangle stores to the new model, featuring an expanded selection of the its new Bean Street coffee, a selection of grab-an-go sandwiches, fresh sliced fruit and other healthy options.

"We are uniquely positioned," John Fisher, Pantry??s senior vice president of marketing, told the news source. "Here you can get a fill-up, grab some lunch and pick up a two liter of Coke or a bag of chips for tonight. To me, it's an evolution of this channel, and the winners are going to understand that."

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