So You Want to Become a C-Store Supplier?

Knowing the channel and business basics are important.

October 21, 2016

ATLANTA – With 150 million customers visiting its stores daily, the convenience and fuel retailing industry is a prime target for anyone wanting to sell new products. Thursday, two suppliers explained how to tap that market during the education session, “Suppliers Guide to Breaking into the C-Store Channel.”

During the session, speakers explained differences between wholesale distribution and direct merchant sales, as well as the best way to make an impression on potential customers.

Andy Batt, vice president of Wakefield Business Development, Eby-Brown, Co, LLC, discussed the wholesale distribution approach. The wholesale distribution model starts with a vendor shipping product to the distributor, who packages a variety of products together for shipment to the retailer.

“There are a lot of efficiencies in the wholesale distribution model,” Batt said, adding that Eby-Brown serves 10,000 locations, all potential customers for new products. In addition, it has a sales force talking to retailers about new items.

Batt suggested that suppliers use brand positioning that highlights its relevance to a target market, what market needs that competitors may be overlooking and what makes a product a credible brand for consumers.

Talking about a second distribution market—direct merchant sales— was David Woodley, executive vice president of sales and marketing for Sheetz. Sheetz operates 536 stores in six states, with two distribution facilities, a bakery and a fleet of fuel trucks.

Important objectives for a supplier are learning about the c-store channel, understanding what is important for selecting a product in the channel, recognizing the importance of a solid business plan and marketing plan, and a positioning statement.

Woodley suggested that suppliers learn to work the phone lines, be an ambassador, be willing to participate in small tests as an investment and to be willing to change their model to fit the convenience channel’s preferences.

Actions to avoid include sending generic emails to potential customers, calling them too often or using a third-party to make contact, name-dropping, making the potential customer work too hard to figure out how to sell the product or taking it personally when a product is rejected.

“Be sure to use your own work and thoughts to get into this business,” Woodley said.

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