Transform Your Store Through Technology
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The historic role of gas stations selling gas and hoping you step inside for a few additional items after filling up is changing. Consumers now want convenient snacks, groceries and dinner, with fueling becoming an afterthought. With that in mind, new builds and store remodels will likely need to focus on transforming c-stores into destinations where consumers plan to visit instead of randomly stop. As you explore investment options for this growth strategy, understanding and incorporating the rampant technology innovations available will be a key to success.
At the recent Phillips 66 Marketing Conference, innovation was one of the top areas marketers were looking to improve. Our industry is undergoing a massive shift toward technology and digitalization to address concerns such as customer convenience, labor shortages and reducing costs.
The Role of Technology
Consumer are demanding faster and more convenient options. Automating certain aspects of the store and digitizing others can help create a smooth and positive customer experience. If customers sense the “old dirty gas station experience,” they will pivot and shop at a more modern location. Making sure everyone receives an elevated experience will increase time spent in the store and create recurring shoppers.
Since travel has returned to normal, every conference has an education session about automated self-checkout. The largest U.S. retailers have been using self-checkout since the early 2000s, but for c-stores you would think it’s a new technology. I first wrote about the way checkouts were changing back in June 2019, and the momentum has only increased. If you still aren’t convinced, Circle K just announced it’s adding self-checkout to over 7,000 stores. At the M-PACT Show, NCR said nine out of 10 shoppers either like self-checkout or don’t have a preferred checkout method while only one out of 10 prefer a cashier. It’s clear the consumer is ready for this experience.
Whether investing in a self-checkout that is touchless or involves scanning, or going fully automated with a cashierless system, the method needs to be quick and convenient to increase customer satisfaction. Automation can provide labor benefits, allowing your employees to focus on other areas of the store. Just remember: positive employees keep customers returning, so you’re not replacing personnel with machines—you’re changing their roles. Consumers are comfortable shopping in-store again,1 and it’s as important as ever to serve your customers quickly and create a memorable experience.
Become a Known Entity
How do you get customers to think about your business before they stop? While the in-store experience rightfully receives a lot of focus, it’s just as important to control the digital experience to help drive in-store visits. An omnichannel experience can help anticipate the customers needs and create a personalized shopping experience. As you gather data through your website, mobile app and checkout platforms, you need to look at all of the data collectively to get the most value. It’s difficult to extract meaningful customer data when operating on legacy payment systems that are siloed and don’t “talk” to your other systems.
Keeping up with customer expectations can be difficult, as competition for wallet share is increasing with big box retailers and online delivery services. Loyalty programs can help cater to individual consumer habits. Today’s loyalty programs go beyond offering a generic promotion to increase sales. It’s about tracking the customer’s behavior and influencing their c-store experience by anticipating their wants and needs and understanding their habits. Customers may only think of your business as a morning destination, but you can take advantage of that. Use available data to track traffic and offer promotions at alternative times to encourage the customer to visit at different hours.
Control the Digital Experience
A simple internet search can reveal a lot about your business and locations, though much of this information is initially outside of your control. Over 28% of people click on the first link, and more than 90% don’t make it past the first page. Make sure your locations and website populate via search and the publicly available information is accurate. If you haven’t already, add or claim your business on Google, which will allow you to appear on Google maps and update your address and hours. Pay attention to reviews and the feedback customers are providing to get a sense of consumer perception of your stores. You can even respond to their compliments and complaints, engaging appropriately to create recurring store traffic. You can use these tools for adding and editing your business profile on Google.
Your website is the best way to promote the business, store locations, new technologies, apps and everything else involved with your digital experience. You control it, so confirming it’s correctly linked to Yelp, Google Business Profile and any other aggregator is the best way to direct consumers back to your digital experience. While investing in this digital experience may not be a historical operating expense, you must make this a part of any future budget and take it seriously.
Social media and digital advertising can drive traffic to your website, app and business. While not historically an area of focus, make sure these methods are included in your advertising plans. Don’t be afraid to explore new functionality, which is always changing and improving. If you’re a smaller operator, watch your larger competitors and see what works or fails for them. What social media and digital advertising can do that a local print ad cannot is provide data that can give you a better understanding of consumer behaviors online. Retain your data so you can use it to customize individual offerings in the future. While you may not use all the capabilities today, having the ability to integrate and thinking about the future are crucial to driving growth and winning the retention game.
Investing in digital improvements will drive repeat traffic to your locations and continue to influence consumers shopping patterns. Increasing focus on automated processes, digital footprint, loyalty and other new technologies will be well worth the investment and benefit your company down the road. Are you prepared to do it?
Jonathan Graham
Director, Fuel Services
The historic role of gas stations selling gas and hoping you step inside for a few additional items after filling up is changing. Consumers now want convenient snacks, groceries and dinner, with fueling becoming an afterthought. With that in mind, new builds and store remodels will likely need to focus on transforming c-stores into destinations where consumers plan to visit instead of randomly stop. As you explore investment options for this growth strategy, understanding and incorporating the rampant technology innovations available will be a key to success.
At the recent Phillips 66 Marketing Conference, innovation was one of the top areas marketers were looking to improve. Our industry is undergoing a massive shift toward technology and digitalization to address concerns such as customer convenience, labor shortages and reducing costs.
The Role of Technology
Consumer are demanding faster and more convenient options. Automating certain aspects of the store and digitizing others can help create a smooth and positive customer experience. If customers sense the “old dirty gas station experience,” they will pivot and shop at a more modern location. Making sure everyone receives an elevated experience will increase time spent in the store and create recurring shoppers.
Since travel has returned to normal, every conference has an education session about automated self-checkout. The largest U.S. retailers have been using self-checkout since the early 2000s, but for c-stores you would think it’s a new technology. I first wrote about the way checkouts were changing back in June 2019, and the momentum has only increased. If you still aren’t convinced, Circle K just announced it’s adding self-checkout to over 7,000 stores. At the M-PACT Show, NCR said nine out of 10 shoppers either like self-checkout or don’t have a preferred checkout method while only one out of 10 prefer a cashier. It’s clear the consumer is ready for this experience.
Whether investing in a self-checkout that is touchless or involves scanning, or going fully automated with a cashierless system, the method needs to be quick and convenient to increase customer satisfaction. Automation can provide labor benefits, allowing your employees to focus on other areas of the store. Just remember: positive employees keep customers returning, so you’re not replacing personnel with machines—you’re changing their roles. Consumers are comfortable shopping in-store again,1 and it’s as important as ever to serve your customers quickly and create a memorable experience.
Become a Known Entity
How do you get customers to think about your business before they stop? While the in-store experience rightfully receives a lot of focus, it’s just as important to control the digital experience to help drive in-store visits. An omnichannel experience can help anticipate the customers needs and create a personalized shopping experience. As you gather data through your website, mobile app and checkout platforms, you need to look at all of the data collectively to get the most value. It’s difficult to extract meaningful customer data when operating on legacy payment systems that are siloed and don’t “talk” to your other systems.
Keeping up with customer expectations can be difficult, as competition for wallet share is increasing with big box retailers and online delivery services. Loyalty programs can help cater to individual consumer habits. Today’s loyalty programs go beyond offering a generic promotion to increase sales. It’s about tracking the customer’s behavior and influencing their c-store experience by anticipating their wants and needs and understanding their habits. Customers may only think of your business as a morning destination, but you can take advantage of that. Use available data to track traffic and offer promotions at alternative times to encourage the customer to visit at different hours.
Control the Digital Experience
A simple internet search can reveal a lot about your business and locations, though much of this information is initially outside of your control. Over 28% of people click on the first link, and more than 90% don’t make it past the first page. Make sure your locations and website populate via search and the publicly available information is accurate. If you haven’t already, add or claim your business on Google, which will allow you to appear on Google maps and update your address and hours. Pay attention to reviews and the feedback customers are providing to get a sense of consumer perception of your stores. You can even respond to their compliments and complaints, engaging appropriately to create recurring store traffic. You can use these tools for adding and editing your business profile on Google.
Your website is the best way to promote the business, store locations, new technologies, apps and everything else involved with your digital experience. You control it, so confirming it’s correctly linked to Yelp, Google Business Profile and any other aggregator is the best way to direct consumers back to your digital experience. While investing in this digital experience may not be a historical operating expense, you must make this a part of any future budget and take it seriously.
Social media and digital advertising can drive traffic to your website, app and business. While not historically an area of focus, make sure these methods are included in your advertising plans. Don’t be afraid to explore new functionality, which is always changing and improving. If you’re a smaller operator, watch your larger competitors and see what works or fails for them. What social media and digital advertising can do that a local print ad cannot is provide data that can give you a better understanding of consumer behaviors online. Retain your data so you can use it to customize individual offerings in the future. While you may not use all the capabilities today, having the ability to integrate and thinking about the future are crucial to driving growth and winning the retention game.
Investing in digital improvements will drive repeat traffic to your locations and continue to influence consumers shopping patterns. Increasing focus on automated processes, digital footprint, loyalty and other new technologies will be well worth the investment and benefit your company down the road. Are you prepared to do it?
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