Convenience Store - Differences From Supermarkets

Differences From Supermarkets

Although larger, newer convenience stores may have quite a broad range of items, the selection is still limited compared to supermarkets, and in many stores only 1 or 2 choices are available. Prices in a convenience store are typically higher than at a supermarket, mass merchandise store, or auto supply store (with the exception of the goods such as milk and fuel in which convenience stores traditionally do high volume and sometimes use as loss leaders).

The average U.S. convenience store has a sales area of 2,768 square feet (257.2 m2). New stores average about 2,800 square feet (260 m2) of sales area and about 1,900 square feet (180 m2) of non-sales area—a nod to retailers recognizing the importance of creating destinations within the store that require additional space—whether coffee islands, foodservice areas with seating or financial services kiosks. Convenience stores also have expanded their offerings over the last few years, with stores become part supermarket, restaurant, gas station and even a bank or drug store.

Convenience stores sell approximately 80 percent of the fuels purchased in the United States. In the US, the stores are sometimes the only stores and services near an interstate highway exit where drivers can buy any kind of food or drink for miles. Most of the profit margin from these stores comes from beer, liquor, and cigarettes. Although those three categories themselves usually yield lower margins per item, the sales volume in these categories generally makes up for it. Profits per item are much higher on deli items (bags of ice, chicken, etc.), but sales are generally lower. In some countries, most convenience stores have longer shopping hours, some being open 24 hours.