AL seckinger, VP of retail operations
Al.Seckinger@NuWay-KandH.com
Just like in the cooperative world, the big news in c-stores is mergers and acquisitions. You know, “Who is gobbling up whom?” This has been going on for decades. The difference is that it used to be 5-, 10- or 20-store chains getting gobbled up. Now mergers and acquisitions are gobbling up chains with 100s of stores.
There are fewer chains of our size changing hands, and that’s some comfort.
Competition
E-commerce (on-line stores like Amazon) has had a tremendous impact on retail, especially big box stores and malls, but oddly enough c-stores have not been impacted. C-stores such as ours are not only surviving—they are doing quite well.
What’s more, automation is popular in the cities but not in the country. In the extremely populated urban areas and on college campuses, there is a demand for self-serve kiosks, but not so much in the demographics we serve. Our c-stores are still viewed as destinations.
In-store changes
You might have heard (or seen) a big push for retail stores to expand their inventories of fresh fruits, vegetables, salads, and other “healthy” items. Some have devoted eight-foot sections to healthy food options. What you may not realize is that many of these stores are also adding 12-foot sections of baked goods and other “non-nutritional” items.
At the pump
There was a discussion after the last election that we’d all be switching to electric cars. Today, all-electric vehicle sales are flat at best, and the chargers promised earlier are not showing up where we were told they would—even on the interstates. [Did you know there are four states that have only seven charging stations each?]
It is true, gallons of gasoline sold at the pump have come down since 2018, but not because of electric vehicles. Fuel efficiency is up, and after the pandemic many people aren’t driving as much. Some work remotely and some did not go back to work at all. These factors have had more impact on gallons sold than all-electric vehicles.
Your cooperative’s stores
There is a market for changes in technology—like self-serv kiosks and charging stations—but in rural areas we’re doing just fine, thank you. People enjoy going to our six stores and having face-to-face interaction and the assistance from real people.
We’re still doing well in the top things people buy from c-stores: cigarettes, candy bars, chips, cookies, gas, and lottery tickets. NOTE: We’ve added deli food where practical–at Algona, Burt, Thompson, and Thorton.
Our extremely rural niche market provides the sales we need to support the operations of our retail stores. We’ve been confident enough in our future to have invested considerable money to keep our brand competitive.
About my retirement
As Emily Boelke told you on page 7, I plan to retire from my job as VP of Retail Operations on March 1, 2025.
I have had the privilege of working at a variety of companies over a number of years, but I have never worked for any place like NuWay-K&H Cooperative. It truly has been a privilege to work here.
My priorities in life these days are my grandkids. Right now, I’m their hero, and I hope that will never go away. I also expect to spend more time fishing, and we’ll see what else there is to do. It is a cool time in life.
Thanks to all of you.
“Automation is popular in urban but not in rural areas. Our customers want personal attention.”
