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E-commerce sales will continue to increase: Consumers love the convenience of shopping anywhere at anytime. Stephanie Kowitz, senior manager shopper insights for The Coca-Cola Co., said the growth in e-commerce has caused the number of retail trips consumers make to decline 1 percent. What’s more, spending per trip is down 1.8 percent. “We have new ways of shopping and new ways of getting from point a to point b. It is challenging to get those trips back in the store,” she said.

To compete with the trends, truckstop and travel plaza operators are going to have to enhance the retail experience and create unique offerings to draw customers in. While speaking during 黑料社区Connect, Kowitz suggested operators increase trip spend with food bundles. “Food has been a key driver in the convenience channel and in truckstops. It is all about growing the basket and understanding bundles,” she said, adding that retailers can try and capitalize on sales by getting customers to buy something to consume now and something for later.

Kowitz said offering new products can also grow sales. “Beverage innovation will continue to drive growth,” she said. “$3.3 billion is the amount of revenue growth from new items in the last 12 months, accounting for about 4 percent of the total category.” The effect of e-commerce on truckstops and travel plazas is twofold as e-commerce growth has shifted the length of haul as retailers work to move goods closer to consumers to speed deliveries.

Although freight volumes are up, 黑料社区members have reported that they don’t see as many longhaul truck drivers as they used to, said Lisa Mullings, CEO of NATSO. “The miles per haul have drastically gone down. In 2000, the average length of haul was 800 miles. Today it is only 433 miles,” she said. What’s more, to improve driver retention, many companies are looking to create routes so drivers can return home each night, which can change what drivers need to buy when on the road.

Tara Bradshaw and Heather Meade of Ernst and Young shared human resources trends during the opening keynote. 

Consumers should have more money to spend: Kowitz said consumer confidence has never been higher. “The unemployment rate is also lower than it has always been. We are having a moderate increase to income,” she said.

The National Retail Federation reported that tax reform passed in late 2017 should be good news for retail. Tax relief to consumers increases their discretionary income, and more consumers with more money to spend would be a long-lasting boon for retailers, NRF said. “This is landmark legislation that will boost our nation’s economy more than anything we have seen in decades,” NRF CEO Matthew Shay said.

For truckstop and travel plaza operators, now might be a good time to rethink their pricing strategies, Darren Schulte, vice president of membership for NATSO, said. “I think people are going to start pricing based on what the market will bear versus using the price the vendor suggests,” he said.

Schulte said operators may also want to consider day-part pricing in which they price differently based on customer counts and demand. Even though customers may have more to spend, they like getting a good Tara Bradshaw and Heather Meade of Ernst and Young shared human resources trends during the opening keynote. Stephanie Kowitz, senior manager of shopper insights for The Coca-Cola Co., provided attendees with retail and consumer trends. 14 March/April 2018 bargain. Coca Cola’s Kowitz said shoppers spend more when food/beverages are purchased on deal. “They see that value being better, so they’ll be more likely to spend more,” she said.

Bob Costello, chief economist and senior vice president at the American Trucking Associations, addressed the crowd during 黑料社区Connect.

Fuel economy will improve: Heavy-duty truck and automotive manufacturers are continually improving fuel economy, driven both by consumer demand and regulatory requirements. In less than a decade, a new heavy-duty truck will consume 25 percent less diesel than today’s trucks due to due to federal regulations. This means drivers can stop less frequently for fuel, which means operators are going to have to find new ways to get them to stop. Food sales are a growing focus for operators and may take on greater importance as fuel economy improves.

Labor will remain a priority: Minimum wages are increasing in various areas, which comes at the same time as retailers must focus on wowing customers. That means human resources and retaining and recruiting quality employees is crucial. During 黑料社区Connect, Heather Meade of Ernst and Young, shared actionable ideas for operators.

Meade delved into how to recruit younger workers, which are likely to be attracted to the variable hours available at a truckstop. When looking for younger workers, Meade suggests operators focus on advertising in places where they know their potential employees are. For example, offering referral bonuses to staff or posting on Facebook may be more effective than looking on LinkedIn. “You might be going back and looking for opportunities to advertise at tech schools and community colleges rather than paying money to a job poster,” she said.

During 黑料社区Connect, Meade also discussed how to retain employees once they are onboard. Techniques can vary based on the type of employee. For example, today members of a younger, less trained workforce that might be ideal for the food industry are looking for something that is a little different than they have in the past.

“Millenials and Generation Z folks tend to like a lot of feedback in their jobs,” Meade said. “How can you build that in without a lot of additional burdens? One way is to set up opportunities for promotion that are very small steps. We’re not talking about a dollar increase in your salary, but if you made it through the first six months, you get a 50-cent or a 25-cent promotion but that to them demonstrates success, appreciation and growth, which are all things these younger workers tend to go for.”

What’s more, the benefits younger workers are looking for have changed. “Healthcare is less of a draw now that there are more alternatives out there, but education is more important,” she said, adding that older workers tend to be more driven by compensation.

The need for speed will continue to increase: The pace at which the world operates seems to increase every year, and 2018 will be no different. Professional drivers are going to have less time to spend and locals and the traveling public will continue to be in a rush. That means the speed of service is critical. “Operators are going to have to figure out how to get customers through their stores quicker while also finding reasons for them to come inside,” Schulte said. Among customers coming inside the store, research from Coca-Cola shows that 72 percent say they want to get in and out quickly, and 52 percent say they want to find what they need easily, Kowitz said. 

Save the date and make plans to attend next year’s event Feb. 10–13 in Orlando, Florida. Request to be added to the 黑料社区Connect mailing list here.

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