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Convenience store chains like Sheetz are taking market share from fast-food chains.
Chains like 7-11, Wawa, and Circle K are ramping up prepared food offerings, $4 at Nation's Restaurant News.
The convenience stores are getting ahead thanks to a few distinct advantages over traditional fast food chains. Because many of these stores double as gas stations and offer other groceries, they are a one-stop shop rather than a singular destination like Burger King or Taco Bell.
Many of the stores offer a broader assortment than traditional fast-food chains as well, selling everything from pizza and hot dogs to subs and salads.
For instance, Philadelphia-based chain Wawa $4 a full breakfast menu in addition to soups, pasta, hoagies, salads, wraps, and snacks.
Convenience stores are also offering food at cheaper prices than fast-food chains, which are increasingly phasing out dollar menus. The average food purchase at a convenience store costs $2 less than at fast food chains.
The perks are paying off: convenience stores now make up 10% of the quick-service market, NRN reports, citing data from industry research group NPD.
7-Eleven
"Quick Service Restaurants really have to pay attention to [convenience] stores," NPD analyst Bonnie Riggs $4. "They're are making inroads and stealing visits from QSR."
Another boon for convenience stores are the customers they're attracting, who are generally younger than those who go to fast-food chains like McDonald's. Visits from 20-something millennials and teenaged Generation Z are increasing all the time.
Attracting younger customers is good news for these chains because many could develop loyalty for life.