In the midst of a cavalcade of negative news about the down economy, RNCOS Inc., a research firm, offers some positive news for c-store operators. The firm found that with help from increasing motor fuel and in-store sales, the U.S. c-store industry is expected to skyrocket in growth between 2009 and 2013.
In it’s newly released report, “U.S. Convenience Store Market Outlook to 2013″ RNCOS said that despite the economy, overall c-store sales in the U.S. grew about 8% more in 2008 when compared to 2007. In other segments, overall retail sales across the country declined, but in-store c-store sales grew more than 3% and accounted for about 13% of the total retail sales in 2008. The profitability of convenience stores also increased by 54%, reversing the two-year decline during which profits dropped by more than 42%.
“U.S. Convenience Stores Market Outlook to 2013″ is an extensive research and in-depth analysis of the c-store industry, the company said in a press release. The report provides an overview of the industry and market trends and is intended to help investors and global retailers navigate the industry.
RNCOS said it expects c-store sales will grow at a compound annual growth rate of around 5% between 2009 and 2013 because of the strong demand for motor fuel and increasing in-store sales.
The report also found that the southern region continues to dominate the industry, accounting for about 47% of the total U.S. c-store sales in 2008. At the state level, the report showed that the District of Columbia appears to hold the most growth potential because it was the least saturated in 2008, with about one c-store per 5,000 people. Samples of the report can be viewed by visiting www.rncos.com/Report/IM184.htm.