Industry Report 2023 Deep Dive:
foodservice
Foodservice growth in 2022 slowed from its
previous post-pandemic spike, but impressive
results across all segments left no doubt that the category remains strong and important to the
success of convenience stores. In this special
“Deep Dive” report, a bonus supplement to the
Convenience Store News 2023 Industry Report,
we present exclusive data and insights into the prepared food and dispensed beverage categories
at convenience stores.
sponsored by
— Retailer respondent
“
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Regulation to Prohibit the
Use of Menthol in Cigarettes
and RYO Tobacco:
In April 2022, the FDA published a proposed product standard regulation prohibiting the use of menthol as a characterizing flavor in cigarettes, roll-your-own (RYO) tobacco, and heat-not-burn products. The public comment period ended on Aug. 2. A final rule/regulation is expected to be adopted by the FDA sometime in August 2023.
Bonus data and insights into the foodservice category at convenience stores.
Regulation to Prohibit the Use of Characterizing Flavors in Cigars:
Also in April 2022, the FDA published a proposed product standard regulation prohibiting the use of characterizing flavors in cigars, except for tobacco flavor. The public comment period ended on Aug. 2. A final rule/regulation is expected to be adopted by the FDA sometime in August 2023. When the FDA issued the proposal, the agency stated that the effective date would be one year after the final rule is published.
Potential Regulation for Maximum Nicotine Level in Cigarettes
and Other Tobacco Products:
In June 2022, the FDA announced that the agency would propose a new regulation setting a maximum level of nicotine in cigarettes and certain other tobacco products. The other products that could be subject to this regulation were not specified. A proposed rule/regulation is expected to be published sometime by October 2023 and will be followed by a public comment period. When the proposed rule is published, the FDA may identify a timeframe for the new rule to go into effect.
45%
cigarettes
Unit Volume
25.6%
9.4%
55.1%
5.0%
4.3%
0.6%
0.0%
19.5%
44.26%
8.1%
-1.4%
31.10%
8.14%
8.3%
5.3%
30.75%
8.12%
7.74%
29.15%
0.8%
13.7%
23.5%
5.5%
27.65%
6.84%
9% cigarettes
7% cigarettes
6% cigarettes
4% cigarettes
39% OTP
9% OTP
8% OTP
6% OTP
4% OTP
C-store shoppers have few complaints with their food,
as 64% say they were extremely or very satisfied
with their most recent prepared food purchase
at a convenience store.
43%
37%
35%
33%
26%
21%
19%
16%
13%
13%
13%
7%
7%
6%
6%
5%
5%
18.77%
20.5%
43.72%
16.75%
-9.9%
42.80%
14.75%
43.68%
5.2%
16.91%
43.71%
2.4%
16.50%