Historically speaking, breakfast in the convenience-store environment has consisted primarily of a doughnut and cup of coffee for many consumers. But times are changing as more and more consumers are looking for heartier, healthier breakfast options at their favorite c-stores.
According to breakfast insights by Kellogg’s, increasingly hectic lives are leading many consumers to choose quick, on-the-go options. They tend to eat smaller meals and snacks in the early, mid- and late morning rather than a single morning meal. Yet, at the same time, other types of consumers eat breakfast quite differently. While some consumers savor breakfast, many others prioritize speed in the morning and seek out quick, portable options suitable for on-the-go eating, such as premade breakfast sandwiches or breakfast bars.
Donna Hood Crecca, associate principal at Technomic, says consumers are increasing their away-from-home breakfast purchases, with nearly two-fifths indicating their breakfast purchases have increased in the past year, and younger consumers (18-34) are most likely to make these purchases. Additionally, consumers say that breakfast accounts for 26% of their c-store foodservice purchases.
“This indicates greater opportunity for sales during the morning day-part,” said Crecca. “Hectic schedules and the on-the-go lifestyle are contributing to this trend, as is the broader array of breakfast options available from foodservice providers.”
A Focus on Health
As Technomic’s research suggests, today’s consumer is interested in better-for-you foods at breakfast. Interest in items such as fruit and oatmeal has increased in the past year, and about half (51%) of research respondents agree that they are ordering more breakfast products that offer attributes such as “whole grain” or “added protein,” which points to them gravitating toward items perceived to have health benefits.
“Consumers are also seeking foods that are satisfying and filling at breakfast, so proteins are appealing,” Crecca said. Eggs top the list of preferred breakfast items, often in a sandwich for weekday mornings. Sides—hash browns and other potatoes, proteins such as sausages and fruit items—are also catching on to round out the breakfast meal.
Protein, in fact, continues to be a point of focus for consumers. According to recent data from Mintel, sales of protein items, such as protein bars, have doubled since 2009, and the convenience channel has seen a 14% boost in the nutrition bars category. For c-stores, highlighting items such as these as part of a morning meal offering is appealing for consumers who are concerned about health and wellness as well as those who want a quick, portable option.
According to Mintel’s Convenience Store Foodservice March 2016 report, 53% of consumers reported choosing a convenience store because it was the fastest option, while four in 10 consumers were looking for menu offerings that were easy to eat in transit, such as smoothies, ready-to-eat cereal and protein bars.
Ranked second only to lower gas prices, the availability of more healthful, portable snacks would entice 36% of convenience-store shoppers to buy more made-to-order or fresh foods and beverages at convenience stores, the Mintel report states.
“But it’s not always about health,” Crecca said. About half of breakfast purchases are routine consumers who are also interested in different, and often indulgent, items.
“So while we do see egg white and turkey bacon sandwiches on c-store menus, we also see items such as Maverik’s Son of the Beast sandwich—egg, sausage, bacon, ham, cheese on a maple-iced doughnut,” Crecca said.
Identifying Consumers’ Breakfast Cravings
As with any other aspect of a foodservice offering, when determining breakfast trends, consumer precision is key. C-store retailers need to ask key questions such as: Who is your morning customer (or who would you like it to be)? What are they seeking when they come through the door?
“Operators need to understand what their consumers prioritize regarding speedy service, which has implications on formats—grab and go vs. made to order, and health vs. indulgence,” Crecca said. “Also, regional preferences are important. It’s important to know what their favorite breakfast items, ingredients and flavors are. And, of course, coffee is crucial.
On the Horizon
“Breakfast has become much more competitive as quick-service restaurants have expanded their offerings and continue to innovate,” Crecca said. “Taco Bell, Starbucks, Cosi and Jamba Juice have each upped the ante on the breakfast day-part, and McDonald’s offering breakfast all day is another factor.”
Crecca also said that breakfast eaters tend to frequent c-stores, so determining the needs of these consumers and engaging them is key.
This post is sponsored by W.K. Kelloggs Co.