A recent study from Convenience Store News found that purchasing beverages is one of the most common reasons to shop at a convenience store. Capitalizing on their status as a beverage go-to, many convenience stores are investing in new drink programs to drive traffic into stores and encourage customers to spend more. As c-stores increasingly bet on beverages, they must carefully evaluate the considerations accompanying each new program.
Super Bowl Sunday is a major occasion not just for the two teams going head-to-head, but also for restaurants, particularly on the takeout and delivery front. This year, about 48 million people were expected to place some type of food order, presenting an opportunity for restaurants to score a touchdown.
Domino’s says the Super Bowl is the company’s third-busiest delivery day of the year, second only to Halloween and New Year’s Eve. The chain sells more than 11 million slices on game day – which is a 350 percent increase from a typical Sunday. Pizza Hut announced plans to hire 11,000 new employees ahead of the game. Delivery drivers nationwide were projected to clock about four million miles delivering Super Bowl orders.
As pizza players pour resources into programs like Facebook Messenger ordering capabilities and advertising pushes on social media, delivery strategies are increasingly top of mind across the industry at large. While the Super Bowl festivities have died down, how can brands refine their delivery programs for everyday wins?
Just three percent of the world’s hostel properties are located in the U.S. and Canada, and they account for only 10 percent of hostel revenue worldwide; as a comparison, hotel revenue in those markets is 28 percent of global revenue. Considering that the hostel industry generates $5.2 billion in annual revenue, it appears that there is room for growth in the U.S. hostel market. Hostels are already rising in popularity as an affordable option for accommodations, and redefining the conventional industry model.
In the insurance industry, gamification is gaining traction as a tool to engage policyholders and agents alike, channeling the fun of playing games – points, prizes, and all – into interactive educational platforms.
Incorporating game-design elements to appeal to individuals’ sense of competition and achievement has many useful applications across the insurance industry, from incentivizing agents to sell new products to enticing current and future policyholders to take a more active interest in their insurance investments.
Beyond advertising, consumer packaged goods (CPG) manufacturers have traditionally had limited interaction with their end consumers, instead leaving direct interaction to their retail partners. However, more and more companies are taking increased ownership of the consumer-brand relationship.
As restaurants continue investing in cutting-edge programs from mobile ordering to artificial intelligence in the form of chatbot ordering and more, and technologies like digital ordering kiosks and menu boards remain an enticing option, there are many potential technology investments to evaluate. But which technologies actually move the needle? As restaurants strive to bring new tools to the table, they must continually evaluate which technology investments will work for their concepts, and in which locations, to stay ahead of guest preferences.
Although this year’s National Retail Federation (NRF) Retail’s BIG Show has come to a close, the buzz generated by the event is sure to carry on. With 35,000 attendees across retail companies from 94 countries, over 500 exhibitors, and more than 300 speakers, there is no shortage of NRF Show retail news.
APT: A Disruptor
For APT, this year’s show was particularly exciting. First, CEO Anthony Bruce was named a Disruptor on the NRF Foundation’s List of People Shaping Retail’s Future 2017. With his inclusion on the list, he is one of just 25 individuals honored as the best and brightest impacting the retail industry today. Bruce was recognized during the BIG Show at the NRF Foundation Gala.
“It is an honor to be recognized on the NRF Foundation’s List alongside such a dynamic and accomplished group of leaders,” Bruce said. “I look forward to continuing our work fueling innovation in the retail space, and enabling retailers to make decisions with confidence.”
It’s not uncommon these days to see a retailer make headlines for shuttering physical locations, highlighting the trials of the brick-and-mortar retail business model. Yet, while e-commerce sales are growing quickly, they still only comprise 8.4 percent of total retail sales in the U.S. – physical stores remain the most important retail channel by far. (more…)
What do Harvard Business Review magazine, a Nobel Prize-winning economist, and APT have in common? Fighting noise.
This past month, Harvard Business Review published an article co-authored by Nobel Prize-winning economist Daniel Kahneman entitled “Noise.” According to the article, “It is obviously useful to an organization to know about bias and noise in the decisions of its employees, but collecting that information isn’t straightforward.”
Fortunately, organizations can combat these analytical challenges with a scientific approach to decision making. The best way to remove the bias and noise that can cloud judgement is by testing new initiatives with a subset of customers, employees, or stores in market before rolling out more broadly. This is the essence of Test & Learn. By judging a program’s success based on actual customer spending and behavior, leading organizations can be confident that consumers, not executives’ instincts are driving business decisions.
For some, it may prove difficult to trust data over intuition alone. However, executives must remember that adding cause-and-effect analytics to their toolbox can dramatically increase the profitability of their actions going forward. According to Kahneman, “Ideally, the people who use these tools will view them as aids that help them do their jobs effectively and economically.”
In a recent CSP article, APT SVP Marek Polonski outlines the following five lessons convenience retailers can learn from restaurants as they look to optimize their foodservice strategies:
- Run in-market tests to evaluate every new idea
- Rethink menus to keep up with new diner preferences
- Adjust staffing to optimize foodservice operations, while managing costs
- Craft pricing strategies to balance traffic and transaction size
- Introduce in-store technologies to create a more personalized experience
Polonski writes, “Winning in foodservice means thinking like the experts. Consider these lessons from restaurants, who have been in the business for years, and you may find the right balance.”
Learn more about how leading restaurants are using in-market experiments to fuel innovation across their business.