HOLTS SUMMIT, Mo. — Pro Food Systems Inc. (PFS), known for its Champs Chicken and Cooper’s Express branded hot food programs and foodservice equipment for supermarkets, convenience stores and retailers, has announced that it has selected Ascentium Capital as its national preferred financing resource.

“Our No. 1 goal is to assist our customers in operating profitable locations. To ensure success, we are offering the best financing options available that enable retailers to acquire all the proper equipment,” said Trevor Monnig, CFO at PFS. “We are confident in this partnership and the benefits Ascentium is able to provide our retailers.”

Ascentium Capital’s finance solutions will assist PFS and their client network to drive growth by enabling retail locations to acquire the right foodservice equipment that maximizes return on investment (ROI) and optimizes space and operational efficiencies. The customized finance program will be available to the entire PFS client network throughout the United States. As PFS pioneers new products and services, Ascentium Capital’s finance program will evolve to meet the changing business requirements, the Kingwood, Texas-based company said.

Through the convenience of financing and a consultative approach, Ascentium Capital tailors the finance terms to a clients’ specific cash-flow needs.

“Our unique finance platform allows us to meet the strategic business requirements for PFS. We look forward to sharing our expertise in financing and anticipate many shared successes,” said Len Baccaro, senior vice president of sales at Ascentium Capital.

As a direct lender, Ascentium Capital specializes in providing affordable and customized financing and leasing solutions that drive growth and profit for manufacturers, distributors and franchisors, as well as direct financing to businesses nationwide.

Based in Holts Summit, Mo., Pro Food Systems provides branded hot food programs primarily for supermarkets and convenience stores. It is the parent company of Champs Chicken, Cooper’s Express and private-label brands. The company also supplies non-branded food products and foodservice equipment for retailers. It has more than 700 branded locations in 36 states.

SEYMOUR, Ind. — “Players in the convenience store industry are getting bigger, more sophisticated and have a lot of capital,” Gary F. Myers, CFO of Kocolene Marketing LLC, said in announcing the sale of its 14 Fast Max Convenience Stores to Circle K.

“Late last year, our board of directors asked that we perform a SWOT (strengths, weaknesses, opportunities, threats) analysis on all of our business divisions,” he said. That analysis led to the decision to sell the c-stores.

Kocolene Marketing, the retail division of Seymour, Ind.-based holding company Kocolene Development Corp., owns and operates 14 Fast Max convenience stores, 15 Smokers Host Discount Tobacco Stores and five Fast Max gas station, all in Indiana and Kentucky.

Alimentation Couche-Tard Inc., through its Mac’s Convenience Stores LLC subsidiary, acquired 13 company-operated convenience stores with motor fuel, as well as the underlying real estate at 12 of the locations, said Richmond, Va.-based Matrix Capital Markets Group Inc., which provided merger and acquisition advisory services to Kocolene.

Kocolene Development also owns and operates Ranger Enterprises LLC, a warehousing, trucking and logistics company. It is retaining the Smokers Host stores and Ranger division.

“The Ranger and Smokers Host models came back with favorable S.W.O.T. analysis results, but the Fast Max model did not,” Myers said. “Our convenience stores have very good real-estate locations, but the overall facilities are in need of capital infusion in the near future. Government mandates for healthcare, higher wages and data security will all be very expensive. Circle K has the capital and successful programs in place at their other stores which they could implement in ours. It’s a great fit for them, and for our people.”

Carrie Myers, Gary’s grandmother, founded Kocolene Development in 1938. Several family members have led the organization through the decades in the fuel business.

“Although we’ve always been in the fuel business, my late father once said to me, ‘There’s a time to buy and a time to sell. Some day you might feel that it’s the right time to sell this oil company and it is better to sell two weeks too soon rather than one day too late. You have to know when that time arrives and don’t let the ghosts of your grandmother and I stop you if you feel it’s the right decision’,” Gary Myers said.

The leadership team at Kocolene believed that the timing was right since the division had experienced increases in sales and profits over the past several years, he said.

“We engaged the services of a leading industry intermediary, and early this year, the stores were put out for bid,” Myers said. “We’re 100% employee owned, and we were 100% transparent with our team members.”

Management shared updates communicating the results of the S.W.O.T. analysis, the bid process and the decision to accept Circle K’s bid all the way to the store-level team members within the organization.

The company offered any team members who were affected by the decrease in store count either a like position or a fair severance package. Kocolene also funded the use of a staffing company to help with resume building and job placement.

“Circle K will retain a lot of our team members,” Myers said. “We think both sides will benefit; we have a lot of tenured, dedicated team members and Circle K has a rapidly growing, industry-leading organization.”

Kocolene Development is looking beyond retail. As reported in a 21st Century Smoke/CSP Daily News Flash, The five gas stations are up for sale.

“We will continue to grow the Smokers Host Discount Tobacco and Ranger divisions,” Myers said, “But we’re actively searching for another business model to acquire outside of retail.”

Circle K is a division of Laval, Quebec-based Couche-Tard. As of July 2015, Couche-Tard’s network included 7,987 convenience stores throughout North America, including 6,556 stores offering fuel. Its North American network consists of 15 business units, including 11 in the United States covering 41 states (under the Circle K and Kangaroo Express flags) and four in Canada covering all 10 provinces (under the Mac’s and Couche-Tard flags).

Couche-Tard has just announced that is rebranding all of its convenience stores worldwide under a single, refreshed Circle K brand.

SEYMOUR, Ind. — Kocolene Marketing LLC has sold its 14 Fast Max Convenience Stores to Circle K, the company announced.

Kocolene Marketing, the retail division of holding company Kocolene Development Corp., owns and operates 14 Fast Max c-stores, 15 Smokers Host Discount Tobacco Stores and five Fast Max gas station, all in Indiana and Kentucky.

Kocolene Development also owns and operates Ranger Enterprises LLC, a warehousing, trucking and logistics company. It is retaining the Smokers Host stores and Ranger division.

The five gas stations are still for sale, according to a report by The Daily Journal.

Circle K is a division of Laval, Quebec-based Alimentation Couche-Tard Inc.

As of July 2015, Couche-Tard’s network included 7,987 convenience stores throughout North America, including 6,556 stores offering fuel. Its North American network consists of 15 business units, including 11 in the United States covering 41 states (under the Circle K and Kangaroo Express flags) and four in Canada covering all 10 provinces (under the Mac’s and Couche-Tard flags).

Couche-Tard has just announced that is rebranding all of its convenience stores worldwide under a single, refreshed Circle K brand.

Watch for more details on CSPnet.com and in CSP Daily News.

Brought to you by Mrs. Freshley’s.

OAKBROOK TERRACE, Ill. — Keeping pace with evolving snack trends could be a full-time job. Luckily for convenience retailers, it is someone else’s job. CSP had a chance to catch up with one of the industry’s most notable experts to learn the latest on snacking in America. The bottom line? Demand for indulgent snacks continues to grow, and convenience stores are in an ideal position to profit.

Despite the hoopla around healthy snacks, the numbers show that consumers still want to indulge. In 2014, dollar sales for indulgent snacks showed a 3.1% increase over the prior year vs. a 2.5% rise for healthier items, according to data company IRI Worldwide.

As the U.S. demographic landscape changes, snacking preferences and purchasing behaviors fluctuate, according to Sally Lyons Wyatt, executive vice president and practice leader, snacks, IRI. “Shoppers are making different buying decisions, especially when it comes to snacks,” she said. “For many consumers, in particular millennials and boomers, snacking is now a regular part of their day.”

She refers to IRI’s 2015 consumer snacking survey, which brings good news for snack manufacturers and c-stores: Since 2011, fewer shoppers (-16%) indicate they are cutting back on their snack spending, while increasing numbers (+11%) are snacking more.

Research firm Mintel’s findings are similar. According to Snacking Motivations and Attitudes US 2015, 94% of Americans snack at least once a day, 50% of adults snack two to three times per day, and 70% agree that any type of food or beverage can be a snack these days.

In addition to capitalizing on the fact that more people are snacking—and more often—retailers need to be aware of who is snacking when, and what drives their behavior.

Healthy vs. Indulgent

With the younger generation more concerned about health and nutrition than ever, one would think that would be the death knell of indulgent snacks. Not quite, says Lyons Wyatt.

“Consumers are looking for a balance between healthier and indulgent options,” she says. For example, snack bars realized growth in 2014 for several reasons, including that they’re a portable option that serves as both a snack between meals and a nutritious mini-meal.

“At the same time, super premium and niche brands are leading the growth in several bakery and snack categories, like bars, cookies, pastry/doughnuts and bakery snacks,” said Lyons Watt. “These niche products are driving excitement in the store and down the center store aisles, impacting sales of established brands.”

Mrs. Freshley’s, for example, recently launched a new premium product to cater to consumers looking for a moment of indulgence. Called Icers, the creme-filled cakes feature moist, rich cake and a velvety layer of icing.

But although consumers may claim they seek out better-for-you options, according to Mintel, that’s not exactly the case. While 33% of consumers say they are snacking on healthier foods this year compared to last year, they most often snack to satisfy a craving (62%). Additionally, 63% of consumers value the taste of salty snacks more than the nutrition. This highlights the important role taste and flavor play in snacking behavior.

This all bodes well for c-stores. In fact, Mintel’s research shows that convenience is one of the most important factors when selecting a snack; 77% of snackers prefer ready-to-eat snacks over those they have to prepare.

“Convenience stores are in a great position to provide consumers with the balanced options they are looking for across the day,” Lyons Wyatt said. “Understanding their shoppers and aligning their assortment by daypart will deliver against these consumer needs and demand moments, ultimately winning with consumers.”

ALEXANDRIA, Va. — The 2015 NACS Show will feature an extra day of general sessions in addition to more than 55 educational sessions spread over the four-day event. The event also will feature more than 1,200 exhibitors in a massive 400,000 net-square-foot expo.

The NACS Show will take place Oct. 11-14 at the Las Vegas Convention Center.

“The NACS Show combines world-class education with cutting-edge products and services all wrapped up in the best networking event in the convenience and retailing industry,” said NACS chairman Steve Loehr, vice president of operations at LaCrosse, Wis.-based Kwik Trip convenience stores. “The added fourth day of general sessions further cements the NACS Show as a can’t-miss event for anyone selling convenience.”

The general session speakers are:

• Chris McChesney, global practice leader of execution for Franklin Covey, and national best-selling author of “The 4 Disciplines of Execution.”
• Connie Podesta, an award-winning author, comedian and expert in the psychology of human relations, as well as sales and leadership.
• John Mackey, co-CEO and co-founder of natural and organic grocer Whole Foods Market.

On the last day of the NACS Show, the general session will debut the 2015 NACS Ideas 2 Go video program that will feature behind-the-scenes looks at nine exceptional convenience retailers, showcasing the industry’s best practices and most innovative operators.

Each general session also will feature keynotes from NACS leadership, including president and CEO Henry Armour; 2014-15 chairman Steve Loehr; and incoming 2015-16 chairman Jack Kofdarali, president of J & T Management Co. Inc., Corona, Calif. Reflecting the growing international scope of the NACS Show, the general sessions will be once again translated into Portuguese, Spanish and Mandarin Chinese, and select educational sessions will be translated into Portuguese and Spanish.

ALEXANDRIA, Va. — The 2015 NACS Show will feature an extra day of general sessions in addition to more than 55 educational sessions spread over the four-day event. The event also will feature more than 1,200 exhibitors in a massive 400,000 net-square-foot expo.

The NACS Show will take place Oct. 11-14 at the Las Vegas Convention Center.

“The NACS Show combines world-class education with cutting-edge products and services all wrapped up in the best networking event in the convenience and retailing industry,” said NACS chairman Steve Loehr, vice president of operations at LaCrosse, Wis.-based Kwik Trip convenience stores. “The added fourth day of general sessions further cements the NACS Show as a can’t-miss event for anyone selling convenience.”

The general session speakers are:

• Chris McChesney, global practice leader of execution for Franklin Covey, and national best-selling author of “The 4 Disciplines of Execution.”
• Connie Podesta, an award-winning author, comedian and expert in the psychology of human relations, as well as sales and leadership.
• John Mackey, co-CEO and co-founder of natural and organic grocer Whole Foods Market.

On the last day of the NACS Show, the general session will debut the 2015 NACS Ideas 2 Go video program that will feature behind-the-scenes looks at nine exceptional convenience retailers, showcasing the industry’s best practices and most innovative operators.

Each general session also will feature keynotes from NACS leadership, including president and CEO Henry Armour; 2014-15 chairman Steve Loehr; and incoming 2015-16 chairman Jack Kofdarali, president of J & T Management Co. Inc., Corona, Calif. Reflecting the growing international scope of the NACS Show, the general sessions will be once again translated into Portuguese, Spanish and Mandarin Chinese, and select educational sessions will be translated into Portuguese and Spanish.

OAKBROOK TERRACE, Ill.— As the September edition of CSP magazine hits the streets, we bring you six of the best lessons and ideas from the issue. Read on, and follow the links to read the articles themselves and discover even more great ideas for driving foodservice sales.

1. Reach for Growth

In part two of CSP-Product Evaluations’ Annual Trend Report (click here for part one), we explore how retailers can evolve to the next level of foodservice, wherever they are on the spectrum. Those with a limited commitment to foodservice (two items or less on the menu) should consider dispensed frozen drinks, breakfast sandwiches and ethnic handheld items—three menu categories that are prevalent amongst moderate-commitment retailers. For those in the moderate-commitment bucket (five to seven items) who are aiming to compete with high-commitment operators (10-plus items), consider adding burgers, deli salads and chicken programs.

2. Track the Pizza Concepts

Keep your eye on the Pieology Pizzeria, the fastest-growing small restaurant chain in the United States, according to Restaurant Business’ Future 50. Pieology makes individually sized pizzas—topped to order with about 30 toppings—and baked in less than three minutes in an open-flame, stone-deck oven. It was among three fast-casual pizza concepts on this year’s Future 50, along with Blaze Pizza at No. 2 and Mod Pizza at No. 5.

3. Consider Third-Party Delivery

The rise of third-party delivery services such as GrubHub, Postmates and even Uber gives c-stores the opportunity to offer delivery without the investment in infrastructure. What’s the threat? Restaurants are quickly joining the trend, so if c-stores don’t act, are you giving them one more way to steal a meal occasion?

4. Recruit at Culinary Schools

If you’re trying to bring in employees with more of a foodservice focus, consider visiting culinary schools, vocational schools and high schools with culinary arts programs. Many of these students may not be looking for a traditional restaurant job, and would be intrigued by the prospects of the burgeoning c-store foodservice industry. Just remember, it will be your job to educate them about why they’d want to join the segment.

5. Bet on the Busy Balancer

Fifty-percent of c-store foodservice users come from two eater “archetypes,” as defined by Technomic: functional eaters and busy balancers. Functional eaters are likely already familiar to you: male, younger millennials, lower income, who think of food as fuel. The busy balancer meanwhile is primarily female, also millennial, but of a higher income. She has embraced a hectic lifestyle, balancing a career, family, friends and community. Though they only make up 14% of the foodservice consumer pie, busy balancers are the most frequent foodservice users because it is a crucial component of their lives. How can you relate and market to them?

6. Minimize the Idea, Emphasize the Process

In his September column on moving a menu item from ideation to rollout, Ed Burcher quoted former Wawa CEO Dick Wood, who once said, “We are long on planning and short on execution.” Or in Burcher’s own words, “Having a great idea is easy; it’s consistent execution that is the toughest part.” Success therefore lies in the process, which includes knowing your guests, building quality from R&D and on, and designing an execution process for consistency. 

WOODBURY, Minn. — Convenience-store retailer SuperAmerica has reached an agreement for a multi-year contract renewal with Eby-Brown Co. LLC, a leading consumer products distributor to the convenience-store industry in the eastern United States.

Under a long term agreement, Eby-Brown will remain the exclusive supplier to all of the corporate SuperAmerica c-stores and will also be the authorized supplier for the franchise locations.

SuperAmerica and Eby-Brown underwent a review process that was comprehensive and beneficial for both companies.

“The continuation of our long-term partnership continues to advance our commitment to our organizations seven C’s. The focus on our customers, compliance, creating value for our unit holders and continuous improvement are just some of the reasons we’re excited to extend our relationship,” said Jack Helmick, president of SuperAmerica. “Eby-Brown has always been a solid performer and fantastic partner, and we’re confident that together our companies will continue to improve and achieve our mutual goals.”

Tom Wake, co-president of Eby-Brown, said, “We look forward to partnering with SuperAmerica in the years ahead. The valued relationships we share with our customers are extremely important to Eby-Brown. Providing the absolute best service to our customers is engrained in our company’s culture, and we are thrilled that SuperAmerica has chosen to extend our longstanding partnership.”

SuperAmerica is a part of the Northern Tier family of companies. It operates more than 264 retail locations in Minnesota, South Dakota and Wisconsin, based in Woodbury, Minn.

Naperville, Ill.-based Eby-Brown is the largest family-owned wholesale distributor in the convenience-store industry. It owns and operates six distribution centers throughout the Midwest and Southeast.

RICHMOND, Va. — Executives at c-store retailer GPM Investments this week could not address reports that its parent company, Arko Holdings Ltd., has signed an agreement to purchase another 175 “filling stations, convenience stores and tobacco stores in the U.S. Midwest” to add to its growing store count.

According to a report in Israel’s Globes newspaper, the Richmond, Va.-based company will have 950 stores upon completion of the deal.

The report does not say from whom the stores are being purchased. A separate report by Israel’s Haaretz newspaper said there are three different sellers involved in the transaction.

GPM executives are in a quiet period as the company gears up for its master-limited-partnership (MLP) IPO spinoff and thus could not comment.

The deal follows the 161-store acquisition of Village Pantry and Next Door Stores from VPS Convenience Store Group LLC in June and the purchase of 42 Road Ranger c-stores in March.

Assuming that the company completes this new deal, GPM will have 950 gas stations in 16 U.S. states on the East Coast, in the Southeast and in the Midwest, said Globes.

The first stage of the agreement includes the purchase of 125 sites for gas stations and convenience stores at a cost of $27 million to $29 million. In the second stage, GPM has an option to buy the remaining sites at an undisclosed price, which is slated to be set within 45 days of the completion of the first part of the deal.

With this transaction, Arko Holdings, controlled by Arie Kotler and Morris Willner, is continuing its development of its principal business, GPM, the report said.

Arko said that the company is “continuing its business strategy aimed at reinforcing GPM’s business and consolidating its position as one of the leading companies in its field in the U.S.”

In early September, Arko announced that GPM had submitted a fourth draft prospectus to the U.S. Securities & Exchange Commission (SEC), indicating that the company had already obtained investment commitments totaling up to $220 million.

Richmond, Va.-based GPM operates or supplies stores in Virginia, Connecticut, Delaware, Maryland, Pennsylvania, North Carolina, South Carolina, Rhode Island, New Jersey, Tennessee, Illinois, Indiana and Kentucky. It has more than 220 convenient Fas Mart (163) and Shore Stop (58) locations.

In August 2013, GPM acquired a 264-store group, which included the Scotchman, Young’s, Li’l Cricket, Everyday Shop, BreadBox and Cigarette City stores. They are now a division of the company called GPM Southeast, located in North Carolina, South Carolina, Tennessee and Virginia. In early 2015, GPM began operating eight One Stop Stores in North Carolina and South Carolina that were previously owned by Arey Oil. The stores have been rebranded as Scotchman and are also a part of GPM Southeast.

GPM has now expanded into the Midwest after taking ownership of 42 Road Ranger convenience stores with gasoline sales. These stores are located in Illinois, Iowa and Kentucky and make up the newest division of the company: GPM Midwest.

Click here to view the full Globes report.