MINNEAPOLIS — A new website was launched last year to respond to the growing number of local tobacco restrictions being proposed around the United States. This website is known as TOTAL, or Tobacco Ordinances: Take Another Look.

The website’s purpose is focused on providing factual information to lawmakers and the public about the legal sale of tobacco products and the nonretail sources that underage youth regularly rely on to obtain the products.

Also, the website is designed to help retailers with the information they need to respond to proposed tobacco restrictions. The site includes viewable and downloadable information sheets on coupon-redemption bans, flavored-tobacco-product bans, local cigarette and OTP taxes, prohibitions on promotionally priced products, raising the legal age to buy tobacco products, cigar-pack size and minimum pricing requirements, “social sources,” the cause and effect of local tobacco ordinances, the negative outcomes associated with the adoption of local ordinances, and alternatives to adopting additional restrictions on the retail sale of tobacco products.

In addition, the website includes a new video titled Wake Up or Pay Up, which is about local flavored-tobacco bans. The message in the video is important because retailers need to educate their local elected officials about how they responsibly sell tobacco products and the effect of sales restrictions or bans on legal flavored tobacco products.

To watch the new video, click here.

Retailers are encouraged to visit the TOTAL website and view all the information that is available to assist in responding to proposed local ordinances. Local lawmakers need to understand that retailers are a part of the solution in preventing underage access to tobacco products and that there are alternatives to consider rather than the adoption of more restrictions or prohibitions on the sale of legal tobacco products.

SILVER SPRING, Md. — A new program to help retailers educate employees about age verification and the sale tobacco products is now available to retailers from the U.S. Food and Drug Administration’s Center for Tobacco Products (CTP).

Designed to prevent and reduce tobacco sales to minors, the nationally distributed retailer-education program called This Is Our Watch includes a free set of resources to support retailers’ efforts to educate staff on enforcing federal laws and regulations. The materials, which the CTP designed using feedback from store owners and employees, include posters, register signage, regulation fact sheets, and an age-verification calendar with instructions for use. The free materials are being mailed to retailers and are also being made available online this month.

The FDA also has an age-calculator app that retailers can download in on Apple or Android smartphones.

This Is Our Watch is designed to complement the FDA’s tobacco-compliance and enforcement efforts, which aim to uphold federal tobacco laws, the CTP said in a press release. As of Oct. 1, 2017, the FDA has conducted more than 842,000 inspections of tobacco-product retail establishments, issued more than 64,000 warning letters to retailers for violating the law, initiated more than 15,400 civil-money penalty cases and issued more than 85 “no-tobacco-sale order” complaints.

According to the FDA and CTP, each day in the United States nearly 2,500 youth under age 18 smoke their first cigarette and more than 400 kids under age 18 become daily cigarette smokers. Tobacco use is almost always initiated and established during adolescence—close to 90% of established, adult smokers smoked their first cigarette by age 18—making early intervention critical, said CTP officials. For more information on the new educational program, click here.

HONOLULU — Island Energy Services LLC has completed the sale of the land and buildings at 11 gas stations on Oahu to Fergus & Co., a Honolulu-based real-estate investment company. The parties entered into a sale-leaseback transaction in which Fergus & Co. purchased the fee-simple interest in the land and buildings at the stations and leased the properties back to Island Energy Services in a long-term lease.

There will be no effect to employees, customers, retailers or to the operations of the Texaco stations as a result of this transaction, the companies said. The companies did not make the terms of the transaction public. Realtor Trent Thoms of CBRE, Honolulu, represented Island Energy Services in the transaction.

“The completion of this transaction will allow the continued and long-term operation of our Texaco-branded service stations, while making additional capital available to reinvest locally to serve our goal of growing a premier energy business in Hawaii,” said Jon Mauer, president and CEO of Island Energy Services, Kapolei, Hawaii.

“As a company that is celebrating its one-year anniversary, the sale demonstrates that we remain committed to investing in Hawaii and continuing to serve our valued customers’ energy needs,” he said.

“The acquisition fits well with our company’s strategy of acquiring well-positioned properties around the state,” said Alex Fergus, partner, Fergus & Co., Honolulu.

In November 2016, Island Energy Services completed the acquisition of Chevron USA Inc.’s refining, distribution and retail assets located in Hawaii. Approximately 80% of the stations have recently undergone renovations and transitioned from Chevron with Techron to Texaco with Techron.

Island Energy Services is the official licensee of the Texaco brand in Hawaii. Through its wholly owned affiliates IES Downstream LLC and IES Retail LLC, Island Energy Services operates assets including a refinery, interest in a network of 56 Texaco gas stations statewide, four product distribution terminals and related logistical assets.

Brought to you by PDQ Manufacturing.

No two car washes are the same. From location to added features to pricing, every car wash owner has an individual sales strategy. There are, however, five secrets that all successful car wash owners know will help maximize revenue.

1. Carefully calculate the base wash price

There is an exact operator cost for a single car wash. Once everything from utilities to chemicals used is factored in, retailers will be able to pinpoint the ideal costs for each vehicle’s wash. Use this to calculate a base car wash offering, while making sure to include a solid profit margin. There are a few secondary factors that will help price car wash options, including location.

2. Price car washes for the area you serve

Location, location, location—it’s critical in just about every industry. The car wash industry is no different, which is why pricing should take location into consideration.

If a car wash serves an affluent area, customers will be able to afford a higher priced wash. Do some research and learn what competitors are charging in the surrounding area. Lowballing will negatively affect gross margins, but pricing a wash aggressively, especially if you have added features and options, will increase sales.

3. Add features to enhance the wash

Car wash owners can increase revenue per vehicle by upselling features that allow patrons to customize their wash experience. A few features that PDQ offers with its all-new Tandem Surfline to boost revenue and customer satisfaction include:

• Front Bug Prep: PDQ’s exclusive Front Bug Prep can increase revenue without adding time to the wash process. Customers love this feature, which focuses on hard-to-clean areas like the windshield, backsides of mirrors and the front of vehicles.
• 3X Color Foam System: The 3X Color Foam Applicator can apply three-color foam solutions to the vehicle, captivating the attention of your customers. Any Snapchat or Instagram user is sure to take a colorful picture and add it to their story.
• Super Sealant System: Protect the surface of the vehicle with our Super Sealant System. This option protects the clear coat and helps maintain vehicles’ shine, and is an excellent revenue generator.
• TriPlex Wheel Cleaning System: PDQ’s TriPlex Wheel Cleaning System takes tire scrubbing to a new level. During the process, each tire receives a chemical application allowing for dwell time and the wheel receives an intense bi-directional rotational scrubbing, which is followed by a full-wheel, high-pressure blast to ensure optimal cleanliness.
• Overglow High Gloss Application System: Put the shine back in to your profits with this system.  Customers will enjoy the look of a colorful, thick sheet of solution draping their vehicle, and retailers will love the additional revenue.

4. Turn an errand into an experience

Delight customers with an exciting light show that differentiates your wash from competitors. PDQ’s ProGlow Illumination System is a great example that illuminates car wash bays day and night. The system can be programmed to display multiple color combinations of flashing patterns or constant colored illumination to reflect any brand image. A glow from a wash bay can be a highly effective marketing tool to draw more attention to your wash site, encouraging consumers to take notice and keep existing customers coming back again and again.

5. Incentivize customers to purchase a membership

A loyalty program is a great way to gain new customers and keep current customers engaged. In addition to the bottom-line impact, the combination of a loyalty program and corresponding software allows car wash owners to truly understand their customers. First, connect with customers. Next, engage them with a loyalty program. Finally, optimize strategies based on the insights gained.

Turn these five secrets into strategies and boost your car wash revenue. Reach out to us for more information on carwash solutions or support.

Brought to you by PDQ Manufacturing.

No two car washes are the same. From location to added features to pricing, every car wash owner has an individual sales strategy. There are, however, five secrets that all successful car wash owners know will help maximize revenue.

1. Carefully calculate the base wash price

There is an exact operator cost for a single car wash. Once everything from utilities to chemicals used is factored in, retailers will be able to pinpoint the ideal costs for each vehicle’s wash. Use this to calculate a base car wash offering, while making sure to include a solid profit margin. There are a few secondary factors that will help price car wash options, including location.

2. Price car washes for the area you serve

Location, location, location—it’s critical in just about every industry. The car wash industry is no different, which is why pricing should take location into consideration.

If a car wash serves an affluent area, customers will be able to afford a higher priced wash. Do some research and learn what competitors are charging in the surrounding area. Lowballing will negatively affect gross margins, but pricing a wash aggressively, especially if you have added features and options, will increase sales.

3. Add features to enhance the wash

Car wash owners can increase revenue per vehicle by upselling features that allow patrons to customize their wash experience. A few features that PDQ offers with its all-new Tandem Surfline to boost revenue and customer satisfaction include:

• Front Bug Prep: PDQ’s exclusive Front Bug Prep can increase revenue without adding time to the wash process. Customers love this feature, which focuses on hard-to-clean areas like the windshield, backsides of mirrors and the front of vehicles.
• 3X Color Foam System: The 3X Color Foam Applicator can apply three-color foam solutions to the vehicle, captivating the attention of your customers. Any Snapchat or Instagram user is sure to take a colorful picture and add it to their story.
• Super Sealant System: Protect the surface of the vehicle with our Super Sealant System. This option protects the clear coat and helps maintain vehicles’ shine, and is an excellent revenue generator.
• TriPlex Wheel Cleaning System: PDQ’s TriPlex Wheel Cleaning System takes tire scrubbing to a new level. During the process, each tire receives a chemical application allowing for dwell time and the wheel receives an intense bi-directional rotational scrubbing, which is followed by a full-wheel, high-pressure blast to ensure optimal cleanliness.
• Overglow High Gloss Application System: Put the shine back in to your profits with this system.  Customers will enjoy the look of a colorful, thick sheet of solution draping their vehicle, and retailers will love the additional revenue.

4. Turn an errand into an experience

Delight customers with an exciting light show that differentiates your wash from competitors. PDQ’s ProGlow Illumination System is a great example that illuminates car wash bays day and night. The system can be programmed to display multiple color combinations of flashing patterns or constant colored illumination to reflect any brand image. A glow from a wash bay can be a highly effective marketing tool to draw more attention to your wash site, encouraging consumers to take notice and keep existing customers coming back again and again.

5. Incentivize customers to purchase a membership

A loyalty program is a great way to gain new customers and keep current customers engaged. In addition to the bottom-line impact, the combination of a loyalty program and corresponding software allows car wash owners to truly understand their customers. First, connect with customers. Next, engage them with a loyalty program. Finally, optimize strategies based on the insights gained.

Turn these five secrets into strategies and boost your car wash revenue. Reach out to us for more information on carwash solutions or support.

CAMARILLO, Calif. — After sliding down nearly 19 cents per gallon (CPG) during the seven weeks following Hurricane Harvey’s landfall, the average regular-grade gasoline pump price rose 7.28 cents in the past two weeks, according to the most recent Lundberg Survey of approximately 2,500 U.S. gas stations.

The retail increase came from higher crude-oil prices and a combination of gasoline market price pulls. On the gasoline side, refining maintenance (largely what Harvey delayed via flooding of plants), plus Explorer pipeline work caused by a leak, was joined by higher Renewable Identification Number (RIN) prices and even a tax increase in one state, California.

Recent crude-oil price increases don’t seem poised for an ongoing steep climb, though the futures market currently sees prices a year from now lower, not higher, despite supply security issues affecting troubled producers Iraq and Venezuela. And as always, higher oil prices send a message to production, including U.S. shale oil production, to flex muscle for future growth, which would in turn depress price.

Of course, refinery and pipeline work will eventually conclude, and the CPG influence of RINs is nonstatic. Of the main factors upping the pump price since Oct. 10, only the California tax increase, a 12-CPG hit effective Nov. 1, is a set amount residing in price.

There is no gasoline supply shortage, and the country’s refining capacity utilization rate has edged up another notch. As for demand, it got a kick down on Nov. 3 by the loss of Daylight Saving Time that cuts into evening driving home after work, and demand from here will continue its seasonal retreat. And the U.S. average retail price is now about 32 cents above its year-ago point, putting a drag on demand growth performance, rendering it inferior to what it otherwise would be.

Meanwhile, that new 12 cents in California helped catapult state pump prices 41 cents above where they were a year ago, adding an inhibition to demand growth in a state that accounts for more than one-tenth of national gasoline consumption.

Retail margin on regular-grade gasoline is 17 cents poorer since the nice 30-CPG level of Sept. 22, as wholesale price increases, including some occurring on Nov. 3, have not appeared at street level. Margin sits at an insufficient 13.04 cents, and for this reason alone a few more pennies, but not dimes, at the pump are probably fast on the way—even as infrastructural repairs conclude and even if crude-oil prices do not continue to rise.

Camarillo, Calif.-based Lundberg Survey Inc. is an independent market research company specializing in the U.S. petroleum marketing and related industries. Click here for previous Lundberg Survey reports in CSP Daily News.

SAN JOSE, Calif. — Payment company Verifone will speed its chip processing time by implementing MasterCard’s M/Chip Fast technology across the company’s next-generation and heritage payment products, the company announced.

Merchants in North America will experience payment processing speeds equal to that of magnetic-stripe transactions with this technology, the San Jose, Calif.-based company said.

M/Chip Fast is designed for grocery, retail, fast-food and hospitality environments where speed and convenience are critical. It facilitates EMV (Europay, MasterCard, Visa) transactions consistent with those offered globally by MasterCard; however, payments are authenticated in one step instead of two. This means consumers no longer have to wait for the full round-trip authorization to return to the card. Grocery shoppers will notice that they will be able to tap or dip and remove cards from the terminal while the cashier continues to scan items. As with standard EMV authentication, M/Chip Fast provides counterfeit fraud protection by creating unique codes for all transactions.

“The goal is to deliver great experiences for consumers and merchants,” said Linda Kirkpatrick, executive vice president of U.S. market development for MasterCard. “We believe that M/Chip Fast should be implemented by merchants requiring accelerated checkout in today’s fast-moving, competitive retail environment. With the approaching holiday season, we look forward to working with Verifone to create a better payment experience offering both speed and security for all chip-based transactions.”

“Retail is evolving and our merchants want to offer better, engaging checkout experiences to their customers,” said Joe Mach, president of North America for Verifone. “M/Chip Fast effectively prioritizes the parts of transactions that are critical to security. Quicker transaction speed with enhanced payment security are ideal when time is of the essence, such as the holiday shopping season when checkout lines are especially long. Verifone is committed to supporting new technologies like M/Chip Fast to make EMV adoption a winning experience for both merchants and consumers.”

The Verifone Point and FIPay payment solutions, the Verifone MX, VX and Engage product lines and Verifone Carbon will all support the M/Chip Fast option and Visa’s Quick Chip for EMV technology. Both M/Chip Fast and Quick Chip allow customers to dip their EMV cards while items in their shopping cart are being scanned, and allow the card to be removed from the terminal as soon as the card data is read by the terminal.

Brought to you by Bake’n Joy.

Baked goods are still enjoying a renaissance in the convenience market, especially as food manufacturers launch new and innovative products. Instances of baked goods in c-stores have increased 9% year-over-year, according to Technomic’s MenuMonitor.

According to Technomic’s 2017 CSP Foodservice Handbook, some of the more popular items being sold in c-stores include bagels and donuts, and 45% of consumers say they would be likely to order hot/warm breads if they were available.

With consumer interest in baked goods rising, here’s how c-stores can boost sales of these items.

Muffins on the rise

At c-stores specifically, there’s great opportunity to offer a range of baked goods for interested consumers. Items like donuts, pastries, bagels, English muffins and muffins are key.

For retailers who want to see a bump in baked goods sales, offering a variety of muffins may help. Technomic’s MenuMonitor reports that the top five flavors of muffins within c-stores are blueberry, chocolate chip, banana, berry and chocolate, in that order. It seems old standby favorites are still today’s go-to, so retailers should be sure to stock those flavors over new or trending ones.

Snacking habits

Baked goods are seeing a boost in sales throughout the day as more consumers look for indulgent treats and quick, handheld snacks.

Snacking in general is up; Technomic’s 2016 Snacking Occasion report finds that 83% of consumers have a snack at least once a day, with 54% reporting having a snack two to three times a day. According to the report, 42% of consumers replace breakfast with a snack, while 55% do the same for lunch. That said, the most popular time for snacking is in the afternoon—that’s when 79% say they typically have one, followed by the evening, when 48% are reaching for a snack. Here too, muffins are seeing a steady resurgence; in that same report, 47% of consumers say they purchase muffins for a snack at least occasionally, up from 42% in 2014. This could be perhaps because they are highly portable.

The most popular time for muffin purchases is the morning, with 73% of consumers saying that’s when they buy them for a snack.  As for where consumers are purchasing muffins, 60% say they are purchasing at retail locations such as c-stores—retailers have a big opportunity to capitalize on that. Freshness is key, so keep freshly baked muffins stocked throughout the day. Toppings like icing or streusel further entice customers to make a purchase. Insist on quality baked goods for repeat sales.

Encourage purchasing

Bundling boosts bakery case sales, too. According to Technomic’s 2016 Bakery & Coffee Café report, 41% of consumers say that food and beverage  combo offers encourage them to order a food item—retailers can take that knowledge and easily apply it to the c-store. Grab-n-go food options also drive purchases, with 34% saying that would encourage them to buy food as well. Packaged baked goods like muffins and pastries are an appealing convenience item for the busy consumer who wants a quick bite to go.

Long thought of as a morning-only meal, baked goods—from bagels to muffins to pastries and more—continue to see growth during all times of the day and by all types of c-store users. The key to growing and maintaining sales momentum is to provide variety, freshness and quality baked goods along with sales-inducing strategies that appeal to today’s busy consumer.

Brought to you by Bake’n Joy.

Baked goods are still enjoying a renaissance in the convenience market, especially as food manufacturers launch new and innovative products. Instances of baked goods in c-stores have increased 9% year-over-year, according to Technomic’s MenuMonitor.

According to Technomic’s 2017 CSP Foodservice Handbook, some of the more popular items being sold in c-stores include bagels and donuts, and 45% of consumers say they’d be likely to order hot/warm breads if they were available.

With consumer interest in baked goods rising, here’s how c-stores can boost sales of these items.

Muffins on the rise

At c-stores specifically, there’s great opportunity to offer a range of baked goods for interested consumers. Items like donuts, pastries, bagels, English muffins and muffins are key.

For retailers who want to see a bump in baked goods sales, offering a variety of muffins may help. Technomic’s MenuMonitor reports that the top five flavors of muffins within c-stores are blueberry, chocolate chip, banana, berry and chocolate, in that order. It seems old standby favorites are still today’s go-to, so retailers should be sure to stock those flavors over new or trending ones.

Snacking habits

Baked goods seem to be seeing a boost in sales throughout the day as more consumers look for treats and quick, handheld snacks.

Snacking in general is up; Technomic’s 2016 Snacking Occasion report finds that 83% of consumers have a snack at least once a day, with 54% reporting having a snack two to three times a day.

Here too, muffins are seeing a steady resurgence; in that same report, 47% of consumers say they purchase muffins for a snack at least occasionally, up from 42% in 2014.

The most popular time for muffin purchases is the morning, with 73% of consumers saying that’s when they buy them for a snack. As for where they’re buying them from, 60% say when they purchase muffins, they do so at retail locations such as c-stores—retailers have a big opportunity to capitalize on that.

Encouraging purchasing

Bundling boosts bakery case sales, too. According to Technomic’s 2016 Bakery & Coffee Café report, 41% of consumers say that food and beverage combos being offered would encourage them to order a food item—retailers can take that knowledge and easily apply it to the c-store. Grab-n-go food options also drive purchases, with 34% saying that would encourage them to buy food as well. Packaged baked goods like muffins and pastries are perfect for appealing to the busy consumer who wants a quick bite to take with them.

Long thought of as a morning-only meal, baked goods—from bagels to muffins to pastries and more–continue to see growth during all times of the day and by all types of c-store users. The key is to maintain that variety—and quality—consumers today crave.

MORRISTOWN, Tenn. — Rogers Petroleum has purchased the assets of Arrow Gas & Oil Inc., Oak Ridge, Tenn., adding to its presence in the wholesale fuel distribution market in eastern Tennessee.

Founded in 1980, Rogers Petroleum has four fleet-fueling facilities and six bulk plants and distributes gasoline and diesel fuel to 125 convenience stores in its marketing area. With the acquisition, Rogers Petroleum will distribute more than 155 million gallons of fuel per year to customers in the Southeast. Based in Morristown, Tenn., Rogers serves commercial and other customers in eight states.

Arrow offers a variety of fuels, including biofuels, to customers across eastern Tennessee.

Duane Goin will serve as vice president of business development for Rogers Petroleum. He and his wife, Melissa, were co-owners of Arrow. They purchased the company in 1995 when the business had one truck and three convenience stores. Arrow grew from serving two marinas to 20 and expanded into the construction industry in addition to a lineup of other business segments. In 2000, Arrow bought Brooks Oil in Knoxville, Tenn., adding 10 c-stores.

Arrow now supplies independent dealers but owns no c-stores of its own.

“For Rogers Petroleum, this was a strategic choice and continues our focus on the area of fuel distribution. Arrow has good people and good assets that will make great additions to our organization. There are some real synergies,” CEO Chris Liposky said.

“This marriage increases all segments of our business—commercial, agricultural and dealers, and it brings the Sunoco brand to Rogers Petroleum,” said John Yeager, president of Rogers Petroleum. The company currently offers the CITGO, Exxon and Marathon fuel brands.

The company will add all of Arrow’s employees to the Rogers’ team. “Their expertise will benefit our company and our customers,” Yeager said.

“Our goal throughout the process is to make it easy for Arrow customers to transfer over to Rogers. We are working hard to make it a smooth transition,” said Liposky.

Rogers Petroleum currently markets petroleum products in Tennessee, Kentucky, Virginia, West Virginia, North Carolina, South Carolina, Georgia and Florida. The company offers a full range of products including branded and unbranded gasoline, ethanol-free gasoline, on-road and off-road diesel, biofuels, and diesel exhaust fluid (DEF).

Last year, Rogers Petroleum purchased a division of BV Oil Co., giving it an established fuel business and facilities in central Florida.

Mark Radosevich, president of PetroActive Real Estate Services LLC, Coral Gables, Fla., provided confidential advisory services to Arrow. The sale closed Nov. 3. The companies did not disclose the terms of the deal.