April 29, 2016
Health and beauty aids (HBA) aren’t usually products that many c-stores take the time and trouble, or go to the expense to actively market. But they should.
The U.S. beauty industry reached $16 billion in 2015, a 7% increase over 2014 sales, according to the NPD Group. Makeup experienced the healthiest sales growth—13% during that period.
“As convenience stores look to augment their sales by expanding their lines of health and beauty products, they have several marketing tools to leverage,” said Ken Morris, principal of Boston Retail Partners, a business management consulting firm in Boston. “Beyond the obvious marketing strategies of expanded assortments and showcasing and promoting products at the point of purchase and fuel pump displays, savvy convenience store operators are using more innovative approaches to drive sales growth of specific products.”
Loyalty programs are becoming more common in the convenience store space, Morris said, especially with some of the destination convenience store chains that have a cult-like following. “Promoting health and beauty products with special discounts or extra reward points via the loyalty program is a great way to increase awareness and sales of products, especially those products consumers might not expect to find in a convenience store.”