Casey's General Stores By the Numbers
- Third-largest convenience store chain in the United States
- Fourth in liquor licenses among U.S. retailers
- Fifth-largest pizza chain in the United States
- Total enterprise value of approximately $10 billion
- 2,500-plus convenience stores in 16 states
"Our rewards members visit 15 percent more frequently than nonmembers and spend 13 percent more when they do visit. They are roughly 55 percent more profitable than a non-rewards member," Rebelez said. "We spent a lot of time and energy rewarding those members, staying in touch with those members, keeping them engaged and expanding that base of membership."
Not one to stand still, Casey's is moving forward with a new three-year strategic plan.
"As we look to the next three years, we felt really good about where we've been and we think we've built a lot of credibility with the investment community," Rebelez said. "We have what I call a really high 'say-do ratio,' which means if we say we're going to do something, then we take that commitment seriously and we feel compelled to deliver on that."
According to its new strategic plan, Casey's is committed to again grow in the top quintile of S&P retailers with EBITDA growth of 8 percent to 10 percent. It intends to get there by leveraging unique guest insights the company did not have three and half years ago.
The three primary strategies in this leg of the retailer's growth are:
- Accelerate the food business. "Pizza is the crown jewel of our business, but we have a lot of opportunity," Rebelez said. "As strong as our food business is, we have a lot of opportunity to expand and to grow that. We're leaning heavier into that in this next three-year plan."
- Unit growth. "We operate 2,500 convenience stores in 16 midwestern states and what I'd like to point out is that with those 2,500 stores in the 16 states, about 2,000 of those stores are in only nine of the states we operate in," he explained. "So, the other 500 are scattered over the seven other states. We have a lot of white space to grow in our existing footprint. And of course, there's a lot more than 16 states in the U.S., so we have plenty of room beyond that."
- Enhancing operational efficiencies. "We've stood up a continuous improvement team at Casey's that's been focused over the last year on removing inefficiency from our stores, from our distribution centers, really from our entire operation," Rebelez said. "They'll continue that work for the next three years to support that effort."
At the base of these three primary strategies stands investment in Casey's enabling foundation, through which the chain will support objectives around data analytics, technology and supply chain — and enhance its team member value proposition.