Reflecting on 2024 Predictions & What's Next for 2025
As we start 2025, I thought I'd reflect on the predictions I made here a year ago and look ahead to trends shaping the convenience store industry. While 2024 certainly brought surprises, many of last year's forecasts proved accurate, though not without some unexpected nuances:
First, my prediction regarding the rise of electric vehicle (EV) infrastructure in c-stores was spot-on as EV charging stations have indeed expanded in the industry. In 2025, with a new administration that's adverse to subsidizing sales of electric vehicles, c-stores might have to rethink their investment in EV chargers, at least in the short term. Nevertheless, for EV charging to work profitably for c-stores, retailers will need to create a destination experience for EV drivers, including enhanced seating areas, robust food and beverage offerings, and digital convenience options.
As predicted, artificial intelligence (AI) had a profound impact in 2024, particularly in inventory management and food prep automation. For 2025, I believe the major tech focus of retailers will be cybersecurity. C-store operators must double down on robust security protocols to protect customer data, while continuing to adopt AI solutions to streamline operations. Expect further integration of AI-driven loyalty programs and tailored promotions this year.
[Read more: What Can the Convenience Channel Expect in 2025?]
The big no-brainer was predicting the continued growth of foodservice sales in the channel. Best-in-class foodservice operators, such as those honored in Convenience Store News' annual Foodservice Innovators Awards program, are redefining what convenience store dining can be. This year, we're likely to see even more premium, healthy and culturally diverse menu items. As consumers grow savvier about their health choices, offering globally inspired fare and functional beverages will help differentiate c-stores from competitors.
My concerns about menthol and flavored tobacco bans played out largely as expected. While the federal delay softened the initial blow, several states acted independently. In 2025, expect more localized restrictions and a continued push by c-stores to diversify their nicotine offerings with noncombustible products.
Unfortunately, my concerns over retail theft not only materialized, but also intensified. Inventory shrink has increased four- or five-fold over the past few years. In certain areas, stores are being closed because of it. If the trend persists, 2025 could be the year that we see a major industrywide focus on enhanced security technology — from more cameras to AI-driven theft detection — to safeguard profitability.
