Travel Centers & Truck Stops Embrace Innovation
NATIONAL REPORT — The nation's travel centers and truck stops are on the move, with new players joining the industry and existing players expanding and innovating at speeds that rival the highway traffic they cater to.
"The industry is currently evolving to meet demand for new fueling technologies, such as electric vehicle charging stations, as well as in-store technologies that enhance speed of service," said Tiffany Wlazlowski Neuman, vice president of public affairs for NATSO, the national association representing the travel plaza and truck stop industry.
The fact that truck stops and travel plazas never closed during the COVID-19 pandemic has also played a role in the high-speed growth of the channel, she noted.
"In the early days of COVID-19, we were among those businesses deemed essential to ensure that truck drivers had access to food and fuel and could continue to deliver critical supplies, such as groceries and medicine," Neuman said.
"The pandemic brought to light the critical role that travel centers and truck stops play in the nation's supply chain. While the industry was already experiencing change prior to the pandemic, the pandemic elevated the importance of our industry — which, in turn, brought planned changes to the forefront for many companies and locations," she added.
Gary Hall, an industry consultant based in Medford, Ore., also points out that the just-in-time (JIT) inventory method for large retail stores that has now escalated to overnight shipping is further driving the segment's growth.
The Great Overhaul
The largest travel center chain in the United States, Knoxville, Tenn.-based Pilot Co., recently embarked on a three-year, $1 billion initiative to overhaul hundreds of its travel centers across the country. The "New Horizons" project will include full remodels of more than 400 Pilot and Flying J locations, as well as upgrades at many other locations.
The retailer, which operates more than 750 locations in 44 states and six Canadian provinces, has stated that this will be its largest investment in store modernization yet, and will "improve the Pilot experience for customers and employees alike."
In June, Pilot welcomed customers to its first four newly upgraded travel centers. Among the enhancements made were an updated interior, remodeled restrooms, expanded seating area, a new hot deli and soup bar, and the addition of self-checkout.
"Completing the first locations of our New Horizons project is exciting, and we look forward to offering our guests the best experiences on the road," Allison Cornish, the company's vice president of store modernization, said at the time. "This is just the beginning of our plans for the future as we continue to listen to our guests and strive to make their travel easier and more enjoyable."
In early August, the retailer debuted a new Tex-Mex deli concept, Burrito Junction, at its latest remodeled Pilot travel center in Corbin, Ky.
Another major travel center chain, TravelCenters of America Inc. (TA), debuted a new store design and announced a nationwide site refresh plan in October 2021. The Westlake, Ohio-based company, which operates 276-plus locations in 44 states and Canada, set out to execute more than 100 site refreshes.
Refresh components include updates to driver lounges, repaved parking lots, renovated restrooms and showers, new lighting fixtures, new flooring and paint, and the addition of self-checkout. Refreshed sites also feature improved signage and a new store flow.
The October 2021 reopening of the TA location in Seymour, Ind., marked the debut of its new store design. At the same time, the retailer announced the launch of The Kitchen, a new fast-casual dining experience to be rolled out to select locations nationwide.
"All of these investments and improvements are designed around improving our guest experience based on a more examined understanding of their needs, and intended to drive efficiency and financial performance," said CEO Jonathan Pertchik.
Meanwhile, Oklahoma City-based Love's Travel Stops, which operates more than 580 locations in 41 states, kicked off 2022 with an ambitious growth plan. Forty new locations are slated to open this year, along with networkwide enhancements.
Love's outlined goals for 2022 include: increasing fueling options across the U.S.; expanding the Love's branded product line; introducing fresh and hot food offerings; opening more than 20 Love's Truck Care and Speedco locations as part of the nation's largest oil change and preventive maintenance network; and continuing to enhance the Love's Connect mobile app with new features.
Making the Jump From C-stores
More players from the traditional convenience store universe are deciding to join the travel center and truck stop industry and realizing the benefits of this side of the business.
C-store operators recognize there is an opportunity to expand into additional businesses, such as truck stops and travel centers, to serve their customers, NATSO's Neuman said.
Tulsa, Okla.-based QuikTrip Corp. has been in the travel center business since the early 1990s and currently has 71 such locations. Of those, 15 are part of its new Remote Store Network initiative. QuikTrip currently has 10 travel centers and 11 Remote Travel Centers under construction. By the end of 2022, the retailer expects to have eight additional Remote Travel Center locations up and running.
Traditional c-store operator RaceTrac Inc. is another company making the jump. Based in Atlanta, RaceTrac's travel center prototype is roughly 2,500 square feet larger than its standard c-store. RaceTrac executives told Convenience Store News that the retailer plans to lean heavily into the travel center channel and has ambitious goals to build sites across the Southeast and beyond, "extending its values to the professional truck-driving population."
Driving Change
No doubt, technological advancements are contributing to the changes being seen in the modern-day travel center/truck stop, and the best players will showcase them.
"The best operators are adopting technologies that improve customer speed of service or allow them to redeploy labor in a more efficient manner," Neuman said, citing self-checkout, scan-and-go programs and digital shelf labels as among the technologies she sees on the rise in the industry.
"We will also continue to see more automated retail in travel center stores, along with equipment that allows travel centers to redeploy — not eliminate — labor," she added. "For example, truck stops will continue to explore technology that allows staff to work the floor and engage with customers, rather than stand behind a counter. Future store designs will also continue to evolve as age-restricted products become automated."