Behind every staggering $814.4 billion in annual U.S. sales is a dynamic convenience store industry that not only fuels our cars but powers our economy, supporting millions of jobs and evolving at a breakneck pace to meet our on-the-go needs.
Key Takeaways
- In 2022, U.S. convenience stores achieved total gross margin dollars of $105.2 billion across all merchandise, fuel, and foodservice categories.
- The convenience store industry supported 1.9 million jobs in the U.S. in 2022, including direct employment at c-stores.
- U.S. c-store industry total sales reached $814.4 billion in 2022, a 13.6% increase from 2021.
- U.S. c-store total inside sales were $296.6 billion in 2022, up 8.7%.
- Packaged beverages category sales grew 7.2% to $20.7 billion in 2022.
- Cigarette sales volume declined 9.1% in units but generated $56.8 billion in 2022.
- Total fuel sales revenue was $517.8 billion for U.S. c-stores in 2022.
- Gasoline accounted for 92.3% of total c-store fuel volume sold in 2022.
- Diesel fuel sales volume was 6.2 billion gallons at c-stores in 2022.
- Foodservice gross profit margins averaged 48.2% in c-stores 2022.
- Cigarettes held 27.8% of total in-store gross margin dollars 2022.
- Packaged beverages gross margin percentage was 42.1% in 2022.
- 72.1% of U.S. c-stores offered foodservice in 2023, up from 64.5% prior.
- Average c-store size increased to 3,653 square feet in 2023.
- 24-hour operations present in 74.3% of c-stores in 2023.
The U.S. convenience store industry is a massive economic force with strong sales growth.
Economic Impact
- In 2022, U.S. convenience stores achieved total gross margin dollars of $105.2 billion across all merchandise, fuel, and foodservice categories.
- The convenience store industry supported 1.9 million jobs in the U.S. in 2022, including direct employment at c-stores.
- U.S. c-store industry total sales reached $814.4 billion in 2022, a 13.6% increase from 2021.
- There were 152,255 convenience stores operating in the U.S. as of January 2024.
- C-store industry contributed $97.6 billion in state and local taxes in 2022.
- Average c-store inside sales per store were $1.95 million in 2022.
- Fuel sales accounted for 58% of total c-store industry sales in 2022.
- Total c-store foodservice sales hit $24.1 billion in 2022, up 15.5% from prior year.
- C-stores captured 38.3% market share of U.S. fuel sales volume in 2022.
- Industry average gross profit margin on inside sales was 37.4% in 2022.
- U.S. c-store operators invested $4.2 billion in capital expenditures in 2022.
- C-store industry paid $32.1 billion in employee wages and benefits in 2022.
- Total packaged beverages sales at c-stores reached $20.7 billion in 2022.
- Cigarettes represented 27.8% of in-store gross margin dollars in 2022.
- Average number of c-stores per capita in U.S. was one per 2,255 people in 2023.
- C-store industry total economic output multiplier effect was $2.3 trillion in 2022.
- Foodservice gross margin percentage averaged 48.2% in 2022 across c-stores.
- Total c-store fuel gallons sold were 81.6 billion in 2022.
- Average c-store fuel margin per gallon was 26.6 cents in 2022.
- Inside sales growth rate was 8.7% in 2022 for U.S. c-stores.
- C-stores remodeled or rebuilt 4,200 stores in 2022.
- Total alternative fuels sold at c-stores reached 1.2 billion gallons in 2022.
- C-store industry federal tax contributions were $45.3 billion in 2022.
- Average annual sales per c-store employee were $428,000 in 2022.
- Total snacks sales at c-stores were $14.8 billion in 2022.
- C-stores with foodservice offerings grew to 64.5% of total locations in 2022.
- Industry average net profit margin was 3.2% in 2022 for c-stores.
- Total candy sales generated $9.2 billion in c-store inside sales in 2022.
- C-store construction starts numbered 1,150 new builds in 2022.
- Total beer sales at c-stores reached $12.4 billion in 2022.
Economic Impact Interpretation
Fuel may be the engine, but with a $2.3 trillion economic impact, razor-thin fuel margins, and a relentless pivot toward higher-margin food and drink, America's 152,255 convenience stores are masterfully navigating a tightrope of necessity and innovation to remain our most prolific pit stops.
Fuel Dynamics
- Total fuel sales revenue was $517.8 billion for U.S. c-stores in 2022.
- Gasoline accounted for 92.3% of total c-store fuel volume sold in 2022.
- Diesel fuel sales volume was 6.2 billion gallons at c-stores in 2022.
- Average fuel margin cents per gallon rose to 26.6 cents in 2022.
- C-stores sold 81.6 billion gallons of fuel overall in 2022.
- Premium gasoline share of fuel sales was 18.4% by volume in 2022.
- E85 ethanol blend sales reached 220 million gallons at c-stores 2022.
- 79.2% of c-stores offered diesel fuel for sale in 2022.
- Total fuel gross margin dollars were $21.7 billion in c-stores 2022.
- Average retail price of regular gasoline at c-stores was $3.62/gal in 2022.
- 15.3% of c-store fuel sales came from diesel in 2022.
- Electric vehicle charging stations at c-stores numbered 2,450 in 2022.
- Fuel sales growth was 14.9% in revenue terms for 2022.
- 92% of c-stores offered self-serve gasoline in 2022.
- Mid-grade gasoline volume share was 15.7% at c-stores in 2022.
- Total alternative fuel outlets at c-stores were 12,300 in 2022.
- Fuel profit margin percentage averaged 4.2% of fuel sales in 2022.
- 45.6% of c-stores had 8 or more fueling positions in 2022.
- Biodiesel sales volume at c-stores was 180 million gallons in 2022.
- Average diesel margin per gallon was 32.1 cents at c-stores 2022.
- C-stores with EV chargers grew 28% to 2,450 locations in 2022.
- Regular unleaded gasoline volume was 55.4 billion gallons in 2022.
- Compressed natural gas (CNG) outlets numbered 450 at c-stores 2022.
- Fuel category contributed 58% of total c-store sales revenue 2022.
- Propane sales volume hit 120 million gallons from c-stores in 2022.
- 67% of c-store fuel volume was regular grade gasoline in 2022.
Fuel Dynamics Interpretation
While gasoline is still the lifeblood of the industry—gushing at a torrential 81.6 billion gallons and funding 58% of all sales—its meager 4.2% profit margin proves the real money is made inside, where they sell you a coffee for roughly the same profit as an entire tank of fuel.
Merchandise Insights
- Foodservice gross profit margins averaged 48.2% in c-stores 2022.
- Cigarettes held 27.8% of total in-store gross margin dollars 2022.
- Packaged beverages gross margin percentage was 42.1% in 2022.
- Snacks category gross margin averaged 51.3% at c-stores in 2022.
- Candy gross profit margin was 46.7% across U.S. c-stores 2022.
- Beer category gross margin stood at 28.4% in c-stores 2022.
- Other tobacco products GM percentage was 38.9% in 2022.
- Grocery items gross margin averaged 35.2% at c-stores in 2022.
- Health/energy bars sales grew 16.2% in c-stores during 2022.
- 64.5% of c-stores offered prepared food in 2022.
- Average c-store carried 2,500 SKUs of merchandise in 2022.
- Fresh food offerings present in 42% of c-stores in 2022.
- Vaping products represented 8.2% of tobacco gross margins 2022.
- Bottled water GM margin was 45.6% in c-store sales 2022.
- 78% of c-stores sold lottery products in 2022.
- Energy drinks GM averaged 39.8% at c-stores in 2022.
- 55.3% of stores offered fresh sandwiches in 2022.
- Salty snacks GM was 52.1% in the snacks category 2022.
- Oral nicotine pouches sales up 45% in c-stores 2022.
- 29% of c-stores had beer caves for cold storage in 2022.
- Sweet snacks gross margin 47.2% in c-stores during 2022.
- 62% of stores offered hot coffee programs in 2022.
- Alternative snacks GM reached 53.4% in 2022 c-stores.
- 41.2% of c-stores sold cigars in 2022.
- Packaged ice sales totaled $1.1 billion in c-stores 2022.
- 73% of c-stores featured fountain beverages in 2022.
- Average foodservice sales per store with offering was $142,000 in 2022.
- 35% of c-stores offered fresh fruit in 2022.
Merchandise Insights Interpretation
While cigarettes still pay the landlord, the modern c-store is quietly betting its future on high-margin snacks and fresh food, with a side of nicotine pouches to keep things interesting.
Operational Trends
- 72.1% of U.S. c-stores offered foodservice in 2023, up from 64.5% prior.
- Average c-store size increased to 3,653 square feet in 2023.
- 24-hour operations present in 74.3% of c-stores in 2023.
- Self-checkout systems adopted by 28% of c-stores in 2023.
- Loyalty programs used by 82% of c-store operators in 2023.
- Mobile payment acceptance at 65% of c-stores in 2023.
- Average store employees per c-store was 12.4 in 2023.
- 56% of c-stores implemented contactless payments in 2023.
- Foodservice-equipped stores averaged 4,200 sq ft in 2023.
- EVSE (EV charging) at 3,200 c-store locations in 2023.
- Average turnover rate for c-store employees was 112% in 2023.
- 41% of c-stores used AI for inventory management in 2023.
- Stores with beer sales averaged 15% higher inside sales in 2023.
- 69% of operators reported labor shortages in 2023 surveys.
- Average weekly operating hours per store: 162 hours in 2023.
- Cashless tobacco sales mandated or adopted by 45% in 2023.
- 52% of c-stores expanded fresh food offerings in 2023.
- Digital signage installed in 38% of c-store locations 2023.
- Average capital spend per new store build: $2.8 million in 2023.
- 76% of c-stores accepted SNAP benefits in 2023.
- Robotic shelf-scanning tech in 12% of large chains in 2023.
- 33% of stores offered drive-thru services in 2023.
- Energy costs rose 15% for c-store operators in 2023.
- 61% implemented dynamic pricing for fuel in 2023.
- Average restroom remodel frequency: every 5.2 years in 2023.
- 48% of c-stores used delivery services like DoorDash in 2023.
- POS system upgrades in 55% of locations during 2023.
- 27% of operators tested autonomous store tech in 2023.
- Theft losses averaged 1.2% of sales in c-stores 2023.
- 64% expanded seating areas for foodservice in 2023.
Operational Trends Interpretation
The modern c-store is no longer just a pit stop; it's a sprawling, tech-infused, understaffed, and relentlessly evolving mini-supermarket that's desperately trying to feed you, charge your car, and maybe even scan its own shelves while wrestling with eye-watering turnover and energy bills.
Sales Performance
- U.S. c-store total inside sales were $296.6 billion in 2022, up 8.7%.
- Packaged beverages category sales grew 7.2% to $20.7 billion in 2022.
- Cigarette sales volume declined 9.1% in units but generated $56.8 billion in 2022.
- Foodservice sales increased 15.5% to $24.1 billion at c-stores in 2022.
- Snacks category sales rose 10.3% to $14.8 billion in c-stores 2022.
- Candy sales totaled $9.2 billion, up 6.8% at U.S. c-stores in 2022.
- Beer sales hit $12.4 billion, representing 4.2% of inside sales in 2022.
- Other tobacco products sales grew 12.4% to $12.1 billion in 2022.
- Salty snacks sales increased 11.2% to $7.9 billion in c-stores 2022.
- Energy drinks sales surged 13.5% to $4.8 billion at c-stores in 2022.
- Prepared food sales within foodservice reached $15.3 billion in 2022.
- Carbonated soft drinks sales were $6.2 billion, down 1.4% in 2022.
- Hot beverages sales totaled $2.1 billion at c-stores in 2022.
- Alternative snacks sales grew 14.7% to $3.4 billion in 2022.
- Wine sales at c-stores increased 8.9% to $2.3 billion in 2022.
- Sports/energy drinks category captured 23.1% of packaged beverages in 2022.
- Cigars sales rose 10.2% to $3.7 billion in c-store tobacco category 2022.
- Sweet snacks sales were $6.1 billion, up 5.6% at c-stores in 2022.
- Non-alcoholic beverages excluding packaged drinks sold $4.5 billion in 2022.
- E-cigarettes/vaping products sales hit $2.9 billion in 2022 at c-stores.
- Grocery items sales totaled $18.7 billion in c-store inside sales 2022.
- Hot dogs sales within foodservice were $1.2 billion in c-stores 2022.
- Total tobacco sales represented 32.4% of inside gross margins in 2022.
- Bottled water sales grew 9.1% to $5.3 billion at c-stores in 2022.
Sales Performance Interpretation
The modern American convenience store is a fascinating paradox, thriving as a one-stop shop for both our vices and virtues, where declining cigarette sales still bankroll the empire while we guiltily fuel up on energy drinks and gourmet hot dogs.