In the convenience store industry, it’s usually the big players that make headlines with new technologies. Over the past few months, RaceTrac’s edge computing platform, Sheetz’s automated fuel dispatch program and Circle K’s demand forecasting upgrades were just a few of the c-store tech innovations that grabbed the industry’s attention.
But just because the biggest c-store companies make waves in tech doesn’t mean smaller retailers can’t as well. In fact, now is a better time than ever for these operators to do so, according to Indiana c-store chain Family Express.
“Looking back at how hard it was to get into technology three decades ago [and] looking at where we are today, it's a lot easier for the small owner-operator to get started,” Clifton Dillman, chief information officer for Family Express, said during Invenco’s 2024 Retail Technology Conference on May 7.
Speaking to a room filled with hundreds of convenience store retailers and technology vendors, Dillman noted that the ever-changing types of technologies available today has created a wellspring of vendors in key areas, giving smaller c-store retailers a chance to explore different partners and tools to find ones that fit their needs.
This has often been the case for Valparaiso, Indiana-based Family Express, which operates roughly 80 convenience stores in the Hoosier State.
Dillman, who has spearheaded tech initiatives across Family Express’ forecourt, merchandising, marketing, supply chain and operations, emphasized that although tech is crucial for smaller operators, the way in which they approach it should depend on their infrastructure and how many stores they have.
“We don't have oil refineries, we don't have oil tankers, we don't have pipelines, so we can't compete on that level with the big oil [companies],” Dillman said of Family Express. “So we have to look at what makes us unique and what we can bring to the industry.”
Flexibility and productivity
Technology has helped Family Express succeed in several areas. Its mobile app lets the company engage with and grow its customer base, while automatic fuel price updates have helped it remain competitive at the pump.
“I think just about everything we put in place from an IT standpoint helps with productivity,” Dillman said.
Family Express launched its first customized mobile app about six years ago. Over time, the platform — which included a car wash subscription program and mobile ordering — started to get “clunky” and “stale,” Dillman said. It would take months to implement a new feature or change an element of the app, he noted.
This led to Family Express revamping its mobile app earlier this year with the help of c-store app company Rovertown. The platform, which debuted in January, still features Family Express’ mobile ordering and car wash subscription capabilities, but also includes a one-click payment program from payment technology firm Stripe.
Family Express can also make changes to its app “immediately,” which “opens up how fast we’re able to bring ideas to fruition,” Dillman said.
“We don't have to develop an app anymore to go to market,” he said. “We change it on the fly — that is hugely impactful for us.”
The convenience retailer has also begun using artificial intelligence throughout its operations. One application — a free software program similar to Chat GPT — streamlines documentation across Family Express’ teams, from legal and human resources to its 24/7 help desk.
This gives team members the tools to quickly search for information like company holiday dates or data from the Family Express employee handbook instead of “scrambling” to find answers, Dillman said.
Another AI use case at Family Express is its new security systems it installed at several of its c-stores last year. Those systems include remote monitoring capabilities that, in the case of suspicious activity, broadcast automated warnings or let Family Express manually warn potential perpetrators from another location.
Using AI lets Family Express shift employees’ responsibilities from those tasks to focusing more on customers, Dillman said.
“Everything you can implement technology for that reduces your day-to-day tasks can open you up to building relationships with your employees [and] with your customers,” he said. “Those are the types of things that you should really be looking at.”
Advice for smaller retailers
When asked during the forum to offer advice to c-store retailers looking to start or progress on their tech journey, Dillman said it all begins with culture.
At Family Express, that culture means keeping tabs on the evolving tech market and knowing when the company can capitalize on it.
“What is the fundamental reason you’re bringing that technology, and is it going to help you build relationships with your customers?”
Clifton Dillman
Chief Information Officer, Family Express
“It's every day, every month, every year — what are the new opportunities, what's new to the market?” Dillman said. “We did plan some things out, but you have to be agile enough to change [depending on] what different companies are bringing to the arena.”
Once they find new technology they want to implement, c-store retailers — especially smaller operators — must ask themselves two critical questions.
“What is the fundamental reason you're bringing that technology, and is it going to help you build relationships with your customers?” Dillman said.
Family Express doesn’t appear to be pumping the breaks on its tech and AI-driven solutions anytime soon. Dillman said he’s excited about the different solutions the convenience retailer will be employing moving forward.
“We're thinking of some things internally and we’re working on some things internally,” he said, joking, “I can't talk about those, or I’d have to kill you.”
