JUNE 2024
STMA CHRONICLES TABLE OF CONTENTS SHAUKAT MOMIN Director ARIF MOHAMMED Director NOORU LALANI Director RAHIM MAREDIA Director MURTAZA ALI Director AHMED BADARPURA President RIYAZ MOMIN Vice. President INAYAT MOMIN Hon. Secretary RAFIK MOMIN Treasurer STMA vendor contact list � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � 3 Featured stores of the month � � � � � � � � � � � � � � � � � � � � � � � � � � � � 6 - 7 Uncovering Hidden Pain Points in C-Store Pricing & Promotions � � � 10 - 11 In The Box June 2024 � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � 18 June 2024 Promo Sheet � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � 19 Who’s Checking on Self-Checkout? � � � � � � � � � � � � � � � � � � � � � � 16 - 17 BOARD OF DIRECTORS JUNE 2024 2 STMA Newsletter June 2024
SOUTH TEXAS MERCHANTS ASSOCIATION VENDOR CONTACT LIST COMPANY VENDOR CONTACT NAME EMAIL ADDRESS PHONE NUMBER ALKA HYDRATE WATER ADRIAN MENDIOLA [email protected] 210-385-9264 AMCOM RESEARCH COMPANY BRYAN HENN 412-401-0938 BIG RED (KDP) BENNY JARAMILLO [email protected] 210-669-5360 BIG RED (KDP) DARRYL LEMEAR [email protected] 512-851-6997 BIMBO BACKERY EXPRESS SOUTH RECARDO GONZALEZ [email protected] 510-755-0495 BIMBO BACKERY EXPRESS SOUTH JESSE APOLINAR [email protected] 210-849-5543 BLUE RHINO ROLAND PUREVICH [email protected] 317-919-6992 BLUEBONNET ICE CREAM MELODI ROUHANI - 972-251-2100 BLUEBONNET ICE CREAM BRIAN YBARBO bybarbo@bluebonne�cecream.com 210-267-2799 BREEDEN BENEFIT GROUP TENA GARCIA [email protected] 512-567-9797 BREEDEN BENEFIT GROUP DARELL BREEDEN [email protected] 512-567-9797 BUGS HUNTERS PEST CONTROL INC SILVIA BURGESS [email protected] 210-816-0284 C4 ENERGY MARCUS GONZALEZ [email protected] 210-897-8779 C4 ENERGY MIKE GUTMAN [email protected] 940-315-6523 CELSIUS ENERGY JOE LUETGE [email protected] 561-765-0059 CELSIUS ENERGY ERICH KLEEMAN [email protected] 830-456-1738 CINTAS RYAN WILHITE [email protected] 210-648-3075 CINTAS FIRE JERMY MOYE - 832-641-6693 COKE BRIAN KELLEY [email protected] 210-749-9075 COINCLOUD BITCOIN RICH CARETSKTY - 305-582-0178 COKE JERMY SCHMITTOU jeremy.schmi�[email protected] 210-487-1736 CONGO BRANDS (PRIME AND ALANI) MEGAN DIMAS [email protected] 210-324-3519 ELECTROLIT USA SEAN CUNNINGHAM [email protected] 713-791-4659 EMPIRE PAYTECH KARISHMA SHARIF 713-979-6585 ESSENTIA WATER CHARLONDA MCDONALD [email protected] [email protected] 214-236-7960 EVAMOR WATER GLENN CARTER [email protected] 210-837-1093 FIJI WATER KEN JONES [email protected] 346-386-9842 FRITO LAY EMILY SCHWARTZKOPF-GATEWOOD [email protected] 618-314-3300 GLAZERS - For Alcholic Products Distribu�ons JJ GONZALEZ [email protected] 210-887-8667 GLAZERS - For Non Alcholic Products Distribu�ons JUSTIN TUCKERS jus�[email protected] 210-838-3741 HILAND DAIRY FOODS CURTIS HAMPSTEN [email protected] 210-380-0127 LAW SECURITY PAM WOOD - 210-771-7714 MEXICAN SNACKS MARIO GODINEZ [email protected] 956-440-9127 MODISOFT ZARIFA ARIFI admin@modiso�.com 281-201-6838 NATIONAL BITCOIN KENDALL JASCO 949-329-2845 OCONNOR COMMERCIAL PROPERTY TAX CONSULTANT DEREK PENA [email protected] 210-323-7876 PEPSI KEVIN CUELLAR [email protected] 210-372-3881 PEPSI LARRY MIRELES [email protected] 210-775-8378 PEPSI AYMAN JARADI [email protected] 832-526-7544 PEPSI RAMIRO GARZA [email protected] 210-774-7729 RAPIDXCHANGE SAM HARDIN [email protected] 713-444-1678 REDBULL MANUEL GONZALEZ [email protected] 210-997-2337 REDBULL KENDRA DAVIS [email protected] 210-784-7180 SILVER EAGLE BEVERAGES - For Alcholic Products Distribu�ons DENNIS DIEM [email protected] 210-475-6930 SILVER EAGLE BEVERAGES - For Non Alcholic Products Distribu�ons MARK NAVARRO [email protected] 210-685-6000 SOLVE HR DAN CARDENAS [email protected] 210-912-4002 STMA PRINTING ZEESHAN DHUKA prin�[email protected] 210-672-6006 EXT:109 STMA WAREHOUSE MARIA BEGUM / JASSAD MOMIN [email protected] 210-672-6006 T&D DIST DONA PICE [email protected] 512-755-1068 UPTIME ENERGY TRAVIS WILKERSON twilkerson@up�meenergy.com 409-790-3059 UPTIME ENERGY VENNIE PALMIERI vpalmieri@up�meenergy.com 661-210-9787 WASTE MANAGEMENT CUSTOMER CARE - 800-800-5804 WASTE MANAGEMENT GUZMAN JR. JAMES [email protected] 210-365-9802 XPRESS SANI AARON WOOD [email protected] 210-733-1122 YUMI ICE CREAM GERARDO MORALES [email protected] 120-540-3472 ZEN WATER DUSTIN MEADE dus�[email protected] 832-702-6902 STMA Newsletter June 2024 3
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Houston: 294-0466 EFax: (800) 783-0422 San Antonio: 729-1000 EFax: (800) 783-0422 Mohammed Manji: Mobile: (210) 373-9209 Toll Free: (866) 294-0466 Email: [email protected] Address: 1449 Highway 6 Suite #300 Sugar Land, TX 77478 WebSite: www.empirepaytech.com STMA Newsletter June 2024 5
OF THE MONTH FEATURED STORES MALONE GROCERY STMA ID: 4190 6 STMA Newsletter June 2024
OF THE MONTH FEATURED STORES SELECT STOP #4 STMA ID: 4231 STMA Newsletter June 2024 7
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SEVERAL BENEFITS BY ADDRESSING THE INEFFICIENCIES IN THEIR STRATEGIES. For many convenience store retailers, daily transactions are just part of the routine, but they’re often overlooking the nuances of pricing and promotion strategies that could be silently affecting their bottom lines. Understanding these often-overlooked areas is crucial and provides actionable insights allowing retailers to identify and address inefficiencies that could significantly impact profitability and customer satisfaction. By: Patrick O’Mara || Retrieved from: https://csnews.com/uncovering-hidden-pain-points-c-store-pricing-promotions RETAILERS CAN REALIZE ARTICLE 2024 JUNE UNCOVERING HIDDEN PAIN POINTS IN C-STORE PRICING & PROMOTIONS Convenience stores are popular for their quick transactions and wide variety of products, from snacks to everyday essentials. However, the strategies behind their promotions and pricing often remain underexplored. Generally, these stores implement two types of advertising strategies: special deals for loyalty members and wider traditional campaigns. Focusing on the wider campaigns, these efforts aim to boost sales, however, there’s often little reporting done on how well they actually work to increase revenue and keep customers coming back. A big hurdle for many convenience store retailers is spotting the sneaky “margin creep” and “revenue creep” that come from ineffective promotions. Without a clear method to analyze these promotions, stores could be unknowingly hurting their profits. For instance, a promotion intended to boost sales might instead cannibalize sales of other products or shift demand without genuinely increasing revenue. The lack of data-driven insights into these dynamics means many promotions are less about strategy and more about guesswork. THE CURRENT STATE OF CONVENIENCE STORE PRICING & PROMOTIONS THE UNSEEN PAIN POINTS 10 STMA Newsletter June 2024
Addressing the inefficiencies in promotion strategies offers several benefits for convenience stores: Maximizing Profit Margins and Revenue Through Smart Promotions: In the fast-paced world of convenience retailing, simply slashing prices isn’t enough. The key lies in smartly choosing which items to promote, pinpointing the optimal timing for promotions and determining the right discount depth. By harnessing the power of data analytics to decode customer purchase behaviors and preferences, convenience stores can craft promotions that not only boost sales but also safeguard or enhance profit margins. Strategic planning ensures every promotion positively impacts the bottom line, boosting overall revenue without compromising profitability. For example, spotlighting high-margin items during busy shopping periods can significantly increase revenue while protecting margins. Boosting Customer Visits and Loyalty With Value-Driven Promotions: Successful promotions offer more than just lower prices; they deliver genuine value, enriching the shopping experience. Tailoring promotions to align with customer demand can draw more people into your store and encourage them to come back. By leveraging insights from customer purchase history or loyalty program data to tailor promotions, shoppers can feel valued and recognized, fostering loyalty. This approach not only encourages more frequent visits but also turns occasional buyers into regular customers. Leveraging Vendor Funding for Effective Promotions: It is crucial for retailers to best utilize available vendor funds and negotiate favorable terms to maximize the effectiveness of each promotion. By evaluating the return on investment of past vendor-funded promotions and leveraging sales data, c-stores can negotiate better funding and select the most impactful products for promotion. Collaborative planning with vendors, based on shared goals and data insights, can lead to more successful promotions that benefit both the retailer and the supplier. Tracking and sharing the results of these promotions with vendors can further strengthen partnerships and lead to more effective promotional strategies in the future. Optimizing Resource Use With Data-Driven Promotions: In the competitive convenience store sector, it’s essential to get the most out of every dollar spent. Data-driven promotions empower stores to allocate resources wisely, ensuring the highest returns. Analyzing sales figures, customer feedback and market trends helps identify the most effective promotional tactics and channels, guaranteeing that marketing investments are judiciously used. This approach enables the strategic deployment of existing resources, enhancing outcomes without the need for extra labor or marketing expenses. The complexities of promotion and pricing strategies in the convenience store sector demand a sophisticated, data-driven approach. By pinpointing and tackling the hidden challenges in these areas, retailers can boost their operations and edge out the competition. Using the right analytical tools can streamline this process, helping ensure that promotions deliver on boosting customer satisfaction and ramping up profits. This smart approach doesn’t just help convenience stores succeed in a tough market — it also keeps them in tune with what their customers really want and need. Patrick O’Mara assists retailers in achieving significant ROI as a value driven Solution Principal for RELEX Solutions, focusing on the Convenience Store segment. Patrick’s expertise ranges from operations through merchandising and supply chain applications, focusing on retail inventory, forecasting and replenishment. To combat these challenges, adopting advanced artificial intelligence (AI)- and machine learning-driven analytical tools can provide c-stores with the insights needed to make informed decisions. These solutions can help merchants design promotions that are timely, targeted and effective, enhancing both profitability and customer experience. By leveraging data, merchants can create promotions that genuinely increase foot traffic and sales without additional labor costs, which is crucial for businesses operating with lean staff. As an additional benefit, merchants can focus their time on collaborating with vendor partners — creating a healthier retail ecosystem. THE BENEFITS OF ADDRESSING PROMOTION INEFFICIENCIES SOLUTIONS TO OPTIMIZE PROMOTIONS STMA Newsletter June 2024 11
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competitors Instagram accounts. A good idea not copied is a good idea wasted. STMA Newsletter June 2024 13
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PepsiCo Confidential 1 June 1st – 3 1st Pro m otio n P P W’s 2 0 2 4 M erc h a n disin g C o m plia n c e o n Pro m otio n Destination: High Traffic Perimeter Accounts $400> In n o v atio n/N e w Ite m Clip Strip s • Accounts with a WSA > $300 • Destination: FEM or UTC All In One Rack or Cardboard Weekender Display to support monthly promotion CMA Sabritas Tree Stores +>$400 Flamin’ Hot PPW TIMINGJune 4th 1 Mandated per Store • Accounts with a WSA > $400 • Destination: All in One Rack or high traffic area Summer PPW Timing: June 25th 1 Mandated per Store • Accounts with a WSA > $400 • Destination: All in One Rack or high traffic area Invoice details Promo Timing: 6/01 – 6/31 SDV (cost): $3.68 PA: $0.45 Final Cost: $3.23 Margin: 19.2% Promo: 2/$8 or One for Regular Price $4.99 2/$8 $4.99 Lay’s Invoice details Promo Timing: 6/01 – 6/31 SDV (cost): $3.75 PA: $0..50 Final Cost: $3.25 Margin: 18.7% Promo: 2/$8.00 or One for Regular Price $5.09 2/$8 Dairy Dips Invoice details Promo Timing: 6/01 – 6/31 SDV (cost): $0.83 PA: $0.03 Final Cost: $0.80 Margin: 36% Promo: 2/$2.50 or One for Regular Price $1.39 2/$2.50 $1.39 Gamesa STMA Newsletter June 2024 15
While running errands this past weekend, one stop on my to-do list was Kohl’s. Because I mostly shop online, I don’t often go to the store unless it is to return something. But I’ve noticed over the past six months that on every trip to the retailer, I have been greeted with a different checkout configuration. It started with the addition of a handful of self-checkout kiosks last fall, followed by the removal of a dedicated returns/pickup spot, and then a downsized staffed checkout area with half the number of registers and an expanded selfcheckout space. My first thought upon entering the store this weekend was: It changed again?! My second thought was: How long before the executives at the corporate level reverse their decision on self-checkout when theft begins to rise? ONLY WORK WHEN UTILIZED CORRECTLY. By: Melissa Kress || Retrieved from: https://csnews.com/whos-checking-self-checkout TECHNOLOGY SOLUTIONS ARTICLE 2024 JUNE WHO’S CHECKING ON SELF-CHECKOUT? 16 STMA Newsletter June 2024
THE RETAILERS CAN PAY THE PENALTY Self-checkout should not mean understaffed or, even worse, unstaffed. For one, it bolsters consumers’ arguments that retailers are only adding self-checkout kiosks to avoid paying employees. More importantly, it takes away from the consumer experience. Who is there to help when an item is missing a price tag? Who is there to help when the system cannot find a customer’s account? The list of questions goes on. I am a big proponent of self-checkout and, quite frankly, any technology that makes my shopping journey easier and faster, but technology only works when utilized correctly. Before a retailer flips the switch, they must be prepared for the inevitable hiccups. If not, that retailer may very well learn an expensive lesson on how not to utilize technology. Now, I am not blaming self-checkout for the rise in retail crime. What struck me, though, was that Kohl’s self-checkout did not have any staff assigned to the area — a perfect opportunity for unsavory actors to “forget” to scan that bathmat or pair of socks. STMA Newsletter June 2024 17
SPANNER POSTER COOLER DO0R DECALS SHELF TALKER IN THE STMA BOX JUNE 2024 18 STMA Newsletter June 2024
Blended Margin% is based on 70% Promo and 30% Regular Sale Vendor PROMO PRODUCTS Promo Type Case Qty Regular Price Promo invoice cost Off Invoice Incen�ve (STMA Rebate) Net cost a�er incen�ves Net unit cost Promo Pricing Net promo Margin % Suggested Retail Price Blended Margin% Spanner & Posters Promo�ons: CSD 20 oz - 2 / $4.80 24 36.83 $ 35.63 $ $ - 35.63 $ $ 1.48 2 / $4.80 38.14% $2.69 40.14% Vitaminwater 20 oz - 2 / $4.70 12 18.96 $ 17.40 $ $ - 17.40 $ $ 1.45 2 / $4.70 38.30% $2.79 41.22% KDP CSD 12oz 12pk - 2 / $12.99 Poster 1 2 $ 13.80 11.05 $ $ - 11.05 $ $ 5.53 2 / $12.99 15.00% $9.49 23.03% Pepsi All 16oz Rockstar & AMP - 2/ $3.50 Poster 2 12 18.00 $ 14.00 $ $ - 14.00 $ $ 1.17 2/ $3.50 33.33% $2.69 40.32% Coke Monster Energy 16 oz - 2 / $5.50 Poster 3 24 40.96 $ 39.21 $ $ - 39.21 $ $ 1.63 2 / $5.50 40.59% $3.09 42.55% In-Stores & Digital Media Promo�ons: C4 Energy C4 Performance 16 oz - 2 / $5.00 Digital Media & InStore 12 20.00 $ 18.00 $ $ - 18.00 $ $ 1.50 2 / $5.00 40.00% $3.09 43.44% Coke Body Armor 28 oz - 2 / $5.69 Digital Media & InStore 12 23.28 $ 20.64 $ $ - 20.64 $ $ 1.72 2 / $5.69 39.65% $3.39 42.53% Coke Dasani Water 1 Ltr - 2/ $4.00 Digital Media & InStore 12 17.76 $ 14.76 $ $ - 14.76 $ $ 1.23 2/ $4.00 38.50% $2.49 42.13% Coke Dasani Water 24pk - 16.9 oz - 1/ $5.99 In Store 1 6.90 $ 4.40 $ $ - 4.40 $ $ 4.40 1/ $5.99 26.54% $5.99 26.54% Coke Peace Tea 23 oz - 2 /$3.19 In Store 12 13.08 $ 12.00 $ $ - 12.00 $ $ 1.00 2 /$3.19 37.50% $1.89 40.38% Coke Sips and Sounds In store Ad Ad Ad Ad Ad Ad Ad Only Ad Ad Ad Coke Dr Pepper Creamy Coconut LTO 12 pk | 20 oz In Store 20 oz | 12pk DM Ad Ad Ad Ad Ad Ad Ad Only Ad Ad Ad Coke Sprite Chill LTO 20 / 12 Pk In Store 20 oz | 12pk DM Ad Ad Ad Ad Ad Ad Ad Only Ad Ad Ad Coke Project Epic (Marvel) In Store 20 oz | 12pk DM Ad Ad Ad Ad Ad Ad Ad Only Ad Ad Ad Congo Prime Hydra�on 16.9 Oz - 3/ $6.00 InStore Only 12 16.00 $ 15.00 $ $ - 15.00 $ $ 1.25 3/ $6.00 37.50% $2.99 43.71% Congo Alani Nu Energy 12 oz - 2/ $5.00 InStore Only 24 40.00 $ 36.00 $ $ - 36.00 $ $ 1.50 2/ $5.00 40.00% $3.09 43.44% Fiji Fiji Water 1 Ltr - 2 / $5.50 Digital Media & InStore 12 23.56 $ 20.56 $ $ - 20.56 $ $ 1.71 2 / $5.50 37.70% $3.69 42.46% Fritolay $4.99 XL - 5.0-7.75 oz - 2 / $8.00 Digital Media & InStore 1 3.68 $ 3.23 $ $ - 3.23 $ $ 3.23 2 / $8.00 19.25% $4.99 27.26% Fritolay 15 oz Dry Dips - 2 / $8.00 Digital Media & InStore 1 3.75 $ 3.25 $ $ - 3.25 $ $ 3.25 2 / $8.00 18.75% $4.99 26.81% Gamesa $1.39 Gamesa - 2 / $2.50 Digital Media & InStore 1 0.83 $ 0.80 $ $ - 0.80 $ $ 0.80 2 / $2.50 36.00% $1.39 39.22% KDP DEJA BLUE 1Lt - 2 / $2.00 InStore 15 13.50 $ 9.00 $ $ - 9.00 $ $ 0.60 2 / $2.00 40.00% $1.69 47.35% KDP Vita Coco Juice Cans .5 Lt - 2 / $4.70 InStore 12 21.00 $ 16.90 $ $ - 16.90 $ $ 1.41 2 / $4.70 40.07% $3.19 44.81% KDP Bai Wonder Water 18oz - 2 / $5.00 Digital Media & InStore 12 20.80 $ 17.60 $ $ - 17.60 $ $ 1.47 2 / $5.00 41.33% $3.09 44.69% Pepsi All 1ltr Aquafina & Brisk (Mix and Match) - 2/ $3.33 In Store 15 All Year 14.00 $ 14.00 $ $ 0.93 2/ $3.33 44.11% $1.99 46.81% Pepsi Gatorade 28 oz - 3/ $6.00 In Store 15 28.51 $ 22.00 $ $ 1.00 21.00 $ $ 1.40 3/ $6.00 30.00% $3.39 38.61% Redbull 8oz - 2 / $5.00 24 40.75 $ 37.25 $ $ - 37.25 $ $ 1.55 2 / $5.00 37.92% $2.99 40.97% Redbull 12oz - 3 / $8.50 24 53.45 $ 52.45 $ $ - 52.45 $ $ 2.19 3 / $8.50 22.78% $3.99 29.51% ** Prime Hydra�on 16 oz everyday cost is to be reduced from $18.00 to $16.00 w.e.f. 04/01/2024 *** Redbull 12 oz and Fritolay Value blended margin 50% | 50% Redbull Digital Media & InStore JUNE 2024 PROMO (Please Note: It is Mandatory for members to run all the Promos) Spanner Coke SOUTH TEXAS MERCHANTS ASSOCIATION JUNE 2024 PROMO (Please Note: Its Mandatory For Members to run all the promos) STMA Newsletter June 2024 19
ADDRESS 12054 Starcrest DR. San antonio. TX-78247 HOURS OF OPERATION: Mon - Fri 9am to 5pm STMA WHOLESALE: Ph: (210) 672 6006 STMA PRINTING Ph: (210) 672-6006 EXT:109 STMA COOP OFFICE Ph: (210) 826 3786 Fax: (210) 672 2898 www.mystma.com QUEST FUEL Branding (210)-383-2829 Dispatch (210)-632-1894 Invoicing (210)-672-6039 GET IN TOUCH SOUTH TEXAS MERCHANTS ASSOCIATION