2026 C-store IQ Tech & Loyalty Report: Balancing the generational divide
Convenience and gas retailers across Canada are facing a growing generational divide at the checkout counter, even as shoppers rapidly embrace mobile apps and fuel discounts to combat inflation.
According to the 2026 C-Store IQ National Shopper Study, overall consumer preferences for paying remain split nearly down the middle year over year. Nationwide, roughly half of shoppers still prefer traditional cashier interaction, while the other half opt for automated alternatives.
However, beneath that stable surface lies a demographic split that convenience and gas operators should note when evaluating and planning retail layouts and investing in future equipment.
Working with the research team at EnsembleIQ, Convenience Store News Canada + OCTANE surveyed more than 2,000 c-gas shoppers ages 18 and over across the country to examine their wants and needs at retail, with a sharp focus on convenience and gas.
Digital growth shifts
When zeroing in on convenience and gas, the data reflects strong digital growth consolidating around mobile payments. A majority of shoppers who use mobile payment apps or pay-at-the-pump options say they also prefer using these payment methods within a convenience store setting.
Loyalty program evolution
This digital migration is heavily impacting retail loyalty programmes. In an era of value seeking and price sensitivity, active loyalty usage has increased significantly as Canadians aggressively pursue rewards and savings.
Indeed, 60% of respondents said that the convenience store they shop at most often now offers a loyalty programme. Among those actively enrolled, nearly two-thirds use a smartphone app to manage their rewards.
The type of rewards Canadians value is also evolving. While generalized cash-back rewards have historically been the top choice, their importance declined for the first time since we launched the study in 2020. Amid ongoing fuel price sensitivity, immediate cost-relief options like direct gas discounts and free or discounted snack items have surged in appeal.
Privacy concerns
Operators are also seeing a generational divide in data privacy comfort. Nearly 38% of millennials say they are highly comfortable receiving personalized or targeted advertisements based on their previous purchases, while only 19% of boomers feel the same way.
For retailers trying to attract loyalty and app holdouts, simplicity is key. Shoppers who refuse to sign up for c-store loyalty programmes cited high purchase thresholds, low perceived reward value and general program fatigue as their primary reasons for staying away.
Takeaway
To win in this highly competitive environment, convenience and gas leaders must deploy a highly calculated, dual-track strategy. Front-end execution must actively balance human interaction to retain and protect older, high-loyalty consumer segments. Simultaneously, the channel must invest heavily in robust, app-centric and hyper-localized rewards to capture and activate the lucrative millennial and gen Z demographics. To cut through today's immense digital noise, a store's digital offering must remain simple, distinct and instantly valuable to activate and engage shoppers of all ages.
