Consumer shopping habits have changed during COVID-19 pandemic, says Couche-Tard
Alimentation Couche-Tard says shopping patterns have changed during COVID-19 lockdowns with consumers purchasing larger-sized goods and stocking up on beer, wine and tobacco products.The Quebec-based convenience store chain says there has been strong growth in the sale of alcoholic beverages, in jurisdictions where these sales are permitted."With the closure of bars and restaurants, we saw a movement in packaged beverage towards larger take-home packages, particularly impacting all beer segments as customer buying shifted to larger pack formats,'' CEO Brian Hannasch said June 30 during a conference call about fourth-quarter and record full-year results.Couche-Tard beat expectations as it reported a fourth-quarter profit of US$576.3 million or 52 cents per share for the period ended April 26, up from US$293.1 million or 26 cents per share a year earlier.He noted that there was a shift to cases of 24 and 30 beers from six-packs, along with grocery-sized packages of salty and confectionery items."There was also a notable shift from instant consumption or single-serve to take-home packages in that category.''Even with traffic starting to improve as the economy reopens, Hannasch told analysts that he's been surprised that some of the larger-sized formats remain popular as customers are limiting their shopping trips."We've also gained new customers as we stayed open throughout the pandemic to meet their needs for emergency products, impulse buys and grocery items, which became increasingly popular, and we're seeing some stickiness,'' he said.Sales of food, fountain soft drinks and coffee, which declined with lower consumer traffic, have started to increase.
