How service stations are becoming new hangout spots

Retailers across the world are upgrading the layout and food offering of stations and c-stores to enhance customer experience and increase revenue. With brands focused on providing comfortable spaces and expanding their menus, some sites are becoming community hubs where consumers go to hang out. PetrolPlaza talked to designers and retailers to delve into the development of this trend around the world.

The answer to the average customer’s lack of time in today’s world is often to accelerate and automate operations. Customers are looking for faster, more convenient ways of refilling and shopping. On the opposite side, a new trend has also developed – service stations as hangout places where quality food, nice seating and good coffee is essential.

This new development goes hand-in-hand with the sector’s efforts to improve customer experience with an expanded food offering and new layout designs that provide comfort. New concepts are developed to meet changing consumer habits and technologies such as EV charging. In addition, the sense of "community" is growing at many sites across the globle.

Designing the experience

First impressions are almost everything. A store’s exterior design and its interior layout have never been more important for retailers. With stations becoming food destinations, a bad design can break the customer experience. 

“Creating harmonious spaces with curated and distinguished aesthetics is a very relevant aspect for brands due to their impact on customer satisfaction. Architecture and aesthetics are key because they materialize the experience,” explains Patricio Pon, Director of PON Arquitectos, an Argentinian architecture firm that has worked with several fuel retail brands across Latin America.

As an example, Pilot Company announced its “New Horizons” $1 billion initiative last year, focused on equipping and remodeling over 400 stores. The three-year project is the company's largest investment in store modernization to date. Both exterior and interior amenities are set to be revamped to improve the customer experience with better seating and lounge areas, even adding showers and laundry services.

Pon describes that customers pay attention to several aspects of a station’s layout during their visits. He cites operational efficiency, quality of service, hygiene and safety as valuable forecourt amenities. Architectural variables such as accessibility, furniture, infrastructure and spatial warmth are also key differentiators for stores.

More recently, Wills Group’s Dash In brand unveiled a new store concept focused on its food experience. Apart from creating a new menu, the retailer renovated its store design entirely focusing on openness and high visibility. The store now sports both indoor and outdoor patio dining, natural wood exterior finishes and polished concrete floors, a new experience that looks to offer a relaxing atmosphere for travelers.

The previous example is proof that companies are developing new concepts that build on the strengths of each facility. That means that it's difficult for a single layout to be replicated across an entire network, as it may not have the same effect on other sites. “Each location must adapt to the needs and expectations of its customers. Poorly used spaces directly affect the business’ profitability, either due to generating less income or by triggering costs that can translate into losses,” concludes Pon.

Food for thought

A well-developed food menu extends a customer's stay. Apart from a complete meal, retailers are tapping into other categories and new consumer habits to better serve their clients’ lifestyle.

The potential of the quality coffee category to drive sales has been proven for some years now, as seen by its $53.67 billion market size, which is expected to nearly triple by 2030 according to a recent The Brainy Insights report. With better coffe comes a better chance of customers sticking around and taking a break from the road. 

New consumer habits have also impacted food offerings. Customers have become more conscious of their diets and the new generations tend to favor products with environmentally friendly manufacturing processes and packaging. Retailers have now integrated more sustainable and healthier products into their offers to support these emerging trends.

Aral’s recent partnership with Oatly to launch Oat Drink throughout its network of 2,400 service stations across Germany shows how brands are focusing on tackling these new habits. Regarding sustainable initiatives, RECUP has been cooperating with several retail brands across Germany to offer reusable cups while the ENOC Group has banned single-use plastics across its retail operations in UAE. These show that retailers have even more room to grow while developing new experiences to cater to both current and future customers’ needs.

Hanging out at stations 

The shift to alternative fuels also plays a key role in the development of sites into hangout spots, especially for EV drivers. Installing chargers at a stations opens of the possibility of longer stays. To atract the customers inside the store retailers will need to make a compelling offer. 

Canadian retailer Parkland Corporation launched an international design competition for its ‘Electric Charging Destination of the Future’. The location looks to provide a space to relax and socialize during the charging time. The company selected Scottish architect James Silvester’s “More with Less” design as the winner. He created a hub where customers can “recharge not just their vehicles, but themselves.”

The layout consists of a circuit punctuated with activities and relaxation spots as well as courtyards that incorporate nature. Apart from convenience store and restaurant offers, the site also has integrated seating areas, pool tables and even a gym integrated into the same facility. These amenities provide opportunities for clients to socialize and relax while also promoting a healthy lifestyle. The result aims to transform the notion of a service station from just a fueling site into a community hub.

This notion of customers spending longer at stations is found around the globe. “In Europe you will find customers heading to the site very fast, grab the food and return to their roads. In Africa they spend the whole day, it’s a hangout place,” explains Amgad El Hanbaly, Corporate Head of Retail at OLA Energy. The African retailer currently operates in 17 countries with a network of 1,400 stations, which caters to a high number of customers who “spend the whole day at the service station.” 

Some of OLA Energy’s forecourts even have a playing area for parents to come with their children, expanding the amount of services available. “As a retailer, we are in the real estate business and our ultimate objective is how we are going to attract customers regardless of the type of energy they are looking for,” describes El Hanbaly.

Creating community hubs is not only about new designs, menus or amenities, it's about resonating with the community where they are based. 

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