Couche-Tard Plans to Remodel U.S., Canadian Stores
Alimentation Couche-Tard Inc. is giving several locations in Canada and the U.S. a refreshed look as part of its ongoing effort to improve margins.
Brian Hannasch, who will be retiring as president and CEO of Couche-Tard in September, told investors during the company's fourth-quarter earnings call last month that it plans to remodel approximately 80% of its Circle K convenience stores in North America. Quebec-based Couche-Tarde is the parent company of Circle K.
“As we look to the future, we've got a couple of other things that we think will continue to help us grow margins,” Hannasch said. “The first would be we're in our second year of our 'One Touch' remodel program, where we'll touch about 80% of our sites in the United States and Canada, and we are seeing nice food growth on the back of those remodels.”
He provided no details as to what this remodeling would entail or what it would involve at the store level.
In October 2023, Couche-Tard revealed its "10 for the Win" strategic plan outlining its growth plans for the next five years through both organic and inorganic initiatives.
“It is with great pride that we announced our new 10 for the Win strategy. ...," Hannasch said at the time. "The entire executive team and I believe that we have put together a compelling and achievable path to reach our ambitious goals. We are excited to start executing on 10 for the Win to bring more value to our customers, team members, and shareholders as we strive to become the most trusted brand in convenience and mobility."
Earlier, the company had embarked on its One Touch program reduce energy usage across North American business units with upgrades to lighting, refrigeration systems and coolers used at its various locations.
In its 2020 Sustainability Report, Couche-Tard reported that “through this program, we conduct audits to identify stores most in need of energy upgrades. Last year, energy upgrades included LED internal and external lighting replacements, refrigerator system upgrades, motion sensor and timer installations in backrooms, restrooms and walk-in coolers. As a result of the One Touch program, we sustained a 3.2% year-on-year average electricity reduction and a 7.7% year-on-year average water consumption reduction since its inception in FY14.”