Favourite motorway services?

 

It’s a key small talk topic for summer BBQs or Christmas drinks, as Gavin and Stacey know:

Source: bbc.co.uk

Tough on Heston.

 

Now, if you’ve been to a motorway service station in the UK recently, you might have noticed that SPEED is being prioritised. More Starbucks and McDonalds drive-throughs. More Greggs and Cornish Pasty stalls outside the main hall so that you don’t even have to go inside.

 

And that seems sensible enough. Efficiency does matter.

 

But. There IS another, more profitable perspective being demonstrated in the US at the moment.

 

Let us introduce you to Buc-ee’s (and their beaver mascot).

Source: Buc-ees

Buc-ees started in Texas 1982, with a really simple selling point – CLEAN BATHROOMS. They focussed on the key part of the experience that people hated (dirty toilets) and made it worth stopping for …

 

And actually, worth staying for. If the toilets are spotless, you’re more likely to trust the food. If you trust the food, you’ll hang around to eat. While you’re waiting for your food, you might as well browse, and get a photo of the kids with the giant Beaver.

 

A trip to a normal American convenience store lasts about three and a half minutes. At Buc-ee’s, people routinely spend 30 minutes wandering around. The locations are huge; hundreds of petrol pumps and toilets, open round the clock, serving 20,000+ people per day.

 

Buc-ees has turned into  a cult phenomenon – families plan their road-trips around stopping there.

 

Which turns into real money. The average gas petrol station in the US makes about $5.5m per year in sales, mostly from the fuel itself.

 

A Buc-ee’s site makes close to $100 million, and sometimes sells the fuel at a loss because it can make it back inside the building.

 

They pulled off an amazing trick. Rather than minimising the wait-time, they monetise it.

 

Now, in the UK, more and more people are buying electric vehicles. Charging takes longer than filling up (even with super-fast chargers).

 

What if, instead of spending more and more on building out the grid infrastructure, service stations decided to turn an annoying 30 minute wait into something worth stopping for?

 

Not every great business is about removing friction. Sometimes it’s about giving people a reason to stay!

 

*Disclaimer* This article is for general information only and does not constitute advice. The information is aimed at UK retail clients only.

All information is correct at the time of writing and is subject to change in the future. Data Source 7IM