The energy at this year’s NACS Show 2025 was unmistakable. From packed sessions to buzzing show floors, it was clear that convenience retailers are hungry for innovation but also grappling with real challenges. As a technology partner to many of these retailers, we walked away with a clear sense of the themes shaping the future of the industry.
This post-event recap captures the most talked-about topics from the show, with PAR’s take on how technology can help retailers not only adapt, but thrive.
1. Foot Traffic Is Down: Fuel Is Still King
Retailers are seeing fewer visits, especially those without fuel offerings. As NACS Research shared, stores selling fuel are growing, while others are closing. Fuel remains a critical driver—not just for traffic, but for profitability. In fact, fuel margins are often what help convenience businesses break even, making every in-store visit even more valuable.
PAR’s Take: To stay competitive, every transaction counts. Retailers need more than just a loyalty program, they need a connected platform that creates a unified customer experience across every touchpoint. Whether it’s driving customers from the pump into the store, engaging non-fuel shoppers, or reactivating lapsed visitors, the solution must be seamless and system-wide.
PAR’s ecosystem is designed to support this journey. Our Touchpoint System plays a key role in-store, enabling loyalty enrollment, offer redemption, and media engagement—but it’s just one part of a broader strategy. When loyalty, payments, in-store employees, and operations work together, retailers can build relationships that last beyond the transaction and get the most out of every customer visit.
2. AI is Everywhere, But Strategy Comes First
AI was a major theme at NACS 2025, with retailers and vendors showcasing use cases from inventory automation to predictive analytics. But as C-Store Dive noted, the real takeaway is that retailers must first define the problem they’re solving before overhauling their infrastructure. Whether it’s personalization, pricing, or operations, AI is only as powerful as the strategy behind it.
PAR’s Take: We couldn’t agree more. At PAR, we’ve long talked about the promise of true 1:1 personalization—and now, AI makes it possible. While many providers rely on static segments to deliver generic offers, PAR Retail’s Offer Intelligence campaigns are built to respond to real-time shopper behavior. These campaigns dynamically adjust based on individual purchase patterns, unlocking true 1:1 personalization that drives incremental visits, spend, and loyalty.
Even better? AI takes the heavy lifting out of personalization. Retailers no longer need to manually build segments or guess what will resonate. With Offer Intelligence, personalization becomes automated, scalable, and deeply effective—making every customer feel seen and rewarded.
3. Foodservice Innovation Is Table Stakes
Foodservice in convenience isn’t the future, it’s the now. Retailers at NACS 2025 showcased bold flavors, global cuisine, and elevated experiences that rival quick-service restaurants. The message was clear: foodservice is no longer a side offering, it’s a strategic growth driver.
According to NACS data shared at the show, foodservice sales accounted for 28.7% of in-store sales in 2024, up from just 11.9% in 2004. That includes prepared food, commissary, and hot, cold, and frozen dispensed beverages. As incoming NACS President Frank Gleeson put it, “You fuel your car once a week, you fuel your body three, four times a day.” Convenience stores are uniquely positioned to serve multiple day parts and build loyalty through food.
PAR’s Take: With deep roots in the restaurant industry, PAR is uniquely positioned to help convenience retailers elevate their foodservice programs. Our solutions are built to support the complexity of fresh food operations, drawing on decades of experience in quick-service and fast-casual environments. That expertise is now embedded in our Touchpoint System—a purpose-built in-store kiosk solution designed for convenience and fuel retailers.
Touchpoint includes a Made-to-Order module that powers a fresh food ordering system, enabling customers to customize meals and either pay directly at the kiosk or complete payment at the POS. Whether it’s streamlining the ordering process or integrating loyalty into every transaction, PAR helps retailers deliver restaurant-quality experiences with convenience-store speed.
4. When It Comes to Tobacco, C-Stores Are No Longer Just Competing With Each Other
At NACS 2025, one of the more sobering takeaways was that convenience stores are no longer just competing with each other. The rise of alternative retail formats, online channels, and specialty shops is reshaping how, and where, consumers buy tobacco products. While vape shops also threaten grocery stores and other outlets selling cigarettes, the challenge is most severe to c-stores, which sell 82% of cigarettes in the U.S.
PAR’s Take: As competition intensifies, retailers need to rethink how they engage tobacco shoppers. Loyalty programs, personalized offers, and seamless in-store experiences can help retain customers who might otherwise shift to other channels. PAR’s platform enables retailers to target tobacco buyers with precision, using real-time behavior to deliver relevant promotions and drive repeat visits.
This is further amplified by our support for Tier 4 segmentation, which allows for even more granular targeting based on behavioral and transactional data. While many providers are still catching up, PAR is one of only two platforms currently ready for Tier 4, giving our partners a distinct advantage in delivering compliant, personalized experiences in regulated categories.
5. Fragmentation Is Fueling a Digital Gap
One of the most pressing challenges facing convenience retailers today is technology fragmentation. As highlighted at NACS 2025, many retailers are operating with disconnected systems—loyalty, payments, inventory, and media all running on separate platforms. This lack of integration is creating a digital technology gap that slows innovation and makes it harder to deliver a seamless customer experience.
BP’s Derek Gaskins, head of guest experience, emphasized that solving this challenge requires investments in data ownership and unified infrastructure. Without a connected foundation, retailers risk falling behind as consumer expectations for personalization, speed, and convenience continue to rise.
PAR’s Take: Fragmentation is the enemy of progress. That’s why PAR provides a unified platform that brings together everything from loyalty to payments, tobacco loyalty, and in-store digital experiences. By eliminating silos and connecting every part of the customer journey, we help retailers move faster, personalize smarter, and deliver consistent experiences across every touchpoint.
NACS 2025 made one thing clear: the convenience retail industry is at a pivotal moment. From declining foot traffic to rising competition and fragmented tech stacks, retailers are facing pressure from all sides. But with the right strategy, and the right partners, these challenges become opportunities.
At PAR, we’re committed to helping retailers turn insight into action. Whether it’s through smarter loyalty, AI-driven personalization, or unified platforms that connect every touchpoint, we’re building the tools that help retailers move faster, engage deeper, and grow stronger.
Let’s keep the momentum going. Get in touch.
