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A shopper walks out the the Amazon Go store on January 22, 2018, in Seattle, Washington. Photo: Stephen Brashear via Getty Images

The corner convenience store is being disrupted, driven by the increasingly familiar consumer desires for technology-driven convenience and healthier products.

Why it matters: Global, national and even regional brands need to plan accordingly as the next generation of convenience stores starts to gain traction with millennial consumers and investors. This could prove yet another example of technology hollowing out working-class jobs, as convenience store clerks go the way of gas station attendants.

What's new: Last January, Amazon opened Amazon Go, its high-tech version of a convenience store in Seattle, and has now announced its expansion to San Francisco and Chicago.

The impact: Grocery store stocks plummeted following Amazon's acquisition of Whole Foods, and convenience stores may be next. Expect increased convenience store competition on two fronts:

  1. Technology-driven convenience: The use of AI, machine learning, smartphone apps and scanning technologies will eliminate sales clerks and checkout lines. Consumers will be able to walk in, grab their items, and walk out, their credit card charged automatically as they exit.
  2. "Artisanal’" selection: The shelves of next-wave convenience stores are often stocked with local, niche brands accompanied by the quality — and prices — you’d expect at more upscale stores. Foxtrot has been a leader here, but Amazon is trying to catch up.

Yes, but: The Japanese-owned 7-Eleven has an impressive footprint with 65,000 locations around the globe; even Amazon would have a difficult time catching up. And while more consumers are seeking out healthier foods, it will continue to be gas, alcohol, cigarettes and accessible price points that drive the category.

Still, it would be wise for 7-Eleven and others like it to plan so they aren’t playing catch-up.

Tige Savage is a managing partner at Revolution Ventures.

Go deeper

Updated 1 hour ago - Politics & Policy

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Republican and Democratic politicians, including former Senate colleagues, are sharing condolences and memories commemorating the life of Bob Dole, who passed away at 98 on Sunday morning.

The big picture: Dole, the Republican presidential nominee in 1996, was the longest serving Republican leader in the Senate until 2018, when current Senate Minority Leader Mitch McConnell surpassed his record,

Former Sen. Bob Dole dies

Former Sen. Bob Dole in 2019. Photo: Tom Brenner/Getty Images

Former Kansas Sen. Bob Dole passed away Sunday morning at the age of 98, the Elizabeth Dole Foundation announced in a statement.

Driving the news: Dole, a revered figure in U.S. politics and the Republican presidential nominee in 1996, served in the Senate for 27 years, including 11 years as GOP leader. Earlier this year he revealed he had been diagnosed with stage 4 lung cancer.

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Illustration: Sarah Grillo/Axios

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