Earlier this month (Jan 2023) Circle K extended its highly successful car wash subscription program to Norway after successful implementations in the United States, Canada, Denmark, Sweden and Estonia. The business operates one of the largest car wash networks in the World with 2,700 car washes globally. In this special video report our #SHOPTALKLIVE film crew (Peter Knott and Paul Maunder) visited Norway and took a deep dive into how this works and what the implications are.
Historically, the convenience industry has focused on an impulse customer and driving impulse purchases. In the new world of roadside retail this is changing and retailers like Circle K are recruiting an increasing number of automatic customers, customers who have made their choice before they arrive at your station and it’s proving popular. As Anders Hagen, Car Wash Category Manager at Circle K Norway says: “ We can see that the customer is really interested in this. We have seen it in Denmark and Sweden before .. many people are interested in subscriptions.”
What our special Norway video report finds is that carwash subscription can lead to a higher frequency of car washes delivering more visits to Circle K locations and up-selling opportunities. Perhaps the most important and interesting finding for CEOs and Boards everywhere is how Circle K are cleverly turning loyalty into more of a sales model. What is clear is that the subscriber represents a different kind of revenue -ARR - annual recurring revenue.
Enjoy the film!