C-Store Giants Double Down on Distribution Infrastructure
The convenience store sector saw a wave of supply chain expansion in 2025, as major chains invested in both supplier relationships and physical distribution infrastructure to support their growing footprints.
Love's and Circle K led the charge on the partnership front, signing new or expanded supplier deals to strengthen their procurement networks. Meanwhile, Kwik Trip and RaceTrac took a different approach, opening new distribution centers to bring more logistics operations in-house.
What's Driving the Investment
The dual strategy—some chains expanding supplier partnerships while others build their own DCs—reflects the evolving economics of c-store distribution. With fuel margins under pressure, many retailers are looking to their in-store merchandise and foodservice operations for profitability, which requires tighter control over inventory and faster replenishment cycles.
For 3PL operators, these moves create both opportunities and challenges. New distribution centers often need third-party transportation support, while expanded supplier networks can mean more complex routing and consolidation requirements. The key is understanding which retailers are building versus buying their logistics capabilities.
