In a recent development, 7-Eleven is set to close over 400 stores across North America, according to multiple media reports. The decision comes as the company, owned by Japan’s Seven & I Holdings, faces declining sales and reduced foot traffic.
KTLA5 noted that in their latest revenue report, Seven & I Holdings confirmed the closure of 444 locations in North America. The company cited several contributing factors for this decision, including sluggish sales, a drop in customer visits, and pressures from inflation. Additionally, a decline in tobacco sales has led to the shuttering of some stores.
As it stands, Seven & I Holdings has not disclosed the specific addresses of the stores slated for closure. Notably, the North American market boasts around 13,000 7-Eleven stores, meaning the closures will represent only about 3% of the total.
According to FOX Business, the convenience store chain has seen a decline in customer traffic for the past six months, with a reported drop of 7.3% in August alone.
In their revenue report, Seven & I Holdings stated, “Despite persistent inflation, high interest rates, and a challenging employment market, overall sales in the North American market remain relatively strong, thanks to a higher-income demographic.” However, the report noted that middle- and lower-income households are adopting more conservative spending habits in the current inflationary environment.
Tobacco has historically been one of 7-Eleven’s top-selling product categories, but since 2019, sales have plummeted by 26%.
Looking ahead, 7-Eleven plans to pivot its focus towards food, which is currently its strongest selling category. Seven & I Holdings expressed its vision to transform 7-Eleven into a “food-centric global retailer,” leveraging retail growth and technological innovation to become a leading player in the global retail industry.
This past July, 7-Eleven announced the introduction of internationally popular food items in its U.S. stores, including milk, bread, egg sandwiches, and miso ramen.
