Saturday, October 12, 2024

7-Eleven is closing more than 400 underperforming stores

Several hundred "underperforming" 7-Eleven locations across North America are closing, the convenience store announced. Seven & I Holdings, the chain's Japan-based parent company, revealed in an earnings report Thursday that 444 locations of 7-Eleven are shutting down because of a variety of issues, including slowing sales, declining traffic, inflationary pressures and a decrease in cigarette purchases. A specific list of closing locations wasn't immediately released. The chain has more than 13,000 stores across the United States, Canada and Mexico, so the number of closures amounts to 3% of its portfolio. In its earnings release, Seven & I said that while the North American economy is "robust overall," it noticed a "more prudent approach to consumption" from middle- and low-income earners because of persistent inflation, high interest rates and a "deteriorating" employment environment.

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A combination of those factors led to a 7.3% decline in traffic in August, capping off six straight months of declines.

The chain also pointed out that cigarettes purchases, which was once the largest sales category for convenience stores, has fallen 26% since 2019. A marked shift in sales to other nicotine products, like Zyn, hasn't made up the difference.

Comments

They spent the last 10 years expanding like hell, not surprised at all didn't work out.

#1 | Posted by TFDNihilist at 2024-10-12 10:54 AM

Surprised to see 7-11's in Ireland...and a crap load of vape shops.

#2 | Posted by LegallyYourDead at 2024-10-12 02:20 PM

7-Eleven
en.wikipedia.org

... 7-Eleven operates, franchises and licenses 84,500 stores in 19 countries and territories as of January 2024. ...

#3 | Posted by LampLighter at 2024-10-12 02:48 PM

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