News On Japan

Seven-Eleven Outlines Bold Growth Plan

TOKYO - Seven & i Holdings has announced a new mid-term strategy targeting the addition of 2,300 stores globally by 2030—1,000 in Japan and 1,300 overseas—amid concerns that the company has grown complacent in its dominant market position.

The plan includes a focus on expanding stores with restaurant seating in North America, where 1,100 new outlets are planned.

The company had previously revealed an investment plan of 3 trillion yen to increase its global store count by 15,000. However, the latest announcement did not include detailed measures for how these goals would be achieved.

Investors expressed mixed reactions to the mid-term plan, with some noting that the strategy fell short of market expectations. Still, the company’s acknowledgment of its current challenges was seen as a positive step.

Seven-Eleven has historically driven growth through store expansion, particularly in metropolitan areas such as Tokyo and Osaka. The current strategy also includes openings near highway interchanges and in regional areas where cafeterias at research institutes and factories have shut down due to demographic decline.

Industry observers note that targeting 1,000 new stores domestically is an ambitious goal given the saturated state of Japan’s convenience store market. Some franchise owners expressed concerns that adding stores too close together could erode existing profits due to increased competition.

Despite maintaining the top position among domestic convenience store chains in store count, sales, and operating profit, Seven-Eleven has seen slower growth in same-store sales compared to rivals Lawson and FamilyMart. Analysts point to a cautious internal culture that prioritizes avoiding failure over aggressive innovation.

Franchisees have voiced dissatisfaction with rising labor and utility costs amid stagnant sales, saying support from headquarters has been insufficient. Many report declining profits year after year and frustration over the lack of meaningful assistance.

In the past, the company’s strength lay in its ability to unite headquarters and franchisees around new initiatives, such as in-store ATMs and fresh coffee service. This coordinated approach was seen as a key factor in its dominance. However, that cohesion appears to have weakened in recent years.

Some franchise owners say the loss of long-time executive Toshifumi Suzuki was a turning point. Under his leadership, franchisees often accepted demanding conditions in the belief that growth and profitability would follow. Since his departure, many say that trust has eroded and profits have not recovered.

The mid-term strategy and leadership transition have raised hopes that Seven-Eleven can restore that trust and regain its growth momentum. However, stakeholders remain focused on whether the company will move beyond cost-cutting and present concrete initiatives to drive innovation and long-term value.

Source: テレ東BIZ

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