7-Eleven plans to close 645 U.S. stores by 2026, focusing on wholesale fuel stores amid market challenges and inflation.
Company Announces Plan to Close 645 Stores
7-Eleven, the North American operator of convenience stores based in Texas, announced plans to close 645 locations across its network by fiscal year 2026. These closures are part of a broader strategy that includes converting many of these outlets into wholesale fuel stores. According to recent filings from Seven & i Holdings Co., which operates the company, there were over 900 new wholesale fuel stores in North America as of December 2025.
Strategic Shifts and Market Pressures
The decision to close underperforming stores comes amid persistent market challenges. Over the past few years, 7-Eleven has shut down hundreds of less successful convenience outlets due to factors such as declining sales, reduced customer traffic, and rising inflationary pressures. The company operates over 86,000 stores across 19 countries today.
Economic Context and Industry Trends
The current economic landscape in North America is marked by a decline in personal consumption, particularly among low-income households. This trend is exacerbated by ongoing inflation and global events such as the U.S. and Israel's military operations against Iran, which have led to significant increases in fuel prices for drivers. In its recent financial report, Seven & i noted that although the overall economy remained strong, there was a noticeable softening of consumer spending.
Global Strategy and Leadership Changes
While North America faces these challenges, 7-Eleven's global operations show different dynamics. Outside North America, Seven & i subsidiaries are expected to add more stores than they close. For instance, Seven-Eleven Japan plans to reduce its store count by closing 350 locations but opening a total of 550 new ones.
Financial Projections and Future Initiatives
Looking ahead, the company projects its revenues will decline by 9.4% for the current fiscal year, amounting to nearly 9.45 trillion yen (approximately $59.5 billion). In response, Seven & i has launched a broader transformation plan aimed at enhancing convenience store services. Key initiatives include expanding fresh food offerings and developing the "7NOW" delivery service.
New Leadership and Strategic Vision
Under new leadership, with Stephen Hayes Dacus stepping into the role of CEO in spring 2023, these strategic shifts reflect a renewed focus on growth and adaptation to changing market conditions. The comprehensive plan seeks to position 7-Eleven for sustained success amidst economic challenges.
Source: Read Original Article
Post a Comment