The current American economy ravages a lot of our most familiar businesses. We see shopping mall retail staples shut down and become relics of the past everyday. Remember places like Sears? One day places like that will be a distant memory and unheard of for future generations. Our favorite places to stop and eat struggle to stay afloat in a fluctuating financial country. Not long ago, Red Lobster filed for bankruptcy before they crawled out of their hole. You can add 7-Eleven to that list of struggling stores as well as they face similar frustrations with business.
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Recently, Seven & I Holdings, the parent company in Japan for 7-Eleven, announces that 444 of their stores are on their way out. Why? Quite simply, the sales continue to drop and slack over time. Particularly, the cigarette sales continuously drop in ways unheard of in the past. Formerly a corner store staple, they fall 26 percent since before the pandemic in 2019. Moreover, shifts in other forms of tobacco like dip or vape pens don't make up the difference either.
7-Eleven Closes Down Stores Due to Sales Performances Dropping
Additionally, the traffic drastically informs their decision to close down 7-Eleven stores. Within the last six months, they continue to dip, including a 7% drop in August. Ultimately, though, the company carries around 13,000 stores spread throughout the United States and Canada. Consequently, their store closings only impacts three percent of their business.
So what's the solution instead? Apparently, people flock to 7-Eleven stores because of the food. It thrives now as the store's highest selling category. Evidently, people can't get enough of those taquitos, hot dogs, and old pizza slices. As a result, the company looks to expand in that regard. Eventually, some of their international food items like milk, bread, egg sandwiches and miso ramen will end up expanding towards American stores.
