7-Eleven Inc. is pushing ahead with an ambitious US expansion, planning to open 500 new convenience stores with expanded fresh food offerings by 2027, as its Japanese parent Seven & i Holdings responds to competitive pressure from a $47 billion takeover bid by Canadian rival Alimentation Couche-Tard.
The new outlets, spanning 400 square meters each, will feature larger dedicated spaces for fresh foods including sandwiches and salads. The Dallas-based subsidiary aims to revamp 2,500 existing locations with enhanced food and beverage selections by early 2025, adding to 1,900 stores already offering the upgraded format.
The expansion leverages Seven & i’s established food production network, which includes 16 processing facilities and bakeries across the US and Canada. Daily deliveries from plants operated by Japanese food processor Warabeya Nichiyo give the chain an edge over Couche-Tard’s thrice-weekly distribution schedule.
COO Doug Rosencrans indicated that the company is implementing Japanese-style inventory management practices across its US operations, allowing for precise control over individual items across its 13,000-store network. The strategic shift comes as US inflation pressures continue to impact consumer spending patterns.
Warabeya is constructing an additional facility in Ohio to support the expansion, which will also supply ingredients for in-store restaurants.