7-Eleven To Shut Down 450 Locations Amid Revenue Decline

7-Eleven is preparing to close nearly 450 stores across North America due to declining revenue and other economic pressures, the company announced Thursday. The convenience store chain, owned by Japan-based Seven & I Holdings, is facing difficulties as cigarette sales — once a major revenue driver — have dropped significantly in recent years.

The decision to shutter 444 underperforming stores was influenced by decreasing customer traffic and inflation, according to a report from Fox Business. Cigarette sales, which were once the largest source of income for convenience stores, have plummeted by 26% since 2019, adding to the financial challenges facing 7-Eleven.

While the specific locations of the closures have not yet been disclosed, they will account for about 3% of 7-Eleven’s 3,000 stores in the U.S. and Canada. The closures are expected to take place over the coming months, though the exact timeline remains unclear.

In a statement from Seven & I Holdings, the company acknowledged the tough economic environment, stating, “The North American economy remained robust overall thanks to high-income earners, but inflation and elevated interest rates have made middle- and low-income earners more cautious in their spending.” The company also noted that these factors contributed to the downturn in traffic, which has been falling for six consecutive months.

In response to the changing market, 7-Eleven plans to shift its focus away from cigarettes and toward food products, which have become the company’s highest-grossing category. The company announced earlier this year that it would begin offering a range of popular international food items, including milk, egg sandwiches, bread, and miso ramen, at its U.S. locations.

Despite these changes, the closures represent a significant shift for a company that has long been a staple in the convenience store industry.

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