In a recent development that signals potential challenges in Japan's convenience store industry, Lawson, one of the major conbini chains, is considering going private [fc5ecc91]. This move comes as a surprise, considering that convenience stores, known as conbini, have been a staple in Japanese society and a popular destination for tourists. The quirky offerings and 24/7 availability of a wide range of food options have made conbini stores a highlight during events like the Tokyo Olympics. However, Lawson's decision to go private suggests that the industry may be facing headwinds [fc5ecc91].
Meanwhile, Seven & i Holdings, the parent company of 7-Eleven, continues to expand its global empire. The Japanese retail conglomerate recently acquired the 7-Eleven convenience store chain in Australia for A$1.71 billion ($1.1 billion) [847da002]. With this acquisition, Seven & i Holdings solidifies its position as the industry leader in the Australian convenience store market, which has significant growth potential. The company plans to open around 35 stores annually in Australia, further expanding its presence in the country [847da002].
In addition to the acquisition in Australia, Seven & i Holdings is set to increase its market share in the United States. The company will purchase 204 convenience stores and gas stations from U.S. chain Sunoco LP for 137,455 million yen [68ba0a22]. This move follows Seven & i Holdings' previous acquisition of 1,030 stores from Sunoco in 2018. By strengthening its presence in the U.S. market, Seven & i Holdings aims to continue its growth trajectory [68ba0a22].
It is worth noting that Seven & i Holdings recently announced its consolidated financial results for the three quarters to November 2023. The company reported a net profit of 182,162 million yen, a 22.4% decrease from the previous year. This decline was attributed to a loss on the sale of department store chain Sogo and Seibu Co [68ba0a22].
As the convenience store industry in Japan faces potential challenges, it remains to be seen how other major players like 7-Eleven and FamilyMart will navigate the changing landscape. The future of conbini-land hangs in the balance, and industry observers will be closely watching for further developments [fc5ecc91].