On August 6, Seven & i Holdings held a press conference as a “Briefing on strategy and execution including business transformation” and announced its medium-term growth strategy until FY2030.
The company, which has been at the top of the domestic convenience store industry for many years, has a strong sense of crisis due to intensified competition and changes in customer needs in recent years. Transformation of this time can be said to be a declaration of determination to take on new challenges based on the reaffirmation of the founder’s spirit. The company announced planned net increase of about 1,000 in domestic convenience stores by fiscal 2030 and would invest 300 billion yen for the renovation of more than 5,000 existing stores.
President Stephen Hayes Dacus expressed his stance to steer to field-oriented management through close cooperation with franchisees and employees, in light of the challenges of declining customer trust in Japan’s market and the sense of distance from the field due to headquarters-centered operations. After analyzing that “past successes have slowed down the pace of innovation and tended to settle for the status quo,” he emphasized that in the future, “it is essential to regain the spirit of sincerity and fearlessness of change” advocated by the founder. “We will not relax the accelerator and steadily implement the plan,” he said, indicating a policy of accepting environmental changes and responding quickly.
The organizational structure will change to specialize in the convenience store business from September 2025. The company plans to increase its net number of stores by 1,000 in Japan by FY2030, and will invest 300 billion yen in remodel and new equipment for more than 5,000 existing stores to promote initiatives to strengthen food offering capabilities. Through installing 7 Café bakery and 7 Café Tea nationwide, the company aims to develop and improve the ability to provide high-value-added products, and to improve customer satisfaction and frequency of store visits.
The expansion of the delivery service “7NOW” is also positioned as important measures. The company aims to increase sales tenfold from about 12 billion yen in fiscal 2024 to over 120 billion yen in fiscal 2030. Based on the success in North America, the company will consider expanding the delivery area and introducing new services in Japan to address the decrease in shopping frequency.
Strengthening the profit structure is also an issue, and the company plans to optimize staffing and streamline headquarters functions to reduce costs.
North American business, plans to open 1,300 new stores
The North American convenience store business plans to open approximately 1,300 new large format stores by FY2030. The number of restaurants-attached stores will increase by about 1,100, aiming to double from about 1,080 operated in 2024. The company will also stabilize the profit base by strengthening PB.
This new strategy is the first step in efforts to achieve long-term growth in light of the challenging market environment in Japan. Future progress will be reported at the IR Day at the end of October.
