istockphoto / Prapat Aowsakorn
As the name suggests, convenience stores are designed to make one’s life, well, more convenient. But in some parts of the world, convenience stores are more than just quick, easily accessible solutions to daily needs. They represent a valuable, integral part of the retail landscape. In Japan, for example, convenience stores are known for their wide selection of fresh, high quality foods.
Could such offerings work in the United States? The newest CEO of 7-Eleven’s parent company is determined to find out. Raised in both Japan and the United States, Stephen Dacus grew familiar with both models for convenience stores. In his role as CEO of Seven & i Holdings, he also has grown familiar with the threats and opportunities facing the brand. In particular, Japan is experiencing serious population declines, along with reduced opportunities for retail growth, such that Seven & i needs to turn its attention to other markets.
Notably, 7-Eleven is the largest convenience store chain in the United States, but the company previously had embraced a strategic shift in focus, seeking to expand in Japan. In seeking new routes for growth, Dacus has determined that one option is to introduce some of the high quality offerings available to Japanese consumers in U.S. stores. For example, U.S. visitors to Japan have long praised the fresh egg salad sandwiches they can find in the Asian nation’s stores. Accordingly, the transformation started with the introduction of this cult favorite in U.S. 7-Eleven locations.
Although U.S. consumers tend to prefer and spend more on frozen prepared food, which represents the standard for many grocery and convenience store chains, their demand for affordable, high-quality, and freshly prepared foods also has increased. In the industry more widely, convenience stores that emphasize their fresh offerings, or that even go so far as to have rebranded as food destinations, seem to be enjoying stronger draws among customers. Furthermore, the margins that retailers can charge on prepared foods tend to be greater than those available for most other food items.
The expanded options in store represent the first step in a carefully planned campaign to expand in other ways as well. In coming years, 7-Eleven plans to create 1,300 more locations in North America, branded specifically as food-forward destinations. These new, relatively large locations will feature in-store restaurants, decorated with modern furnishings and a casual vibe. Already, redesigns have been implemented in more than 1,000 existing stores, seeking to transform them from quick convenience stops into places to linger for a while. The company anticipates that the larger, food-forward hubs will generate nearly 1.5 times the sales achieved by traditional convenience store locations.
Discussion Questions
- Which existing convenience chains already have the reputation of being food-forward? Have you seen their popularity increase recently?
- Will this expansion strategy work for all convenience chains? Which features might translate well and which are specific to what 7-Eleven’s strengths are?
Sources: River Akira Davis, “Is America Ready for Japanese-Style 7-Elevens?” The New York Times, September 9, 2025; Jennifer Mattson, “Why More Customers Are Skipping McMuffins for Gas Station Grub,” Fast Company, September 15, 2025; Irene Dong, “7-Eleven Ramps Up New Restaurant Store Format in the US,” Inside Retail Asia, August 15, 2025.
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