Strategy Business Unit (sbu) and Company Achievement - 7-Eleven Malaysia

Merchandise Strategy:

To make it different, the stores have included high quality fresh foods that are delivered to the stores daily. All packaged food and bakery items sold are certified HALAL and undergo stringent quality control to ensure tastefulness and freshness. In addition of ready-to-eat hot food, 7-Eleven sells their special products namely Slurpee semi-frozen carbonated beverages, BIG Gulp fountain beverages and fresh brewed coffee, 7-Eleven Premium Roast Coffee.

The stores also has partnered with Laguna Music which its strategy of the exciting 7-Eleven music programme to foster and grow local music scene. The 7-Eleven Music CD display rack placed on all store-front windows and with this customers can expect to see more as the store aims to provide wider selection of services and products.

Effective Distribution Network:

7-Eleven plans to expand its distribution network by opening new outlets throughout Malaysia. For the current year 2010, they targets 150 outlets and based from the historical, the store openings per year is about 8-11 outlets per month. The feature of 7-Eleven stores that there are set up in intersections which is favorite locations and it much more attracted customers. Besides that, 7-Eleven also expand its territory at the shopping malls, hospitals, LRT stations, and rest areas in highway so that consumers can reach them easily. New strategy on the location of 7-Eleven stores is expands to new apartments and new housing area.

Franchise Programme :

Currently out of 1,200 convenience stores, only 38 stores are operated by its franchisee. Since 7-Eleven has an aggressively plan to open its outlets which they targeted to open at least 150 outlets in Year 2010, the company made joint collaboration with PERNAMA. Training for 3 months will be given to the eligible ex-Army who has retired which after the completion, the candidates may choose to work as a store manager with 7-Eleven or operate the existing convenience store on a franchise basis.

New Logistic Centre :

As per research report from RHB Investment dated 19 July, 2010 it reveals that 7-Eleven plans to upgrade their logistic function by setting up a new dedicated purpose-built factory. Estimated constructions and equipment costs are RM40 million and with this plan it would maximize efficient receiving, processing and distribution of goods together expanding the functions which currently fulfilled by its existing rented distribution centre in Shah Alam.

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