7-Eleven boldly plans to close hundreds of stores as chain takes on Southern rivals

The world's biggest convenience store chain is pressing ahead with plans to overhaul hundreds of locations across the US – but not in the way many shoppers first feared.

7-Eleven has clarified that while 645 stores will disappear from its traditional network this year, only a fraction will actually shut their doors for good. 

Instead, many locations will simply be transformed as the nearly century-old retailer races to modernize its sprawling estate and compete with rivals such as Wawa, Sheetz and Buc-ee's.

The update comes after reports earlier this year suggested the chain was planning one of its biggest waves of closures in recent history, sparking concern among loyal customers.

Instead, the company says the majority of affected stores will either be converted into wholesale fuel locations or franchised operations as part of a sweeping transformation designed to make 7-Eleven less reliant on gasoline and cigarettes and more focused on fresh food.

According to the company's latest first-quarter earnings presentation, around 200 underperforming stores are expected to close outright in 2026.

A further 350 company-operated stores will become wholesale locations, where independent operators will continue selling fuel but will no longer be required to stock the full range of branded 7-Eleven products.

The remaining 95 locations are expected to leave the network because of franchise terminations or other contractual reasons.

During the first quarter alone, 7-Eleven converted 43 company-owned stores into franchised outlets, shifted another 72 into wholesale operations, closed 45 underperforming stores and opened 30 new locations.

Rather than shrinking, the company is simultaneously investing in growth.

It plans to open 205 new stores this year, most of them built around a larger 'food-first' format that offers expanded seating, made-to-order meals and upgraded grocery ranges.

The chain also intends to remodel more than 7,000 stores by 2030.

Speaking during the company's Investor Day earlier this year, executives said fresh food sits at the heart of those ambitions.

Seven & i Holdings, 7-Eleven's parent company, wants to generate an additional $1 billion in fresh food sales and open 1,100 new in-store restaurants by the end of the decade.

Plans include expanding hot food offerings, reinventing refrigerated displays and investing heavily in food quality. The strategy reflects broader changes across the convenience store industry.

According to NIQ's 2024 State of Convenience report, prepared foods are increasingly driving growth, while the National Association of Convenience Stores found prepared food sales rose 12 percent year-on-year.

The transformation follows several difficult years for the retailer.

According to industry experts, Seven & i Holdings is preparing 7-Eleven's North American business for a potential IPO after delaying plans by a year. 

The company has struggled since its $21 billion acquisition of the Speedway gas station and convenience store chain, which added around 3,800 locations to its US network in 2021. 

North American revenue has fallen from around $55 billion in fiscal 2022 to approximately $50 billion last year, while operating income has dropped by more than 20 percent.

Founded in Dallas, Texas, in 1927 as the Southland Ice Company, the first 7-Elevens originally sold milk, bread and eggs alongside blocks of ice.

The name 7-Eleven was adopted in 1946 to reflect what were then revolutionary opening hours - from 7am until 11pm, seven days a week.

The retailer later pioneered several concepts that have since become staples of convenience retail, including 24-hour opening, takeaway coffee and the iconic Slurpee, introduced in 1965.

Today, 7-Eleven has grown into the world's largest convenience store chain, operating more than 86,000 stores across 19 countries and territories.

Although it was founded in America, the brand has been owned since 2005 by Japanese retail giant Seven & i Holdings after its Japanese licensee gradually acquired the parent company.

The Japanese business has become particularly famous for its high-quality fresh food, including rice balls, sandwiches and ready meals, earning an international reputation that many customers say far exceeds the US stores.

News of the restructuring prompted thousands of comments online, with many shoppers arguing the closures reflect years of declining standards rather than changing consumer habits.

Writing on Reddit, one user said: 'Anyone who's ever been to a KwikTrip, or even better, a Buc-ee's, can tell you the old convenience franchises like 7-11 haven't thought about the consumer for more than a decade.'

Another added: 'People like clean, wide spaced restrooms, hot food options, cheap drinks, and a gas station that doesn't look completely run down.'

Several commenters compared American stores unfavorably with their Japanese counterparts.

'7-11 in Japan are basically the equivalent of a miniature Buc-ee's,' one Reddit user wrote. 'You'd think the US stores would have learned how to copy that model over here by now.'

Another said: 'The Japan version is amazing. Super clean, great products, and reasonably priced.'

Others questioned why the US chain had taken so long to modernize.

'They gave the US customer what they thought they wanted - gas and cheap convenience food,' one commenter wrote. 'It took them far too long to realize that the US consumer wants variety, freshness and food / bev quality.'

Some former employees argued the closures were less dramatic than headlines suggested.

'I used to work for 7-Eleven corporate,' one Reddit user wrote. 'This is business as usual. They are closing old, run down stores and allocating resources to newer and more modern stores.'

Another pointed out that the retailer is still expanding overall.

'They are closing 0.75 percent of the stores,' the commenter wrote. 'Less than 1 percent are being closed and they plan to open 205 new stores at the same time.'