The convenience store landscape is undergoing a significant transformation as 7-Eleven announces plans to close 645 stores in North America during fiscal 2026. This decision is part of a broader strategy to adapt to changing consumer preferences and market dynamics.
Fiscal 2026, which runs from March 1, 2026 to February 28, 2027, will see 7-Eleven continuing a trend that has seen the company close more stores than it has opened for five consecutive years. In fact, over 600 stores were shuttered across 2024 and 2025 combined, highlighting the company’s ongoing struggle with underperforming locations.
The closures are part of a transition to a new food-focused store format. 7-Eleven is moving away from traditional small shops to larger stores that emphasize fresh food offerings. This shift reflects a broader change across the convenience store industry, as traditional profit drivers such as tobacco and fuel are being supplemented or replaced by high-margin prepared foods.
In 2024, 7-Eleven announced it would close 444 underperforming stores, which represented about 3% of its North American base. The company has noted that sales of prepared foods have jumped 12% across the convenience store sector in just one year, indicating a growing consumer demand for these products.
Despite the closures, 7-Eleven plans to open more than 200 new locations in fiscal 2026, aiming to expand its footprint in a changing market. However, the company faces challenges, including a significant decline in cigarette sales, which have plunged 26% since 2019, further impacting convenience store profits.
Stan Reynolds, a spokesperson for 7-Eleven, stated, “These food-forward stores are resonating with our customers and driving average sales per store day about 18% higher than our system average.” This indicates that the company’s pivot towards food is not only strategic but also yielding positive results.
The IPO for 7-Eleven has been delayed by at least 11 months due to market uncertainty, adding another layer of complexity to the company’s future plans. The closures are described as part of a process termed “portfolio optimization,” which is corporate speak for cutting underperformers loose.
As 7-Eleven continues to adapt to the evolving retail landscape, the impact of these closures and the shift towards food-focused stores will be closely monitored. Details remain unconfirmed regarding how many of the closed locations will be converted to wholesale fuel stores, which are not included in the store count.