Tech786: 7Eleven, which is very popular in Asia and the United States, tied up with Future Group in 2019 to expand its business in India, and the contract between the companies was canceled as not a single store opened had gone. Within the next 2 days of the cancellation of the contract with Future Group, 7Eleven has chosen its new alliance.
Future Group – 7Eleven
Just 2 days after canceling its contract with Future Group, 7Eleven has partnered with Reliance Retail. Through this alliance, Reliance Retail has acquired Japan’s 7Eleven’s master franchise project for the Indian business.
7Eleven will not only be very important for Reliance Retail, which is growing at rocket speed in the Indian retail market, but will also be the main driving force to reach out to a wider customer base.
1st store on 9th October
7Eleven in tie-up with Future Group unable to open a single store in 3 years, tie-up with Reliance Retail is all set to open its first 7Eleven store in the next 2 days on 9th October at Andheri East, Mumbai.
Following this, Reliance Industries said in a statement to the Bombay Stock Exchange that it intends to open 7Eleven stores in a row in key areas and commercial areas of Mumbai.
7Eleven stores are small departmental stores that not only sell people’s daily necessities but also have a 24-hour operating structure. But many states in India do not allow it to operate 24 hours a day.
Reliance Retail – 7Eleven
On the one hand, 7Eleven is a global business leader and on the other hand, Reliance Retail is the largest player in the Indian retail market. 7Eleven’s huge success in launching business in India in this grand alliance can bring change to the retail market.
Reliance Retail will also be able to attract more and more customers by setting up 7Eleven stores in key business areas where its rivals will not be able to carry on its business.
Small Towns, Town Area
As well as small towns, Reliance Retail can expand its business through Reliance 7Eleven as it is not able to land directly in downtown areas. Through these 7Eleven stores, Reliance will be able to trade its own branded products on a large scale.
Higher profit for Reliance Retail
In fact, Reliance Retail benefited more from the alliance than 7Eleven. And the 7Eleven alliance will add strength to Mukesh Ambani, who is unable to capture Future Group stores.