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Thailand’s CP All to open 700 more 7-Eleven stores this year

7-eleven

CP All, the Thailand-based distributor of 7-Eleven convenience stores, said it plans to roll out some 700 stores in 2021, as the firm looks to capitalise on key geographic locations to capitalise on revenue.

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Having opened 155 convenience stores in Thailand in the first quarter, CP All said it plans to invest some US$375 million this year to expand its business across the nation, which includes a mass store expansion.

The total spending will be broken down into sections: US$124 – 127 million for investment in new projects, subsidiaries and distribution centres; US$118 – 124 million for store expansion; US$74.7 – 77.8 million is for store renovations, and the remaining US$40.5 – 43.6 million is for fixed assets and IT systems.

“We will continue to open new stores, but with a more cautious approach. There are many uncertainties, so we will select locations that can build revenue and have real demand from customers,” Kriengchai Boonboapichart, CP All’s chief financial officer, told the Bangkok Post.

“Moreover, each location has to possess the capability to support our O2O [online-to-offline] retailing strategies,” continued Boonboapichart.

In 2020, CP All reported total revenue of US$17 billion, down 4.3% from 2019, with a net profit of 16.1 billion, signalling a decline of 27.9%.

As of the first quarter, CP All currently operates 12,587 branches of 7-Eleven, with 6,771 stores belonging to business partners and 5,816 stores owned by CP All.

Some 85% of the stores are standalone with 15% located in PTT petrol stations.

SEE ALSO : 7-Eleven to open in Cambodia, Laos

Founded in Bangkok in 1988, CP All established by the Charoen Pokphand Group to operate convenience stores in Thailand under the 7-Eleven trademark.