Convenience Stores Thrive in Thailand

Boasting more than 12,000 locations, the country has become saturated with convenience stores.

April 10, 2013

BANGKOK – Convenience stores have permeated Thailand, with each location serving 3,000 households today, up from 10,000 households in 1989, the year the first store opened, the Bangkok Post reports. Currently, the country boasts 12,246 convenience stores, according to the Thai Retails Association.

7-Eleven has the majority of those stores, with close to 7,000 locations or about 69% of the market share. In comparison, Tesco Lotus Express has more than 850 units, or 8.6% of the market. Both Tesco Lotus Express and 7-Eleven have expansion plans to open 200 and 500 branches annually, respectively.

By 2018, 7-Eleven will have 10,000 units. FamilyMart plans to have 3,000 locations by 2017, while Mini Big C stores predicts it will have 850 outlets by 2016. In 2013, FamilyMart will open 200 units; Mini Big C, 150 stores; and Tops Daily, 50 outlets. Lawson 108 will turn four of the more than 100 stores operated by Saha Pathanapibul into Lawson 108s as part of a partnership with Saha. The remaining stores will become Lawson 108s during the coming years.

All these expansion plans indicate the number of Thailand convenience stores will likely hit 30,000 within a decade. Part of the growth is spurred by a backlash against hypermarkets. With convenience stores having a much smaller footprint, consumers and local officials have embraced the concept.

"More competition will benefit customers as the standards, format, decoration and merchandising will be upgraded to meet international standards,” said Phattaraporn Phenpraphat, a Tops Supermarket executive. The supermarket chain will launch 50 Tops Daily outlets in 2013.

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