Convenience store chain 7-Eleven is expanding rapidly in Cambodia, where it aims to open its 100th branch by the end of this year.
It also plans to open its first branch in Laos and add another 700 in Thailand, drawing on a budget allocated for branch expansion of 11 billion to 12 billion baht (US$318 million to $347million).
Thai retail businesses have increasingly expanded their operations in Cambodia, Laos, Myanmar, and Vietnam in recent years due to strong economic growth and rising purchasing power in the region. Moreover, the region has a young population that is seen as a strong consumer base. As a result, many Thai companies have expanded aggressively in the region.
CP Group’s CP All Plc operates 7-Eleven convenience stores in Thailand and has the license for 7-Eleven in Laos and Cambodia.CP All entered the Cambodian market through subsidiary CP ALL (Cambodia) in August 2021, opening its first branch in Phnom Penh. By 2022, it had already opened more than 40 7-Eleven branches in Cambodia. As of April 2023, it had 60 branches in the country, and by the end of this year it is forecast to have 100.
The decision to expand into Cambodia was driven by several factors. The country’s economy is growing fast and it has a thriving consumer market with rising purchasing power. Moreover, Cambodian consumers are responding well to Thai products. As a result, the 7-Eleven branches in Cambodia feature a wide range of Thai products.
Source: The Nation