- Monday, May 20, 2024
By: Shubham Ghosh
MUKESH Ambani, Asia’s richest man, is set to open India’s first 7-Eleven convenience store as his Reliance conglomerate boosts its retail presence in a market of 1.3 billion people.
The first store will be opened in Mumbai, India’s financial capital on Saturday (9).
The announcement of the franchise agreement comes only days after Reliance’s rival retailer Future Group concluded its deal with the American chain.
The Texas-based 7-Eleven chain has over 77,000 stores in 18 nations around the world.
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Reliance Retail Ventures said in a statement that there will be a “rapid rollout” of 7-Eleven stores in “key neighbourhoods and commercial areas across the Greater Mumbai cluster to start with”, BBC reported.
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With a turnover of £15.5 billion, Reliance Retail Ventures is India’s largest and the most profitable retailer in India, the company said.
“India is the second largest country in the world and has one of the fastest-growing economies. It’s an ideal time for the largest convenience retailer in the world to make our entry into India,” president and chief executive officer of 7-Eleven Inc. Joseph DePinto said.
India’s retail sector is dominated by family-owned “mom and pop” outlets but oil-to-telecoms conglomerate Reliance Industries added 1,500 new stores in 2020 to take the number to nearly 13,000, AFP added.
“7-Eleven is among the most iconic global brands in the convenience retail landscape…(and) will offer Indian customers greater convenience and choices within their own neighbourhoods,” Isha Ambani, director of Reliance Retail Ventures and Mukesh’s daughter, told the news outlet.
Reliance said the opening of the first store will be followed by a “rapid rollout in key neighbourhoods and commercial areas, across the Greater Mumbai cluster to start with”.
Debt-ridden Future Retail, which owns popular brands like Big Bazaar, said it was not able to “meet the target of opening stores and payment of franchisee fees” amid the ongoing coronavirus pandemic.
