Philippine Seven Corporation, licensee of 7-Eleven stores in the country, has been taking steps to stay at the top of convenience store industry. “PSC has taken steps to protect and expand its leadership in light of increased competition, recognizing that rewards for market share are especially strong in the convenience store sector,” Jose Victor Paterno, President and CEO of Philippine Seven Corporation said in a report.
The initiatives involves strategically increasing pace of expansion in areas contested by competition. “Last year we entered Panay and built on our entry into Negros and Cebu the years prior. This year we will be entering Mindanao via Davao and Cagayan De Oro,” Paterno said.
He added that entering new territories “may be unprofitable for the first few years due to the high fixed costs of logistics, but we believe will later be rewarded with strong first mover advantages.”
PSC ended the year 2014 with a total of 1,282 stores all over the country, a net increase of 273 stores or 27 percent compared with the end-2013 count of 1,009 stores. PSC opened 286 new stores and closed down 13 stores last year.