The 7-Eleven convenience store chain is adding a new line of 32 food items including candy, cookies, salty snacks and beef jerky under its 7-Select private label brand.
"When we began to develop products under the 7-Select name, our first and foremost requirement was to create high-quality products that were equal to or better than the national brands," said Kevin Elliott, 7-Eleven senior vice president for merchandising and logistics, in a press release. "Focus groups verified that we exceeded that goal by scoring taste, texture and flavor profiles higher than the name brand equivalent in every case."
The chain tested the new 7-Select items in a 1,500-store pilot in Florida and the Mid-Atlantic states in May. The items, which sell between 10 and 20 percent below their national brand equivalents, were supported by in-store displays and point-of-purchase signage.
"The 7-Select name builds on the strength of the 7-Eleven brand and will help define who we are as a retailer, much as our Slurpee and Big Gulp beverages have over the past 40 years," Mr. Elliott said. "7-Eleven is known for its unique brands and assortment of quality products. 7-Select snacks will certainly strengthen our position as the preferred convenience store for value, quality and convenience."
Discussion Questions: What will the new 7-Select items do for 7-Eleven's business? Is the price differential between branded and private label as important in convenience stores as in other classes of trade? Will we see a rapid expansion of private label in c-stores going forward?