7-eleven To Raise Retail Prices Of Over 500 Products

[george]

7-Eleven to raise retail prices of over 500 products

BANGKOK: -- 7-Eleven, one of the largest chain of convenience stores in Thailand, announced it would raise the retail prices of over 500 consumer products next year, due to higher transportation costs, according to a senior executive of CP All, which operates the stores.

CP All managing- director, Piyawat Thitasatthaworakun said the producers and wholesalers of consumer products for 7-Eleven had requested to adjust product prices, because of the higher price of goods mainly resulting from rising oil price.

“The transportation cost has increased 30-50 per cent because of the skyrocketing oil price. CP All has asked the traders to delay the product prices rise until Jan 1, said Piyawat.

Mr. Piyawat said the price adjustment would not have any impact on the sale performance of the stores as the products available at 7-Eleven were necessities.

He said the price rise would not affect the target the company had to expand at the amount of 450-500 branches annually.

There are now 4,300 7-Eleven branches nationwide.

--TNA 2007-12-05

[Jingthing]

There goes the 7-11 poll, oh well, no interest anyway.

[astral]

I am sure oil prices will be a good excuse.

A pharmacy I know was raising prices today based on the latest dollar rates.......

and this was on items already in stock.

[Pundi64]

If they go with the trend as in the US, 7-11 stores are all over priced on everything, except the basics like milk etc. which have a set price to the consumer. This is known fact in the US, but go there for fast service and connivence.

[grahamhc]

Price rises are not only in 7-11. Dutchie yoghuts in Tesco and our local small Pattaya supermarkets rose this week from 38-40 Baht a pack of four to 50 Baht - thats 25% increase.

[ThaiPauly]

If they go with the trend as in the US, 7-11 stores are all over priced on everything, except the basics like milk etc. which have a set price to the consumer. This is known fact in the US, but go there for fast service and connivence.

As you say, thats why its called a Convenience Store....you always pay higher than Supermarket prices a you only buy the things you forgot or cant be bothered to go to the supermarket to buy

[Zpete]

4,300 stores nationwide.

Some are only 50 yards apart.

Tell me, are they owned by one company, CP All , or are they franchised?

Ridiculous way they are placed in community.

Milk products are half the price of similar in NZ.

I live on flavoured milk whilst in Thailand, love it.

Edited December 4, 2007 by Zpete

[Zpete]

If they go with the trend as in the US, 7-11 stores are all over priced on everything, except the basics like milk etc. which have a set price to the consumer. This is known fact in the US, but go there for fast service and connivence.

As you say, thats why its called a Convenience Store....you always pay higher than Supermarket prices a you only buy the things you forgot or cant be bothered to go to the supermarket to buy

Drinks and milk etc, about same price as s/markets

[tezzainoz]

What about the poorer Thais who are struggling to survive now

with everything increasing in price all over Thailand what can they do to keep up

will we see beggers now asking for 50% high donations

Farlang can adapt to price rises. but the people in the villages will be the ones hit hardest

Guess this is another excuse for the bar girls to increase their prices

[hunghung]

The world runs on oil and oil is priced in US dollars. As the US dollar and other currencies (including Thai Bhat) are in a competitive depreciation (printing loads of money), nominal prices have to rise. Inflation is happening in almost every country.

Tip: Inflation will be high in the next 1-2 years. Buy stuff (e.g. pasta, canned food, toilet paper) before their prices increase, saving you lots of money. After that, there would be a worldwide economic depression, at which time prices would decline.

Hunghung

[farang prince]

4,300 stores nationwide.

Some are only 50 yards apart.

Tell me, are they owned by one company, CP All , or are they franchised?

Ridiculous way they are placed in community.

Milk products are half the price of similar in NZ.

I live on flavoured milk whilst in Thailand, love it.

They are franchised.

[markokang]

4,300 stores nationwide.

Some are only 50 yards apart.

Tell me, are they owned by one company, CP All , or are they franchised?

Ridiculous way they are placed in community.

Milk products are half the price of similar in NZ.

I live on flavoured milk whilst in Thailand, love it.

Milk is a very complex thing! NZ has the purest milk in the world. It starts on the farm where the land must be uncontaminated by chemicals and GM crops for at least 3 years prior to having dairy cows on it. Cows are free of drugs and tested regularly. The milk is processed in a delicate way to keep the goodness in it. (eg:not boiled or radiated=UHT). There is an amazing amount of goodness in milk but only if it is processed in the correct manner. Otherwise is quickly becomes less and less nutritious! The taste may remain the same but what is in it doesn't. Japan pays a huge price for NZ milk because it wants the best. Its also why NZ is able to supply over 33% of all the worlds milk powder. Its not the amount it produces, its the quality. Other nations produce milk powder but cant compete with the quality.

[tracer5050]

As it has been said things in the US is always higher in the 7- 11 , supply and demand.

[maxpower]

Some are only 50 yards apart.

We have a 7 in a busy area of Pattaya, our nearest 7 is only about 100M away. The company looks carefully at the area before approval and they seem to get it right because even with another 7 close by we quite often get a que all around the store. Also dont forget people also use 7 to pay bills, you can even pay for a CPAC concrete order in 7.

[john b good]

4,300 stores nationwide.

Some are only 50 yards apart.

Tell me, are they owned by one company, CP All , or are they franchised?

Ridiculous way they are placed in community.

Milk products are half the price of similar in NZ.

I live on flavoured milk whilst in Thailand, love it.

Milk is a very complex thing! NZ has the purest milk in the world. It starts on the farm where the land must be uncontaminated by chemicals and GM crops for at least 3 years prior to having dairy cows on it. Cows are free of drugs and tested regularly. The milk is processed in a delicate way to keep the goodness in it. (eg:not boiled or radiated=UHT). There is an amazing amount of goodness in milk but only if it is processed in the correct manner. Otherwise is quickly becomes less and less nutritious! The taste may remain the same but what is in it doesn't. Japan pays a huge price for NZ milk because it wants the best. Its also why NZ is able to supply over 33% of all the worlds milk powder. Its not the amount it produces, its the quality. Other nations produce milk powder but cant compete with the quality.

Very true. The best and most nutritious dairy products that man can buy all come from NZ "nuff said"

[Prakanong]

4,300 stores nationwide.

Some are only 50 yards apart.

Tell me, are they owned by one company, CP All , or are they franchised?

Ridiculous way they are placed in community.

Milk products are half the price of similar in NZ.

I live on flavoured milk whilst in Thailand, love it.

They are franchised.

Its a mix is it not - some franchised and some directly run by CP

It used to be said if you had a successful franchised 7-11 CP would open one very close by.

[Chang_paarp]

Some are only 50 yards apart.

We have a 7 in a busy area of Pattaya, our nearest 7 is only about 100M away. The company looks carefully at the area before approval and they seem to get it right because even with another 7 close by we quite often get a que all around the store. Also dont forget people also use 7 to pay bills, you can even pay for a CPAC concrete order in 7.

The company is not known for investigating sites in Thailand, they will put 3 in a row to see who survives. Although clustering of these type of shops can pay off in the long run.

7-11 is operated by the CP corp, that is why you can pay for CPAC using the CP system installed in all 7-11's.

What this price rise will mean is that all the small retailers can increase their prices. I am not totally upset.

[chiang mai]

As it has been said things in the US is always higher in the 7- 11 , supply and demand.

errr, no, convenience.

[mynameisearl]

Prices increase the world over... deal with it and stop moaning!!!

[keekwai]

4,300 stores nationwide.

Some are only 50 yards apart.

Tell me, are they owned by one company, CP All , or are they franchised?

Ridiculous way they are placed in community.

Milk products are half the price of similar in NZ.

I live on flavoured milk whilst in Thailand, love it.

Milk is a very complex thing! NZ has the purest milk in the world. It starts on the farm where the land must be uncontaminated by chemicals and GM crops for at least 3 years prior to having dairy cows on it. Cows are free of drugs and tested regularly. The milk is processed in a delicate way to keep the goodness in it. (eg:not boiled or radiated=UHT). There is an amazing amount of goodness in milk but only if it is processed in the correct manner. Otherwise is quickly becomes less and less nutritious! The taste may remain the same but what is in it doesn't. Japan pays a huge price for NZ milk because it wants the best. Its also why NZ is able to supply over 33% of all the worlds milk powder. Its not the amount it produces, its the quality. Other nations produce milk powder but cant compete with the quality.

Very true. The best and most nutritious dairy products that man can buy all come from NZ "nuff said"

Thought it was Australia .. oh well.

[ironhut]

Prices increase the world over... deal with it and stop moaning!!!

This is basically true. As average salaries increase, how can one expect prices of goods to stay the same???

Who doesn't want and expect to have their wages increased? As employers pay increased wages, they must eventually charge more for their goods.

In addition, 3rd world countries and labor therein will continue to civilize and become part of the world agenda...thus demanding more for their services (which add to costs of goods which were previously much cheaper due to insufficient labor costs).

It's absolutely not a problem when prices are raised for goods...except for that of the poor (who have fixed incomes of little or nothing). Unfortunately, the people that complain the most are the people that can afford the "hit" even though they probably have made slightly increasing wages from year to year...which I find greedy and unfortunate.

Basically, if you're on this board...you're likely not part of the poor. As this poster stated, stop moaning unless you're doing so on behalf of the poor people of Thailand who don't receive any increase in wages to off-set the price increases. Then again, most of these folks don't shop at 7-11 and have no need to buy goods affected by the increasing price of oil.

[JacknDanny]

Tip: Inflation will be high in the next 1-2 years. Buy stuff (e.g. pasta, canned food, toilet paper) before their prices increase, saving you lots of money. After that, there would be a worldwide economic depression, at which time prices would decline.

Hunghung

Thanks for that.

I have just been out and bought 100 cans of baked beans, 200 cans of Spam, 100 bags of pasta, 50 cans of mushrooms and 50 Double packs of bog roll.

Just worked out if things increase by 10% per year, I will have saved myself about 300 baht a year

Again thanks for this information, something I would never have thought of on my own. Any ideas what I can spend my savings on?

[Heng]

Some are franchised, but most of the best locations are of course CP owned. As I recall, the most profitable location is the Morchid bus terminal first floor store, followed by the Ekkamai bus terminal store (on the corner), both grossing well over $1 million USD a month, not a bad per hour average if you consider the minimal amount of sales area used.

[99BigLad99]

What about the poorer Thais who are struggling to survive now

with everything increasing in price all over Thailand what can they do to keep up

will we see beggers now asking for 50% high donations

Farlang can adapt to price rises. but the people in the villages will be the ones hit hardest

Guess this is another excuse for the bar girls to increase their prices

Just a note there are very few villages with a 7/11 most of the village shops are the shop house types and always as cheap as chips, once you live in a village it is surprising just how the poor Thais come up with money when needed

[jberwick]

Hung Hung is dead right on his comments about monetary inflation and its subsequent currency devaluations... get ready for hyperinflation everyone! Buy gold to protect yourself.

As a point of interest, I had just sent a few emails to friends this week... I am in Australia at the moment and have been shocked at how much going to a 7-11 here has cost me. I have gone 3 times this week to 7-11 to pick up some snacks and such for my hotel room. Each time it has cost me $50 AUD (about $45 USD)!!!! The same general bag of items in Thailand normally costs me about $4-6... granted, many of the items I am buying here are much more to my liking (I get all my favorite brands of certain items etc), but it isn't worth the extra 800% in cost, imo!!!!!!

I see also this week that taxis are raising their prices in Thailand. I can't believe they haven't raised them until now. With the price of gas alone I don't see how they make any money... a typical taxi ride in Thailand costs about $1, whereas in almost anywhere else in the world, the same ride would be $5-15!!

[spicypete]

4,300 stores nationwide.

Some are only 50 yards apart.

Tell me, are they owned by one company, CP All , or are they franchised?

Ridiculous way they are placed in community.

Milk products are half the price of similar in NZ.

I live on flavoured milk whilst in Thailand, love it.

Milk is a very complex thing! NZ has the purest milk in the world. It starts on the farm where the land must be uncontaminated by chemicals and GM crops for at least 3 years prior to having dairy cows on it. Cows are free of drugs and tested regularly. The milk is processed in a delicate way to keep the goodness in it. (eg:not boiled or radiated=UHT). There is an amazing amount of goodness in milk but only if it is processed in the correct manner. Otherwise is quickly becomes less and less nutritious! The taste may remain the same but what is in it doesn't. Japan pays a huge price for NZ milk because it wants the best. Its also why NZ is able to supply over 33% of all the worlds milk powder. Its not the amount it produces, its the quality. Other nations produce milk powder but cant compete with the quality.

It really makes me laugh that the topic is rising prices at 7/11, and this person goes off on a rant about how wonderful milk is in NZ...lol. anyhow, very interesting to know that, lol. i wonder... is NZ so borring that one must feel the need to be so patriotic toward the quality of milk.

Anyhow... so what if prices go up? that is normal. the store owners need to pay bills, pay for product, and make a profit worthy of investing and risking their money in a business venture.

[dude007]

Yesterday Villa Market raised the price of the normal Holland Gauda soft cheese from 450 THB/Kg to 665 THB/Kg... transport costs?

A small Boursin cheese in Villa costs now 318 THB whilst in Europe 1.5 Euro (67 THB).

Looks like transport costs are the bulk of the excuse in Villa Market, although every excuse over there is good enough to raise their prices by tens of percents!

Too many farangs keep coming over there for being interesting! Organized rip-off!

[lazeeboy]

4,300 stores nationwide.

Some are only 50 yards apart.

Tell me, are they owned by one company, CP All , or are they franchised?

Ridiculous way they are placed in community.

Milk products are half the price of similar in NZ.

I live on flavoured milk whilst in Thailand, love it.

Milk is a very complex thing! NZ has the purest milk in the world. It starts on the farm where the land must be uncontaminated by chemicals and GM crops for at least 3 years prior to having dairy cows on it. Cows are free of drugs and tested regularly. The milk is processed in a delicate way to keep the goodness in it. (eg:not boiled or radiated=UHT). There is an amazing amount of goodness in milk but only if it is processed in the correct manner. Otherwise is quickly becomes less and less nutritious! The taste may remain the same but what is in it doesn't. Japan pays a huge price for NZ milk because it wants the best. Its also why NZ is able to supply over 33% of all the worlds milk powder. Its not the amount it produces, its the quality. Other nations produce milk powder but cant compete with the quality.

It really makes me laugh that the topic is rising prices at 7/11, and this person goes off on a rant about how wonderful milk is in NZ...lol. anyhow, very interesting to know that, lol. i wonder... is NZ so borring that one must feel the need to be so patriotic toward the quality of milk.

Anyhow... so what if prices go up? that is normal. the store owners need to pay bills, pay for product, and make a profit worthy of investing and risking their money in a business venture.

7/11 stores are open 24 hours a day so idont mind paying an extra baht ortwo to get my bread and milk.

[Nemothepemo]

Tip: Inflation will be high in the next 1-2 years. Buy stuff (e.g. pasta, canned food, toilet paper) before their prices increase, saving you lots of money. After that, there would be a worldwide economic depression, at which time prices would decline.

Hunghung

Thanks for that.

I have just been out and bought 100 cans of baked beans, 200 cans of Spam, 100 bags of pasta, 50 cans of mushrooms and 50 Double packs of bog roll.

Just worked out if things increase by 10% per year, I will have saved myself about 300 baht a year

Again thanks for this information, something I would never have thought of on my own. Any ideas what I can spend my savings on?

You should save up for a Heart Transplant if you eat that kind of JUNK food.

[teacher]

I am sure oil prices will be a good excuse.

A pharmacy I know was raising prices today based on the latest dollar rates.......

and this was on items already in stock.

In the UK the price of a bag of chips from the local fish and chip shops go up in price EVERY YEAR.

The reason NEW patatoes. However, they never come down in price when the so called old patatoes are used later on in the year.