7-Eleven opened more than 1,800 stores around the world last year, or [image-nocss] roughly one every five hoursnot bad in a slowed global economy that has directly impacted real estate sales, development and financing. Of those 1,800 stores, more than 250 were in the United States. The company plans continued growth and has projected opening more than 1,000 stores in the United States and Canada in the next three years.
Another major factor in the retailer's expansion is its Business Conversion Program (BCP) and a discounted franchise fee program for former military personnel.
7-Eleven is currently franchising its remaining 1,000 company-operated U.S. stores, mostly in Virginia, Florida and Texas. The company offers its business model, products and field and marketing support, and spends as much as $250,000 on average to assist in converting locations to the 7-Eleven brand. Since first offering its BCP in 2005, 7-Eleven has added more than 170 stores through the program, it said.
U.S. Armed Forces veterans are taking advantage of a 15% franchisee fee discount, initiated by 7-Eleven last year. The discount can mean savings of between $7,500 and more than $50,000. A number of honorably discharged veterans already have been qualified to participate in the program.
According to Entrepreneur, the top companies made the Franchise 500 ranking based on financial and statistical data from July 2008 through July 2009. All companies, regardless of size, are judged by the same criteria: objective, quantifiable measures of a franchise operation. The most important factors include financial strength and stability, growth rate and size of the system.
Other considerations include the number of years a company has been in business and the length of time it's been franchising, startup costs, litigation, percentage of terminations and whether the company provides financing.
Dallas-based 7 Eleven operates, franchises or licenses some 8,000 convenience stores in North America. Globally, 7-Eleven operates, franchises or licenses more than 37,100 stores in 16 countries. During 2008, 7-Eleven stores worldwide generated total sales of more than $53.7 billion.
BP's ampm c-store business has landed on Entrepreneur's 2010 list of Top 10 franchises. The 10th place ranking represents a jump from 2009 when ampm came in 35th on the magazine's Franchise 500 list. The BP convenience store brand also rose in the magazine's rankings of fastest-growing franchises. Entrepreneur ranked ampm 14th on its list for 2010, up from 57th in 2009.
The ranking underscores ampm's 30-year tradition of offering customers a unique product while expanding the brand into new marketing areas, according to Bill Fry, president of ampm. "The ranking is recognition of our growth and we're excited to continue to grow ampm nationally as a leading c-store franchise," he said.
The ampm brand was founded in 1978 in Southern California by ARCO, which was acquired by BP in 2000. ARCO-branded ampm stores are currently found in California, Nevada, Oregon, Washington and Arizona; BP-branded ampm stores are located in Chicago, Indianapolis, Pittsburgh, Orlando, Columbus, Cleveland, Cincinnati and Atlanta. BP supplies more than 15 billion gallons of gasoline every year to U.S. consumers through 11,000 retail outlets. BP is the single, global brand formed by the combination of the former British Petroleum, Amoco, Atlantic Richfield (ARCO), ARAL and Burmah Castrol.
Circle K, the U.S. convenience chain of Laval, Quebec-based Alimentation Couche-Tard Inc., came in at No. 25.
Sioux Falls, S.D.-based Hot Stuff Foods, an international foodservice provider, has been recognized as one of America's top franchise systems. Entrepreneur listed Hot Stuff Foods as No. 74 in its January 2010 Top 500 ranking.
"We are extremely pleased to be recognized as one of America's top franchise systems," said John Barber, Hot Stuff's Chief Customer Officer, "especially since this ranking includes a myriad of different business opportunities. In addition, Hot Stuff is one of only a handful of franchises and the only pizza franchise that is primarily focused on serving the convenience store industry. There are literally thousands of business franchises and this ranking recognizes not only our commitment as a premier foodservice provider, but places us in a broader category as a leading business franchise."
Hot Stuff Foods franchises and/or licenses its branded food concepts in more than 1,200 locations throughout the United States, Canada, Europe and Asia. Hot Stuff Foods also offers Lettieri's Food To Go through distributors across the United States.
Birmingham, Ala.-based Chester's International, which offers the Chester's Chicken program to c-store and other retailer, came in at No. 284.
Click herefor the complete Franchise 500 list.Click here for the 2010 Franchise 500 Top 10 list, andclick here for the list of the fastest-growing franchises.
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