August 12, 2023, 02:42 PM
Japanese convenience store chain FamilyMart is leaving Thailand.
Nikkei Asia reported that the chain's franchise agreement with Thai retailer Central Group ended in May 2023.
The current 200-odd FamilyMart outlets in Thailand will be converted to Tops Daily, a small supermarket chain owned by Central Group, within this year.
FamilyMart entered Thailand in 1992 via a joint-venture.
However, in 2020, FamilyMart transferred its 49 per cent stake in the joint-venture to Central Group; in the three years since, Central Group had been the sole owner of FamilyMart.
The current convenience store leader in Thailand 7-Eleven which controls 80 per cent of the market with over 13,000 outlets.
FamilyMart ranked fourth in 2022, reported Nikkei Asia.
According to the paper, FamilyMart said it intends to expand overseas even more despite this exit.
The paper previously pointed out FamilyMart's woes overseas, including a court battle with its joint-venture in Taiwan and a failed partnership in South Korea.
Despite these setbacks, FamilyMart has to continue seeking overseas partners because its home market Japan is rapidly aging and shrinking.
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