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Convenience Stores Banking On Eating-Out Trend
Jun 24, 2007

Convenience stores have progressed with changing need of Taiwanese people and reacting to the increased proportion of people preferring to eat out.

Convenience stores progressed with changing need of Taiwanese people and reacting to the increased proportion of people preferring to eat out, they have developed novel practices to take hold of a huge chunk of market share by selling box packed meals. Market sources said on April 26, 2007 they make an estimated NT$140 billion (US$4.2 billion) annually, as per the news published on
Radio Taiwan International.

The most admired chain in Taiwan, 7-Eleven convenience store chain, sold 60 million boxed meals in previous year. Revenue from 7-Eleven's fresh foodstuff segment plus packages of sliced fresh fruit, sums to NT$14 billion (US$420 million). This figure is 10 percent share of total eating-out market.

Convenience stores will keep on extending their business by increasing diversified list of options in menu and by offering unsullied foodstuffs. Nevertheless, based on their allotment channels, convenience store chains seize the lion's share, providing millions of boxed meals yearly. One more approach used by several convenience stores is to supply a cafe-like space for respite. Moreover the store offers wireless Internet entree complimentary.

In Taiwan Convenience stores are also offering services on behalf of financial organization or government organization like collection of utility bills, city parking charges, traffic breach fines, and credit card payments. Almost 80% of metropolitan house shoppers in Taiwan go to convenience store every week.

A lot of convenience stores are open for 24 hours a day, as well as on holidays. Number of Microwave and Frozen able foods is rising in Taiwan's convenience stores. Taiwan's convenience stores charge cost that is almost 10 to 20 percent high than characteristic supermarkets and hyper marts.

Due to elevated turnover, there is common view that food is fresher at convenience stores. Consequently, customers like to buy snack foods and fresh items from convenience stores.

As per a research analyst at
RNCOS, "The entire figure of convenience stores in Taiwan prolongs to grow, whereas the expansion rate is dropping gradually, reflecting that the market is approaching its tip of saturation. But, in spite of this trend, revenues at individual chains are continuing to increase".

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