7-Eleven Faces Increased Franchisee Dissatisfaction Over Contracts

At their annual convention in Florida last month, 7-Eleven franchisees weren't shy about voicing their many frustrations with franchisor 7-Eleven Inc. over an increasingly binding contract they say lessens their ability to make money.

I n a recent report , The New York Times detailed unit owners’ gripes with 7-Eleven taking a progressively larger cut of what was once a split-profit business model and their lack of ability to negotiate a new contract.

The contract, which the brand is requiring many franchisees to sign by the end of 2018 or face further revenue shrinkage, calls for a $50,000 franchise renewal fee, mandates that stores stay open on Christmas, and limits franchisees to suppliers that cannot guarantee the best prices for in-store items.

Owners also claim that 7-Eleven’s own branded items are causing further revenue loss. While the items usually have a price point lower than that of their name-brand counterparts, owners say customers aren’t always opting for the items the brand is requiring its franchisees to stock.

Maddie has spent her career in the media industry, serving in various editorial roles before migrating into a hybrid content strategy and PR role with No Limit Agency. Her passion for storytelling and love of writing help her create meaningful content on behalf of her clients and fulfill No Limit Agency’s mission to tell people-driven stories. Maddie is a graduate of Saint Louis University, where she studied Communications with a focus in journalism and media studies as well as Sports Business.

In her spare time, Maddie can be found exploring Chicago’s food scene, watching an NBA game or lamenting over her middling fantasy baseball team.