Convenience store giant Family Mart is to change over around 10% of its stores, some 500 branches, to am/pm.
Family Mart purchased am/pm in late 2009 and is hoping its tactic will turn around its subsidiary’s fortunes. Currently together they hold 8,700 stores throughout the country, taking the group close to the 9,600 branches of number two convenience store Lawson’s. Family Mart, however, announced at the time of the acquisition that they would keep am/pm wholly independent. The fact that they are willingly to switch some of their own stores to their smaller former rival indicates they are serious about building it up.
[Image courtesy of jpellgen on Flickr.]
It begs the question, how much does the consumer care about which specific convenience store they are shopping at? The number one factor in the appeal of the conbini is, well, the convenience — it is always nearby and there are a plethora of basic groceries. As long as it has all the right range of food, drink and essential household items, does the consumer care what is the name above the door?
The answer, it seems, is yes. Am/pm has failed to rise beyond number seven partly because it has not established a name for itself — there is little unique about it in terms of its branding or the products it offers. Family Mart, on the other hand, has MUJI products, its own products, and tie-ups with the T-Card. Lawson’s also has a distinct character through its Natural Lawson and Lawson 100 range of stores, plus a fondness for exciting collaborations and campaigns.
Given Lawson’s plan to start the PONTA point card this year as a direct challenge to the Family Mart-Tsutaya T-Card (which has 33 million members and 56 affiliates), could this decision by Family Mart fatally split their forces against their arch-rival — or will it shore up its smaller subsidiary into a more formidable, mid-level convenience store? The change-over between the Family Mart and am/pm branches will be happening through to February next year, and we will see over the months what the new name does to the sales at the stores.
William is one of the editors of JapanTrends.com and a Project Manager at 
Who is number 1? 7-eleven? Where does “sunkus” rank in this? Konbini are so unique and interesting that I´m already missing them.
I would feel strangly depressed if they removed all of the family marto’s for am/pm’s, I mean, the family marto commercial is constantly stuck in my head, I identify with it (i need help) LOL
@Ji Seven Eleven is number 1 in Japan (at least it was for 2008 fiscal year). Circle K Sunkus was number 4, behind Family Mart but ahead of Mini Stop. Actually, I’m impressed that Mini Stop even managed to get ahead of Daily Yamazaki (6) and am/pm (7), since I rarely see them around Tokyo. Must be the mad rush every year for their summer ice creams.
@Tokyo Catalog Interesting that you are so attached to Family Mart. It will be curious to see what effect the changeover has. Don’t worry, though, it definitely is not going to be ALL the Family Mart stores!