What is the video all about?

⁃ 7/11 is now owned by a Japanese company. Seven & I Holdings.

Narrator: A (1) was bought by Ito Yokado, a Japanese supermarket chain that had been operating 7/11 stores in Japan for more than a decade. From the beginning, the Japanese owners said American 7/11, both its (2) and its franchises, had a lot of catching up to do.

⁃ The Japanese model was (3) . They would pour over what sold well at what time of day, break it down by gender and age, and use that to inform their next order decisions. The American system just wasn't (4) that.

Narrator: There were some major differences between US and Japanese 7/11s. The US stores were typically larger and attached to gas stations. The Japanese stores didn't sell gas but had a much (5) food. Japanese stores only stocked items that would sell quickly. They had a proprietary distribution system that made (6) to stores every day. Orders were customized by store based on sales data, demographic trends, and (7) . American 7/11 stores were getting two deliveries, per week, and some items were never being purchased. When American operators began counting items in their stores, some found that 40% of their products were selling less than one unit per month.

Narrator: Now, American 7/11 has its own distribution system where franchises place orders every day based on (1) of whats selling nationally and regionally and their own store data.

⁃ They're making decisions every single day on what they're going to order based on what they understand the customer wants to purchase, what new items are going to (2) .

⁃ One of the most interesting lessons that we've learned from 7/11 Japan is their approach to operations and to a retailing, which they call tanpin kanri. And tanpin kanri is basically this idea that we (3) to the needs of customers. We actually help our stores localize their assortment so that they have the right balance of a consistent assortment of products that consumers and customers would expect (4) , as well as items in the assortment that are perfectly appropriate for a given store's location.

Narrator: This is especially important (5) food. Seven Eleven Japan is known for its wide array of meal options.

⁃ You're not gonna believe (6) in a convenience store. Narrator: American 7/11 also has a big (7) business. In total, it sold over $17 billion of food last year, about 24% of its overall sales. That included 315 million cups of coffee, 153 million Slurpees, and 99 million slices of pizza. But next year, it hopes to make one third of its sales from store brand goods, including food up from less than one quarter in 2022. That's particularly (8) in the convenience store industry.