EXCLUSIVEBRANDSOURCING RETAILER/WHOLESALER ...

operation, which have helped boost net income up by 149.5% to ¥ 111.9 billion. One significant
strategy adopted has been the creation of the Seven Premium private brand product range, where
instead of outsourcing to a specialized suppliers, the company uses a team merchandising
approach, collecting all information and know-how cultivated by each operation company and
sharing this in a joint development effort with outside manufacturer. Also, the company’s Seven-
Eleven Japan’s advance product development know-how is shared, thus gaining leverage within
the Group. As a result, since launching the Seven Premium program in 2007, its sales have
climbed to ¥ 380 billion ( $4.3 billion), and now represents the Group’s core line of private brand
merchandise. Also, the first global merchandise product, wine, launched in November 2009, has
so far sold 4.5 million bottles. The Seven Premium product range has grown to more than 1,000
skus and a new range, Seven Gold, , set a quality level above, has been launched. The earthquake
in 2011 in Japan represented a ¥ 26 billion loss for the Group, and its effects continue.
Nevertheless, plans call for opening 1,200 stores in fiscal 2012 and in the US another 500 more
stores. Ito-Yokado’s fiscal 2012 plans call for three more stores, while closing seven stores’ while
six stores were opened in fiscal 2011. Over the past three years, the Group has closed 286
locations in its foodservice business.
Procurement Contacts: At 7-Eleven (Dallas, TX) Tel: (972) 828-7011) Tom Gerrity, Sr. Product
Director (Private Label); Keven Elliott, Senior VP Merchandising & Logistics (U.S.). At Seven &
I: N/A
SHANGHAI BAILIAN GROUP COMPANY LTD.
No 800 Nanjing East Road, Shanghai City, Shanghai 200001, CHINA
Tel: +86 21-6322-9537
Fax: +86 21-6360-32-98
URL: N/A
Total 2010 Sales: $1.9 Billion +29.2%
Percentage of Sales in Exclusive Brands: N/A
Principal Business: This group was formed in April 2003 with the combination of the parent
companies of Shanghai Number 1 Department Store, Hualian Department Store, Hualian and
Lianhua Supermarket Company. Subsequently, Shanghai number 1 Department Store Company
merged with Shanghai Hualian Company in May 2004, changing its name to Shanghai Brilliance
Company Ltd., operator of 14 department stores and three shopping malls. The Hualian and
Lianhua Supermarkets merged under a single brand, Lianhua, becoming China’s largest
supermarket chain. This latter business, C Lianhua Supermarket Holdings Company Ltd. is now
the largest retail chain operator in the Peoples Republic of China. Bailian Group today operates as
a state-owned company. It has interest in six public companies: ShanghaiBailian Group Cjo.,
Shanghai Friendship Group Incorporated Co., Shanghai Material Trading, Shanghai No. 1