7-Eleven to Promote Store Brands on National In-Store TV Network

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March 1, 2011

The TV shows national and local entertainment, and news and weather, as well as advertising highlighting 7-Eleven proprietary brands, in-store and out-of-store brands, and special 7-Eleven promotions.

Harris Corp. is deploying broadcast TV-quality digital out-of-home screen technology across all 6,200 7-Eleven stores nationwide as part of the rollout of 7-Eleven TV.

The 24/7 programming will feature national and local entertainment, news and weather, as well as advertising highlighting 7-Eleven proprietary brands, national brands and in-store promotions and programs.

Launched in 2010, 7-Eleven TV currently operates in 500 stores. Once fully deployed, 7-Eleven TV will rank as the "fourth largest broadcast TV network" based on projections of Nielsen "gross rating point" data, according to a MediaPost report.

7-Eleven stores in the U.S., which reach 200 million shoppers each month, will broadcasts ad-supported programming tailored to specific markets, customer segments and dayparts.

Harris Corp. said its software will enable 7-Eleven TV to schedule programming and advertising in an even more granularly targeted way, making it possible to "promote specific items at times most relevant to customers." Ads can be targeted right down to the zip code and profile of a specific 7-Eleven store, while providing sales metrics to the network's advertisers.

The 10-year deal is valued at $75 million with an additional revenue-sharing potential. Harris is providing its Digital Out-of-Home hardware and software, as well as the Managed Services offering to Digital Display Networks.

“Our aim is to offer 7-Eleven customers up-to-the-minute shopping choices at the point where they are making purchasing decisions,” said David Veckerelli, co-CEO of Digital Display Networks."

SBD Views: 7-Eleven is riding a number of trends that we believe will drive the next wave of store brands growth. First, this program is another example of how retailers are raising their game with consumer marketing of store brands. Second, it’s a clever example of how retailers can leverage their ownership of the instore shopping experience in “the theater.” Given the previously proven success of Walmart’s in-store TV network, it’s a safe bet that you’ll see more of these programs 12 to 18 months down the road.

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