7-Eleven plans to sell beer, wine

In-store consumption only, with food

Convenience store chain 7-eleven’s plan to sell wine and beer to consume in its Ontario stores has stoked concerns for the future of a restaurant industry still struggling under COVID-19 pandemic restrictions.

The chain announced on Wednesday that it had submitted 61 applications for a licence to sell beer and wine for in-store consumption, which if approved, could put their stores on par with restaurants and bars.

While the economics of the plan is “puzzling,” one entrepreneurship expert says that even if the applications were to be approved, it would not be a threat to businesses, big or small, within the restaurant industry.

“I don’t think there are that many folks interested in sitting in a 7-eleven and eating a sandwich or having a beer,” said brad Poulos, who teaches entrepreneurship and strategy at ryerson university.

ryan Mallough, director of provincial affairs for the Canadian Federation of Independent businesses, said small businesses are concerned about whether the move may change how a province defines a restaurant, and if so, what rules would apply to 7-eleven.

raymond Kahnert, a spokesman for the Alcohol and Gaming Commission of Ontario, emphasized that the locations applying for a liquor licence must have a space “created for the sale, service and consumption of alcohol with food inside the store.”

The application process could take up to three months — longer, if there are application errors — which means by the time 7-eleven starts selling alcohol, the provincial economy could be in different shape, pandemic-wise.

“by the time the dust settles on whether or not the application gets approved, maybe we’re far enough out of lockdowns and never come back,” Mallough said.

but if lockdowns were instituted again, would the chain have to shut its indoor dining space or could it offer takeout in the same way as restaurants, alongside their usual products, he wondered.