Editor's Note: Today's blog features Takanori Kodera of Seven-Eleven Japan, Hayato Taiko of Seven & i Holdings, and Harumi Aizawa of Seven & i Net Media. They explore how 7-Eleven has implemented Google Maps Platform Mobility Services into its 7NOW delivery services to pursue its mission of “Unlocking the next doorway of convenience to create prosperous lifestyles around the world.”
“Our company's success is founded upon its network of approximately 21,000 stores nationwide (as of the end of February 2023) and its extensive product lineup of approximately 3,000 items,” shares Takanori Kodera, Logistic Strategy, Last One Mile Expansion Division, Planning Department of Seven-Eleven Japan. “In recent years, especially after COVID-19, delivery services have become very popular in Japan. That was a great business opportunity for us. Our nationwide network of stores can provide a delivery network that no other company can match, allowing us to offer unparalleled service. We initiated 7NOW to respond to the changing times and get closer to the customers from our stores' side.”
Takanori Kodera, Logistic Strategy, Last One Mile Expansion Division, Planning Department of Seven-Eleven Japan
7NOW provides a new customer experience
Kodera tells us that 7NOW is a groundbreaking service that matches “products available in stores now” with “delivery operators available now” to provide a new customer experience.
“If we create a system that allows customers to check and order what’s in stock at actual stores over the internet, they can choose products as freely and easily as they would in a store,” Kodera explains. “We aimed to create an environment where customers can seamlessly purchase products, transcending the differences between real and online stores. To support this in the logistics area, we have established a system that matches delivery companies. For customers, just like the physical convenience of having a store nearby, the psychological and temporal factors—or 'time convenience' of getting products quickly—are also important.”
Harumi Aizawa, Planning Development Team, 7NOW Promotion Department, System Planning Division of Seven & i Net Media
Matching “products available now” with “delivery operators available now”
In 2022, the company renamed its online shopping service to 7NOW, and in September 2023, they also launched the 7NOW mobile app.
“We developed the app to make ordering easier and more convenient for customers while prioritizing ease of use in the design. To help customers browse and select products as they would in stores and to recreate the in-store atmosphere, we opted for a shelf layout that mimics the physical shopping experience. We also applied category and text search for quick product searches. Through these efforts, we wanted our customers to grab more items casually and enjoy shopping,” says Harumi Aizawa, Planning Development Team, 7NOW Promotion Department, System Planning Division of Seven & i Net Media.
Around the same time, the company began developing a system to display the location of drivers in real time directly in the app. “We wanted to further enhance the 'new shopping experience' by easing customers' concerns and providing a sense of assurance,” Kodera says. “We outsource our delivery operations to a variety of external partners. Especially because of this, we wanted to display the delivery staff's current location, regardless of the assigned delivery operators, to ensure that our customers can rest assured when they wait for their purchase to be delivered.”
The project began around the end of 2022 and was led by Hayato Taiko, DX Engineering Unit Officer, Group SystemDepartment and Development Direction Unit Officer, DX General Management Office of Seven & i Holdings.
“We started the development work by extending the features of the 'Last One Mile DX Platform,' which is the foundation of logistics,” he explains. “To display the current location of drivers in real time and provide the correct delivery time, it is also essential to calculate the time required based on the actual route, not just the straight-line distance. At the same time, we must ensure security when our customers view the information.”
Customers can browse and select products as they would in stores and to recreate the in-store atmosphere. (example image)
Why they chose Google Maps Platform Mobility services
Led by Taiko, the development team turned to Google Maps Platform Mobility services, a solution specifically designed for logistics and delivery services.
The first reason was the system's scalability and stability. “As the 7NOW service expands its reach throughout Japan, we will need to simultaneously handle huge amounts of delivery information,” Taiko says. “Google Maps Platform not only ensures the highest level of capacity and scalability, but also enables us to offload utilization and processing of location information via Google Cloud and APIs.”
Hayato Taiko, DX Engineering Unit Officer, Group System Department and Development Direction Unit Officer, DX General Management Office of Seven & i Holdings
“The second reason was its reliability,” he says. “I regularly use Google Maps in my daily life. Likewise, many companies utilize the Google Maps Platform and Google Cloud to provide location services. This shows how reliable and easy to develop they are.”
“In addition, Google Maps Platform offers quality support,” Taiko adds. “They introduced us to the development partner Navagis. When faced with challenging issues, we received valuable advice from Navagis, which significantly shortened the development time.”
The final reason was cost. During the delivery process, the system needs to repeat API calls to accurately display the delivery staff's location and continue to display correct delivery times. “Google Maps Platform Mobility services is based on a system where a fixed fee is charged for each completed delivery,” he says. “It was an ideal solution for saving costs while offering our customers a better experience through easing their concerns and providing a sense of assurance.”
From a familiar “shopping hub” to an even more convenient “shipping hub”
Although the company has just completed implementing the application, Kodera already acknowledges the solid impact.
“This initiative has significantly contributed to easing customers' concerns and providing a sense of assurance,” he says. “Many customers check the delivery status, and we receive a lot of positive feedback about how convenient our service has become. Meanwhile, for the stores, not only has the number of customer inquiries decreased, but various synergistic effects have also been achieved.”
Customers can view the delivery status directly in the app. (example image)
“The most significant benefit is increased sales at existing stores while developing new online customers with high-order values,” Kodera continues. “In addition, we hear that the new ways of using our service that suit customers' lifestyles are also becoming popular. 7-Eleven has been a familiar 'shopping hub'. Through 7NOW, we are expanding our contact points with customers, whether they are at home or out and about.”
The team helping to pursue its mission of “Unlocking the next doorway of convenience to create prosperous lifestyles around the world."
Taiko explains the next step for them with the Google Maps Platform. “In this project, we have built a system that improves customer convenience,” he says. “By strengthening the navigation experience using Google Maps Platform Mobility services, we can further enhance the experience of delivery staff, and in turn improve the customer experience.”
