Saha Lawson Co, the local operator of Lawson 108 convenience stores, aims to raise its store count to 208 by 2020 from 99 at the end of last year.
According to Koichi Hirose, the company's newly appointed managing director, the company will spend 190 million baht to open 24 Lawson stores and renovate up to seven existing stores this year.
Of the 24 new branches, nine will open at Japanese factories in Bangkok and 15 will be in other areas of the capital. The number of stores is expected to reach 123 by the end of this year.
According to Mr Hirose, the company will open 35 and 50 new Lawson stores in 2019 and 2020, respectively.
Saha Lawson Co was founded in 2013 by Japan's Lawson Inc, the parent firm, and Thai consumer goods conglomerate Saha Group to operate Lawson 108 convenience stores.
The joint venture also operates the 108 Shop convenience store chain.
"We froze the opening of Lawson concept stores in central Bangkok a couple of years ago," Mr Hirose said. "Now it sounds like the right time for Lawson to resume its expansion in central Bangkok and to build our brand awareness, particularly among white-collar customers."
The company has adjusted its business strategy by shifting focus to central Bangkok after two years ago opening stores in provinces such as Chon Buri.
Lawson controls just 1% of Thailand's convenience store market, which includes more than 13,000 outlets across the country.
CP All's 7-Eleven dominates the market with about 10,000 stores, followed by FamilyMart and Lawson 108.
In a related development, Lawson yesterday opened its 100th store at Talad Muangthai Phatra near Sutthisan MRT station.
The new prototype store features a different image, with more modern decoration and new product offerings in 120 square metres of space.
"With the opening of new concept stores in Bangkok and the new product assortment and services, as well as better consumer spending power, we will boost our same-store sales growth by 3% this year from flat growth last year," Mr Hirose said.
Nonetheless, the company expects the number of 108 Shop convenience stores to decline over the next three years from 126 branches in 2017.
The number of 108 Shop locations will drop to 120 this year and to 115 and 110 in 2019 and 2020, respectively.
Saha Lawson expects revenue (including sales from 108 Shop) to reach 2.4 billion baht in 2018, up from 2.2 billion in 2017.
Revenue is forecast to increase to 2.9 billion and 3.6 billion baht in 2019 and 2020, respectively.
Of last year's revenue, Lawson 108 contributed 1.239 billion baht and 108 Shop supplied 963 million.
Saha Lawson operates 100 stores at present, of which 81 are in Bangkok and the surrounding area and 19 are in provincial areas such as Chon Buri, Rayong, Ayutthaya, Nakhon Ratchasima and Chachoengsao.
