7-ELEVEN Malaysia Sdn Bhd, the operator of the 24-hour convenience stores, will spend RM28 million to open up to 100 stores this year.

The company, controlled by tycoon Tan Sri Vincent Tan Chee Yioun of Berjaya Group, has 903 stores now, the bulk of which are in urban areas.

It wants to open more outlets due to increased sales and demand, and to have economies of scale in terms of operation, said senior manager for merchandising Hor Kar Shan.

"We will spend RM250,000 to RM300,000 on each store. We will open outlets at places where we can sustain the 7-Eleven con-cept,"

Hor told reporters at the launch of United Global Technologies (UGT) Sdn Bhd's interactive TV yesterday.

UGT, an interactive media channel provider, is partnering 7-Eleven Malaysia to provide a new frontier of media advertising through the use of LCD screens that will be installed in all 7-Eleven stores.

The new multi-content media that displays simultaneous video, text and flash animation, feeds on large Samsung LCD screens.

Hor said that 7-Eleven Malaysia will benefit from the tie-up with UGT as it will get a small percentage of revenue-sharing and more customers patronising all its outlets.

"We have created a new technology-advanced interactive media platform for companies and brands to communicate with consumers. It will enable small and medium enterprises, who have never advertised on TV before, to do so through this interactive method, said UGT managing director Francis H.L. Wong.

Wong said the advertisers will benefit as there are more than 14 million viewers a month at all the 7-Eleven stores. This is based on each store having an average of 545 customers per day.

UGT has installed the LCD screens in 30 stores in the Klang Valley and it expects to hit 450 by June.

The company will invest RM10 million for the roll-out plan this year, including for research and software and hardware integration, Wong said.

It is targeting brand promoters from the electronic, telecommunications, mobile, bank, automotive, healthcare and fast food, and beverage sectors.

Marketing director Keith Wong said UGT is in talks with 300 companies for advertising purposes.

"We can't disclose potential earnings, but we are targeting a return on investment in two years. Some 10 per cent to 20 per cent of our revenue will be reinvested in this plan every year," he said.

Asked if UGT will tie up with other companies and also venture overseas to promote the use of its interactive TV, Wong said its focus now is on its partnership with 7-Eleven, which is for five years.