Due to declining turnout rates and support from the public, it has closed all locations in 2017.

In 2011, the 1Malaysia franchise branched off into a grocery store franchise going by the name Kedai Rakyat 1Malaysia (KR1M), with the first store being located at the Kelana Jaya Line Light Rail Transit (LRT) station in Kelana Jaya.

The franchise was aimed at allowing the low income group to obtain cheaper groceries, potentially bringing support to 1Malaysia.

[2][3] This was denied by the former Ministry of Domestic Trade, Co-operatives and Consumerism Ismail Sabri.

[4] There have been also allegations of poor product quality in its products, namely children's milk powder, fresh milk, condensed milk, sweetened condensed creamer, oyster sauce, fruit jam, canned chicken curry, mango cordial, ghee compounds, peanuts, peanut butter, crispy peanut butter and fish tinned sardines in tomato sauce.