Retail management

“retail report” describing a retailer’s (or not-for-profit’s) retail strategy. I have attached the file, every details are there.

Running head: retail management 0

Wal-Mart West Winnipeg Supercenter

Dr. Drew Evans

Syed Muhammad Mehdi Raza Zaidi, Mirza Ashar Abbas, Muhammad Hassan Mirza

November 13, 2019Table of Content

Executive Summary……………………………………………………………………….3

1. Introduction……………………………………………………………………………4
2. Target Market………………………………………………………………………….4
3. Retail Mix……………………………………………………………………………..5

1. Product…………………………………………………………………………….5
2. Price……………………………………………………………………………….6
3. Place……………………………………………………………………………….6
4. Promotion………………………………………………………………………….7
5. People………………………………………………………………………………7
6. Passion…………………………………………………………………………….8

1. Critique………………………………………………………………………………..8
2. Recommendations…………………………………………………………………….9
3. Conclusion……………………………………………………………………………10

References………………………………………………………………………………..11

Executive Summary

Retailing is a business that deals with the delivery of the products to the final customers for the sake of utilization instead of reselling. There is much potential of retailing business in Winnipeg due to stable income power of the customers in the city. However, there is a certain competition in the same sector too with several leading players in the market including Canadian Tire, Winners, etc. Proper target marketing and retail mix carry the potential tools for benefitting the new retail store in competing strongly in the market.

With the same consideration, the study attempts to analyze the target market and retail mix for the Wal-Mart West Winnipeg Supercenter. The study will also be carrying out a critique of the retail mix to benefit the store for overcoming the discrepancies for operating smoothly. The outcome of the study includes target market, retail mix, critique, and recommendations for the retail store that will benefit it in competing effectively in the market for gaining desired benefits and profits.

Introduction

Retailing business involves the selling of finished goods to the final user; it means the user takes the products for consumption only not for the intention of reselling them. This type of business ensures that the availability of all the required stock to meet the daily requirements of consumers is available at a common place to pick, purchase, and consume (Cacho-Elizondo & Loussaïef, 2010). Retailing is a unique form of business since it maintains a final link of the supply chain between the manufacturer (producer) and consumer (purchaser). It provides an opportunity for the manufacturer to keep focusing on the production of goods rather than finding appropriate customers to interact, convince, and sell those goods to them. There are retailing stores which make it possible to keep stocking of products from needles to crane under one roof for the convenience of their customers to make hassle-free shopping (Duggal, 2015). The study will be attempting to analyze the retailing strategy of Wal-Mart West Winnipeg Supercenter. The identification of the target market along with the retail mix will be part of the study. The study will also present critiques relating to the retail mix and propose a recommendation to bring improvement for the business.

Target Market

The population is the target market for the retailing store because of the availability of the Manitoba Technology Accelerator and Industrial Technology Centre in the city (Thompson, 2019). Both of these technology centers provide a wide range of services and resources to the startup companies for promoting their products and services from the technology point of view (Patterson, 2019). Therefore, Winnipeg is the most suitable option for the commencement of the retail business.

As far as the target market of the retail store is concerned, it is mainly targeting all the individuals within the age group of 15 – 60 including both male and female. However, these customers will be falling into an intermediate position as per their economic power because the retail store has positioned itself as a cost leader in the market for attracting them (Govind Mishra, 2014). There are various retail stores already operating in Winnipeg including Winners, Apple Polo Park, Canadian Tire, etc. for competing each other following product differentiation approach (Patterson, 2019). It is essential to identify the demographics of the target market of the retail store to focus more efficiently for gaining positive results. The demographics of the customers targeted by the Wal-Mart West Winnipeg Supercenter in Winnipeg are as follows;

Dimensions	Segmentation
Sex	       Male
       Female
Age	       0-10
       10-30
       30 Plus
Marital Status	       Married
       Unmarried
Income Level	       < $10,000
       > $50,000
Occupation	       Service
       Professional
       Business
Geographic	       Winnipeg
Social Class	       Middle

Retail Mix

1. Product

The retail store is offering a variety of products to the customers required by them for meeting their daily needs appropriately. The products being offered to the customers belong to different categories (Sandberg, 2014). Some of the prominent categories include appliances, health goods, entertainment, groceries, wellness, hardware, and clothing. The company is purchasing the stock in a large quantity for achieving economies of scale; offering the products to the customers at lower pricing as compared to the other stores in Winnipeg (Siddiqui & Tripathi, 2016). The company is also offering some of the distinguished products that are available under the label of the retail store for promoting it as a brand.

1. Price

The pricing is one of the most critical factors for any company; it is also a complicated factor for the retail store in terms of ensuring its success and long-run continuity. The store has set its pricing strategy considering the other competitors like Winners, Canadian Tire, operating in Winnipeg (Patterson, 2019), this is because there is the generic business strategy of the retail store i.e., cost leadership. However, the retail store should offer products at customer-friendly prices for boosting its sales even with a minimum profit margin. The company develops and implements efficient procurement strategies to keep its pricing at the lowest possible level (Záboj, 2012). It also offers a wide range of payment options to the customers for meeting their convenience level timely and appropriately.

1. Place

Location plays a vital role in the success of business particularly when there is a matter of starting up a new business. The store should be available at a physically convenient location where the customers find fewer problems in visiting and shopping for their required products (Cacho-Elizondo & Loussaïef, 2010). Considering the fact, the retail store has set up its business in the geographical location of Winnipeg, because it is mainly targeting the customers of Winnipeg along with available demographic factors. All the products being offered by the retail store are available at the same place within different categories benefitting the customers to trace and purchase their required product in a convenient manner (Duggal, 2015). The place of the retail store also offers the availability of various help boys that are supporting the customers in finding their desired product easily.

1. Promotion

The promotion is the most important factor for the success of any business. The retail store is making use of both conventional and digital methods for promoting its products that will help in catching the attention of the customers positively. The store advertises its products over newspapers, television, radio, and magazines as a part of its conventional strategy (Govind Mishra, 2014). The company is also making use of social media platforms, internet, and website for promoting its products that are part of digital strategy. It is mandatory to use the digital promotional strategy as the customers are much attracted by the digital platforms due to the easy accessibility and globalization (Lee, 2017). Moreover, the retail store also offers regular discounts and promotional packages to the customers for catching their attention positively.

1. People

There are several people involved in the retail store operation. The internal team of the retail store is responsible for carrying out all the daily operational activities at the workplace; they are also responsible for handling customer queries, complaints, and needs. The suppliers of the retail store are responsible for ensuring the availability of all the required stock at the store within a specified timeframe (Sandberg, 2014). The customers of the retail store are the key people as the store is providing services and products to them for meeting its ultimate goal that is the revenue generation and growth of the business.

1. Passion

The competition in the retail store business in Winnipeg is quite high due to the presence of several key players such as Superstore, Winners, Canadian Tire, etc. Therefore, the factor adopted by the retail store for differentiating itself in the market is the cost leadership. The store is attempting to achieve the economies of scale in its business for offering products at lower pricing. This strategy is adding value to the retail store in differentiating itself from the market competition positively.Critique

1. The retail store is targeting only daily-life usage products to make their availability at the store; it means that the dependency of the store is greatly lying on the suppliers (Záboj, 2012). However, the attitude of the store towards the suppliers is not appropriate due to its higher power; such kind of attitude influences the regular suppliers of the company adversely. The company believes that it would not find any new supplier if the current one leaves which is true; however, there is no confirmation that the new supplier will be able to deliver desired quality stock to the store. Therefore, they need to look towards the suppliers as their key partners.
2. There is stiff competition in the retail business in Winnipeg; therefore, cost-leadership alone would not prove to be much beneficial since the store is taking the leading position in the market. The Wal-Mart West Winnipeg Supercenter needs to implement the latest technological factors for ensuring that they can provide appropriate services to the customers which will ultimately help in gaining their trust and satisfaction level (Cacho-Elizondo & Loussaïef, 2010). The technological factors will also benefit the retail store in managing all the operations of the store smoothly to achieve excellence.
3. The retail store is dealing with a wide range of products at the same time; meaning dealing with several suppliers/vendors at the same time. The latest inventory management system at the business place is lacking at the retail store; it makes sure that the suppliers are automatically receiving notification relating to the shortage of any particular product related to them (Govind Mishra, 2014). This sort of technological inventory management system will benefit the retail store in ensuring the filled shelves all the time in all product categories for providing the opportunity of convenient shopping experience to the customers.

Recommendations

1. The retail store must focus on providing an efficient customer service environment to the targeted customers as it will benefit them in attracting and retaining the customers. 
2. It must consider offering a wide range of promotions and discounts to its regular customers for increasing their loyalty. It will benefit the store in gaining customer loyalty that will lead to higher customer retention as it is quite easier to retain a customer instead of attracting new customers. 
3. The retail store must develop an appropriate relationship with the suppliers for ensuring that the supply chain process of the business operates smoothly to benefit the store in terms of profits (Patterson, 2019).
4. The social behavior of the customers in Winnipeg is changing towards the social aspects of the business. Therefore, the retail store must ensure to maximize the adaption of sustainable approaches in all the business activities. It would not only benefit the retail store in minimizing its wastage up to a certain level, but also gaining positive responses from the customers (Siddiqui & Tripathi, 2016). 
5. The company put much stress on the marketing of their business. It means making efficient use of both conventional and digital channels for promoting the business. 
6. The retail store must never forget to integrate ethical factors in its marketing strategy to avoid any damage that can cause its customers to run away.

Conclusion

There is much potential for retail business in Winnipeg. The Wal-Mart West Winnipeg Supercenter is focusing on the customers within the age group of 10- 60 including both male and female. The retail store is mainly targeting the low to middle-income customers in the market as a part of its cost leadership generic strategy. It is providing a wide product range to its customers to meet all of their daily life needs. The retail store also integrates the latest technological applications at the business place for delivering an efficient customer experience to the targeted customers. It is carrying out a certain promotion and marketing strategy for attracting and retaining the customers in targeted marketing positively. The key stakeholders of the business include the employees and suppliers that are supporting the retail business in gaining a leading position in the market. The retail store will be finding more success if it attempts to implement the findings of the plan efficiently.

References

Cacho-Elizondo, S., & Loussaïef, L. (2010). The Influence of Sustainable Development on Retail Store Image. International Business Research, 3(3), 100. doi: 10.5539/ibr.v3n3p100

Duggal, E. (2015). Retail Store Service Quality: Insights from Indian Retail. Drishtikon: A Management Journal, 6(2). doi: 10.21863/drishtikon/2015.6.2.009

Govind Mishra, H. (2014). Customer Perceptions for Store Attributes: A Study of Unorganized Retail Stores in India. Business And Economics Journal, 05(04). doi: 10.4172/2151-6219.1000127

Lee, Y. (2017). A Study on Performance of Retail Store: Focused on Convenience Store. Journal Of Distribution Science, 15(2), 47-51. doi: 10.15722/jds.15.2.201702.47

Patterson, C. (2019). Canadian Retail News From Around The Web: July 10, 2019. Retrieved from https://www.retail-insider.com/retail-insider/news/2019/7/10

Sandberg, E. (2014). Coordination mechanisms in the store opening process. International Journal Of Retail & Distribution Management, 42(6), 482-499. doi: 10.1108/ijrdm-01-2013-0024

Siddiqui, M., & Tripathi, S. (2016). Grocery Retailing in India: Online Mode versus Retail Store Purchase. International Business Research, 9(5), 180. doi: 10.5539/ibr.v9n5p180

Thompson, S. (2019). ‘Retail is under attack’: Technology means change for Winnipeg stores. Retrieved from https://globalnews.ca/news/5510636/retail-is-under-attack-technology-means-change-for-winnipeg-stores/

Záboj, M. (2012). Using RFID in supply chain and retail store unit. Agricultural Economics (Zemědělská Ekonomika), 51(No. 9), 427-434. doi: 10.17221/5130-agricecon